Multinational fast food chain McDonald's is set to introduce a $5 meal promotion across its US restaurants to regain customer traffic and address concerns over menu affordability.  

The month-long $5 deal, available from 25 June 2024, includes a choice of a McDouble or McChicken sandwich or a four-piece Chicken McNuggets along with a small soft drink and small fries.

The initiative comes as the fast-food industry faces a decline in customer visits due to the rising costs of dining out. 

The Wall Street Journal (WSJ) has reported that the promotion is part of a broader strategy by restaurant chains to offer deals in response to declining customer traffic.  

The report confirmed that in April 2024, McDonald's acknowledged that it had lost its competitive edge on affordability in certain US markets.  

The company believes that a national approach to meal deals and breakfast promotions could benefit its domestic restaurants. 

Franchisees, who operate the majority of McDonald's locations, are responsible for setting menu prices.  

They have returned to pre-pandemic levels of profitability and are now in a position to invest some of their earnings into value offerings.   

The newly proposed discount plan has reportedly sparked internal discussions between McDonald's and its US franchisees.  

The debate centres on the components of the deal and whether it will generate sufficient business to warrant the discounts.  

“Our sales and guest-count momentum have slowed considerably. The fact is that we’ve lost our momentum and we need to get it back,” WSJ cited a McDonald’s owner as stating in an email sent to fellow operators.  

CBS MoneyWatch cited McDonald's USA as saying: “We know how much it means to our customers when McDonald's offers meaningful value and communicates it through national advertising. That's been true since our very beginning and never more important than it is today.”