Despite reports earlier this week saying Wedny’s would implement a “dynamic pricing” model at its restaurants in the coming year, where items would change depending on demand, the company now says it will not move forward.
The reports came as the company’s CEO, Kirk Tanner, told investors on a call that the new system will be tested next year.
Tanner had announced a number of new initiatives, including the “dynamic pricing and daypart offerings, along with AI-enabled menu changes and suggestive selling.”
The pricing model that Tanner discussed would make the fast-food chain more like other industries, like travel, hospitality, and more. Some compared the pricing model to that of Uber and airlines.
However, the internet responded as expected to the news, slamming the decision from Wendy’s, which the analysis company PriceListo already has ranked as the priciest fast food chain.
In response, Wendy’s shared a statement with Reuters on Wednesday, saying it “would not raise prices when our customers are visiting us most.”
The company said that its initiative to add digital menu boards to certain stores would instead allow the restaurants to offer discounts to customers more easily, “particularly in the slower times of day.”
“We said these menu boards would give us more flexibility to change the display of featured items. This was misconstrued in some media reports as an intent to raise prices when demand is highest... We have no plans to do that,” the company said.
The response Wendy’s discussed came from all over, with the everyday consumer saying they would forgo eating at the restaurant, to U.S. Senators calling it price gouging.
“(Wendy’s pricing) means you could pay more for your lunch, even if the cost to Wendy’s stays exactly the same. It’s price gouging plain and simple, and American families have had enough,” U.S. Senator Elizabeth Warren said in a post on X.
However, the backlash seems to be all for naught, as Wendy’s insists it won’t be raising prices for consumers.