Whatever happened to cheap fast food items?

[jaybirdsmommy]

Labor costs (across the supply chain) have gone up. People argue for paying a sustainable wage (and I totally agree) but people don't seem to realize that prices will go up. If we used to pay someone $8/ hour to make 100 widgets, that's 12.5¢ per widget labor. If we now pay them $16/hour to make 100 widgets, that's 25¢ per widget labor. That more expensive widget goes to the next step in the supply chain as a more expensive input and labor at that step is also higher. And so on.
And then we scream "INFLATION" as if it is a surprise. Come on folks, take an Econ 101 class!

In NY state at least, the minimum wage for fast food is up to $15/ hour. In some areas/ states, it’s $16-20 an hour. When companies had problems getting workers during the pandemic, they offered even more than that minimum wage. When you’re paying employees more than double what they earned less than 10 years ago, of course you need to increase prices.

In my area, the cost to eat at McDonalds for my family of 4 has almost doubled since COVID. All of our local McDonald's have "now hiring" signs in front advertising a whopping $10/hr. I'm pretty sure they were paying $11-12 pre-COVID. I don't think the increase in cost can be completely tied to higher wages.

 

[soccerdad72]

I do sub drink for a frosty.

Same here - when we go to Wendy's, the Biggie Bag with a frosty tends to be our go to as well.

 

[Lumpy1106]

I remember the Dollar Menu at McDonald's. My summers used to be spent eating off the 99 cent menu at Wendy's. I might get two of the small chili for that price.

However, what I'm thinking of is taking advantage of some of the mobile app coupons. Burger King still has the weekly free fries (up to large) with any purchase. And a purchase can be as little as a penny, although I typically order a small soft serve cone which is 92 cents at my closest location. I do see a lot of vastly different pricing though. Mozzerella sticks are now about $4 for 4 pieces when I remember that used to be maybe $1.39. But other locations it's still less than $2.

I'm looking to maybe have some special that requires a $1 minimum spend. McDonald's does that every Friday for free medium fries around here, but I can't really find anything for that $1. Not beverages any more and certainly no actual dollar menu now. What I'm seeing at Burger King (where I have one breakfast item coupon now that requires a $1 spend) I don't see much less than $2 now. Maybe 2 cookies for $1 but I'm not sure they'll sell that at breakfast time. If I want to hit exactly $1 I think they technically can sell sauce tubs for 25 cents each, although they're typically just free for the asking.

In CA, it went the way of the push to have minimum wage be a "living wage", then indexing that to inflation. That's the death-spiral of inflation - minimum wage was never meant to support a family. It was meant for HS kids and college-age adults who still have the support from their parents. Wages are such a huge percentage of the cost of fast food that of course the price is going to go up (and the people making minimum wage will still not be able to support a family, and then get will get a bump in MW, and prices go up again, infinity). The whole notion that the people that own the fast food places are just going to take in less profits is ludicrous. If the business is not profitable it closes - pretty simple really.

 

[Lumpy1106]

In my area, the cost to eat at McDonalds for my family of 4 has almost doubled since COVID. All of our local McDonald's have "now hiring" signs in front advertising a whopping $10/hr. I'm pretty sure they were paying $11-12 pre-COVID. I don't think the increase in cost can be completely tied to higher wages.

In CA it will be $20/hr starting in April. Yes, that has an effect on prices. How could it not?

 

[MICKIMINI]

Sigh! I miss Market Basket! I don't remember if ours had a Market Kitchen--I did my shopping there on Thursday mornings. But, they had reasonable prices, good specials, and friendly employees.

Signed, a former New Hampshire resident.

I don't know when you left NH, but Market Kitchen's first location I can remember was in Epping around 2010 or so. Tilton has a smaller version (no burgers) and Rochester has the biggest I've been to with a fresh sushi counter (they make it right there). North Conway just got one a month or so ago but I haven't been there yet. Grocery prices overall have gone up since covid so I shop at Hannaford mostly as it is quiet (well, until the summer home crowd arrives on the lake).

I'll be at MB this week for the $2.99 roast beef (into the freezer!) so will pick up cheeseburgers...yum!

