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McDonald's $5 meal deal causes outrage among restaurant owners - as they write a damning letter to HQ (Brandonomics strikes again)
Daily Mail ^ | 5/21/24 | Daniel Jones

Posted on 05/21/2024 6:53:00 PM PDT by Libloather

An independent group of McDonald's franchise owners have spoken out about the the chain's $5 meal bundle planned for this summer.

The US's biggest fast food chain is trying to lure back customers fed up with its price hikes.

Customers will get a total of four items - either a McDouble or McChicken sandwich, small fries, small soft drink and four McNuggets - for $5.

'The fact remains that in order to provide the consumer with more affordable options, they must be affordable for the owner/operators.

'McDonald's vast resources and financial investment are essential to any sustainable affordable strategy,' the board of the National Owners Association wrote in a letter to membership.

The letter says that McDonald's restaurants have small profit margins - of '10 to 15 per cent' - which makes it hard for them to run offers like the $5 meal bundle without help from head office.

'There simply is not enough profit to discount 30% for this model to be sustainable. It necessitates a financial contribution by McDonald's,' the letter says, according to CNBC.

DailyMail.com reported last week that not every restaurant will offer the deal - with those that have higher labor and rent costs opting out.

We also told how the deal will only last for a month from June 25 - rather than all summer.

Despite McDonald's making $14.5 billion profit last year, the deal is being subsidized by its drinks supplier Coca Cola and its franchisees, who run nine in ten restaurants.

(Excerpt) Read more at dailymail.co.uk ...


TOPICS: Business/Economy; Front Page News; Government; Politics/Elections
KEYWORDS: deal; inflation; letter; mcdonalds; meal
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To: irishjuggler

I live in So Cal…. Will have to look up locations that are still open.


61 posted on 05/21/2024 11:44:33 PM PDT by antceecee ( )
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To: TexasGator

I remember my first trip
to Mickey-D’s. 1959 in
Shelbyville, In.
Burgers were 10 for a buck.
(but you had to buy 10 for
that price)
Fries stayed the same at a
nickle.
Back when real barley malt
was used in a milkshake.


62 posted on 05/21/2024 11:53:37 PM PDT by Lean-Right (Eat More Moose)
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To: HamiltonJay

I will definitely buy this deal - however you can increase your food with very little effort (your current deal)


63 posted on 05/22/2024 2:17:22 AM PDT by SaveFerris (Luke 17:28 ... as it was in the Days of Lot; They did Eat, They Drank, They Bought, They Sold ......)
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To: Brian Griffin

My best friend and I would get a single from Wendy’s, medium French fries and a drink for $3.50 in college. This was 1984.

I remember tacos being $.89 at Taco Bell - I know there is inflation but paying almost $20 for a McDonald’s meal is insane.


64 posted on 05/22/2024 2:32:32 AM PDT by Cowgirl of Justice
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To: Brian Griffin

You can get two double cheeseburgers at my McDonalds for $2.89, but the chopped up tendons sticking in between your teeth let’s you know how they do it.


65 posted on 05/22/2024 4:01:12 AM PDT by jacknhoo (Luke 12:51; Think ye, that I am come to give peace on earth? I tell you, no; but separation.)
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To: dfwgator

McDonald’s is a real estate company that sells burgers.
*********
Bingo, they choose to build where the real estate is going up and put a burger joint on it.


66 posted on 05/22/2024 4:07:30 AM PDT by yldstrk ( )
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To: outofsalt

The drinks have never been worth it. When we would go to Micky D’s, we bought water elsewhere. We paid only for the food.


67 posted on 05/22/2024 4:08:42 AM PDT by yldstrk ( )
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To: TexasGator

$6 now in Phoenix


68 posted on 05/22/2024 4:13:47 AM PDT by mykroar ("It's Not the Nature of the Evidence; It's the Seriousness of the Charge." - El Rushbo)
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To: Brian Griffin

Heck, my first brand new car cost me around 43400.

Of course, I was earning $2.25 an hour then.


69 posted on 05/22/2024 4:22:51 AM PDT by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
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To: Brian Griffin

Last month I paid $3200 for a lawn mower.


70 posted on 05/22/2024 4:23:40 AM PDT by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
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To: Libloather; All

I did and regret it. If you’ve ever gone thru one of those carwashes with the delux foams that smell like air freshener as the smell comes thru the air vents or if you get your car cabin air freshener changed and they foam deodorize the air vents then you’ll know what the taste and aroma of a Coke Spiced. It’s some what like the smell and aroma of Cavendish pipe tobacco, pre smoke and the smoke aroma.

Don’t try it...disgusting. I was expecting more like a clove/cinnamon type flavor which might not have been bad at all.


71 posted on 05/22/2024 4:29:58 AM PDT by mdmathis6 (A horrible historic indictment: Biden Democrats plunging the world into war to hide their crimes!)
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To: Newbomb Turk

https://youtu.be/0d8FTPv955I


72 posted on 05/22/2024 4:53:20 AM PDT by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
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To: Mears

And we FORGET what we were getting paid!


73 posted on 05/22/2024 4:53:59 AM PDT by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
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To: faithhopecharity

Too bad they don’t come as far east as Indiana.


74 posted on 05/22/2024 4:55:04 AM PDT by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
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To: Libloather

They make the story about McDonalds but it’s really a statement on how hard inflation is hitting the People - and now we can expect tax increases to try to finish us off.....


75 posted on 05/22/2024 4:55:13 AM PDT by trebb (So many fools - so little time...)
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To: HIDEK6

There ya go.


76 posted on 05/22/2024 4:55:35 AM PDT by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
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To: Elsie
...cost me around 43400.

WHAT??

Try $3400

77 posted on 05/22/2024 4:58:15 AM PDT by Elsie (Heck is where people, who don't believe in Gosh, think they are not going...)
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To: faithhopecharity

McD abandoned families/children long ago

Look at their marketing these days

Nearly all urban and black focused.


78 posted on 05/22/2024 5:04:40 AM PDT by HamiltonJay
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To: Libloather

“Coca Cola and its franchisees, who run nine in ten restaurants”

Regardless of who owns the corporation McDonalds (it is a publicly traded company), the Coca Cola corporation really runs McDonalds. They get profit from the Coke products sold at McDonalds, which means offering a $5 product line is a loss-leader to them and they make the profits on the drinks. The other 10% of franchisees do not receive any profits from the drinks sold so they cannot afford to offer a loss-leader like the $5 menu.


79 posted on 05/22/2024 5:16:35 AM PDT by CodeToad (Rule #1: The elites want you dead.)
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To: Libloather

Market forces to lower prices CANNOT WORK if government price fixing of labor is in play.


80 posted on 05/22/2024 5:26:03 AM PDT by fwdude ( )
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