Former McDonald’s Chef Calls Out The Chain’s ‘Absurd’ Pricing After $16 Meal Goes Viral On TikTok
February 22, 2024 by Faith Geiger
Former McDonald’s chef Mike Haracz has taken to TikTok to shed light on what he describes as the fast-food giant’s abandonment of its value-conscious consumers. Haracz frequently posts McDonald’s tips, hacks, and news—and now he’s calling the company out for their high prices.
In a recent TikTok video, Haracz revealed insights from a McDonald’s earnings call, where the company acknowledged losing lower-income customers to grocery stores due to what Haracz labels as “absurd” pricing, adding to the fast food “shrinkflation” issue. Find all the details below.
The days of McDonald’s being a viable option for an affordable meal may be behind us. “McDonald’s is abandoning the value consumer,” Haracz stated in his TikTok. He noted that McDonald’s executives admitted to losing value customers—specifically those earning $45,000 a year or less—to grocery stores, conceding that individuals can replicate McDonald’s menu items at home for a fraction of the cost. (However, it’s worth noting that fast food inflation isn’t the only problem consumers are facing; grocery prices have been rising, too.)
The former chef pointed out that despite a decline in foot traffic, McDonald’s reported profitability, attributing it to continued price hikes. Haracz asserted that while middle and higher-class consumers still frequent McDonald’s, lower-income individuals are increasingly priced out of the fast-food chain’s offerings. He predicted that if McDonald’s were to cater to lower-income customers in the future, they might resort to reducing portion sizes while maintaining high prices, further exacerbating the affordability issue.
“So lower income folk, McDonald’s is not the place you want to go for affordable food options anymore,” Haracz said. “They said maybe in the future they’ll try to target lower income folks. The issue is going to be they’ll probably make portion sizes that are ridiculous. You’re still going to be paying a lot of money for what you get.”