McDonald's is losing its low-income customers

(latimes.com)

41 points | by PaulHoule 3 hours ago

20 comments

  • dole 36 minutes ago
    You eat at McD's or most fast food places these days, you need the app to get reasonable prices, usually at a 15-20% discount. The app really does enhance the experience, order exactly what you want without human error, roll up to the drive-thru, give them the code, and they begin making the order at that point.

    They've been pushing $5 value meals recently because the dollar menu's just not fiscally feasible anymore and $10-12+ for the normal value meals isn't a value to most people.

  • daft_pink 26 minutes ago
    Every time I go to Mcdonald’s, I just think wow, I should have gone to Chipotle. Less expensive and healthier. Better in just about every way. Except no drive thru and you get less food if you order online with Chipotle
    • esseph 14 minutes ago
      McDonald's is in far more places than Chipotle, somewhat sadly
  • FerretFred 2 hours ago
    I can only speak for the UK but for quite a while now, McD's has become an uninviting experience, with miserable staff, menu screens that visibly tell you to hurry the f*k up and choose the product. Not to mention customers vying with delivery drivers for orders. I think the problem applies to all-income customers.
    • f1shy 2 hours ago
      My experience is that quality in McD is rapidly declining. We may agree was never a Michelin star restaurant. But I remember being more or leas enjoying the food. Now I just can’t. Maybe I’m getting older. But I would swear the quality is much worse now than say 5 or 10 years ago.
      • esseph 13 minutes ago
        Seems to be exactly the same quality at least here in the US, that it has always been.
    • detritus 2 hours ago
      Also, £4.20 for a Double Bacon & Egg McMuffin is just ... no. Why?

      I could swear it wasn't that long ago it was under £3.

      For a fiver I can get a better 'real' Bacon & Egg bap from an independent.

      • walthamstow 2 hours ago
        I paid £5.09 for a sausage and egg mcmuffin meal with coffee and a hash brown this morning. I think that's pretty reasonable, especially for London.
        • somenameforme 1 hour ago
          I have quite a lot of difficulty eating out once you start cooking at home, because think of what you are buying:

          - one English muffin (is it called an English muffin in England?)

          - one slice of cheese

          - one egg

          - one slice of ham

          - one cup of coffee

          - one hashbrown

          £5.09 for that? Obviously when you buy from a restaurant you're paying for their labor, rent, electric, and much more so it makes sense - McDonald's franchisees tend to operate on single digit profit margins even at that cost. But mehhh, still. And then the food you end up buying is packed full of preservatives and other additives and artificial ingredients.

          • walthamstow 1 hour ago
            It was hot and tasty and delivered near-instantly to my car at 6am. There's no way the fair price for that is less than a fiver.

            If you've never lived here, I'm not sure you can really say what £5 is or isn't worth anyway.

      • pixl97 2 hours ago
        You sure it's still a fiver and not up to 7.

        Even going to the grocer the price for raw goods is way up.

  • jrm4 2 hours ago
    It's very odd there are few comments in the realm of, "Maybe McDonald's has grown to be bad at 'fast-fooding.'"
    • anonymouskimmer 2 hours ago
      Yes. You can still get over 2000 calories at Taco Bell for $8 (this would be five of the Cheesy Bean and Rice burrito, my personal favorite). Even a Cheesy Double Beef burrito for the meat lovers can get you over 2000 calories for just over $11 for four. And their box meals will throw in a drink for a decent price. You can spend a lot more, but you don't have to.

      This isn't meant as a Taco Bell commercial, just a comparison to todays McDonald's.

      • trentnix 2 hours ago
        Taco Bell's prices are absolutely through the roof, too. I'm not seeing the "decent price" at my local TB that you're seeing.
        • anonymouskimmer 2 hours ago
          Thanks, it's actually been a few years since I've been to one.
      • shoddydoordesk 2 hours ago
        You can also get 2000 calories by eating an entire box of supermarket donuts, but that doesn't make it a good idea.
    • aboringusername 2 hours ago
      Agreed. Food now is made to order, rather than being ready and waiting (likely to reduce stock waste). Last time I went there was hardly a queue, wasn't rush-hour (was quite dead actually, few staff, fewer customers).

