In the USA, where the economy as a whole is doing well, certain consumer segments are still struggling to serve their customers while also managing costs, reports Business Insider. The death of the American middle class and rising costs have forced fast-food chains like McDonald’s and Taco Bell to try new strategies in their quest to win over budget shoppers.
Quoting Yum Brands CEO Greg Creed, who maintains that ‘whilst there are certainly people making a lot of money, there are certainly people for whom value will remain incredibly important.” According to Creed, the CEO of Taco Bell, KFC and Pizza Hut ‘America is seeing an economic ‘bifurcation’, with many people being left behind, even as the economy thrives. As a result many fast-food brands are doubling their efforts to win budget shoppers who are struggling to make ends meet and still can’t afford to spend much on food. The challenge for fast-food chains, generally known for selling the cheapest meals around, is to balance giving value to that market segment whilst battling rising costs.