 

[bcla]

In CA, it went the way of the push to have minimum wage be a "living wage", then indexing that to inflation. That's the death-spiral of inflation - minimum wage was never meant to support a family. It was meant for HS kids and college-age adults who still have the support from their parents. Wages are such a huge percentage of the cost of fast food that of course the price is going to go up (and the people making minimum wage will still not be able to support a family, and then get will get a bump in MW, and prices go up again, infinity). The whole notion that the people that own the fast food places are just going to take in less profits is ludicrous. If the business is not profitable it closes - pretty simple really.

There are still some pretty good deals if one is willing to use a coupon of some sort. But it's the people who don't know or don't care where they make their money. I've seen a family of 4 there with kids getting kids meals at BK and I hear the total is maybe $45.

The casual dining places where one can get a complete, sit-down take your order meal for less than $15 (including tip) are frankly a better deal these days). And they usually have orders to go.

I do remember going to my favorite happy hour place (Yard House) once and saw someone asking if he could get a discounted item to go and was told no they can't do that for happy hour. The server said that it had to come out at the table on a regular plate and then the customer could place it in a box. This might have even been for pizza, which is 50% off during happy hour.

 

[focusondisney]

I don't think the increase in cost can be completely tied to higher wages.

No, of course not completely because of wages. But when you’re paying your employees twice what you were paying them 8 years ago, it will have an impact. On top of that, supply costs are also up considerably the last 4 years. Regular everyday consumers complain about shrinkflation..the amount of product in a package decreasing while the price goes up. Those same issues hit businesses too. Cooking oil is up in the grocery store, well it’s up for fast food chains too. Paper products are up up in the grocery store, they’re up for fast food chains too. Again, all those increases in their cost of doing business add up. So of course, they’re passing them on to the customers. I’m still not sure why people think fast food places should have the same prices they did in 2018 when everything else they buy has gone up.

 

[QueenIsabella]

I don't know when you left NH, but Market Kitchen's first location I can remember was in Epping around 2010 or so. Tilton has a smaller version (no burgers) and Rochester has the biggest I've been to with a fresh sushi counter (they make it right there). North Conway just got one a month or so ago but I haven't been there yet. Grocery prices overall have gone up since covid so I shop at Hannaford mostly as it is quiet (well, until the summer home crowd arrives on the lake).

I'll be at MB this week for the $2.99 roast beef (into the freezer!) so will pick up cheeseburgers...yum!

We moved out in 2015. Also, we were in Keene, so probably one of the later ones to get the Market Kitchen. That's probably why I don't remember it. And I would have been all over $2.99 roast beef!

P.S. Here in North Carolina, we have Food Lion, which has the same parent company as Hannaford. It was quite an adjustment, moving 800 miles, but both stores have the same generics (food essentials). It was nice to have something familiar! We still shop at Food Lion regularly.

 

[RangerPooh]

We don’t eat at McD often, but I use the app to buy when possible for the deals. I scored an egg McMuffin last week for $1.50

I will do drinks at Sonic through the app because they’re 1/2 price. Tuesdays they run a burger deal. A recent deal in the app advertised 5burgers for $10, great. Unfortunately mine was not participating in the promotion. Grrr.

 

[sam_gordon]

minimum wage was never meant to support a family. It was meant for HS kids and college-age adults who still have the support from their parents

I keep hearing that, but is it true?

The purpose of the minimum wage was to stabilize the post-depression economy and protect the workers in the labor force. The minimum wage was designed to create a minimum standard of living to protect the health and well-being of employees.

https://www.law.cornell.edu/wex/min...se of the minimum,and well-being of employees.

 

[Yoshi]

I find Wendy's has the best deals if you use the app and place multiple orders. Today in the app I see a free 6 piece nugget with any purchase and a free any size soft drink with any purchase. I could buy a junior size fries for $1.19 and get the nuggets for free and buy a junior hamburger for $1.59 to get the drink for free so for $2.78 plus tax I could get all that food.

Wendy's also allows you to stack rewards and offers. A few weeks ago I redeemed a free small order of fries for 200 points and that counted as a purchase and I used the free 6 piece nugget with purchase offer to get both for free.

 

[Cannot_Wait_4Disney]

I keep hearing that, but is it true?

https://www.law.cornell.edu/wex/minimum_wage#:~:text=The purpose of the minimum,and well-being of employees.