      Food still took 15 minutes, fries were cold, the main meal was nice but was overall disappointing for the eye-watering cost compared to days gone by.

      And a few guys collecting for delivery which has split their focus from in-resturant customers.

      Can see why people have moved on.

  • somenameforme 2 hours ago
    I feel like this whole article is seeking to 'maximize engagement', which I'm using as a lofty euphemism for trolling its readers.

    ------

    Mariam Gergis, a registered nurse at UCLA who also works a second job as a home caregiver, said she’s better off than many others, and still she struggles. “I can barely afford McDonald’s,” she said. “But it’s a cheaper option.”

    On Monday morning she sat in a booth at a McDonald’s in MacArthur Park with two others. The three beverages they ordered, two coffees and a soda, amounted to nearly $20, Gergis said, pointing to the receipt. “I’d rather have healthier foods, but when you’re on a budget, it’s difficult,” she said.

    Her brother, who works as a cashier, can’t afford meals out at all, she said. The cost of his diabetes medication has increased greatly, to about $200 a month, which she helps him cover.

    ------

    • jihadjihad 2 hours ago
      > The three beverages they ordered, two coffees and a soda, amounted to nearly $20

      I don't live in CA, but this just seems insane? Even in "captive" locations like airports etc. where prices for stuff are higher than a typical brick-and-mortar location, I don't even understand how two coffees and a soda could approach $20. If they'd DoorDashed it, sure. But those numbers don't make sense.

      • swatcoder 2 hours ago
        You're probably imagining two black coffees, and all three drinks being of modest size like medium.

        But if you turn those into "specialty" coffees and upsize them, and then add ~10% sales tax, it's very plausible that the price was closer to $20 than $10.

        Between prices inflating and people's tastes being pretty unmoderated and indulgent for a long while now, the total cost of "everyday" expenses adds up quick.

        Even the simple black drip coffee drinks that have basically no material or labor cost are priced at $2-4 in a lot of places now because people have become so dependent on the habit of treating themselves to one, and often a very large one, that they've become price insensitive and easily exploited by any coldly calculating business.

        • buran77 1 hour ago
          > if you turn those into "specialty" coffees and upsize them, and then add ~10% sales tax

          Right off the bat, it's McDonalds, there are no "specialty" coffees. And the sales tax is irrelevant, what matters is what comes out of the pocket.

          $20 for McD-quality coffees and soda is insanely expensive. It puts it above places like Starbucks which makes no sense because there's a Starbucks literally 50m/150ft away from that very same McD.

          Pictures of the menu at the closest McDonald’s to MacArthur Park show the coffees at ~$4 and sodas at ~$2-3 all large, which is a more realistic number but still only around half the quoted amount.

          • esseph 10 minutes ago
            One of my kids favorite drinks from McDonalds has been an iced mocha for roughly a decade
          • swatcoder 1 hour ago
            Huh?

            Of course there are "specialty" coffees at many McDonald's. Well over a decade ago, recognizing the margin and admitting the public interest in sweet, creamy, coffee drinks, they began a shift into direct competition with Starbucks, et al and offer a full menu of Americanized espresso and blended coffee drinks. Like at Starbucks, these easily run over $5 for the large sizes, and they're widely available.

            Because of both brand loyalty, or because they also want other things from McDonald's that Starbucks don't carry, it's a extremely successful and profitable product segment for them, even when a Starbucks is "literally 50m/150ft away".

            https://www.mcdonalds.com/us/en-us/full-menu/mccafe-coffees....

            https://www.mac-menus.com/mccafe-menu/

    • theGnuMe 1 hour ago
      Those are close to Starbucks prices so I imagine McCafes. You can get a mediocre McD coffee for $1.
  • notepad0x90 2 hours ago
    Perhaps this is a good thing? Are people eating healthier home-made foods now?
    • f1shy 2 hours ago
      I do not think this is exactly true. People may stop eating junk outside. But having a healthy balanced diet is more expensive than buying junk and eating at home; and not only in money, but more importantly (maybe) in time. Cooking takes time and effort, which families with both working parents may struggle with. Please do not forget often those people have more exhausting and abusive jobs.

