Skip to comments.McDonald's Rolls Out $4 Burger: Why?
Posted on 04/23/2009 9:07:36 AM PDT by re_tail20
With the nation in its deepest recession in decades, why would McDonald's pick this moment to launch a $4 burger?
You may have noticed the signs that just went up on some McDonald's drive-through menus: The new Angus burger. It weighs one-third of a pound. It costs four bucks.
In its first-quarter earnings conference call this morning, the company did not say it is rolling out the Angus nationwide, but it did not say it isn't. The company was cagey.
Still, they're starting to pop up -- The Ticker saw the Angus on a menu last Saturday, at a McDonald's on the road from Washington to Morgantown, W.Va.
An upscale product in this climate? What could the company be thinking?
(Excerpt) Read more at voices.washingtonpost.com ...
I might try one just to test-run it, but the price seems too high for regulars at the inns.
Watch for PETA protests at a Mickey D’s near you.
“McDonald’s Rolls Out $4 Burger: Why?”
Because people like convenient delivery of hot, delicious food.
The Angus Burger has been here in New Jersey for a least a 1 and half.
Apparently it’s doing well enough to go nationwide.
Maybe cuz in a (supposed) free market companies can produce a product and see if it meets or exceeds customer demand and expectations?
BK’s had that for a while ... must have done very well with it for MickeyD to copy.
Because Carl’s has the six-dollar burger?
An effort to win the $12.00 lunch crowd by offering an edible $6.00 lunch?
It’s actually a smart move, IMO.
Capture part of the “we used to eat a Chili’s or some such but we can’t afford it anymore but we can afford the McDonald’s premium burger” crowd.
Makes you feel “upscale” as you stretch that dining out dollar (and stretch your waistline at the same time).
Gee, I wonder how many successful businesses the author has run? I have traveled over the world and one universal, other than Chinese restaurants, is McDonald's. They must be doing something right as they are popular everywhere, and if they're launching a four-dollar burger, I'm sure they've done the market research to justify it.
If it's as good as Five Guys or even an IN-N-OUT Double-Double, four bucks is no problem for me.
A $4.00 Burger is still a better buy than a copy of the Washington Compost.
The most dangerous words in the English language-Honey are
you cookin’ tonite!
So the WP is now reduced to writing about McDonald’s hamburgers instead of reporting on the constitutional abuses of Barrack Hussein Obama.
Hey...WP..ANGUS beef is better and costs more. End of story. Get over it. Perhaps you and your lapdogs in the media can push your Messiah to nationalize McDonald’s too?
I am sure you will have no problem getting Obama and the democrats to approve of the American taxpayer subsidizing your lunch(as well as your crappy papers)!
Double cheeseburger for a buck. Best bargain out there.
It has to be their loss leader. There is no profit on that.
Actually Burger King had a Black Angus burger a few years ago and McDonald’s answered with a version that wasn’t as good. They’ve both been around for a few years. Burger King has changed theirs and now calls it something different.
Competition is quite rugged in the burger business though. Several years back your typical chain would object to publish all their ingredients. Now they all put out something like this: http://www.carlsjr.com/content/downloads/CJIngredientGuide-4-1-09.pdf
Try it when it 1st arrives
Actually it was great when it first came out here ~1½ ago (Especially the mushroom version), but for some reason it’s not as good now,
They might have used real high quality expensive meat to get people hooked, but later switched
“An upscale product in this climate? What could the company be thinking?”
Isn’t it obvious they are now targeting those in the banking, insurance, auto-making, “green” and similar industries who are the beneficiaries of trillions of dollars of Obama’s largesse? Having been essentially picked as winners by the U.S. government, such industries are effectively insulated from the normal market forces that would have trimmed their inflated compensation and benefits levels down to those of other Americans. Thanks to the U.S. taxpayer, they can easily afford $6 hamburgers at McDonald’s were the company to decide to test the upper limits of their customers’ willingness-to-pay.
because even in a recession, some people will find splurging for a $4 burger that probably costs McD 50 cents to make is worth doing instead of going out and spending 20 bucks somewhere else.
Btw, do you want that supersized?
For me, it’s the $1.09 McDouble.
