McDonald’s AI Tool Recommends Prices, Owners Say They Feel Pressure

McDonald’s uses artificial intelligence to recommend menu prices for individual restaurants, drawing on transaction and market data that includes estimates of local customers’ willingness to pay. The company says franchisees retain the final say, but five owners told Reuters they had felt pressure to use the recommendations, according to reporting reviewed across the supplied accounts. The pricing engine analyzes millions of daily transactions and generates suggested prices for individual menu items at each location. Screenshots reviewed by Reuters showed the interface describing one restaurant as having “MEDIUM SENSITIVITY” to price, based partly on customer willingness to pay in its area. The system also includes publicly available prices from nearby competitors Wendy’s and Burger King; both chains said they do not use AI to make pricing decisions. A September check of McDonald’s app found a Big Mac listed for $5.69 at one company-operated restaurant in Fresno, California, and $6.89 at another company-operated location about two miles away.