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Taco Bell Luxe Box.jpg Photo courtesy of Taco Bell
Taco Bell's $7 Luxe Cravings Box.

Taco Bell fires another shot in the value war with $7 box

Taco Bell's $7 Luxe Box comes a week after McDonald’s confirmed its $5 Meal Deal to win back inflation-weary restaurant consumers.

It’s not truly a value war if Taco Bell isn’t involved, is it? A week after McDonald’s confirmed its $5 Meal Deal, Taco Bell has fired back with a new $7 Luxe Cravings Box, which includes a Chalupa Supreme, Beefy 5-Layer Burrito, Double Stacked Taco, chips and nacho cheese sauce, and a medium drink. Like McDonald’s deal, Taco Bell’s is also available for a limited time.

“With the launch of the $7 Luxe Cravings Box, we’re giving consumers our most craveable items at an affordable price point and living up to our commitment on value to satisfy cravings with fan favorite full-sized menu items,” Taylor Montgomery, chief marketing officer, said in a statement.

Notably, Taco Bell isn't new to the value conversation. The Luxe Cravings Box comes a few months after Taco Bell launched its $5 Taco Discovery Box and nearly seven months after it launched its new Cravings Value menu, featuring a total of 10 items under $3.

“Our Cravings Value Menu is one of the leading value menus within the industry … because we believe consumers shouldn’t have to choose between affordability and abundance,” Montgomery said.

In a reference to recent research from LendingTree, which found that 78% of consumers now believe that fast food is a “luxury,” Taco Bell notes its $7 Luxe Cravings Box provides a 55% discount on suggested a la carte menu items, adding that “it feels like a luxury, without the luxury price.”

That “luxury” perception was likely created by relentlessly high menu prices in the QSR segment that have significantly outpaced both the full-service segment and the grocery/supermarket category. Those prices began deterring consumers – particularly lower-income consumers – during the past couple of quarters, inciting this latest value war to win them back. As such, McDonald’s and Taco Bell are hardly alone on the battlefield. Burger King, Arby’s, Subway, KFC, White Castle, Wendy’s, and Jack in the Box are among the growing number of chains that are also now offering aggressive deals and bundling options.

Contact Alicia Kelso at [email protected]

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