McDonald's is bringing back cheap fast food with its McValue menu
Erin McDowell/Insider
- McDonald's is launching a new value menu to attract budget-conscious customers in the US.
- The chain has raised prices in recent years in response to inflation, putting off some customers.
- It's now refocusing on value.
McDonald's is preparing to launch its new value menu in the US to win back cash-strapped shoppers.
The chain has touted this new menu in recent earnings calls, saying it plans to roll it out in Q1 next year.
Per Bloomberg, the new platform will be dubbed McValue and includes its $5 meal deal launched in June — a bundle including a McDouble or McChicken sandwich, four Chicken McNuggets, a small order of fries, and a small soft drink.
It will also include a new offer where customers can buy one item and get another for $1, sources familiar with the matter told Bloomberg.
McDonald's did not immediately respond to BI's request for comment.
The fast-food chain has struggled in recent months as it raised prices in response to inflation, which put off some customers and hurt sales.
Global same-store sales were down 1.5% in its third quarter, following a 1% slide in the previous quarter.
Same-store sales in the US were virtually flat, up 0.3% from the same period in 2023, while sales in international markets dropped 2.1%.
The company has been sounding the alarm on the struggles of lower-income consumers for some time and said that value will be key to winning these diners back.
It has also had to recover from backlash from an E. coli outbreak linked to slivered onions served on its Quarter Pounders hamburgers. According to the US Centers for Disease Control and Prevention, over 100 people across 14 states were infected; 34 were hospitalized, and one died.
It is unclear how the outbreak might affect fourth-quarter sales. But McDonald's is investing $100 million to regain trust, per a memo sent to employees seen by CNN.
$35 million of the investment is going toward marketing, including a value deal centering on the chain's chicken nuggets, and $65 million will be spent on the franchisees that were worst affected by the outbreak, it said.