McDonald’s Revamps Value Strategy to Win Back Price-Conscious Customers
In an effort to regain customer loyalty, McDonald’s is cooking up a new value strategy for 2025. The fast-food giant is building on its successful $5 value meal offer, launched this summer, by introducing a “buy one add one” option for just $1 more. This move aims to combat high costs at restaurants, which have been driving customers away.
Value-Packed Options
The “buy one add one” deal includes a range of popular items, such as the double cheeseburger, McChicken sandwich, 6-piece chicken nuggets with a small fry, and breakfast options like the Sausage McMuffin, sausage biscuit, or sausage burrito with a hash brown. Additionally, local value offerings have been popping up on menus and in the app, featuring deals like 10-piece nuggets for $1.
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While the final vote is still pending, the initiative is likely to pass, according to two sources familiar with the matter. McDonald’s has declined to comment on the new strategy.
Solidifying the Value Platform
In its latest quarterly report, McDonald’s posted earnings and revenue that exceeded expectations, but saw same-store sales drop globally by 1.5%. Sales in the U.S. rose 0.3%, slightly weaker than analysts predicted. CEO Chris Kempczinski emphasized the importance of a strong value proposition, saying, “You need, at the foundation, to have a strong value proposition… You need to then overlay on top of that food news that can excite the customer, and you have to have great marketing behind it.”
Overcoming Setbacks
A recent E. coli outbreak tied to McDonald’s slivered onions led to a decline in traffic in October. To counter this, the company will invest over $100 million to boost restaurant sales and support affected franchisees. This investment includes $65 million for owners who have lost business and $35 million for traffic-driving programs, such as marketing efforts.
By revamping its value strategy, McDonald’s aims to win back customers who have been turned off by high prices and regain its footing in the competitive fast-food market.
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