      I know from first hand, how difficult can it be in that environment with limited money, time, and energy to go to the grocery store often, buy fresh things, and cook. It is much more convenient to buy things that go in the freezer, when they are in offer, and throw them into the oven when arriving home.

      • somenameforme 1 hour ago
        The problem is that people don't know how to cook. Something like pressure cookers (or crock pots where appropriate) are amazing for this sort of scenario. There are endless recipes you can find online that are toss a few ingredients in, wait, eat. Easy clean up, and delicious. I increasingly think cooking should be a part of basic education for everybody.

        Stuff like rice, beans, and chicken breast are extremely cheap, and most of the way towards a balanced diet by themselves. And cookers are like magic - just toss a bunch of stuff in, some spices, and it will come out amazing. I like a bit of yogurt as my fat, but you can go way cheaper - just toss some lard in there, it'll taste great.

    • jswelker 2 hours ago
      Anecdotally... No they are not. My middle school daughter says many of her friends just eat ramen packets every night.
      • dyauspitr 2 hours ago
        So even crappier food. The people have to be blamed for this at some point. Lower income Indian and East Asian families cook fresh food every night that probably costs less than $0.50 a plate. Beans, lentils, rice, eggs, pork and chicken can take you very far.
        • anonymouskimmer 2 hours ago
          Some people aren't taught how to cook (though I suppose they could jump on YouTube these days). And for those who are, at the very lowest incomes, they may not have a working range or oven. While a cheap microwave can be had for under $100, the cheaper plug-in stove tops don't last if used daily.
          • f1shy 2 hours ago
            Also those people may not have time or energy to learn cooking by looking youtube. From an armchair, with good economic position and time and money for hobbies anyone can learn to cook by yt. But man I know some families where both parents (when there are 2!) come completely exhausted after 10 hs of hard work.

            We changed the quality of food on our home. The amount of money and time invested was much more than we expected. Everthing from a decent equipped kitchen, with enough room, knives and other tools are needed… I lived once in 15 sq meter flat… I can tell you, is difficult to cook in a kitchenette.

        • throwway120385 2 hours ago
          Anecdotally, a pressure-cooked pot of beans can take over 40 minutes to knock together. So it is not that simple.
          • esafak 2 hours ago
            Only if you lack the planning skills to soak them in the morning or the night before. Besides, hydrated canned beans are perfectly affordable.
            • f1shy 2 hours ago
              Like if the single mum living of a minimum wage has time and energy while dressing the 2 kids to not forget such things.

              Sorry I know such people that I profoundly admire. I feel is just unfair such a comment. I have enough time and little stress in my life, I can plan what I’m going to cook the next week. But I could never criticize that people for not being able to.

              • somenameforme 1 hour ago
                Critique isn't necessarily just mean spirited. It's rather difficult to know what you don't know, and so many people do awful things without knowing there are alternatives.

                The example he gave of beans is perfect. They can be done almost completely passively, are healthy, and dirt cheap. Add some rice, a meat, and you have a delicious dirt cheap meal that takes probably less than 5 minutes of active effort, and also has minimal cleanup time as well.

                Like this article had some quote about somebody in it spending $20 at McDonalds for some drinks and bemoaning there being nothing healthier. That's simply ridiculous. And if somebody told them that and explained why - they could very possibly dramatically increase the quality of this person's life.

        • jswelker 2 hours ago
          I'm not saying the people aren't to blame, but no one is blameless in the cultural decay. If US natives learned to live like immigrants, many ills would be solved, dietary and otherwise.
        • kakacik 2 hours ago
          But if people cook more (like its typical in european folks around Mediterranean), who will then do all the necessary TV watching and doom scrolling on social cancers to make them feel even more miserable and inadequate?

          Btw that portion you mention won't be 0.5$, more like 2-3$ if if balanced and healthy enough. Tons of rice as is still very common in south east Asia ain't very healthy neither. But its sorta proven once folks start to cook for themselves more, they cook healthier than preprocessed junk food. And I don't mean some exquisite stuff, spending even 10-20 mins ever second evening can provide enough for whole family.

