Recent reporting has hinted that McDonald’s may be ready to bring back affordable meals for its customers, including $5 meal deals.
According to some reports, McDonald’s is trying to bring back low-income customers — a large part of their consumer base — as they’re worried that fewer Americans are choosing to head to McDonald’s during this ongoing period of high food costs.
$5 Meals at McDonald’s
When was the last time one was able to spend only $5 at McDonald’s and get a full meal? Many social media users have wondered this — and some have even blasted the fast food giant for becoming expensive in 2024.
McDonald’s has seemingly listened to this criticism. Reporting has suggested that the company is trying to push out a $5 meal deal for American consumers.
What This $5 Meal Will Have
While this deal hasn’t been set in stone yet, some ideas of what this meal could consist of have been revealed.
So far, it appears that McDonald’s is looking to create more affordable meals around either a McChicken or a McDouble. Each meal would have one of these sandwiches, as well as fries and a drink.
Other Fast Food Establishments’ Deals
McDonald’s has decided to try to create a cheaper meal option for consumers — but only after other fast food giants have already done so.
For years now, fast food chains like Wendy’s and Burger King have offered cheaper meal options. Burger King’s limited-time $5 duo was popular with consumers, as was Wendy’s $3 breakfast deal.
McDonald’s Is Changing
During these years where other fast food establishments have had to lower prices, McDonald’s has done well. They haven’t had to change their menu too much, and they haven’t been forced to lower some of their meal prices.
However, that has since changed. Now, McDonald’s seems to be worried that lower-income consumers are refusing to buy food at their locations, as it has become too pricey.
Value Menu Options
McDonald’s has had value menu options, something they’ve expanded in recent years. While some consumers may bemoan that they no longer have an extensive $1 menu, other consumers have celebrated the company’s $1, $2, and $3 options.
However, these options only consist of one item for a cheap price. Therefore, this $5 meal deal would be the first relatively affordable meal McDonald’s has offered in a while.
Becoming More Affordable
Chris Kempczinkski, the Chief Executive Officer of McDonald’s, has recently discussed how the fast food giant needs to be “laser-focused on affordability” in the future.
This statement came after McDonald’s earnings results in the first quarter were weaker than what was initially anticipated.
Convincing Franchisees
However, the road to a $5 meal deal at McDonald’s may be a long one — as franchisees are not thrilled with the idea. Franchisees must approve this deal before it can go through.
The idea of a $5 meal was first discussed by McDonald’s earlier this year. However, that attempt failed, as franchisees refused to endorse it.
Why Franchisees Don’t Want a $5 Meal
Many McDonald’s franchise owners do not want to include a $5 meal deal at their locations because they feel they will lose money in the long run, especially when considering the promotion they will have to pay to tout the deal.
As a result, these franchise owners have explained that this deal won’t bring in money to their establishments at all.
Minimum Wage Issues
Some specific McDonald’s franchisees have further stated that they already have to pay a lot of money to their employees, which has cut into profits.
These franchisees, many of which are in California, have had to raise employee wages thanks to minimum wage laws. California recently passed a law that requires fast food chains to pay their employees at least $20 an hour.
McDonald’s Wants the Meal Deal
Even though many franchisees don’t want to promote this deal, McDonald’s does. To try to encourage these owners to come around to the idea, McDonald’s has even made a deal with Coca-Cola that could help convince franchisees.
While the monetary contribution from Coca-Cola hasn’t been explained in detail, McDonald’s seems to think it will help franchise owners agree to the deal.
Fast Food Prices Skyrocket
This McDonald’s menu change comes as many American consumers have complained that fast food locations — once incredibly affordable — have become too expensive.
Statistics back up these consumer claims. The Department of Labor has stated that fast food prices are now 33% higher than what they were in 2019.
