Bad news, fried chicken fans. Collin Foods, the company behind KFC franchises in Australia (as well as Taco Bell), has shared an update that indicates diners should prepare for “menu pricing” changes in 2023.
Are KFC menu prices changing?
As news.com.au has reported, the reason for the proposed price hike at KFC is the rising cost of ingredients like chicken, lettuce and oil (something that has hit all of us to some degree). A statement from Collin Foods’ half-year results explained that “Additional menu pricing and procurement initiatives are expected to mitigate further cost inflation into FY24, though full margin recovery may extend into FY25 and beyond”.
This is not the first time KFC Australia has hit customers with a price increase. In January and June 2022, menu prices went up by about 1 to 2 per cent, the AFR has reported.
And while Collins Foods chief executive Drew O’Malley has said the intention is to “keep the brand affordable,” it’s expected that some folks will not be impressed with having to fork out more for their burger and chips.
“Any time you raise price, you take risks around transactions. You need to keep that dynamic in mind,” O’Malley shared, as quoted by AFR.
In terms of what kind of menu price changes KFC fans can expect, we don’t really know just yet, but news.com.au reported that company documents suggest the increase will be set “at or below” inflation rates. And according to KFC Australia itself, we can confirm that’s pretty much the case.
Lifehacker Australia reached out to KFC regarding the news, and a spokesperson shared the following statement confirming that price changes are coming:
“We will always be competitive on value, but given current inflationary pressures, we, like many other businesses, have had to re-visit our pricing to continue providing high-quality menu items.”
Here’s hoping the cost of your favourite fried chicken doesn’t change all that much – this year has been tough enough as it is.
This article has been updated with a statement from KFC Australia.
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