Operations

The next generation of QSR, Part 1: The new economics of value

This four-part series explores the forces reshaping the next generation of quick-service restaurants, examining how shifting consumer behaviors, economic pressures, operator strategies and emerging technologies are redefining the path to growth.

Photo: McDonald's

July 15, 2026 by Valerie Gritton

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Editor's Note: This is part one of a series. In Part 2 of The Next Generation of QSR series, we'll explore how loyalty programs, artificial intelligence and personalization are becoming the next frontier in creating value, strengthening guest relationships and driving long-term growth.

According to the U.S. Bureau of Labor Statistics' Consumer Price Index (CPI) for Food Away From Home (restaurants and other foodservice), the cost of dining out has increased by an estimated 30% over the past five years. That means quick-service brands are rethinking the term value. Specifically, what it means for their guests, their brands and their bottom lines.

To help ease economic pressure, chains such as McDonald's, Taco Bell and Burger King, to name just a few, have launched value meals and bundles intended to win a larger share of consumers' more selective dining dollars.

During the company's Q1 2026 earnings call, McDonald's CEO Chris Kempczinski recognized that consumers are now more price-sensitive and that the company needed to "reassert its value leadership."

"At McDonald's, value has always been part of our DNA," Kempczinski said during the call. "As I've said before, and I'll say it again, McDonald's is not going to get beat on value and affordability. We've listened closely to our customers and adjusted along the way with a relentless focus on strengthening our value leadership. We've been applying that same discipline internationally for quite some time, where the vast majority of our large markets offer both everyday affordable price items and meal bundles, giving customers flexibility and options that work for a range of budgets."

The chain's value proposition includes individual menu items under $3, along with a $4 Breakfast Meal Deal.

"Those additions build on our meal deal offers throughout the day and give customers clear, consistent options across dayparts. This approach isn't new to us, and we know it works. As we said at the outset, we're measuring success in 2 ways: our ability to grow share with low-income consumers and our ability to improve value and affordability scores. When value is clear, consistent and supported by strong marketing and menu execution, it moves the business."

Redefining a category

While brands work to improve profitability and drive traffic in what is now considered a K-shaped economy — one that sees higher-income households experiencing faster growth in spending than lower-income households — the focus is shifting from providing value to redefining what it means.

"Value is likely the word of the year when it comes to the foodservice space," said Huy Do, a research and insights manager with Datassential.

And value is no longer defined as what's cheapest, he said, as consumers today want a great value, "but not necessarily the cheapest thing."

"Value today is more than just the lowest price of an item," Do added. "Consumers want the best value, but not the cheapest thing. 2026 is all about bundles as consumers are asking: How many different items can I get for this set price. This means consumers are choosing menu bundles that provide more items, whether more food or better food, and are willing to pay the price even if they have to pay a little bit more."

Case in point: McDonald's offer of both individualized and bundled menu options along with similar options launched by Burger King, Wendy's, Taco Bell, and KFC, each of whom have added to or expanded their bundled pricing architecture. And let's not forget Subway. The chain announced in April the launch of its first-ever Subway Formal Value Meal, featuring 15 menu items that range in price from $3.99-$4.99.

What's to come

If recent consumer spending trends are any indication of what's ahead, quick-service operators will continue to rethink what value pricing means and how they communicate it to consumers whose purchasing decisions are increasingly shaped by economic pressures.

According to the National Restaurant Association's 2026 State of the Industry Report, lingering inflation and a softening labor market are tightening household budgets, particularly among low- and middle-income consumers.

That trend is reflected in Federal Reserve data, which showed revolving credit card balances declined in May for the first time in nearly two years. Rather than signaling a broad pullback in spending, the data underscores the K-shaped economy: higher-income households continue to pay off balances and avoid interest charges, while lower-income consumers remain under pressure from inflation and higher borrowing costs, forcing them to scrutinize discretionary purchases more carefully.

For quick-service operators, the takeaway is clear: winning on value perception no longer means simply offering the lowest price. It means delivering a combination of affordability, quality, convenience and choice that resonates with today's increasingly selective consumer. Bundled meals, everyday affordability options and digital-exclusive offers are no longer short-term traffic drivers — they've become long-term competitive strategies.

As household budgets continue to tighten and consumer expectations evolve, operators that clearly communicate value while maintaining operational discipline will be better positioned to earn both visits and loyalty. In today's environment, value isn't measured solely by what's on the receipt — it's measured by whether guests believe they're getting more for their money.