Taco Bell is about to get cheaper

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McDonald's vs. Taco Bell: Breakfast Wars in Review

Taco Bell has launched a $1 breakfast menu.

The menu features existing items such as a breakfast burrito, a two-pack of Cinnabon Delights, and hash browns, as well as several new items, all costing $1.

The new items include: a mini skillet bowl with breakfast potatoes, scrambled eggs, cheese, and Pico de Gallo; a breakfast soft taco filled with scrambled eggs, cheddar cheese, and a choice of bacon or sausage; and a sausage flatbread quesadilla featuring a three-cheese blend, sausage, and scrambled eggs.

Taco Bell fired a shot at McDonald's in announcing the new menu.

"While dollar menus disappear across America, Taco Bell is continuing to reinvent breakfast with delicious and unique menu items only Taco Bell can provide, with 10 items for $1 each," Marisa Thalberg, Taco Bell's chief marketing officer," said in a statement.

Thalberg's remarks are a thinly veiled reference to McDonald's decision to do away with its own Dollar Menu.

McDonald's reformulated the Dollar Menu two years ago by axing the $1 price ceiling and turning it into the "Dollar Menu and More" with items that cost up to $5.

The shift upset some customers.

"Some of the challenges we've had in the US have been somewhat self-inflicted," McDonald's CEO Steve 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 recently introduced a series of "McPick 2" deals where customers can get their choice of two items for $2 to $4.

Other chains including Burger King, Wendy's, and KFC have also been offering rival promotions that bundle several items on the menu for $3 to $5.

Burger King is offering a "5 for $4" deal that includes a bacon cheeseburger, small french fries, four-piece chicken nuggets, a small drink, and a chocolate chip cookie.

Wendy's has been offering a "4 for $4" meal that includes a junior bacon cheeseburger, four chicken nuggets, small fries, and a drink, and KFC has a similar offering called the "$5 Fill Up" meal.

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Taco Bell is about to get cheaper

10. Starbucks

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9. Little Caesars

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8. Domino's Pizza

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7. Subway 

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6. Dunkin Donuts

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5. Pizza Hut

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4. Papa John's 

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3. Panera Bread

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2. Chipotle

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1. Chick-Fil-A

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