Consumers are voting with their wallets—and some of America’s best-known food brands are losing. As a result, the portion of U.S. consumers’ income spent on food has reached the highest level in three decades. McDonald’s and other restaurant chains have warned for months that consumers are reining in spending, particularly low-income diners. Kraft Heinz said Wednesday that its quarterly sales fell 1.2% as higher prices and reduced food-stamp benefits in the U.S. weighed on demand. The rebellion from consumers is prompting some food companies to shift their strategies, even if offering deals comes at a cost.

Source: Wall Street Journal May 05, 2024 12:40 UTC