Reported 7 months ago
As inflation presents budgetary challenges, fast food giants like McDonald's, Burger King, and Starbucks are launching value meals to entice consumers. Placer.ai's R.J. Hottovy discusses the success of these offerings, attributing the rise in promotional deals to increased visitation across the food industry. However, the competition intensifies as restaurants seek to maintain momentum in the face of rising value offerings. Lower and middle-income consumers are a key target for these value deals, as restaurants navigate consumer spending behaviors and budget stretching. Margins may be impacted by aggressive promotions with the question of sustainability in the face of competitive summer value wars. The initiative reveals a K-shaped recovery post-pandemic, indicating consumer resilience amidst a focus on affordable pricing and innovation to drive visits.
Source: YAHOO