Cost-effective fast food is a thing of the past... Hamburger prices have risen twice in six months

[Asia Economy Reporter Moon Hyewon] Recently, the newly coined term "lunchflation" (a blend of lunch and inflation) has emerged as dining-out costs have surged sharply. Even hamburger fast food, once known for its cost-effective meals, has joined the price hike trend, increasing the burden on consumers.

According to the industry on the 28th, Burger King will raise the prices of 46 products by an average of 4.5% starting from the 29th. This price increase comes about six months after the average 2.9% price hike on 33 products in January this year. By product, the signature Whopper will increase from 6,400 won to 6,900 won, the Long Chicken Burger from 4,400 won to 4,600 won, and the Whopper Junior from 4,400 won to 4,600 won. Notably, the Whopper price rose from 6,100 won to 6,400 won in January and has now increased by another 500 won, totaling an 800 won increase in just half a year.

KFC, which raised some menu prices by 200 to 400 won starting from the 12th, had previously adjusted prices of some items such as the Zinger Burger and Original Chicken by 100 to 200 won in January this year, marking a second increase within six months. The popular Zinger Burger price jumped from 4,900 won to 5,300 won, with a total increase rate of 12.77% this year. It was sold for 4,000 won until 2017, meaning the current price has risen by 32.5%.

Lotteria also raised prices of major products by an average of 4.1% in December last year and further increased prices of 81 products, including burgers, by an average of 5.5% last month. The price of the flagship Bulgogi Burger was adjusted from 3,900 won to 4,500 won last month. The total price increase rate for the Bulgogi Burger over the past year reached 15.38%.

Korea McDonald's raised prices of 30 products by 100 to 300 won in February, and Mom's Touch also increased burger prices by 300 won and chicken prices by 900 won starting from the 3rd of the same month. The industry is paying attention to the possibility of further price hikes from these brands. McDonald's is strengthening its premium product lineup as its U.S. headquarters recently raised product prices.

Mom's Touch, which had pursued a "cost-effective burger" strategy, now faces a complicated situation. Although raw material prices, logistics costs, and labor costs have already soared to an unmanageable level, there is concern that further price increases could cause it to lose competitiveness in the already fierce domestic hamburger market.

The industry commonly explains this as an "inevitable decision due to the continuous rise in various costs such as logistics and raw materials." An industry insider said, "Previously, it was an unspoken rule to raise product prices once at the end or beginning of the year, but recently, as high inflation continues, the frequency of price increases is accelerating."

This content was produced with the assistance of AI translation services.