McDonald’s Relaunches Discount Menu to Attract Budget-Conscious Consumers

New York, NY – McDonald’s is set to bring back its cost-saving menu category, the “Extra Value Meals,” on Monday in a bid to attract budget-conscious customers. This new initiative comes as the fast-food chain faces declining traffic and perceptions of being too expensive.

The chain previously eliminated the “Extra Value Meals” in 2019, but it is reintroducing them this week with eight new meal deals featuring popular items such as the Big Mac, Chicken McNuggets, Egg McMuffin, and Quarter Pounder. Each meal will come with a beverage and a side.

The new offerings aim to last until the end of the year and are priced differently based on location. McDonald’s has stated that customers can save up to 15% when purchasing these combination deals compared to buying each item separately.

This relaunch follows a challenging period for McDonald’s as inflation and rising costs have changed consumer perceptions. Once viewed as an affordable option, many customers now see McDonald’s as similar in price to sit-down restaurants. An example is Applebee’s, which has thrived in recent years, pulling customers away from fast-food chains.

For over a year, McDonald’s has introduced various deals to attract low-income customers who have been declining in numbers. Last summer, they launched a new product that quickly became popular. In January, the chain also began a “buy one, get one for $1” deal to promote traffic.

However, success has been mixed. Earlier this year, McDonald’s reported two consecutive quarters of profit declines before reversing course, aided by a strong marketing campaign connected to “A Minecraft Movie” and the introduction of new chicken strips.

CEO Chris Kempczinski highlighted that customer perceptions of value are directly linked to pricing on core menu items. He noted that low-income consumer visits dropped in double digits compared to the previous year, although sales from middle-income customers have recently improved.

Kempczinski expressed concern that value-oriented diners often spot combination meals exceeding $10, which negatively influences their perceptions of affordability. The return of the Extra Value Meals aims to counteract this issue.

Among the deals, McDonald’s will feature a Sausage McMuffin with Egg meal, including hash browns and a small coffee, priced at $5. Another offer is an $8 Big Mac meal that comes with medium fries and a medium soft drink for a limited timeframe.

Analysts at Raymond James anticipate that these deals will positively impact the wider restaurant industry due to McDonald’s substantial market presence, potentially prompting competitors to launch similar discount offers.