McDonald's killed the Dollar Menu -- here's what it's doing instead

McDonald’s is offering a new promotion reminiscent of its former Dollar Menu.

The “McPick 2” deal will let customers select two of the following items for $US2: a McDouble, a McChicken, small fries and mozzarella sticks, Nation’s Restaurant News reports.

The promotion returns sandwiches to the $US1 price point of the Dollar Menu.

The fast-food chain killed the Dollar Menu two years ago and turned it into the “Dollar Menu & More.” The name change went along with a price hike.

Whereas everything on the Dollar Menu had previously cost $US1, the “Dollar Menu & More” contained items that cost up to $US5.

The shift upset some customers, according to McDonald’s CEO Steve Easterbrook.

“Some of the challenges we’ve had in the US have been somewhat self-inflicted,” Easterbrook said during a conference call in July. “We moved away from the Dollar Menu and didn’t replace it with significant enough value in the eyes of consumers.”

McDonald’s is hoping the new “McPick 2” excites those value-seeking customers, who account for about one quarter of the fast-food chain’s total visitors, according to executives.

McDonald's McDoubleFacebook/McDonald’sMcDonald’s McDouble features two beef patties.

The new promotion will run nationally for five weeks starting January 4, according to Nation’s Restaurant News. At the end of the five weeks, franchisees will have the option to extend the promotion.

A number of other fast-food chains have also started running promotions in the $US1 to $US5 range recently.

Wendy’s recently started offering a “4 for $US4” meal that includes a junior bacon cheeseburger, four chicken nuggets, small fries, and a drink, all priced at $US4.

Burger King is also lowering prices.

The chain has been offering a 10-piece chicken nugget deal for $US1.49, as well as coupons for other items through its mobile app.

Meanwhile KFC has been offering a $US5 “Fill Up” meal that includes an entree, a drink, several sides, and a dessert — all for $US5.

The meal is largely responsible for recent sales growth at KFC, according to Citi Research analysts.

The rush of promotions indicates that despite lower gas prices and signs of an improving economy, customers are still demanding deep discounts from fast-food chains.

Excessive discounts are hurting the companies’ profits, however, so all four chains are pricing promotions a little higher than in the past.

NOW WATCH: We tried McDonald’s brand new mozzarella sticks that are going national next year

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