McDonald's Is Using AI to Dynamically Price Its Burgers

m463

$18 big mac?

MustangMatt46

Great. I'll continue not buying them.

crmd

McDonalds used to be fun, whimsical places. The one now in my neighborhood feel like the DMV. What the hell happened?

stubish

"always free to determine the final price" indicates they are aware they are forcing collusion and creating an illegal cartel. Head office telling two competing franchises how much to charge is essentially the same as two competing franchisees agreeing to pricing over a round of golf. If it gets that far, will be interesting to see who ends up holding that bag.

stubish

I'm surprised the market accepted this sort of franchisee set pricing. When I saw how airport prices differed from regular prices, I just tried harder to avoid airport food. Its a world where people drive distances for a cent per liter in petrol, but they don't pay attention to where they can get their same dinner cheaper?

donmcronald

They’ve been using some kind of dynamic pricing for a while. Last summer we decided to order McDonalds and I noticed it. I have a nephew in high school. There’s a McDonalds that’s a close walk. A lot of kids hang out there and, in aggregate, they spend a ton of money. My nephew would often order through the app and his friends would give him cash. He’d end up with a bunch of rewards. So, from McDonalds perspective he’s a customer buying tons of crap. Do you know what the true reward was? Price gouging, that’s what. In the app, everything was more expensive for him than it was for me. So, since winning the lotto by having a McDonalds beside a high school isn’t enough, they’re ripping off their regulars. I hope they go broke. My family doesn’t spend money there anymore. We’re not price sensitive, but we’re definitely “getting ripped off” sensitive. Screw McDonalds.

ChrisArchitect

Earlier: https://news.ycombinator.com/item?id=49899453

N_Lens

Our economy is becoming deranged & psychotic, the wheels are coming off. The old idea of a good product or service for a fair price is considered foolish in today's conditions. In the end the economy is more like a religion than science - reliant on people's faith in the system. As that faith erodes and as central command structures fail to regulate the economy and people, it's going to be interesting to see what emerges from the chaos.