Here I am in line at the drive-through at Wendy’s at the corner of Terrill Road and South Avenue in Plainfield, with my mouth watering for the taste of the chocolate frosty, and suddenly the price of the frosty goes up.  Just as the clock changed to show it was officially rush hour and Wendy’s became busier, they changed the price to reflect the busy part of the day. I ask myself, ‘how could this happen and what do I do’?

Once you are in line to place your order,  you are pretty much committed to making your purchase. The concept of surge pricing seemed to have started by services like Uber and Lyft.  This concept involves adjusting prices based on demand, which I feel is unfair!  In the case of Wendy’s, surge pricing would mean that during peak times or high-demand periods, the prices for certain menu items may increase. This is aimed at managing demand and potentially increasing profits during busy periods. Managing demand? How about hiring extra staff during those peak hours instead of charging us extra?

A New Digital Menu

According to Today.com, Kirk Tanner, president and CEO of the fast food chain, said, “Beginning as early as 2025, we will begin testing more enhanced features like dynamic pricing and daypart offerings along with AI-enabled menu changes and suggestive selling.” Wendy’s will be able to change their prices quickly and easily by investing $20 million in digital menu boards at all of their U.S. locations. Basically, it allows them to increase profits during peak times when demand is high.  I think implementing surge pricing could be a double-edged sword for Wendy’s. This could be beneficial for the company’s profit gains, but they may lose some loyal customers because of this.

Fast food is usually associated with affordability and consistency in pricing.  Introducing surge pricing will absolutely disrupt this expectation and lead to negative reactions from customers who feel they are being unfairly charged more during certain times. A parent wanting to grab a quick meal after they pick up their kid from soccer practice is not going to be happy paying higher prices because they are there at what is considered peak time.

Not a fan of this at all!  Many will agree with me that surge pricing could complicate the ordering process and create confusion among customers. If the price changes are not clearly communicated or, if they fluctuate frequently, people will get fed up and go elsewhere.

Whether surge pricing becomes the future of fast food remains to be seen. It’s possible that Wendy’s and other fast food chains might experiment with various pricing strategies to see how customers respond and whether it positively impacts their business. However, the success of such strategies will likely depend on how well they are implemented and how receptive customers are to the changes.