Despite Government Pressure Amid Rising Raw Material Costs... Hamburger Prices Increase One After Another
McDonald's to Raise Prices on 13 Menu Items Including Big Mac from Next Month 2nd
Mom's Touch to Increase Prices of 4 Burgers by 300 Won Each by End of This Month
Lotte Ria, Burger King, and No Brand Draw the Line for Now
Consumers Concerned It May Trigger Domino Price Hikes
The government has been meeting consecutively with the food and dining industry to request cooperation in stabilizing prices, but food franchises are raising prices one after another regardless. These companies explain that it is difficult to cope with the ongoing rise in raw material and logistics costs.
According to the franchise industry on the 28th, McDonald's Korea announced that from the 2nd of next month, it will raise the prices of 13 menu items, including 4 types of burgers and 7 types of sides and desserts, by an average of 3.7%. This is the first price increase in about eight months since February this year.
The popular Big Mac and Max Spicy Shanghai Burger single item prices will each increase by 300 won (5.8%) from 5,200 won to 5,500 won. The Egg Bulgogi Burger will increase by 400 won, and the iced drip coffee will be raised by 200 won.
Mom's Touch will also raise the prices of four burger items using chicken breast patties (Fillet Burger, White Garlic Burger, Deep Cheese Burger, Unbelievable Burger) by 300 won each starting from the 31st of this month.
A Mom's Touch representative said, "Currently, overall cost increases such as poultry continue, and especially in the case of chicken breast, the cost surge due to supply instability is ongoing," adding, "After consulting with franchise owners, we decided on the price increase effective on the 31st."
For now, other burger brands such as Lotteria, Burger King, and No Brand Burger have drawn a line, stating they have no plans to raise prices yet. An industry insider said, "Although the factors for price increases have already accumulated significantly, since prices were already raised from last year to early this year, there is a heavy burden to increase further, so they are watching the situation carefully."
However, consumers are concerned that since it has been customary for competitors to follow suit when one franchise brand raises prices, the recent price hikes by some burger companies may spread as a domino effect.
Hot Picks Today
"Stocks Are Not Taxed, but Annual Crypto Gains Over 2.5 Million Won to Be Taxed Next Year... Investors Push Back"
- [Breaking] Samsung Labor-Management 'Performance Bonus Negotiations' Fail in Third Mediation... Union Says "General Strike to Proceed as Planned Tomorrow"
- "Not Jealous of Winning the Lottery"... Entire Village Stunned as 200 Million Won Jackpot of Wild Ginseng Cluster Discovered at Jirisan
- Bull Market End Signal? Securities Firm Warns: "Sell SK hynix 'At This Moment'"
- "Even With a 90 Million Won Salary and Bonuses, It Doesn’t Feel Like Much"... A Latecomer Rookie Who Beat 70 to 1 Odds [Scientists Are Disappearing] ③
Professor Eunhee Lee of Inha University's Department of Consumer Studies said, "Since McDonald's, the representative of hamburgers, has raised prices several times within a year, other brands are likely to follow," adding, "If that happens, it could result in consumers who like hamburgers as affordable fast food turning away, so I hope hamburger companies will act more responsibly and refrain from frequent price increases."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.