I bought fast food for a group of people last night. The menu pricing was significantly higher than ordering through the app, which also allowed me to attach a digital coupon.
The pricing within the app is what I would expect to pay, or what I believe is “fair” or “reasonable” for chicken nuggets, French fries, and cheeseburgers.
On the other hand, I have cut my fast food consumption by at least half over the last few years because the published menu prices have skyrocketed.
What possible benefit would a fast food restaurant derive from publishing high prices to the casual customer and drastically reducing them within the app?
They have to be realizing a net loss of customers with this model, right?
In: Economics
Shareholder value. For consider that day traders tend to be morons who don’t know crap about a particular business. They are dazzled by buzzwords in press releases. They love “synergies” with anything that’s online, “smart”, app-driven, integrated with social media, etc.; anything that sounds new and fresh and exciting. So if everyone else is pivoting to apps and AI, and your business is dragging its feet on jumping on this latest trend, then the shareholders get nervous and your stock price drops. Better to chase the fads. Customer losses can be blamed on other things.
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