Burger King Co., owned by Restaurant Brands International Inc., is planning to launch $5 value meal to boost demand among Americans, who are cutting back on dining out, reports said.
The fast-food hamburger chain\'s offer is said to include a choice of one of three sandwiches, with nuggets, fries, and a drink.
The news comes after rival chain McDonald\'s Corp. reportedly announced a plan to introduce a similar $5 value meal beginning June 25 and lasting roughly a month. The pack is said to include a McChicken or McDouble, four-piece chicken nuggets, fries, and a drink.
Meanwhile, Bloomberg News reported, citing a memo, that Burger King Franchisees had voted in early April to approve $5 \'Your Way Meal\' offer, which is likely to be launched ahead of McDonald\'s.
As per the report, Burger King plans to run its offer for several months, while McDonald\'s promotion would run for about four weeks.
Burger King chain is also testing two other value platforms that are expected to be ready in the second half of the year.
Among other burger chains, Wendy\'s earlier this week has announced a $3 breakfast meal deal.
Fast-food chains are heightening their promotions to attract demand as cash-short consumers are cutting down their cost of living by avoiding going out for dinner and eating more meals at home.
McDonald\'s CEO Chris Kempczinski, while announcing first-quarter results in late April, said, \"As consumers are more discriminating with every dollar that they spend, we will continue to earn their visits by delivering leading, reliable, everyday value and outstanding execution in our restaurants.\"
Starting in 2022, Burger King had invested around $400 million over two years to uplift average sales and profitability in the U.S. restaurants. The investment comprised $150 million under the \'Fuel the Flame\' plan, and $250 million under the initial \'Royal Reset\' plan.
In late April, Restaurant Brands announced an additional $300 million investment to launch the \'Royal Reset 2.0\' remodel program, aiming to modernize restaurants across the U.S.