        • shkkmo 2 hours ago
          Let me introduce you the concept of https://en.wikipedia.org/wiki/Food_desert

          Instead of blaming people, perhaps it is better to look at the systemic factors that we can change to help people who are already playing life on hard mode.

  • carefulfungi 2 hours ago
  • stego-tech 2 hours ago
    These articles deliberately skew reality to fit an anti-worker narrative. All the focus is on costs of labor and materials, with not one single sentence devoted to McDonald’s own financials - like the growth of their margins, the share buybacks performed, the executive compensation, or the franchising model itself.

    When I was rallying for a higher minimum wage and was challenged on it driving up costs, I made it abundantly clear that would only be the outcome if the corporate leadership refused to budge on their compensation and shareholder reward schemes - which, surprising nobody, is exactly what they did, and this was the entirely expected outcome.

    We’ve tried being nice about this and attempting to reach a compromise in long, gradual, sustainable changes to the economy so everyone can benefit from its improvements in efficiency and scale, but the grim reality is that said compromises are no longer on the table, and harms are inevitable. With no more room to squeeze workers, it should be of no surprise that a growing plurality are demanding immediate and substantial change instead of piecemeal reform - and Capital has every right to be terrified of an angry labor class.

    • pseudalopex 1 hour ago
      Looking at McDonald's finances would have made the article better. And it mentioned their claims about labor costs. But it cited analysis which contradicted those claims.
      • stego-tech 1 hour ago
        No problem stands alone in a vacuum, and nothing at this point has “one easy fix”. These articles that try to paint higher wages or corporate consolidation as the sole reason for complex and nuanced issues aren’t just toxic to discourse around addressing these problems, they also collectively dumb down people into the debate equivalent of sports teams with no room for other positions.

        The entire piece reads as a sympathy puff article to paint McDonalds in a “woe is us, our business dictates we raise prices to only serve the wealthy” posture, which is insincere at best, and almost certainly shit journalism.

        • pseudalopex 58 minutes ago
          The article discussed several factors increasing costs and decreasing low income household spending. My impression and yours were very different.
    • prewett 31 minutes ago
      So, basically in addition to campaign for higher minimum wages you were simultaneously campaigning for lower profit margins. I'm guessing you would not voluntarily take a pay cut, so I don't see why you expected employers to. It sounds like those people who challenged you that minimum wages would raise prices were correct. It seems disingenuous to pretend that "oh those greedy capitalists just wouldn't play nice". If you want to raise wages and limit profit margins, you should campaign for that instead of only half of it and not complain that people did not cooperate in giving you what you really wanted.
  • partiallypro 2 hours ago
    In 2005 McDonald's net profit margin was ~12%, today it's ~30+%. Obviously that doesn't account for the entire price increase and wouldn't make that much of a difference...but worth noting.
    • twoodfin 2 hours ago
      Yes, they have progressively become a higher-margin business, which necessitates moving up market to consumers who will pay those margins.
  • twoodfin 2 hours ago
    I’m trying to be illustrative through glibness here, but…

    If consumers can’t afford the prices required to pay a restaurant’s labor living wages, then perhaps they’re not viable customers of that restaurant.

    Minimum wages above the market-set rate are a form of price control. The distorting effects of price controls—in this case, contributing to shortages of low-margin restaurant meals—are economically inevitable.

    • swatcoder 2 hours ago
      Wage is not a determining factor for McDonald's pricing and has nothing to do with that.

      They successfully converted from a neighborhood fast food shop into a new chain of automats with almost no staff once touchscreens got cheap enough and the necessary software could be suitably amortized. They ditched the employees, minimized community features like playplaces and tables, dropped the low margin dollar menu that many poorer people relied on, and focused on getting higher-margin products with better photography to busy professionals with brand attachment.

      Trying to turn this into the tired debate about minimum wage just distracts from a discussion about what's actually happening to this brand.

    • SunshineTheCat 2 hours ago
      It is quite the juggling act: you have employees demanding to be paid more, the cost of goods/inflation steadily rising, while customers wanting everything to be cheaper.

      Something has to give somewhere, the challenging part would be to know where.

