Wendy’s Announces 'Dynamic Pricing' with Increased Menu Costs During Busy Hours

Mar. 15, 2025

Wendy’s plans to introduce surge pricing.Photo:Justin Sullivan/Getty

Justin Sullivan/Getty

Wendy’scustomers may face different prices depending on what time of day they go to the burger joint.

The fast food spot announced a plan to roll out “dynamic pricing” in 2025 during an earnings call in February.

Wendy’s new pricing model will be similar to how ride-sharing apps like Uber or Lyft bump up their prices during increased demand. Customers could be paying as much as $1 more for aBaconatorduring a peak time, like the lunch rush, according to aGood Morning Americasegment that aired on Tuesday.

In the earnings call, Wendy’s CEO Kirk Tanner explained that the chain will spend $20 million to add digital menu boards to restaurants. Tanner also specified that they will be spending $10 million over the next two years for digital menu board enhancements in international locations, perNation’s Restaurant News.

These digitized menus, “AI-enabled menu changes and suggestive selling” will allow Wendy’s to implement pricing changes quickly during peak hours. A representative for Wendy’s also confirmed to PEOPLE that customers may notice lower prices during slower parts of the day.

“Historically, companies just set one price that was constant across time. Pricing algorithms allow companies to change prices throughout the day or perhaps even throughout an hour,” University of Michigan professor of economics Zach Brown toldGood Morning America.

The Wendy’s representative added to PEOPLE that the chain is planning to test suggestive selling based on factors like the weather. They confirmed that Wendy’s is making investments in technology that will increase the flexibility of the menu.

The fast food restaurant has some deals ahead of the pricing model changes. On Feb. 29,Wendy’sis observing Leap Day with a sweet breakfast deal.

Wendy’s new Cinnabon pull-aparts

The brand’s newCinnabon Pull-Apartswill be free for customers at Wendy’s restaurants during breakfast hours. Simply order in person, online or through the app.

source: people.com