Offering cheap eats has become a winning strategy for the world's largest hamburger chain, and a way to fight off other low-cost chains. And for $3, one can purchase a Sausage McMuffin with Egg, a triple cheeseburger, a Happy Meal or, new to the menu, a Classic Chicken Sandwich. Taco Bell, the Mexican-themed chain owned by Yum Brands, is responding with what it calls its "biggest value push in company history".
The new menu will supplement McDonald's current value offers, including McPick 2 Menu, where customers can pick two items from a list for $5. If items are priced too high, customers feel like they're getting ripped off and head to competitors.
Along with its lower priced items, McDonald's is also increasing its upscale offerings.
That was the case with the company's Dollar Menu, which was phased out in 2013.
McDonald's Corp said on Monday it would introduce new menus with $1, $2 and $3 items to its USA customers in early January. And its absence was felt. He says that he has been hearing these complaints on value menus for the last 15 years and now it's ancient.
This time around, McDonald's thinks it has a formula that can keep franchisees happy.
"You have to make sure it's something we can sustain", he said in an interview.
The massive fast-food company is mostly a cutthroat when it is about the price.in addition, there is competition for stomachs of its customers from other market players, even if their supermarkets or fast-casual chains, which have formed dining areas.
McDonald's Corporation shares rose $1.39 (+0.81%) in premarket trading Tuesday.
McDonald's announced in October that it was planning the menu, though it didn't give details until Monday. The McPick 2 Menu arrived in 2016 and varied by region.