McDonald’s comeback strategy: McValue has arrived

What does McValue offer?

The centerpiece of the McValue menu is the popular $5 meal plan, which has been a hit in the past. It will be joined by a new feature, the “Buy One, Add One for $1” option, which is available specifically for breakfast customers. The new menu will also include exclusive offers via a mobile app and local food and beverage deals curated by franchise partners.

Why the change was necessary?

McDonald’s has faced various challenges in recent years due to price increases and changing consumer tastes. Average menu item prices have risen by 40% since 2019, potentially scaring off cost-conscious customers. The company said the price hike was necessary to cover rising costs. The new menu concept is a comprehensive strategic move that represents the company’s largest value-oriented effort in five years.

Previous Experience

McDonald’s tried similar menus in 2018, priced at $1-$3, but they fell short of expectations. In contrast, the $5 meal plan introduced last summer proved successful. Research shows that consumers are not necessarily looking for the cheapest options, but rather for the best value for their money.

Budgetary Support and Marketing

The introduction of the new value menus is being supported by significant marketing spending: McDonald’s is spending $100 million on this, as well as on supporting franchise partners. The move was necessary because an E. coli outbreak recently had also pushed back sales, affecting the performance of the entire franchise.