Wendy’s changes course on pricing policy after surge of complaints
INDIANAPOLIS (WISH) — A frosty reception to a new pricing system has led to fast-food chain Wendy’s changing its course on a previous plan to implement a surge pricing system.
Earlier this week, Wendy’s announced plans to increase menu prices during its busiest hours (similar to Uber’s surge pricing). Wendy’s CEO Kirk Tanner said that the Dublin, Ohio-based burger chain would start testing dynamic pricing, also known as surge pricing, as early as next year.
“Beginning as early as 2025, we will begin testing more enhanced features like dynamic pricing and daypart offerings, along with AI-enabled menu changes and suggestive selling,” he said. “As we continue to show the benefit of this technology in our company-operated restaurants, franchisee interest in digital menu boards should increase, further supporting sales and profit growth across the system.”
Wendy’s Co. plans to invest about $20 million to launch digital menu boards at all of its U.S. company-run restaurants by the end of 2025. It also plans to invest approximately $10 million over the next two years to support digital menu enhancements globally.
On Wednesday, Wendy’s changed course making a distinction between “dynamic pricing” strategy and “surge pricing” practices that charge more during times of peak demand. The company said any fluctuations it decides to test in the future “would be designed to benefit our customers and restaurant crew members.”
Many local Wendy’s customers shared their thoughts on our WISH-TV Facebook page following the news.