Wendy’s plans to roll out surge pricing in 2025

In late February, multiple news reports claimed popular fast-food chain Wendy’s plans to roll out surge pricing at its restaurant locations in 2025. Surge pricing happens when a company raises its prices when customer demand is high and then lowers prices when demand drops.

As the news circulated online, several people on social media wondered if Wendy’s is really planning to implement surge pricing at its restaurant locations next year.

Is Wendy’s planning to implement surge pricing in 2025?

Yes, Wendy’s is planning to implement surge pricing in 2025. 

Wendy’s confirmed it plans to roll out “dynamic pricing,” also referred to as surge pricing, as early as 2025. The company is looking to fluctuate its menu pricing, based on demand, at its restaurants throughout the day. This is a strategy that has already taken hold with ride-sharing companies, such as Uber and Lyft, and ticket sellers like Ticketmaster.

Wendy’s president and CEO Kirk Tanner told investors about the company’s fluctuating pricing plans during a Feb. 15 Q4 earnings call and presentation.

“Beginning as early as 2025, we will begin testing more enhanced features like dynamic pricing and daypart offerings along with A.I.-enabled menu changes and suggestive selling,” Tanner said.

Wendy’s plans to invest approximately $20 million to launch digital menu boards that will allow restaurants to change prices on the fly at all of its U.S. locations by the end of 2025, according to Tanner. The company also plans to invest $10 million over the next two years to support digital menu enhancements globally.

“Wendy’s has always been about providing high-quality food at a great value to our customers and this recent investment will continue that by driving traffic and providing value during slower parts of the day,” Wendy’s told VERIFY in a statement.

The company is already using its own Wendy’s FreshAI automated drive-thru ordering system at some of its restaurant locations. In 2023, a TikTok user showed how the AI-enabled menu works in the drive-thru.

At this time, it’s unclear whether Wendy’s surge pricing plan would allow menu costs to dip below the current, static prices if demand is low at a particular time, or if there would be a floor. It’s also unclear if there will be a cap on the surge pricing for food items.

Although Wendy’s surge pricing plan has not been rolled out yet, the company is already facing some backlash online. Some people are calling for a boycott of the fast-food chain, while others are saying they plan to take their business elsewhere.

“From a consumer standpoint, I think people right now are very, very aware of pricing. People are still hurting because of inflation. I don’t think [Wendy’s] can make many friends with this and I would tell them to go very slowly, if they do test it at all,” restaurant consultant Arlene Spiegel told VERIFY.

The Associated Press contributed to this report.