McDonald's is Big Mad over Big Mac Price Increase Reports

AP Photo/Gene J. Puskar, File

Pay no attention to the stories you are reading about the higher cost of fast food these days. 

Some people even say that buying fast food in Biden's America is a luxury

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Joe Erlinger, president of McDonald’s USA, wrote a letter addressing the stories of a Big Mac meal that costs $18. Erlinger is mad as hell and he isn't going to take it anymore. It's myths and misconceptions, you know. 

He noted that McDonald's feeds nearly 90% of the U.S. population every year. Erlinger said he feels a responsibility to get the "real facts" out. 

For the record, McDonald's stock is on the rise. Kinda.

McDonald’s stock rose 0.6% in midday trading Thursday, after closing the previous session at a seven-month low. It has dropped 8.1% so far in May, to put it on track to suffer a five-month losing streak. That would be the longest such streak since the six-month stretch that ended October 2016.

Erlinger addressed the letter to "U.S. fans." The message is that prices have not risen significantly beyond inflationary rates. That $18 Big Mac meal is a bug, not a feature. It was at one location out of more than 13,700 in the United States. 

The average price of a Big Mac in the U.S. was $4.39 in 2019. Despite a global pandemic and historic rises in supply chain costs, wages and other inflationary pressures in the years that followed, the average cost is now $5.29. That’s an increase of 21% (not 100%).

Inflationary pressures have affected all sectors of the economy, including ours. Our franchisees (who own and operate more than 95% of all restaurants in the U.S.) set menu prices for their restaurants, which account for the increased costs of running their businesses. In doing so, they work hard to minimize the impact of price increases on our fans. This includes the everyday prices on our restaurant menu boards to special limited-time offers.

That’s why prices for many of our menu items have risen less than the rate of inflation – and remain well within the range of other quick service restaurants. It’s also why more than 90% of U.S. franchisees are offering meal bundles for $4 or less.

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Here are some "myths" and the response from McDonald's. 

  • Myth: McDonald’s price increases are a result of greed and price gouging. McDonald’s response: “False.” Average price increases are within the range of other fast-food restaurants over the past five years. And restaurant margins are roughly the same now as they were in 2019, “which is the opposite of so-called ‘gouging.’”
  • Myth: The average menu prices at McDonald’s have more than tripled the national inflation rate. McDonald’s ‘Fact’: “This is just simply not true.” The company said the rate of increase in average menu prices, between 2019 and 2024, was lower than the rate of inflation. The average price of an Egg McMuffin has increased to $4.29 from $3.49 in 2019, which is a penny more than what the CPI Inflation Calculator would suggest, while the average price of a quarter-pounder with cheese has increased to $5.39 from $4.49 but the CPI calculator suggests it should be $5.51.
  • Myth: A Big Mac Meal costs 104% more than it did in 2019. McDonald’s response: The average price of a Big Mac Meal now is $9.29, up 27% from the average price of $7.29 in 2019.
  • Myth: The price of medium fries have jumped 138% since 2019. McDonald’s response: False. The average price of medium fries is now $3.29, or 44% more than the $2.29 it cost in 2019.

Erlinger wants us to settle down. Easy for him to say. His annual salary is listed as just under $5M. 

It's normal that consumers feel the pinch when they go for fast food. Everything costs more in Biden's America. Americans are fatigued and frustrated. While the incompetent Biden administration delivers happy talk that the economy is doing great, despite what consumers think, everyone knows what they are paying for purchases. It's more than it was last year and definitely more than it was during the previous administration. Biden and his minions think you are stupid. 

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McDonald's fries are the best, as are their diet Cokes. Both cost more, the same as the burgers and McNuggets. All you have to do is take a spin through the drive-thru and that fact is confirmed. Some places may have higher price increases than others - especially places like California where minimum wages are high - but everyone is finding fast food more expensive. 



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Jazz Shaw 9:20 PM | June 25, 2024
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