AI-Powered Pricing Leaves McDonald's Store Prices in Disarray
McDonald's is using artificial intelligence to set menu prices across its U.S. restaurants and some global locations, according to TipRanks.
The AI system relies on software built with Tiger Analytics that checks local demand for McDonald's to suggest custom price suggestions for each store location.
This has led to significant price gaps between nearby McDonald's stores, with a Big Mac costing $5.69 at one Fresno, California location and $6.89 just two miles away.
McDonald's claims that store owners are free to set their own final prices, but internal records show that corporate systems track every time a store owner deviates from the suggested price.