I think your article answers your own question. Nope. Not true. And to add, Furthermore, minimum wage increases didn't cause the disappearance of the dollar menu. The fact that most things on the dollar menu were vastly inferior in either portion or quality than what people wanted caused the disappearance of the dollar menu. After all, if it were just minimum wage why wouldn't it become a dollar fifty menu or a 2 dollar menu or whatever price menu they had to make it. Other things they serve survived. But the dollar menus didn't. Because people didn't want them. And it's not like the fast food place had to raise wages for someone making the dollar menu but not someone making the rest of the stuff on the menu.

 

[Moliphino]

I think your article answers your own question. Nope. Not true. And to add, Furthermore, minimum wage increases didn't cause the disappearance of the dollar menu. The fact that most things on the dollar menu were vastly inferior in either portion or quality than what people wanted caused the disappearance of the dollar menu. After all, if it were just minimum wage why wouldn't it become a dollar fifty menu or a 2 dollar menu or whatever price menu they had to make it. Other things they serve survived. But the dollar menus didn't. Because people didn't want them. And it's not like the fast food place had to raise wages for someone making the dollar menu but not someone making the rest of the stuff on the menu.

The dollar menu items still exist, they just don't cost a dollar (mcdoubles, mcchickens, small fries, etc.).

 

[Cannot_Wait_4Disney]

The dollar menu items still exist, they just don't cost a dollar (mcdoubles, mcchickens, small fries, etc.).

McDonald's is one of the few where the dollar menu items largely survive intact. But they already had those items before there was a dollar menu and some of them weren't even a dollar before they went on the dollar menu. They were less. The McDouble was over $1 in 2008, long before any of these latest wage increases. And it's easier for crap to survive there because the whole menu is crap. Last time I went there, they called it the 1,2,3. But nothing was even remotely close to $X.oo They all just had normal menu prices. X.59 X.79 etc. Still relatively cheap compared to the average price of a burger though. I guess Wendys still has the 4 for 5 biggie bag. But by and large the extensive dollar menus at most places are gonzoed or very much trimmed down. And many of the more hip and trendy places don't have, and never had a dollar menu. Like the meat and three, and like the buffet, it's on its way out. Oh there are still some hangers on. But the trend is away from them.

 

[bcla]

McDonald's is one of the few where the dollar menu items largely survive intact. But they already had those items before there was a dollar menu and some of them weren't even a dollar before they went on the dollar menu. They were less. The McDouble was over $1 in 2008, long before any of these latest wage increases. And it's easier for crap to survive there because the whole menu is crap. Last time I went there, they called it the 1,2,3. But nothing was even remotely close to $X.oo They all just had normal menu prices. X.59 X.79 etc. Still relatively cheap compared to the average price of a burger though. I guess Wendys still has the 4 for 5 biggie bag. But by and large the extensive dollar menus at most places are gonzoed or very much trimmed down. And many of the more hip and trendy places don't have, and never had a dollar menu. Like the meat and three, and like the buffet, it's on its way out. Oh there are still some hangers on. But the trend is away from them.

Sure. Wendy's may have the best values right now.

However, I remember as far back as maybe 2019 there were still actual $1 items at McDonald's. And for the longest time there was a long list including a McDouble, soft serve cone, McChicken, etc. And once I remember Happy Meals were $3 at most locations.

Still - pricing depends on the franchisee. I found myself in NYC in 2013 trying to find something at Times Square before heading to the airport, and the typical dollar items I'd see at home were maybe $1.79. There was some controversy over the Haight-Ashbury McDonald's in San Francisco where a lot of homeless hung out, but they raised the prices. But still just something like $1.39.

Still - the $1 McChicken from 2018 is now maybe $2.99 to $3.49 depending on the location.

 

[disneychrista]

And once I remember Happy Meals were $3 at most locations.

I remember when “value meals” first came out they were priced at $2.99. Of course this was in 1990 or there abouts.

