McDonald’s (MCD) had a strong first quarter, but the company is facing resistance from customers as higher prices for items like Big Macs and fries take effect. On the earnings call held on Tuesday, CEO Chris Kempczinski warned investors that the company was seeing more pushback on pricing than expected.
The typical cost-conscious McDonald’s customer is beginning to balk at the higher menu prices, leading to a decline in the key units per transaction measure. Some customers are opting for just a hamburger, while others are purchasing more premium dinner items but leaving out a dessert.
