Fast Food is Losing Customer's Interests
By Jim Bauer
@porwest (100834)
United States
June 21, 2024 8:58am CST
With rising minimum wages and higher raw materials costs everywhere, fast food chains are getting hit hard. Many stores are closing, especially in California where the minimum wage has risen to $20 an hour. But now there's something else hitting them.
Casual dining.
People are weighing the costs of eating at fast food vs. places like Applebee's or Chili's. "Maybe I spend a couple of bucks more, but the cost savings of eating fast food just doesn't exist anymore."
The average bill for two at most fast food places is topping around $30. When it costs that much for a couple of hamburgers and some French fries, you might consider eating somewhere else.
Because not only is the price difference not that much to choose casual dining, many fast food restaurants trended toward being something they aren't. A dining experience.
Not only does fast food cost a lot more, but it's also no longer fast.
If fast food wants to get its customers back, it's going to have to get very creative in rethinking their business models, and how they can once again separate themselves from the casual dining companies that, before now, they were not in direct competition with.
21 people like this
19 responses

@much2say (57649)
• Los Angeles, California
21 Jun
We don't eat fast food often, but there are times when it was just all too convenient. The fast part is more about the speed in which my money left my wallet . . . yikes. Not our favorite, but we went to Burger King the other day. 2 meal deals and one nothing burger cost us $38. Seriously? We won't be going back.
Speaking of casual dining, I went with a friend to iHOP - another place we don't go to often. I nearly fell over that a spinach mushroom omelette with 3 little pancakes cost $19
.

2 people like this
@vandana7 (101944)
• India
22 Jun
I cannot relate to how much it should be as per your expectations. 2 meals plus burger should cost how much as per you?
We have different level eateries out here. But the real street food is not that hygienic. I do not go for that. In fact, I hardly eat out. LOL.
Only when I am feeling too sick to cook, do I order something. Online.
Not expensive stuff.
Dad is not happy at the thought of eating food from outside. So I cook.
But when it will come to me, I would be ordering from some company that supplies meals for the elderly.
2 people like this
@porwest (100834)
• United States
22 Jun
@vandana7 It depends. Value menus were, for a long time, a big thing and you could feed an entire family on about $20. Not that way anymore.
As for eating out, in general, sit down and wait restaurants were typically much higher in cost than fast food ever was. Now they are almost meeting up.
To me, eating out is a treat. I prefer to cook at home too. But sometimes you just want something different, and eating out usually fills that bill.
2 people like this

@vandana7 (101944)
• India
22 Jun
Interesting topic. I was just thinking that sometimes the minimum wages aspect has to be considered fairly and squarely.
I mean, if I have 100 people unemployed, then minimum wages can be 20 USD/hour maybe ok.
But if I have 1000 people unemployed, then holding on to that rate is foolish. Even the fast food centers will close down, it would be vicious cycle everywhere. Added to that there will be increase in crime rates.
Meaning that slab has to be dynamic for the period vis a vis unemployment numbers and inflation rate?
1 person likes this


@FourWalls (75685)
• United States
21 Jun
True in every regard (especially “fast food is no longer fast”). Plus, the order is correct 99.9% of the time…and the restaurant’s ice cream machine usually works.
Seriously, though, the price has become ridiculous. I love a baked potato with chicken and cheese on it. At McAlister’s, that cost about $15 (with drink) the last time I was there…and the chicken is that “bagged and cooked” stuff. In contrast, at a local BBQ place has a baked (not microwaved) potato with smoked chicken on it, with drink and toast, for $8-$9. Gee, where am I going to eat? Even with a tip it’s cheaper!!

2 people like this
@porwest (100834)
• United States
5 Jun
I think I'd be opting for the latter as well. When it comes down to it costs about the same to eat at a sit down and wait restaurant as it does fast food, and at a fast food restaurant you still have to sit down and wait, I'm going to opt for the latter as well.
1 person likes this
@aninditasen (17104)
• Raurkela, India
22 Jun
Increase in prices of food cooked or raw is hitting hard in India too after the election. People are reducing their intake.
2 people like this

@aninditasen (17104)
• Raurkela, India
27 Jun
@porwest Yes, people have to make a choice that will keep them half fed.
2 people like this
@porwest (100834)
• United States
2 Jul
@aninditasen I follow a rule sort of set by Rush Limbaugh back in the day when he said, "Make your own economy, so when the real one goes to hell, you don't have to participate." In a sense it's like taking the mentality, choose to eat or choose to be eaten.
2 people like this

@LindaOHio (191204)
• United States
22 Jun
I love going to places like Red Lobster, Texas Roadhouse and Longhorn Steakhouse. I can sit and be waited on and have a good meal. The only fast food I've had in the past year has been Subway. Have a good weekend.
1 person likes this

