Quick-serve industry giants have always used promotions to appeal to consumers. Thus, the birth of the dollar menu. The major appeal of quick-serve is that it is cheap and fast. With that in mind and the decline of sales in this segment, the promotional giveaways and cheap deals seem to be getting even more aggressive. Burger King this week announced a promotion for 10 chicken nuggets for $1.49 and Jack in the Box just announced that additional items like queso cheese and guacamole are now going to be free. Taco Bell also has introduced their new dollar menu.
Are these promotions going to appeal to the value conscious consumer? Millennial consumers are more focused on quality and value. When something is only a dollar- today's educated consumer sees a red flag. Today's consumers are gravitating to better quality options and don't mind paying a little more because "you get what you pay for."
Are these aggressive deals going to pay off for these quick-serve brands? Are they enticing enough to get more traffic? Read More