CNN – McDonald’s is slashing the prices of its combo meals just a few weeks after the CEO publicly admitted that its menu has gotten too expensive and pledged to fix the problem.
McDonald’s and its US franchisees agreed to price eight popular combo meals at 15% less than the total cost of buying the items separately, with the chain offering financial support to franchisees if they agree to lower prices, according to a source familiar with the company’s plans. The lower prices will go into effect next month.
The Wall Street Journal first reported the news. McDonald’s declined to comment.
McDonald’s will also expand its combo offerings with a $5 breakfast deal and an $8 Big Mac and McNugget special in the coming months with the reintroduction of the “Extra Value Meals” branding.
McDonald’s CEO Chris Kempczinski said in its August 6 earnings call that “consumers’ value perceptions are most influenced by our core menu pricing,” a nod to the perception from many customers that the chain has become unaffordable over the past several years.
The inflation crisis that followed the pandemic altered many customers’ views of McDonald’s — from a cheap place to get a quick meal to a pricey fast food restaurant that barely undercut a higher-quality sit-down restaurant alternatives like Applebee’s or Chili’s, with the latter thriving over the past few years