      • twoodfin 2 hours ago
        Markets are the best mechanism ever invented to resolve that challenge to maximum aggregate benefit.
        • acdha 2 hours ago
          There’s an entire academic field studying ways in which it’s not that simple. Housing, employment, and transportation are somewhat famously areas where markets need help due to information and power disparities.
        • standardUser 2 hours ago
          True, but to prevent those restaurants from hiring children, feeding us poison, and dodging all taxes the market must be regulated. And we're back to the same discussion we've been having for 150 years - how do we best regulate markets.
      • reppap 2 hours ago
        Don't forget company leaderships and stock owners taking more and more profit out of companies than ever.
        • SunshineTheCat 2 hours ago
          Take 100% of their salaries and profits and it would make a negligible, likely unnoticeable difference in this issue.
          • the_gastropod 2 hours ago
            I'm not sure if there's a more sophisticated way of doing this. But just looking at revenue vs net income for 2024 suggests McDonald's operates at about a ~33% margin.
          • zepolen 2 hours ago
            Amazon made $311B in 2024, they employ 1.5 million people.

            That's $200k an employee, on top of what their regular salary is.

            McDonalds made $15B and employ 150k people, that's $100k per employee.

            So no, not negligible in the slightest.

            • zaphar 2 hours ago
              Where did you get the $311B number? Because I get a net profit of $59.25B which is only 40k per employee. This assumes that the company doesn't need to keep any profit for future usage which may or may not be case depending on how big their war chest is. Not to say that 40k couldn't be life changing for many of the Amazon employee but the 311B number seems to be pulled out of thin air.
            • SunshineTheCat 2 hours ago
              Are you under the impression the only expense a company has is payroll?
            • jay_kyburz 2 hours ago
              According to AI, they paid 5.3 billion in dividends and a have about 2 million in employees.
        • stronglikedan 2 hours ago
          That's been said forever, but only ever said.
      • sylos 41 minutes ago
        Maybe the mcdonald's stockholders can have a few less yachts
      • SSchick 2 hours ago
        How about executive compensation?
        • stronglikedan 2 hours ago
          That would make everything maybe 1 cent cheaper, so it's not really significant.
          • SunshineTheCat 2 hours ago
            Yea whenever the idea of a company's profit is under a microscope, people often reflex to exec "greed" but it's typically because it's easier to blame a fictional disney villain, than it is to dig into the root of the problem.
          • Nextgrid 2 hours ago
            It would however have second-order effects; having less wealthy people would drive down rents/etc. If the wealthy just keep getting wealthier you'll end up in a situation where the wealthy just trade between each other out because of higher margins and the working class has nowhere to buy things.
    • pseudalopex 2 hours ago
      > Minimum wages above the market-set rate are a form of price control. The distorting effects of price controls—in this case, contributing to shortages of low-margin restaurant meals—are economically inevitable.

      The article cited analysis which said California's $20 minimum wage increased fast food prices 2% approximately.

    • rixed 2 hours ago
      Is McDonald still a labor intensive shop? Last time I visited one I had the impression that it had become vastly more automatised: you order on a machine, and most customers just grab a bag from their car before they drive away.
    • xeonmc 2 hours ago
      Can you afford McDonald’s food if you work at McDonald’s?
      • dangus 2 hours ago
        You usually get a free meal per shift if you have any sort of half decent owner at basically any fast food restaurant.
        • rixed 2 hours ago
          So, that's a "no" since that meal costs less that it would if bough over the counter?
    • chairmansteve 2 hours ago
      You are correct.

      But how do we address the wealth inequality in America?

    • dangus 2 hours ago
      I don’t think this is very related to what’s actually going on here.

      It used to be that fast food was always cheap. But now, fast food is a broad market that’s aimed at a wide variety of demographics.

      McDonald’s just so happens to be closer to the “premium” side of the market. They have a strong brand and don’t have to be the cheapest fast food restaurant on the block. People don’t buy McDonald’s because it’s cheap.

      There are plenty of fast food restaurant chains that still mainly serve lower income demographics.

      Rally’s/Checkers, Church’s Chicken, Popeyes, Sonic, and maybe you could even count Arby’s, or Taco Bell depending on what you’re ordering.

      Some of the bigger brands like McDonald’s do have some deals to be found but you’ll need to be on their apps hunting for them.

