McDonald’s Directs Franchisees to Monitor Pricing Amid Economic Uncertainty

McDonald’s Corp. has issued internal directives to franchisees requiring real-time monitoring of menu pricing and customer behavior, signaling heightened attention to cost sensitivity in key markets. The company emphasized the importance of maintaining competitive value tiers, particularly amid ongoing inflationary pressures and shifting household budgets. This move follows a 2.5% average price increase across U.S. menu items in the third quarter of 2025, with certain items like the Big Mac now averaging $5.99 in major urban centers. The directive underscores a broader recalibration of pricing strategy, as McDonald’s evaluates performance across its 40,000+ global locations. Franchisees are now required to submit weekly reports on price elasticity metrics, including traffic trends, basket size changes, and redemption rates for promotional bundles. This data will feed into a centralized analytics dashboard used by corporate leadership to assess regional market dynamics and adjust promotional calendars accordingly. Specific targets include maintaining same-store sales growth above 2% in the U.S. and 3% in international markets through the end of 2026. The company is also testing new tiered value menus in 150 U.S. locations, offering a $1.99 combo with the option to upgrade for an additional $1.50. Early trials show a 12% lift in transaction volume during lunch hours. The focus on pricing discipline is expected to influence supply chain negotiations and labor cost planning, particularly in high-inflation regions such as Brazil, Turkey, and South Africa, where currency volatility impacts input costs. Franchisees with underperforming locations may face revised support packages or targeted retraining programs.