Five Guys is pricier than fast food competitors, with average meals costing $20.84. Prices reflect high-quality, fresh ingredients and cooking methods, including using peanut oil. While some consumers find it overpriced, its model attracts loyal customers.
https://www.yahoo.com/lifestyle/why-five-guys-priciest-fast-154057836.html
Expensive fast food burgers in America often exceed expected prices, averaging around $8.41, with some meals costing up to $20. Analysis reveals many pricey options, like the Jack in the Box Jumbo Jack ($6.61) and McDonald's Quarter Pounder ($7.49), have low quality due to undisclosed sourcing and processing. In contrast, higher-quality options include Wendy's Dave's Single ($7.69) and Shake Shack's Shackburger ($7.99), both noted for fresh ingredients and responsible sourcing. Ultimately, price doesn't guarantee quality in fast food burgers.
QSR traffic increased by 0.8% in Q4 2024, reversing a decline from the previous year, driven by successful value offerings and promotions from chains like McDonald's and Taco Bell. Despite a December drop of 1.9%, total Q4 sales rose 4%. Consumer demand is expected to remain strong into 2025 as inflation eases.
Fast food chains use tactics like “charm pricing” and the “left-digit effect” to increase spending, making items appear cheaper (e.g., $5.99 feels like $5). Despite rising food costs, customers often leave with higher bills. Mobile apps can help save money, sometimes up to 50%, even though they utilize similar pricing strategies.
McDonald's launched a new McValue menu in the US, featuring deals like Buy-One-Add-One-For-$1 and $5 Meal Deal, along with app-exclusive promotions. Franchisees are offering localized discounts, and actor John Cena promotes its value. McDonald's partners with 16 brands for $3 million in promotions to celebrate the launch.
https://finance.yahoo.com/news/mcdonald-launches-us-mcvalue-menu-143349980.html
McDonald's is relaunching its Saver Menu with a new campaign titled “Actually Get Your Money’s Worth,” which emphasizes affordable options amid rising costs. The campaign, featuring comedic scenarios, aims to highlight the value of the Saver Menu, including the introduction of the Chilli Double Cheeseburger. Adverts will run across various media, with a focus on digital and outdoor platforms, aligning with popular UK shows. The campaign addresses consumers' demand for value for money in a relatable and humorous way.
https://www.lbbonline.com/news/mcdonalds-saver-menu-is-the-true-winner-in-expensive-scenarios
McDonald's, facing customer losses to rivals, is shifting focus to value amidst inflation as consumers prioritize lower prices. The company plans a national value strategy while ensuring franchisee profitability. Despite recent price hikes impacting traffic, profits have rebounded, allowing for potential value offers. Competitors like Burger King and Domino's are thriving with stronger value perceptions, pressuring McDonald's to enhance its affordability image and marketing impact.
