| Yum! Brands News | |
| | Yum!Now News | |
| | Competitor Intelligence | |
| | Industry Trends | |
| | Policy & Regulatory News | |
| | | |
| Yum China CEO, Joey Wat, highlighted the slow economic recovery in China, attributing it to the profound psychological impact of the COVID-19 experience on consumers. Wat notes that China’s post-COVID recovery lags behind the rest of the world, emphasizing the significance of Nov. 14, 2022, as the date when China eased COVID controls. Despite the end of strict measures, factors like the real-estate crisis hinder consumption, impacting various companies. Wat remains optimistic about China’s potential, citing untapped capital and potential annual GDP growth. |
| KFC’s Chief Food Innovation Officer, Vijay Sukumar, noted he is focused on adapting the brand to evolving consumer preferences, particularly targeting younger demographics. Over the past three years, KFC has introduced a series of boneless products, including wraps and nuggets, to appeal to the fast-growing category preferred by younger consumers. Sukumar emphasized the challenge of innovating while maintaining KFC’s core DNA. “We have to be authentically KFC and not just mimicking what everyone else is doing. Sometimes we feel pressure because the category is growing, but where we stay authentic is where we’ve had more success,” he said. |
| Kansas City Chiefs tight end Travis Kelce opted for a solo Thanksgiving feast with KFC. A KFC representative confirmed that the chain coordinated a holiday meal for Kelce and his friends. The “TK Thanksgiving order” included 56 pieces of fried chicken, 80 hot & spicy wings, mashed potatoes, gravy, mac and cheese and corn. Kelce’s KFC-centric celebration sparked speculation about a potential collaboration, aligning with KFC’s suggestion for solo celebrations. |
| Nation’s Restaurant News highlighted Taco Bell’s prowess in menu innovation, featuring insights from culinary executives Liz Matthews and Missy Schaaphok. Recognizing the brand’s history of successful launches like Doritos Locos Tacos and Nacho Fries, the article explores six recent limited-time offers. Taco Bell, known for its R&D boldness, consistently introduces innovative items, occasionally hitting home runs and has established itself as a leader in restaurant menu innovation. |
| Taco Bell U.S. is reintroducing its Coin Drop fundraising game via the mobile app, coinciding with Giving Tuesday. Running from November 28 to December 11, users can participate by rounding up their order total, receiving digital “coins” for a chance to win free menu items. The initiative supports the Taco Bell Foundation and Live Mas Scholarship fund. Taco Bell’s chief digital officer, Dane Mathews, noted that this digital iteration as a way to engage fans and provide a nostalgic experience. |
| