May 9, 2013

Unbalanced Barbells



Twenty years ago the McDonald's
corporate position on discounting,
couponing, two-fers, etc. was that
these activities devalued the food
and both customers and restaurant
Operators eventually become
addicted to discounts. These days
there can be no doubt that wisdom
of prior generations is true as proven
by:



* McDonald's refocus on the Dollar Menu 

* Wendy's refocus on their value menu.

* The demise of the McDonald's Angus line. This alone proves that QSR customers will not move to higher priced products when there is a loss-leader menu available.
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