Domino’s Pizza’s top executive criticized fast food rivals who have offered value meals to customers in hopes of luring them back to their restaurants in an era of inflated prices.
Russell Weiner, the chief executive officer of the Michigan-based pizza chain, told Bloomberg News that value meals such as those offered by McDonald’s weren’t all they were cracked up to be.
“It’s like ‘hey, the rest of our menu is expensive, but you can get this one thing you may or may not like cheaper,’” said Weiner, who didn’t refer to any competitors by name.
“That’s not value.”
McDonald’s, which has struggled to keep its traditional low- and middle-income customer base amid persistently high levels of inflation, introduced a $5 value meal earlier this summer offering either a McDouble or a McChicken sandwich that come with small fries, four pieces of Chicken McNuggets and a small soft drink.
The Chicago-based fast food chain initially planned to make the value meals available for one month, but decided to keep it in place for now as it has managed to bring back diners to its restaurants.
Sonic Drive-In announced earlier this month that it would be launching its own value meal that will include burgers, snacks, desserts and wraps as part of a “Fun.99” menu whose items cost $1.99 each.
Burger King and Taco Bell have introduced similar temporary value deals.
But Weiner doesn’t seem too impressed.
“Just because something is cheaper, if it’s not what you want, it’s not valuable,” he said.
“If you want a big sandwich and you end up getting a little sandwich cheaper, you’re not happy.”
Domino’s offers its customers almost any two items from its menu, including stuffed cheesy breads and specialty pizzas, for $6.99.
Weiner touted his company’s revamped loyalty program which lets diners redeem awards quicker. He said that new products such as the New York-style pizza have also driven an uptick in sales.
Last week, Domino’s saw its stock price plummet by 14% — its worst one-day dip in more than a decade.
The company forecast sequentially slower third-quarter comparable sales and trimmed its target for new international store openings.
The company’s target of opening more than 925 international outlets for the year is expected to fall short by about 275 after its Australia-based master franchisee said earlier this week it was closing low-volume stores in Japan and France.
Since last week, however, the company’s stock price has recovered. Overall, shares of the company have risen by more than 5%.
The Post has sought comment from Domino’s.