There are worries about the future of fast food chains because of the high cost of food. Sales have dropped because of the bad economy. People are having a harder time with their budgets these days, and families with less money can’t afford to eat out as much. This makes executives at McDonald’s and Wendy’s worry that they will lose business.
A recent poll by Revenue Management Solutions found that low-income families (those who make less than $50,000 a year) say they eat at these fast food places much less often because they can’t afford to.
In the last year or so, food prices have gone up a lot everywhere, including in restaurants and grocery stores. This has made it hard for families to pay their bills.
Someone from Tennessee named Lauren Oxford said she could get two burgers, fries, and a drink for less than $5. As the prices went up, she had to get less because she was spending a lot more than five dollars.
Some experts say that fast-food chains aren’t as eager to lower their prices to get more customers. For instance, Wendy’s, McDonald’s, and even KFC used to offer deals and packages that helped people save money when they bought food.
When asked about the fight, Chris Kempczinski, CEO of McDonald’s, said, “The battleground is definitely with that low-income consumer.” He said that he hopes their value menu will help families with low incomes who have to eat at home more often. In-app deals and other freebies will also help you save money on food, he says.
People are trying to find ways for fast food restaurants to make their food easier for more people to get. This is because food prices are going up everywhere.
