I am not entirely sure if this is the result of a weak economy or simply rapid inflation.

McDonalds in Europe always had two competitive advantages:

Speed and affordability.

When I wanted a fast and inexpensive lunch, McDonalds was an option. Restaurants were slow and expensive.

This changed in 2022.

McDonalds in Vienna didn't just increase prices in line with inflation, they nearly doubled many prices in two years.

The special seasonal burger was about 4 Euros, the Big Mac was 3.5 Euros.

The seasonal option is now 7.7 Euros – a 92% increase.

The Big Mac sells for 5.5 Euros – roughly a 50% increase.

Restaurants have maintained a nearly similar price level for lunch meals, with an increase of 5 to 10%. However, they sped up their production and delivery during the pandemic.

I asked a restaurant owner why they did that. He said: "Customer satisfaction. I don't want to make a profit at lunchtime, but create happy, well-nourished faces. They come back in the evening more often when I do that well."

I've never had a chance to talk with a McDonalds franchise owner, since the restaurants are fully automated and the staff rarely speak with customers.

McDonalds seems optimized for getting as much cash out of customers as possible.

Now, McDonalds is no longer faster than restaurants, and the price is about the same.

Why would I choose a lower quality McDonalds lunch when I can have a high-quality lunch at a restaurant for a similar price?

They've simply lost their competitive edge. I see it as a sign of greedy management.