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Fast food is losing its budget-friendly appeal

The data point: Quick-service restaurants (QSRs) are no longer seen primarily as budget-friendly dining.

  • Just 14% of consumers view them as a good value, while nearly a quarter (23%) now consider them a treat or reward, per consumer insights platform Zappi. That’s a notable shift for a category long associated with affordability.
  • That helps explain why nearly a third (31%) of US adults have cut back spending on fast food.

The context: That changing perception reflects a very real pricing trend.

  • Limited-service meal prices rose 3.5% YoY in June, continuing a yearslong climb. For example, the price of McDonald’s medium fries more than doubled (up 138%) between 2014 and 2024, and a Quarter Pounder with Cheese meal jumped 122%, per Quartz.
  • The average cost of a fast-food meal now stands at $11.56 across major metro areas, according to LendingTree. In San Francisco, it’s $13.88. Even in Columbus, Ohio—the cheapest metro market—it tops $10.

Our take: As inflation erodes fast food’s traditional value proposition, QSRs must sharpen their brand strategy or risk alienating diners. Brands that lean into indulgence and novelty can help position meals as a “treat,” while doubling down on affordability with compelling promotions and budget-friendly meal deals can reengage price-sensitive consumers. Striking that balance is key: 1 in 3 consumers say they’ve changed their go-to fast food or fast-casual chain in the past year, with better food (46%) and better value (40%) driving those shifts, per a Tillster consumer survey.

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