So what is driving the check lower?
First, the average check at breakfast is lower than the rest of the day. Second, the focus on beverages is putting downward pressure on the check as not every purchase is with a full meal. Third, the push to advertise the dollar menu at the expense of full priced items is putting pressure on the check.
Senior management at MCD believes this is “healthy.” Healthy for whom? To help stabilize margins MCD is dependent on raising menu prices. So the trend is for customers to buy lower priced items and at the same time the company is raising prices.
- Something has to give!