McDonald's CEO says 'affordability' is on the way as company battles declining sales

McDonalds could be refine It is menu Soon with A to focus on "affordability" THE the society CEO hinted.

On A earnings call Monday, McDonalds CEO Chris Kempczinski said that sales In THE last quarter took A negative turn, THANKS has upper menu price.

"I think What You are while going has see as You head In 2024 East probably more attention has What I would be describe as affordability," CEO of McDonalds Chris Kempczinski said on Monday during A earnings call.

THE Burger monster saw It is First of all quarterly sales miss internationally In almost four years during T4 2023 due has conflict In THE Medium East affecting It is international sales growth, something McDonalds believes will continue has affect income In T1 2024 And potentially Q2.

Related: McDonalds East Completely Changing It is Hamburgers In 2024

Global same store sales grown up 3.4% quarterly, compared with has A 4.7% estimated growth by analysts.

THE WE. business For THE chain Also weakened as tendencies sharp towards low income clients choose cheaper menu items Or order less generally, with WE. sales rising just 4.3% quarterly compared with has A 4.4% estimated increase.

"Eat has House has become more affordable," Kempczinski said during THE call. "THE battlefield East certainly with that low income consumer."

Kempczinski doesn't specify What THE new not towards "affordability" would be be, but THE business has has been breeding menu prices For years. In A T3 2023 earnings call, McDonalds CFO Ian Borden admitted that THE chain expected has see menu prices increase ten% by THE END of 2023.

This was up Since A separated ten% menu price hiking Since 2022 has 2023.

A estimated 93% of McDonalds 38,000 Locations are franchise, meaning that franchisees can together prices base on THE stores location And THE request.

Related: McDonalds In Connecticut Go Viral For Astronomical Prices

In July 2023, A rest area location of McDonalds In tributary You're welcome, Connecticut went viral After A visitor find THE menu prices has be abnormally Dear, including A 10 pieces McNugget order For $18.29 And A McCrispy sandwich For $17.99.

McDonalds was up just on 6.7% In A one year period as of Monday afternoon.