US burger chain Wendy's has denied it is considering plans to raise prices for customers during busy periods, claiming its plans were “misunderstood”.
The company told investors this month that it is rolling out digital menu displays in its restaurants and plans to start testing features “such as dynamic pricing” early next year.
This term refers to the act of rapidly changing posted prices.
The plan quickly drew backlash and accusations of “price gouging.”
Wendy's said in a statement Tuesday that the purpose of the digital menu board is to provide “more flexibility in displaying featured items,” including promoting discounts during off-season periods.
“Some media reports misinterpreted this as an intention to raise prices at a time when demand is highest in our restaurants. “We have no intention of doing so,” the company said.
He added that the company never used the phrase “surge pricing,” as it did in the article explaining President Kirk Tanner's comments.
The term “surge pricing” was popularized by Uber, which has long charged higher fares during peak seasons.
This practice is also common in sectors such as airlines and hotels, and is becoming more widely adopted as technology makes it easier to automate changes.
In the UK, Stonegate Group, the major pub chain that owns Slug & Lettuce and Yates bars, announced last year that it would increase prices during peak hours.
The idea that Wendy's, which has more than 6,500 restaurants around the world, could adopt a similar strategy sparked outrage online, with many saying they would simply take their operations elsewhere. Ta.
Left-leaning Sen. Elizabeth Warren was one of the most high-profile critics, saying Wednesday that the plan “could make people pay more for lunch even if it costs exactly the same at Wendy's.” Said to mean that.
“This is price gouging, plain and simple, and American families have had enough,” she wrote on X (formerly Twitter).