Sunday, November 25, 2007
One Dollar Menu, Anyone?
When I ate at Wendy's a couple of days ago, I realized that the price of each item on its Super Value Menu is not exactly $1.00, it is rather $1.19. But fortunately I had a few coins in my pocket to afford a double bacon cheeseburger. Anyways, I found interesting figures from a market research cited by Russ Klein, Burger King's global marketing, strategy, and innovation president. Burger King's Value Menu accounts for about 12% of total revenues, McDonald's Dollar Menu contributes 23%, and Wendy's Super Value Menu brings 25% to total revenues. It seems that these low-margin menus turn out to be very important driver of customer traffic and sales for these major fast-food chains.
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