Wendy's Is Already Backtracking On Its Surge Pricing Plan
Wendy's recent announcement that it would employ surge pricing at its fast-food restaurants has been amended with lightning speed. According to a media statement on Wendy's website, the popular fast-food chain asserts that its announcement has been "misconstrued." Per the statement, Wendy's does not intend to "raise prices when our customers are visiting us most."
Instead, the statement claims that customers may be privy to discounts at certain times once the restaurant implements its new digital menus. But Wendy's also issued a statement to CNN Business backing up its assertion that the restaurant would not employ surge pricing in the future. According to the statement, "Wendy's will not implement surge pricing, which is the practice of raising prices when demand is highest."
However, Wendy's CEO Kirk Tanner offered a direct quote published in a preceding CNN article that explicitly referenced dynamic pricing. This strategy means that prices can be adjusted according to factors like demand and supply availability. And if the chain is willing to lower prices according to these factors, it stands to reason that it could also raise them.
Fast food fans cry foul on social media
Similar to the backlash faced by McDonald's and its higher menu prices, Wendy's new pricing model has not been met with much enthusiasm. On Reddit, users claim that the restaurant's latest statement is based on the public outcry. As highlighted by one commenter, "This is 100% damage control, and as is typical it changes nothing."
Another person surmised that the plan is likely still in the works but might be delayed. "'We have no plans to' means we're gonna do it, just a bit later than we said, now that you're softened up to the idea," stated the disgruntled commenter.
There was also some conjecture that the discounted prices might not be discounts at all. "The prices as they are now will be packaged as a 'discount' during off-peak hours," said a commenter, while another added, "...all the prices went up across the board, discounted items are the same price as always."
While these claims will remain to be seen, it is evident that fast-food customers have had enough. As many chains continue to increase their prices, consumers have begun to wonder whether historically inexpensive fast food is worth the rising cost.