After months of losing customers and complaints of much-too-high prices… the world’s most iconic fast-food establishment is finally ready to do something about it. McDonald’s new value promotion is giving diners a 4-piece meal for $5…
But is it enough to win back customers?
What Led To McDonald’s Value Promotion?
For months, diners complained that the value of going to McDonald’s was just not worth it anymore.
The prices have gotten so out of hand that the demographic that made the company as affluent as it is…
Lower-income households…
Could no longer afford to eat there.
Now, after months of squeezing customers dry and raising prices, the company is seeing these tactics backfire.
This period of losing diners comes after Maccie’s executives bragged that customers would still come back…
Even if they kept raising their prices…
Look how that turned out for them.
CUSTOMERS HAVE SINCE BEEN AVOIDING MCDONALD’S. IN TERMS OF VALUE AND COST, SHOPPING FOR GROCERIES BECAME THE BETTER OPTION.
In response, starting June 25th, McDonald’s will start offering their latest value meal, which contains 4 items for $5.
The meal consists of:
- The choice between a McChicken or McDouble
- Four Piece Chicken Nuggets
- Fries
- Drink
Mickey D’s isn’t the first corporation slicing prices to get their customer base back. Recently, Target announced that they were cutting prices of over 5,000 items in stores. Walmart also is creating a new product line of cheap, yet adventurous foods.
But what are the higher-ups at McDonald’s thinking about the new prices?
A Change Of Heart, Mind, And Price
They might’ve once bragged about customers paying for their chicken nuggets regardless of how much it costs…
But now the company’s executives are starting to sweat.
When referring to McDonald’s value meal, CEO Chris Kempczinski said on the company’s earnings call:
“CONSUMERS CONTINUE TO BE EVEN MORE DISCRIMINATING WITH EVERY DOLLAR THAT THEY SPEND AS THEY FACED ELEVATED PRICES IN THEIR DAY-TO-DAY SPENDING, WHICH IS PUTTING PRESSURE ON THE [QUICK-SERVICE RESTAURANT] INDUSTRY,”
Beyond this quote, the CEO also mentioned that the company needs to be laser-focused on maintaining affordability…
So they don’t alienate their customers further.
The McDonald’s value meal promotion is staying just for a month but it will determine whether the Golden Arches can truly win back their customers…
Or if it’s already too late.
Be Great,
GCTV Staff
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