St-Hubert freezes prices and enters the 'value menu wars'

St-Hubert has entered the 'value menu wars', offering new cheap options for lunch and freezing all prices on its main courses. (Peter McCabe, The Canadian Press)

Well-known Quebec rotisserie chicken chain St-Hubert is joining the chorus of fast food restaurants creating value meals to attempt to counter the rising cost of living and win back customers.

St-Hubert said on Wednesday that it is freezing prices on all main courses on its menu and is reducing prices on appetizers, beverages and desserts while not shrinking food sizes, the chain said.

The drop is part of a trend in Quick Service Restaurants (QSR) which have dropped prices or added value menu items to win back customers.

Tim Hortons, McDonald's, Starbucks, Burger King and Wendy's have all created value menu items, including $1 coffee, $5 meals and other options.

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The value items come as customers are spending less and restaurants are faced with higher rents, food costs and labour.

Restaurants Canada vice president Kris Barnier told CTV News that operating costs are up to 30 per cent higher.

"We absolutely are seeing people come to restaurants less and the spend per visitor is down," he said. "We are at 47 per cent of restaurants across Canada that say they we are not making money and in fact we are losing money."

At St-Hubert dining rooms, new lunch dishes will start at $12 and main courses will come with the option of two appetizers, desserts or beverages for $4 at lunch and $8 in the evening.

"Inflation can hurts Quebecers, and many families are now forced to make tough decisions when it comes to spending on leisure and entertainment," said St-Hubert president Richard Scofield. "It's important that all our customers feel like they're getting real value for their money."