McDonald's Cuts Prices on Eight Combos to Restore Affordability

McDonald's is cutting combo prices by 15% to regain its affordability edge, following consumer complaints about rising costs. The new pricing structure, set to take effect in early September, will remain in place through the start of next year. The move aims to restore McDonald's image as an affordable fast-food option and follows a reintroduction of the "Extra Value Meals" branding. The company's US franchisees will also offer financial support to those who might lose money under the new pricing.

McDonald's is set to significantly reduce combo meal prices by 15% starting in early September, aiming to restore its affordability image following persistent customer complaints about rising costs. The new pricing structure, which will remain in place until the start of next year, is part of a broader strategy to rejuvenate the brand's value proposition among low-income consumers.

According to internal materials viewed by the Wall Street Journal, McDonald's US franchisees have agreed to keep the cost of eight popular combos 15% below the sum of the individual items' prices. For instance, a combo meal currently selling for $10 could go for as little as $8.50 under the new discounts [1].

The move comes after weeks of negotiations between McDonald's and its franchisees, who had been pushing back due to the rising costs that made sustaining current deals challenging. McDonald's eventually offered to subsidize potential losses for operators, contingent on increased traffic the deals might drive to stores [1].

McDonald's CEO Chris Kempczinski emphasized the importance of affordability in his recent earnings report, stating that "customers are telling us they need more of the everyday value and affordability that defines the McDonald’s brand" [1].

Starting in early September, combos featuring popular items like the Big Mac, Quarter Pounder with Cheese, Chicken McNuggets, McCrispy sandwich, Egg McMuffin, and breakfast sandwiches will be discounted. Additionally, McDonald's will bring back its Extra Value Meals, offering deals such as a $5 Sausage Egg McMuffin and $8 Big Mac meal in September, and a $5 Sausage, Egg and Cheese McGriddle and $8 10-piece Chicken McNuggets meal in November [1].

The company has been under pressure to limit price hikes to less visible items on the menu, with franchisees pushing for cuts like $1 drinks from the menu due to rising costs. The average large Big Mac meal costs $10.53 but can go as high as $18.99 in pricier locations, with prices soaring 27% between 2019 and 2024 [1].

Both McDonald's and its franchisees will fund a marketing campaign to advertise the new deals, reflecting a concerted effort to boost sales and attract more customers. The move is particularly timely, given that traffic to US restaurants has plunged 1.7% so far this year, and about 2.7% for fast-food chains, according to market research firm Black Box Intelligence [1].

References:
[1] https://nypost.com/2025/08/20/business/mcdonalds-to-slash-combo-meal-prices-despite-clashing-with-franchisees-over-costs/