@LindaOHio (191204)
• United States
22 Jun
@porwest I like their rotisserie chicken sandwiches much better than the lunch meat.
1 person likes this
@porwest (100834)
• United States
22 Jun
@LindaOHio I always get the Subway Club with vinegar and oil. Now I have a hankering. Hmm.
1 person likes this

@GardenGerty (164141)
• United States
22 Jun
Fast food is boring, in my opinion. Something to fill your empty mouth, but that is about it. Although last week I had Wendy's new Triple Berry Frosty and it had eye appeal in it's color as well as being a tasty treat.
1 person likes this
@LeaPea2417 (37955)
• Toccoa, Georgia
22 Jun
The only good fast food restaurants are Wendy's and Chick Fil A.
1 person likes this
@RasmaSandra (85949)
• Daytona Beach, Florida
22 Jun
I was about to say that, With those prices of fast food I would rather eat out somewhere nice say once or twice a month if I could afford it, I would not go out alone to eat so that does not concern me at all but I could see two people enjoying a favorite restaurant each month, Better than paying a small fortune for fries and burgers,
1 person likes this
@porwest (100834)
• United States
22 Jun
I would imagine so. The prices are becoming ridiculous. I feel for the franchisees who are struggling through these times—it's hard to make a buck these days. Some are returning to "value meals," but the unfortunate part is the franchisees are losing money on each one they sell. They are hoping customers add something to their order with a better margin. But that's a crap shoot.
1 person likes this
@dgobucks226 (36577)
•
3 Jul
One has to consider the position's importance, their value to society if you will, when determining a person's wage. Who deserves more a surgeon, a plumber or someone who flips burgers?
It's what the market will bear, or in this case, the business. Taking your fast-food argument further if a big cut of a business's expense is labor costs something has to give and that means raising food prices. Combined with additional costs like fuel and supply chain issues, (both attributable in some way to the Biden Administration), what does a company do to remain profitable?
It must pass on these costs to the consumer (Economics 101), a concept many Democrats do not understand.
1 person likes this

@dgobucks226 (36577)
•
5 Jul
@porwest Exactly! And you can include many members of Congress who have never run a business, but seem to think they know how to...
1 person likes this

@RevivedWarrior (3719)
• India
22 Jun
You are right in pointing the fast food experience has gone. With inflation and wages, fast food prices have sky rocketed. I have cut back on fast food dining due to prices long time ago. Again, people are also more health conscious and perhaps we should adapt to the same. Thanks for sharing!
@1creekgirl (43720)
• United States
21 Jun
You are so right, Jim. The last time we bought three tacos and two drinks at Taco Bell, we realized we could have eaten at our favorite Hibachi place for the same cost!
1 person likes this
@porwest (100834)
• United States
22 Jun
It's nuts for sure. I took my mom out for lunch the other day when I was helping her with some errands, and even though all she got was a chocolate milk shake (she ate before we left the house), I got a Whopper and large order of fries, and that bill was $13.
1 person likes this
@Marilynda1225 (84969)
• United States
21 Jun
I agree that fast food is "no longer fast" and the price is crazy. It's been a long time since I ate in a McDonalds or Burger King but I do like the convenience of the drive thru. I'm not a frequent flyer at any fast food place but I do enjoy it occasionally. When it comes to a dining experience per se fast food places aren't even on my radar.
1 person likes this
@porwest (100834)
• United States
21 Jun
It's not been that long for me. I actually enjoy fast food. But the prices are becoming quite ridiculous. As for the "dining experience," mostly fast food has tried to make it more like a sit down and wait kind of a place. It's just not what fast food was ever intended to be, nor what drew customers to their restaurants.
1 person likes this
@akalinus (44301)
• United States
21 Jun
The quality has gone down. My son and I went to a fast food place last weekend. I got food poisoning. It will be a long time before I go again. I remember paying top dollar for a family meal at a chicken place and the fries were inedible. We might as well go for a budget meal at a restaurant for what we are paying for fast food.
1 person likes this
@BearArtistLady (6036)
• United States
21 Jun
I sometimes get something once a year from a fast food place, and the only thing I'll get is a "cheesy roll up" from one of the Taco places. When someone mentions fast food, my stomach ties itself in a knot from thinking about the grease. I worked at a fast food place in Montana and we took pride in what we made and always had a steady flow of customers. Now, in California, you can walk right in, order, and wait fifteen or 20 minutes for your cold food.
The last time I ate in a regular restaurant was almost 5 years ago for my birthday. We went to a find dining restaurant and our dinner there, soup or salad, main course, beverage, dessert and tip was less than what we would have paid for the fast food. And, it was much better too!!! When I heard on the news that the minimum wage for fast food workers had been raised to $20 an hour, I about fell over!!! People used to go to fast food places because they got their meals fast and cheap...not anymore!!!!
@Beestring (15479)
• Hong Kong
21 Jun
In my city, McDonald's is doing quite well. Two major Chinese fast-food restaurants are making profits as well.
1 person likes this
