Wendy's to experiment with "surge pricing" in peak hours

[lazypucker]

Originally Posted by Azure

But isn't surge pricing due to lack of demand with drivers? Is there a lack of Wendy's locations serving fast food during peak times?

I don't get it.

You are thinking of the exact opposite. Surge pricing happens when there are a lot of demands and not enough supply, for example at the end of concerts, everyone is looking for a ride. Uber adds surge pricing where the customer will have to pay more in the hope that more drivers will go to the area to pick up rides, or less customers will request rides because of the higher prices.

This model won't work for fast food. If you raise prices during busy hours, people will simply don't eat there and buy elsewhere. There are so many more choices unlike a rideshare service.

[You Need a Thneed]

Originally Posted by Erick Estrada

A small Blizzard is $5.99? Shows how much I eat at DQ but that's still surprisingly higher than I would expect.

If this is news to you - it will also be news to you that the cup size you are thinking of as a small - that size is now the medium size.

[Strange Brew]

Thanks for providing another good reason not to eat fast food.

It's like the sin tax on alcohol and tobacco without the middleman.

[lazypucker]

Originally Posted by You Need a Thneed

If this is news to you - it will also be news to you that the cup size you are thinking of as a small - that size is now the medium size.

Nice shrinkflation tactics!!

I never buy Blizzards anymore, unless they have some sort of promo on like BOGO or 99 cents for the 2nd...

[calgarygeologist]

Originally Posted by calumniate

The outrage! How could they possibly do this??

Meanwhile bars and restaurants have always had happy hour, lol. Dynamic pricing has existed for a long time. Makes sense to even out the lunch rush / keep employees busy during more hours of the day.

But yeah I still kind of hate it

Happy hour and surge pricing are not really the same thing though. Surge pricing would be you showing up at your favorite pub to watch a Flames game, find out it is packed and that they have raised pint prices up to $15 instead of $10.

[cheevers]

Wendy's are amazing because they do everything they can to discourage you from eating there
-the restaurants are always dirty, grimy, and dingy
-the bathrooms smell like a meth lab
-I swear there is flies in the place 24/7
-food is very pricy for fast food
-employees treat you with distain
-slow as hell
-never located in a convenient place

Yet it doesn't matter, love their burgers and I keep going back every time.

[Jason14h]

Originally Posted by Erick Estrada

Costco fuel pump lineups paint a picture of masses that are willing to wait a long time to save a few dollars.

No it paints a picture that a select few are - Most people go to the regular gas station and pay more and avoid it

Most people just go pay full price to avoid the line. But some don't. So is it better for Wendy's to have long lines that annoy some/most to cater to the people willing to wait to save a $ or shorter lines and higher prices and antagonize the low spenders?

I don't know the answer but I assure you they have done the research

[Fuzz]

They should do both at once. Short line high price/slow line low price. Take your pick.

[Jason14h]

Originally Posted by lazypucker

This model won't work for fast food. If you raise prices during busy hours, people will simply don't eat there and buy elsewhere. There are so many more choices unlike a rideshare service.

The choice of many food options also means when there is a long line at Wendys people will already go elsewhere to eat

You've never walked into a food court and changed your mind on where to eat based on the line sizes?

Wendys can only serve so many people over lunch. Long lines are already costing them customers.

If they can only serve 200 people over lunch, and they are already serving 200 and another 100 see the line and go elsewhere, raising prices just enough to drive 100 people away because of cost is their ultimate move to maximize profits

And it also benefits consumers willing to pay as the line is shorter/they can get lunch

It doesnt benefit people wanting Wendy's whos time has less value to them - IE they same as people willing to sit in line for cheaper gas. These people are 'forced' to pay more for lunch or go elsewhere when they get no benefit (shorter wait time)

[fotze2]

Originally Posted by cheevers

Wendy's are amazing because they do everything they can to discourage you from eating there
-the restaurants are always dirty, grimy, and dingy
-the bathrooms smell like a meth lab
-I swear there is flies in the place 24/7
-food is very pricy for fast food
-employees treat you with distain
-slow as hell
-never located in a convenient place

Yet it doesn't matter, love their burgers and I keep going back every time.

I pretty much don't eat lunch because the prices in the food court are so ridiculous. (and I'm lazy).

The crappy +15 chinese place is 1 item and rice and vegetables for $14.50. Side of steamed rice is $4.