    • ToucanLoucan 2 hours ago
      I think the bigger issue is the 500 mil/quarter stock buybacks and the several million compensation packages for the executives than the burger flipper wanting enough money to make it worthwhile to leave their house.
      • geraldwhen 2 hours ago
        McDonald’s is a franchise. Franchise owners bear the burden of employee and goods costs.
        • anticorporate 2 hours ago
          Franchise owner also bear the burden of franchise fees, which pay for these exorbitant executive compensation packages.
          • boringg 2 hours ago
            The exec comp is a rounding error compared to the other costs of the business.
          • ToucanLoucan 2 hours ago
            And they've been complaining for decades at this point that corporate is failing them. Not enough new products, bad business and advertising strategies, store renos, the list goes on.

            The burger flipper making a lot more money is doing a lot more for their franchisee's than the executives are as of late.

      • JPKab 2 hours ago
        The numbers are interesting when you run them.

        https://chatgpt.com/share/6920afb3-5f84-8008-827d-907e5f0a0a...

  • jswelker 2 hours ago
    My lower middle class family of 4 kids was raised on $1 McChicken sandwiches through my teen years. I don't know if there is an equivalent today.
  • josefritzishere 26 minutes ago
    Beef and salaries? They mean executive salaries right? Because average McDonald's hourly pay ranges starts at $8.94 per hour.
    • esseph 8 minutes ago
      I live in the middle of nowhere in the Midwest US, and McDonald's hourly pay here starts at $14.45/hr
  • jujube3 2 hours ago
    When you're too poor for smelly clown meat, you know things are bad.
  • lysace 2 hours ago
    The cost increases are real: beef, wheat, labor. Some of it is from inflation during the covid period, some it is from the Russia-Ukraine invasion causing havoc in fuel and grain supplies globally.

    There is currently a beef shortage in Europe (of sorts). The reason is that buying cow feed has gotten too expensive/unpredictable.

    I think people generally underestimate the global impact of shutting down production in Europe's bread basket, Ukraine. There is a reason Russia wants this land. It's, as usual, a war for natural resources.

    • notepad0x90 2 hours ago
      We should consume a lot less beef. Wages haven't caught up with inflation in a long while, I'd hope McDonalds paying more would trigger a nationwide increase in wages (I know, too optimistic).
      • roywiggins 2 hours ago
        I'm not sure that's true about wage growth, especially at the low end:

        https://www.epi.org/publication/swa-wages-2023/

        > In stark contrast to prior decades, low-wage workers experienced dramatically fast real [inflation-adjusted] wage growth between 2019 and 2023

        • shkkmo 2 hours ago
          Your source lists wage growth during that period as 13.2%

          Meanwhile inflation over that period is significantly higher at 19.18%.

          So, no, low end wage growth has not kept up with inflation.

          • bryanlarsen 2 hours ago
            That says "real wage growth" of 13.2%. IOW 13.2% on top of the 19.18% for nominal wage growth of >33%.
          • roywiggins 2 hours ago
            13.2% real wage growth, not nominal wage growth. Real wage growth is what you get after inflation is subtracted out of nominal wage growth. 0% real wage growth would be keeping up with inflation.
      • pluralmonad 2 hours ago
        Agreed. Sheep are a much more sustainable ruminant and we should all shift that way. I always heard it was spoiled cans of mutton fed to GIs that killed Americas taste for sheep. More importantly, we should stop eating food shipped in from far away. Not as easy as it sounds.
        • QuercusMax 2 hours ago
          I bought some canned corned mutton (from Australia, I think) recently on a whim when I was at a caribbean foods store, and it was incredibly delicious. Not much in the way of gamy flavor (which I don't hate), and more tasty than corned beef. I think this is the recipe I used: https://www.alicaspepperpot.com/guyanese-style-corned-mutton...

          That stuff wasn't cheap but I'm gonna make two cans worth next time, since my guests absolutely devoured it.

          I live in Oregon where I know we have tons of sheep (you can see them when you're driving on I-5); would be great to get stuff like this with local sheep!

        • roywiggins 1 hour ago
          Shipping is really a tiny proportion of the environmental cost of food, especially meat.
      • lysace 2 hours ago
        Meat-based proteine is important in so many different ways.

