Hamburger Prices Rise One After Another... Big Mac Exceeds 5,000 Won (Summary 2)

McDonald's to Raise Product Prices by 5.4% from the 16th
No Brand Burger Adjusts Prices Upward by an Average of 4.8%
Momstouch Also Plans Price Increase Next Month

Hamburger prices have been rising one after another since the beginning of the year. The common stance is that the price hikes are inevitable due to the sharp increase in raw material costs and public utility fees. However, the relay price increases of hamburgers, one of the representative dining-out items for the working class, are expected to further increase the perceived burden of dining-out expenses for consumers.

Shinsegae Food announced on the 10th that it will raise the selling prices of major No Brand Burger menu items by an average of 4.8% starting from the 15th. This price increase is the first for No Brand Burger in six months since August last year.

The items subject to the increase include 23 out of 31 No Brand Burger menu items. The price of the representative menu item, the ‘NBB Original Set,’ will rise from 5,200 won to 5,400 won, and the ‘NBB Signature Set’ will increase from 5,900 won to 6,300 won. Eight side menu items such as ‘Green Salad,’ ‘Injeolmi Cheese Ball,’ and ‘Shanghai Finger Pork’ are not included in the price hike.

A Shinsegae Food official said, "We minimized the price increase to compensate for the franchisees’ profits, which have been burdened by the rising costs of operating No Brand Burger stores, while reducing the burden on customers."

McDonald’s will also raise prices on some menu items by a minimum of 100 won and a maximum of 400 won starting from the 16th. This is McDonald’s first price increase in six months since August last year. The average price increase rate across all items is about 5.4%. The prices of representative menu items such as the ‘Big Mac’ and ‘Max Spicy Shanghai Burger’ single items will increase by 300 won each, from 4,900 won to 5,200 won. The ‘McCrispy Deluxe Burger’ single item will rise by 100 won, from 6,700 won to 6,800 won. Carbonated drinks and coffee will increase by 100 won to up to 300 won depending on the type.

Mamstouch is also planning a price increase. Mamstouch will raise prices next month after consultations with franchisees. Mamstouch raised prices in February and August last year.

Earlier, Lotteria raised prices on 84 items, including 14 types of burgers, by an average of 200 to 400 won starting this month, following a price increase in June last year. The Bulgogi Burger and Shrimp Burger single items rose from 4,500 won to 4,700 won, and the set menus increased from 6,600 won to 6,900 won.

KFC has also raised the price of its representative product, the Zinger Burger, by about 3.7%, from 5,300 won to 5,500 won, and the price of original chicken by about 3.4%, from 2,900 won to 3,000 won per piece, starting from the 7th. KFC raised prices in January and July last year.

Professor Eunhee Lee of Inha University’s Department of Consumer Studies said, "In the current difficult economic situation and overall rising prices, if hamburger prices increase, consumers are likely to reduce dining-out first, which may decrease the purchase frequency itself. Rather, in such times, lowering prices to sell more, even if the immediate profit is less, is a way for companies and consumers to ‘win-win’ together."