I think if I never lived the prices 2 years ago, I wouldn't have such a problem, but now I get why seniors bitch about prices and just don't do it. Thai Express, which is garbage is at that same price. I swear it was $8 not long ago.

and what is with overdoing Mayonaisse? Is this the businesses saying, way less meat and good stuff but will triple the amount of mayonaisse to make up for it. Maybe there is a Mayo lobby and companies get a kickback based on the volume of mayo they crap out onto things.

[bizaro86]

Originally Posted by Fuzz

They should do both at once. Short line high price/slow line low price. Take your pick.

Like Disney.

Although they do "high price, higher price"

[WhiteTiger]

An NYC Baconator costs $16.55 (cad) to START with?


Christ, at that point, just go to a real restaurant and get a good hamburger.

[Sidney Crosby's Hat]

Originally Posted by WhiteTiger

An NYC Baconator costs $16.55 (cad) to START with?


Christ, at that point, just go to a real restaurant and get a good hamburger.

In New York that'll run you $40 CAD haha.

[Hack&Lube]

I have pretty much given up eating fast food given, outside of the odd deal on a mobile app, it is completely unaffordable. It's still fast if you need something, but there is no-longer any value proposition. It's the equivalent of paying for an overpriced gas station sandwich.

[fotze2]

Originally Posted by Hack&Lube

I have pretty much given up eating fast food given, outside of the odd deal on a mobile app, it is completely unaffordable. It's still fast if you need something, but there is no-longer any value proposition. It's the equivalent of paying for an overpriced gas station sandwich.

Don't be hating on the pizza sub on the dashboard with the defrost pumping for 2 hours to melt it. I lived off those things when I was in the field.

[Yamer]

Originally Posted by Hack&Lube

I have pretty much given up eating fast food given, outside of the odd deal on a mobile app, it is completely unaffordable. It's still fast if you need something, but there is no-longer any value proposition. It's the equivalent of paying for an overpriced gas station sandwich.

I've gone this route as well. The value incentive just isn't there anymore. I'm a sucker for a Big Mac, but since the pandemic McDonalds has fully adopted cutting corners in quality. It's been years since my Big Mac came with a semi-fresh bun. They're all so stale and dry, no matter which location I go to.

Pretty much the only fast food item I consume with any regularity any more are their breakfasts, but even then I can make something similar at home for 1/3 the price.

[Hack&Lube]

Originally Posted by fotze2

Don't be hating on the pizza sub on the dashboard with the defrost pumping for 2 hours to melt it. I lived off those things when I was in the field.

nothing like making the company truck smell like dashboard pizza all the way back from Olds to Calgary in -30

[Erick Estrada]

Originally Posted by You Need a Thneed

If this is news to you - it will also be news to you that the cup size you are thinking of as a small - that size is now the medium size.

That just seems like poor value for ice milk.

[Hack&Lube]

Originally Posted by Yamer

I've gone this route as well. The value incentive just isn't there anymore. I'm a sucker for a Big Mac, but since the pandemic McDonalds has fully adopted cutting corners in quality. It's been years since my Big Mac came with a semi-fresh bun. They're all so stale and dry, no matter which location I go to.

Pretty much the only fast food item I consume with any regularity any more are their breakfasts, but even then I can make something similar at home for 1/3 the price.

I would get the Big Mac every Flames game day last year as it was $3. It's now $4 on a "fan day" that occurs more infrequently

[topfiverecords]

Originally Posted by Jason14h

While it is certainly a money grab, there may be some logic and benifit long term behind it.

If I am driving through the strip mall or walking through a food court and see a long line at lunch I will not go there. I imagine that people with short lunch breaks are even more picky. Time is Money

So if you can reduce the line at lunch by charging more, while you might lose some clients you may actually have more happy clients with the same revenue. And if the people not willing to pay extra change their behavior to come early or later, Wendy's will make more $, and the overall 'happiness' of their customers will go up

I know I would easily pay $1-2 to not wait in line. But thats me - Others dont see that time/value as worth it.

Now if the customers just go somewhere else - Then its a different question - Do you want more higher paying customers in fast food or more lower paying , slightly annoyed waiting in line customers

Also curious if this will lead to cheaper off hours pricing. This isn't entirely new as food joints often have specials as off hours to encourage customers to come.

Next they need a monthly subscription skip the line fast pass.