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The McRecession - Has Fast Food Cooked Itself?
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Article - https://www.axios.com/2025/05/01/mcdonalds-restaurants-fast-food-recession-starbucks
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Fast food has never been GOOD food, but it was a quick, easy, reliable and cheap way to get a meal that appealed to people who were time poor… or just well… you know… actually poor…
Mass layoffs, increasing economic uncertainty, deferred student loan payments kicking in and spiking levels of consumer debt SHOULD be the perfect opportunity for these cheap offerings to bring in customers who don’t have much money to spare, but still want to eat.
For a long time companies like McDonalds, Dominos, KFC, Taco Bell and Wendy’s were considered “recession proof” because even in the most dire of circumstances people still need to eat, and the companies typically offered the best exchange rate of dollars to calories in the market.
But that’s changed.
In a business move that can only be described as… confusing… These brands have responded to cost conscious, busy and desperate consumers by becoming more expensive, slower and less reliable…
Unsurprisingly sales across the industry have plummeted at a time when they SHOULD be outperforming.
It would almost be comical if they weren’t collectively some of the largest employers in the country.
However the McRessession has been caused by more than some management missteps, it’s a clear sign of some much bigger problems in the wider economy.
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