McDonald’s is going to keep its $5 value meal deal going for longer in most of its U.S. locations because it’s bringing more customers back.
According to a memo from Monday, nearly all of McDonald’s restaurants 93% decided to keep the deal past the end of this month. Most of these locations will extend the offer through August or are planning to decide if they will.
The $5 value meal started on June 25 and was originally planned to last about a month. It includes a McChicken or McDouble, four chicken nuggets, fries, and a drink. This combo is much cheaper than buying each item separately.
McDonald’s $5 Meal Deal is Working Well
“Our message is connecting with millions of customers,” wrote Myra Doria, national field president, and Tariq Hassan, U.S. chief marketing and customer experience officer, in the memo. “When customers choose the $5 Meal Deal, they’re not going to other fast-food places. Early results show this deal is successfully bringing people back to our restaurants.”
Bloomberg had previously reported the decision to extend the deal.
The decision comes as restaurants try to attract more customers with deals because people, especially those with lower incomes, are hesitant to spend more due to rising prices. The $5 meal deal faces competition from other chains like Burger King, Wendy’s, Taco Bell, and even Starbucks, which are offering deals between $3 and $5 to attract budget-conscious customers in a tough market.
The memo continued: “Increasing the number of customers is crucial for our business and essential for long-term growth.”
According to a report in May, Coca-Cola added marketing funds to make the initial value deal more attractive to franchisees. Some franchisee supporters have asked the company to continue contributing to make the discount offer sustainable for operators in the future.
The company will report its earnings on July 29.
Conclusion
McDonald’s will keep its $5 Meal Deal going at most U.S. locations because it’s bringing in more customers. The deal, which started on June 25, will now last until August at many places. This extension helps McDonald’s compete and is backed by extra marketing funds from Coca-Cola.