        Yes, it is possible avoid meat and still have a child develop well. It was also possible to install Linux on your PC in 1991/1992. Most people couldn't, but the really smart (or special) ones could.

        • notepad0x90 1 hour ago
          I meant beef specifically, not meat in general. Our ancestors didn't eat bovine meat every single day like we do now. Plus cows take up lots of grazing ground, and I'm not happy about how they're treated worse over time because we keep eating more of them, and that requires more and more cruel ways of supplying that beef.

          Chicken and sheep seem to be more sustainable. But either way, I think it is good for our health to rotate the types of meat we eat and lower the portions a bit? But it's easier said than done for sure.

    • throwaway29812 2 hours ago
      [dead]
  • kakacik 2 hours ago
    Where I live (Switzerland), cost of going to some proper burger joint vs mcdonalds costs roughly the same, or its very mildly cheaper for mcd. Plus unlike say France they don't serve beer here(canned heineken but at least its still technically beer).

    The only reason to go there is their method of handling tons of customers (restaurant experience this ain't thats for sure), their opening hours and often location.

    That's it, if you look for quality or pleasantness of experience or actual good food in statement above you don't have to bother. Worst burgers Swiss market can offer, we have different food and tasting standards here.

    • f1shy 2 hours ago
      My experience in many countries is that for 10 to 30% more price you can eat a real hamburger made of real beef, with real pommes. But that 30% is for sure prohibitively high for many folks.
  • shoddydoordesk 2 hours ago
    First they complained that restaurants like McD's were poisoning the lower classes with fast food, now they're complaining that they can't afford it?

    This also seems overblown for dramatic effect as the McD's dollar menu still contains good value meals.

    • pseudalopex 2 hours ago
      > First they complained that restaurants like McD's were poisoning the lower classes with fast food, now they're complaining that they can't afford it?

      Are they the same people?

      Is it possible there are 2 problems?

      Who complained? Reporting is not complaint.

    • ajkjk 2 hours ago
      Well the situation changed
      • shoddydoordesk 2 hours ago
        You're right, the McRib is back just in time for the holidays.
    • jswelker 2 hours ago
      Well in the past you could get unhealthy but cheap, convenient food. The cheap+convenient combo no longer really exists for families that for some reason will not cook.
    • stego-tech 2 hours ago
      Both things can be true, you know. Yes, its food is abysmally unhealthy, but it’s effectively the de facto national cafeteria of the continental United States by virtue of its widespread footprint and (previously) low prices.

      In an ideal world, we should be challenging both, rather than throwing up our hands and pleading confusion because someone can’t hold two truths simultaneously.

      • billy99k 1 hour ago
        "In an ideal world, we should be challenging both"

        Not really. Calling food poison and then complaining that poor people can't afford it implies that you support poor people eating poison and or eating the food.

        The first complaint implies that they shouldn't be eating it at all and result is that I just can't take the second complaint seriously.

        It's just a way to shit on big corporations without having to take responsibility.

        • stego-tech 1 hour ago
          You’re grossly misunderstanding the broader arguments through misrepresenting the claims as tied together, rather than the standalone grievances they are. A single system can have multiple flaws that interact on each other without necessarily creating a single, larger issue.

          McDonald’s food is unhealthy and should be improved. At the same time, they have become too expensive for the poorer working classes to afford. These are two different problems, with different solutions.

          You’re basically arguing that because I cannot demonstrate “one easy fix” to a complex issue of nuance that I’m essentially advocating for poisoning people, and it demonstrates your complete inability to grasp simultaneous truths or discuss complex issues effectively without misrepresenting opposition to score points.

          Go away.

    • umvi 2 hours ago
      Who is "they"? Someone, somewhere, will always complain about anything, no matter how good it is. The world is filled with critics because (my hot take) it's easier to tear things down than build them up.
    • franktankbank 2 hours ago
      There is nothing valuable about the trash McDs serves. The bread is diabetes inducing.
  • aboringusername 2 hours ago
    This is a trend that's probably going to continue and widen the rich-poor divide. Take airlines, there's only so many seats they can offer day to day, and with planes retiring from service and new planes slow to be delivered the inequality will only increase, and the market will shift to more affluential customers.

