CNN
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IHOP and Denny’s are offering budget-friendly menu options this summer to attract cost-conscious consumers amid rising prices in the market. Both popular chains are following the trend set by other major food establishments.
IHOP has reintroduced its $5 all-you-can-eat pancake deal, available until September 15, coinciding with the back-to-school season, a time when customers are mindful of their spending after shopping. This promotion marks a return from last summer’s celebration of IHOP’s 65-year anniversary.
Following suit, Denny’s has rolled out meal options starting at $2 as part of its $2-$4-$6-$8 value menu, aiming to attract customers with affordable dining choices. This strategy was previously successful for Denny’s during its 10th-anniversary celebration in 2020.
IHOP and Denny’s, like McDonald’s, Taco Bell, KFC, and Wendy’s, are among the food chains introducing low-priced value meals to entice customers facing the effects of inflation and seeking cost-effective dining options.
With inflation impacting consumer spending patterns, establishments like Starbucks have experienced sales declines, emphasizing the need to address affordability in their offerings.
Consumer pushback against price hikes has led companies like McDonald’s to focus on affordability through value meal promotions, acknowledging the importance of catering to price-sensitive consumers.
David Henkes, a senior principal at Technomic, highlights the industry’s current challenge of declining foot traffic due to price increases, affirming the restaurant industry’s attempt to rebuild consumer trust through value offerings.
IHOP’s in-store promotion is designed to stimulate customer engagement and encourage return visits by starting with attracting customers through value meals.
The strategic approach of value meals aims not only to draw customers back to restaurants but also to increase sales by encouraging additional purchases beyond the discounted deals.
