(LOOTPRESS) – McDonald’s is cutting the prices of its combo meals just weeks after its CEO acknowledged that the chain had become too expensive and promised to address the issue.
The company and its U.S. franchisees have agreed to price eight popular combo meals at 15% less than the total cost of buying the items separately, according to a source familiar with the plans.
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McDonald’s will provide financial support to franchisees who participate in the lower pricing, which takes effect next month. The Wall Street Journal first reported the news. McDonald’s declined to comment.
The chain also plans to expand its combo offerings with a $5 breakfast deal and an $8 Big Mac and McNugget special, while reintroducing its “Extra Value Meals” branding.
On an August 6 earnings call, McDonald’s CEO Chris Kempczinski said, “consumers’ value perceptions are most influenced by our core menu pricing,” addressing concerns that the company has become unaffordable.
Kempczinski added earlier this month that value-minded consumers are “too often” seeing combination meals that cost more than $10 and that is “shaping value perceptions in a negative way.”
In 2023, an $18 Big Mac combo meal at a rest stop went viral, fueling a debate over whether the chain had strayed from its affordability roots.
The backlash prompted an open letter from the president of McDonald’s USA, who called the high-priced meal an “exception” and insisted the chain’s prices had not outpaced inflation.
Since then, McDonald’s has worked to expand its value menu while upgrading other parts of its offerings, including revamped chicken strips and new drinks. Its $5 value meal, introduced last year, helped stabilize sales after customers responded positively to budget-friendly options.
Themed promotions, such as a recent collaboration with “A Minecraft Movie,” have also boosted the chain, ending two straight quarters of declining sales