    The likes of McDonald's will need to understand who their new customer base is quite carefully and market around that if they are to stay relevant. Sadly their products to me are garbage now; slow service, cold fries, awful oil. Obviously they've had to adapt but it's just expensive slop.

    And in the UK they have had scandals around sexual harassment, which hasn't helped their image/branding.

  • David-Henrry 2 hours ago
    [dead]
  • rpmisms 2 hours ago
    [flagged]
    • anonymouskimmer 2 hours ago
      Fire sales and foreclosures would tend to be bought by those who already have the money to buy them.
      • rpmisms 50 minutes ago
        It's still downward pressure. Tax impediments to non-personal home ownership would be great too!
  • barbazoo 2 hours ago
    > “Happy Meals at McDonald’s are prohibitively expensive for some people, because there’s been so much inflation,” Josephson said.

    I find the phrasing odd. It is because corporations have raised prices that inflation has increased. Rising prices aren't a result of inflation.

    • pgalvin 2 hours ago
      OTOH, no company or item exists in a vacuum. If McDonald’s suppliers have increased prices, and their employees expect higher wages due to inflation, then McDonald’s must increase prices or eat the cost (unsustainable in the long-term). Does this only contribute to inflation? Yes. But so does every worker who wants higher wages - unfortunately everybody in the chain has such little influence on the wider economy that they must simply prioritise themselves.

      This is an overly simplistic view, of course, not least because it presumes good faith, but that is really my point: the economy has too many moving parts to simply say “you’re to blame for inflation because you increased your prices”.

    • kevin_thibedeau 2 hours ago
      The inflation boom was caused by the free money handed out to everyone. Inflation is inevitable when the dollar is devalued.
    • Barrin92 2 hours ago
      No, inflation is a monetary and political phenomenon. Companies cannot set prices arbitrarily, in particular not the fast food industry which faces what is probably the strongest competition on the planet. The entire restaurant industry does not collude on the prices of burgers.

      In this particular case it's wage-push inflation. The lowest quintile of workers has seen very strong wage gains among other reasons because of tight labour markets and minimum wage legislation, which on the consumer side prices a lot of people out of the service economy.

      • nawgz 2 hours ago
        > Companies cannot set prices arbitrarily

        [Source required]

        Edit: how are you downvoting me? Go look at corporate profit margins now, 10 years ago, and 40 years ago.

        If you believe you can hand wave with simplified BS like "Supply and Demand" you probably have some heavy reading on price elasticity to catch up on.

        • jameslk 2 hours ago
          https://en.wikipedia.org/wiki/Supply_and_demand

          If you have some alternate economic theory, feel free to be specific about that so we can debate it instead of having a sealioning war

          • nawgz 1 hour ago
            Are you being intentionally daft?

            McDonald's a decade ago had a sub-20% operating margin, now their executives are targeting a >40% operating margin in 2025.

            If you genuinely think that the simplest, most naive Supply and Demand model is dictating how corporations behave in modern (i.e. late stage) capitalism, and you're unironically accusing others of "having a sea lioning war", you should probably go shove it up your ass.

      • forgotoldacc 2 hours ago
        That's a nice excuse from the executives, but it doesn't align with reality. McDonald's profits have been rising every year. [1] If those dastardly minimum wage workers and their fat paychecks were putting even the slightest bit of pressure on struggling McDonald's, the expectation would be some sort of reduction in profit. But it's the total opposite. Profits are outpacing whatever losses they're (not) experiencing from whatever supposed wage increases they have.

        [1] https://finance.yahoo.com/news/mcdonald-q3-2025-profit-sales...

    • dingnuts 2 hours ago
      .. no, corporations raise prices in response to the falling value of the dollar which has been occurring predictably since 2020 when the money supply was increased 20% (remember the "printer goes brr" memes and the "stimulus checks")?

      Make more money supply -> money is worth less -> prices go up

      simple stuff

      I guess the next step is: blame corporations, nationalize them, see it causes economic problems (we're here), and then repeat (Trump promises $2k checks to everyone, this is coming soon)