I’d rather spend another $1.00 and get a foot-long Subway sandwich which is much more healthy.
That is exactly what is happening - we own a “higher end” fast food place (yes there is such a thing LOL), the customers we are getting now are the folks that used to eat lunch at Applebees and Chili’s. So while our overall customer count is down, the customers we have now are spending more.
We’re in a business area, the same chain in residential areas not doing so well.
Alas, we have no In and Out around here but I have a dozen T-shirts purchased on-line for $2.00 each.
It was a good burger for fast food. If McDonald's is comparable, I'd probably buy one in the combo ...
Yes the peanuts shells bother me too...... But it's a great bacon cheeseburger.
Maybe to make money? McDonalds seems to be doing pretty well with their business, and I'm sure has tested the concept of a quality $4 burger. That's what they are thinking.
I might try it, along with their new caramel flavored milkshake.
How much is a burger at the Posts favorite bars and fancy restaurants? How much do they cost at a hotel?
What could the company be thinking?
Not standing still, innovation, providing diversity, etc. Hell not everyone is on the dole, out of a job and living under a roadway.........
“Double cheeseburger for a buck. Best bargain out there.
It has to be their loss leader. There is no profit on that.”
You are right about the bargain.
Regarding the lack of profitably, however, food becomes remarkably cheap when purchased in bulk.
About 10 years I had an interest in a pizza buffet restaurant. W we were able to assemble an extra large, ingredient-laden supreme pizza for significantly south of $1.00, our cost.
1984-1986 Window Person of the Year here! I agreed with your statement 100%, until last year. McDonalds was my very last choice, but then they came out with their new coffee, and I just had to give it a try. Now I am hooked! Especially their caramel latte.
Since then, I have picked up a few sandwiches here, and there, and have discovered they are not that bad. I love the fish sandwich.
If you are a coffee lover, give McDonalds another try, you may surprise yourself.
One of the few reasons I am reluctant to leave CA...
“Gee, I wonder how many successful businesses the author has run?”
Nailed it. (I’ve run businesses but not restaurants and have no plans or desires to)
I can give half a dozen reasons why, most appear elsewhere on this thread.
But the most obvious is, uhhhh, you think McD’s doesn’t know what they are doing?
McD’s has KILLED on their salads. And their coffee thing, I’ve heard plenty of folks claim it superior to Starbucks for straight-ahead regular coffee. (I myself don’t like s-bucks reg coffee and don’t go to McD’s often enough to have a valid opinion)
Carl’s Jr., which is the same company w/ a different name, still sells them. I just had a low-carb $6 burger the other day.
Because the people who USED to be buying steaks haven’t been hit bad enough yet to buy a $.99 burger. DUH!
Angus Burger...$4.00. Coronary treatment...’Hope you have insurance. Obuma care comin’....
BECAUSE.....those who were going to higher end places, but have cut back....might like this burger at McDonalds.....they’re being smart marketers...
No thank you! I've been living with a damn good cook for 60 years (ME) and I have absolutely NO REASON to eat what some illegal, who God only knows what diseases he's carrying, just put together in the kitchen!
I did. It was cold (relatively).
But I don't doubt why? After all, almost $3M for a hot cup of coffee spilled would make anybody cool down the temperature of their coffee.
I used to work at Culver’s and honestly, it was always clean and the crowds never ended. It was non-stop there and people would spend a lot more money there then at McD’s!
mcdonalds wont get my business. gross food, healthwise it is junk, the taste , well you got to low grease. messes up the gut. huge left leaning corporation, I dont want them to get my money, if you want to save real money, pack your own lunch, it can be more healthy also.
I see the mcdonalds here no longer employeing American kids as a first job, now it is adults, barely able to speak english folks, many probably illegal. the tatoos, the demenor, the customer service is bad.
I avoid this junk food. mcdonalds is on the bottom of the national chain list for me if in the case i am ever forced to settle for fast food.
save you money for real food, not this procesed junk
Big Kahuna Burger....ummmmmmmmmmm!
They're the best product put out by McDonald's by far....but we kinda wait and watch for semi-regular buy-1-get-1-free ads in the junk mail.
Jack In The Box is the other reason, IMO.