Cost of fast food...

[ColinC]

Not sure how many here even eat out at fast food restaurants but I’ve recently noticed that the cost of fast food is becoming comparable to the cost of regular sit down restaurants -while those prices are saying the same.

I wonder how this will effect the general demand for fast food over time, and whether people will start opting for sit down restaurants or eating at home, as they find fast food no longer save them much -if any money, or isn’t worth the financial strain.

[hlthe2b]

1. I don't frequent but recently bought McDonalds for coworkers. OMG...

I'll just say I was shocked. I'd ordered a chicken sandwich for someone else a few days before at Wendy's and about wrecked the car when they asked for nearly $8.

Um, yeah. NO WAY. I eat simple and boring-- and foods that don't tend to incite a lot of cravings but once in a while, I wouldn't mind eating out. Lately, it is less and less.

[elleng]

2. Dunno, haven't compared, but saddened to notice nearby KY Fried Chix is gone.

[ColinC]

3. There's been times Ive eaten at fairly nice restaurants and noticed I spent less than fast food

And that’s with tip!

[unblock]

4. McDonald's ceo recently (well maybe a year ago?) said

that it's more profitable to jack up prices and serve fewer people because the business they lose is offset by the higher margins *and* the lower costs (I.e., fewer employees)

I'm traveling at the moment, and near Albany, NY, it was like $7 for a filet-o-fish and $6 for large fries. Pretty crazy. They do have discounts and rewards for using their app but it's still quite a bit more than before they jacked up prices.

Good example of "greedflation"

[ColinC]

5. I wonder how long term that strategy can be.

Especially once people realize that they aren't actually getting more for what they pay like they would traditional restaurants.

[unblock]

13. It works as long as enough people will pay for the convenience

Which I'm willing to do when on the road but less eager to do when at home. My daughter and I have gone to mcd's occasionally so we continue to do that but once she's off to college or wherever, fast food will be a rarity for us

Their stock ramped up a lot until the last year or so, basically flat from a year ago.

It works until it doesn't. Eventually I expect they'll change, or keep prices stable while real restaurant prices catch up. But that might take years.

[brewens]

6. No fast food since 09/2018. I lost a bunch of weight and went full-on homemade whole foods fanatic.

It saves me a fortune. I think I'm under $400 a month for food and everything else I buy at the grocery store and Costco. I'd go through most of that just for fast food lunches if I was still working and that's what I ate.

I couldn't have done any of that while still working. Most couples with kids can't if they are both working full-time. It's all you'd do in your spare time.

[DetroitLegalBeagle]

7. Cost may be similar

I've noticed that as well. But sit down still can't beat the convenience. Unless they have takeout and you can order head, fast food is still the quick and easy way to pick up dinner. For families with both parents working, quick and easy but slightly more expensive might beat out sit down.

[JoseBalow]

8. The good ol' days

[rsdsharp]

12. I remember a McDonalds commercial where the pitch was

A hamburger, fries and a Coke, and change back from a dollar.

I also remember 15 cent hamburgers. But I’m real old.

[RSherman]

9. I got out of line at Wendy's

I don't normally eat fast food, but recently was running errands and was starved. So, I pulled up to the drive thru at Wendy's. I ordered just a single patty burger. No drink. No sides. When the person announced it would be $7 and pull up to Window 1, I got out of line and drove away. Holy cow. I went to the grocery store and bought $7 worth of groceries instead. My local store has panko breaded chicken cutlets that the meat dept. prepares. Usually only about $3. I cook them 2 minutes/side, add spaghetti sauce and cheese and voila, chicken parm!

[rogerballard]

10. Fast food is just not as good as it used to be...

I would not mind a bit if it was more money as long as the quality and taste are there. I pretty much gave up on fast food. A few weeks ago, I had a hankering for a BK burger, went to BK and got home, took one bite, spit that bite out and threw the rest of the burger away. I know better.

[Maninacan]

11. Mc D fish sandwich

The fish is over 5$ . Just took a trip and had a tuna sandwich from can for 1$ with bread and Mayo.
Nice having a solar setup with fridge.

[MichMan]

14. You can't compare menu prices at sit down restuarants with fast food

Without taking the 20% tip into account.

[ColinC]

15. Well that's the thing

I totally am, and even in some of those cases I have spent LESS at sit down restaurants for far more food and service than at fast food.

[Yavin4]

16. It's the food delivery services like Uber Eats and Grubhub

Fast food restaurants have data showing them that people are willing to pay higher prices for food deliveries. So, these restaurants are following suit by raising prices in their stores. Whatever in store sales they lose, they more than make up for it with home deliveries.

[ColinC]

17. Interesting!

That makes a lot of sense. Thanks!