Kevin Roberts remembers when he could get a bacon cheeseburger, fries and a drink from Five Guys for $10. But that was years ago. When the Virginia high school teacher recently visited the fast-food chain, the food alone without a beverage cost double that amount.
Roberts, 38, now only gets fast food “as a rare treat,” he told CBS MoneyWatch. “Nothing has made me cook at home more than fast-food prices.”
Roberts is hardly alone. Many consumers are expressing frustration at the surge in fast-food prices, which are starting to scare off budget-conscious customers.
A January poll by consulting firm Revenue Management Solutions found that about 25% of people who make under $50,000 were cutting back on fast food, pointing to cost as a concern.
I won’t believe paying fast workers a liveable wage necessitates the rise in cost unless there’s hard data behind that. Sure, it’s likely a necessity to continue profit growth quarter after quarter, but I’d wager they’re able to continue making massive profits even with having to pay their staff like they’re humans.
I agree with you about fast food though. We’ll be better off without them. Fuck em.
Hey, I can edit too: You never said gross prior to your edit, you were talking about consumer costs. I’m still not yet a believer, but I Iove you :)
Since labor is a cost. You just defeated your argument.
If labor goes up, prices will go up. It’s that simple. Fast food is only profitable at high volumes. Their profit margin is only around 10% which is low.