Sonic joins fast food value war with US$1.99 meal pack

USA- Fast food chain Sonic Drive-In has announced a new value menu with a US$1.99 price tag, following in the footsteps of rivals Wendy’s, McDonald’s, and Taco Bell. 

 The new ‘Fun.99 Menu’ offers a double cheeseburger (quarter pound), a Chilli Cheese Coney hot dog, a 16-ounce Sonic Shakes on all its available flavors, small tots, a bacon Ranch Queso Wrap and a Southwest Crunch Queso Wrap. 

The fast food chain also revealed its plans to offer discounts to its App users, like half-priced meals on specific days.  

The value pack is the company’s attempt to respond to a dwindling fast food market plagued by high inflation that has significantly increased prices. Customers are cutting down on fast food spending and are increasingly conscious of meal pricing.  

A recent survey by Revenue Management Solutions, a market analysis and consultancy firm, revealed that 40% of customers have cut back on their fast-food spending and are not frequenting chains as much as they did two years ago.  

Competitors have reacted to the declining demand for fast food by offering affordable meals meant to attract frugal customers. Taco0 Bell, McDonald’s, Jack in the Box, Wendy’s, Burger King, and Starbucks have all introduced similar value meals to their menus since the start of the year.  

Taco Bell’s value meal has five items retailing at US$7. McDonald’s and Wendy’s value meals include four items each and retail at US$5. Starbucks’ value pack offers a food and beverage item for US$5 while Jack in the Box’s value pack includes several items at US$4 each.  

Unlike rivals that offer value meals on a temporary basis, Sonic announced that the value pack will be a permanent addition to its menu. 

The company revealed it settled on the US$1.99 menu because it wanted to set itself apart from its competitors. Ryan Dickerson, Sonic’s Chief Marketing Officer, criticized competitors for ‘recycling ideas with limited options.’  

He argued that the US$1.99 value meal is cheaper than what competitors offer and that its potential success is pegged on the variety and the permanent nature of the menu offering.