 

[DodgerGirl]

Another fast food restaurant that has gotten expensive to eat at is Weinerschitzel and they used to be the cheapest fast food place to get hot dogs but when you look at the Weinerschitzel menu the prices for hot dogs and corn dogs have gone up and the only chance you can eat there is if you have Weinerschitzel coupons for their specials. Like you can get a good deal on their chili dogs and if you're lucky they will have bundles of fries chili or hot dogs or corn dogs with fries and I can't figure out how they do it? Carl's Jr also does the same thing and when you are looking for a good deal on a burger they often send coupons about different specials and my family used to get good deals at Carl's Jr. on their breakfasts when we would go Black Friday shopping and it was great to get breakfast for real cheap there. But I think the future of fast food restaurants will change and they will open restaurants in grocery stores similar to what airports have and what McDonald's and Subway have done with Walmart and drive-thru restaurants will be a thing of the past for fast food restaurants

 

[Minnesota!]

Once again, prices go up BECAUSE PEOPLE WILL PAY. If sales dropped off, the prices will go down. Its really that simple.

Increasing supply and workforce costs simply determine how much you need to sell an item for to make a profit. If you don't at least cover your costs, you drop the item, or use it as a "loss leader" to get customers to buy other, more expensive items.

THIS! STOP GIVING THEM YOUR BUSINESS....prices will come down. I just remarked yesterday, TWICE, on the incredibly long lines at 2 McDonald's we drove by. Longer than I have seen in a LONG time. For "everyone is struggling", there are sure a lot of people shelling out $15+/person for subpar food. You can feed a family for a few days on what it costs for one "family meal" at a fast food joint.

 

[greeneyedchick]

THIS! STOP GIVING THEM YOUR BUSINESS....prices will come down. I just remarked yesterday, TWICE, on the incredibly long lines at 2 McDonald's we drove by. Longer than I have seen in a LONG time. For "everyone is struggling", there are sure a lot of people shelling out $15+/person for subpar food. You can feed a family for a few days on what it costs for one "family meal" at a fast food joint.

True. But as far as the long lines at the McDOnald's drive-thru, a 20 minute wait has become the norm around here. I'm not sure how they even call it "fast-food" any more. I refuse to get into the drive-thru line because I have gotten stuck in ridiculous waits before and couldn't get out of the line.

McDonald's has some deals on the app but I hate using it. It takes me at least twice as long to order on the app as it did when you could walk up to the counter and tell someone what you wanted. First, it insists on finding McD's wi-fi, then you have to figure out which deal is the best. Sometimes you scan your code at the kiosk and then it gets lost, or I can't find the restaurant code. It's a flak app. It will only let you use one deal every 15 minutes. To get the best price, I then have to login under my kids mcd's logins to place remaining orders with a deal. It's so tedious and again, not fast.

A Culver's finally opened near us. It's always cost a bot more than McD's but with all of the price increases at Mickey's, it's not much more at all. The Culver's was packed! The service was fast and courteous. They had lots of employees hustling to get the orders out. The food was much tastier than McD's.

And I agree overall with everyone else. I avoid fast food now and even some of the higher-end fast foods and all of the big dinner chains. The prices are ridiculous and even places like Olive Garden and Chilis are serving frozen, re-heated food. I can buy microwave meals or pre-pared meals at the grocery store for less that taste better and maybe are healthier/ fresher. Unless I'm going to a fancy mom and pop place for an occasion, eating out has lost it's appeal. Even the McD shakes aren't made the way they used to be. My beloved shamrock shake is now a sickenly sweet green syrup instead of the powdered light green, less-sweet, more mint version of the 90s. It's not worth it.

 

[barkley]

But I think the future of fast food restaurants will change and they will open restaurants in grocery stores similar to what airports have and what McDonald's and Subway have done with Walmart and drive-thru restaurants will be a thing of the past for fast food restaurants

it's odd-we are seeing the opposite here. we have 6 walmarts in our region. a few had subways located in them and a few had mcdonalds. over the past 2 or 3 years all of the stores have undergone renovations and i think only 2 have have these food places anymore. the space they inhabited was redesigned as either more walmart retail space OR-we have one with a nail salon and aother with a miniturized version of 'claires' (or as we call it 'little girl land' ). we are seeing MORE new stand alone fast food and diner type places being built inside the walmart parking lots (i think the walmarts that are located in places that now have city wide bans on overnight parking have figured out that they can create new revenue streams from their previously designated rv overnight parking areas in their lots).