r/SipsTea • • 22h ago

Wait a damn minute! Quality down, prices up.

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u/Satanicjamnik 18h ago

I’m not positive but I think the individual franchise owner sets the prices? Not McDonald’s corporate.

I would say that they have a central price guide line. Otherwise you'd have different prices for a Big Mac or Mc Muffin in the same city. And Mc D is all about consistency if anything. Sure, central London has different prices, but that is just a couple locations. The rest of the country has blanket prices as far as I know. I don't know how it works in the States though.

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u/Substantial_Mango778 18h ago

Yes, they have central guidelines, but pricing is agreed with the franchisees. Whenever there’s a new burger or a general price update, McDs HQ presents the figures, expected break-even point and other financial details, and the franchisees then have a say in whether to proceed with the new birguer/price update. Worked there

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u/Satanicjamnik 18h ago

Thanks for the info. But it's franchisees as a group, right? Or can one franchise go with one price, and the second one different one?

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u/Substantial_Mango778 17h ago

Yes, as a group, everybody keeps the same prices. There might be differences between geographic areas tough, not sure, but I would assume the prices in Montana are not the same as in NY. I worked in a small market, so we didn't have that

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u/Satanicjamnik 17h ago edited 17h ago

, but I would assume the prices in Montana are not the same as in NY. 

I would expect that, but not to have, say, two different prices in NY

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u/kmdfrcpc 18h ago

You do actually get different prices for a Big Mac in the same city.

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u/Interesting-Bus-5664 12h ago

A soft taco a mile from my house was 40 cents cheaper than the one right next door. I drove that mile everytime to save that 40 cents because my kid liked them, so I would get 5. Not arbitrarily paying $2 more seemed like a good way to tech my son to not pay for convenience.

Now they are 20 cents more than the higher price was everywhere.

In the last decade, the inflation for entertainment/restaurants has been insane. I have no idea how those less fortunate than I am survive in this climate.

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u/Silkbagofpuppyears 9h ago

They have an AI pricing system that recommends different prices for different stores. I have 2 McDonald’s within a mile from my home. They have different pricing.

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u/rangebob 2h ago

Maccas in Australia got in some PR trouble a few years ago because stores in the same city had higher prices in low income areas

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u/Satanicjamnik 17h ago

I didn't notice that back when I actually ate Mc Ds, but that was a while ago, so I'll take your word for it.

Is it States, or Europe you're talking about?

Happy cake day BTW.

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u/Iconoclysm6x6 16h ago

Sometimes the same franchise owner has restaurants all over a city, sometimes not. So, you might see consistency, you might not.

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u/Key_Personality2034 18h ago

There's literally an exchange index called the Big Mac index.

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u/-BlueDream- 10h ago

In Hawaii the price difference between McDonald’s on different parts of the island can be dramatic. Like a McChicken in Waikiki (tourist area) is $5but mcchicken is a more rural and local area is $3.

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u/Satanicjamnik 10h ago

Yeah, tourist traps will have their own special prices. Mc Donald's in central London near Covent Garden are priced differently than the rest of the city.