McDonald's raising prices in Israel

McDonald's Photo: Reuters

The current price of NIS 36 for a Big Mac meal with chips and a soft drink will be increased by 3%.

McDonald's, the largest fast food chain in Israel, is raising the prices for some of the items on its menu, sources inform "Globes." The company says that the increases apply to only 5% of its dishes, while prices for the rest of its menu will be unchanged. For example, the current price of NIS 36 for a Big Mac meal with chips and a soft drink will be increased by 3%.

The price for increasing the size of dishes will also rise. Increasing the size of a hamburger from regular to large will cost NIS 5, up from NIS 4 until now, a 25% increase in the cost of enlarging the dish.

On the other hand, McDonald's has cut the cost of increasing the size of a large hamburger to a giant one from NIS 8 to NIS 7, a 12.5% decrease. The difference between these two options has narrowed, which is likely to make consumers prefer a giant hamburger to a large one, thereby contributing to the chain's sales. The price of a cappuccino is being raised from NIS 6 to NIS 7, a 17% increase.

McDonald's said in response, "The weighted increase in prices amounts to only 0.1%. The price of 95% of the meals at the chain were not changed, including Royal Mac, Nuggets, Chicken, Big America, and children's meals.

"The price of a Big Mac meal including chips and a soft drink rose to NIS 36. A cappuccino rose to NIS 7. Upgrading an ordinary hamburger to a large one costs NIS 1 more. On the other hand, upgrading from a large to a giant costs NIS 1 less."

Published by Globes, Israel business news - en.globes.co.il - on June 20, 2019

© Copyright of Globes Publisher Itonut (1983) Ltd. 2019

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McDonald's Photo: Reuters
McDonald's Photo: Reuters
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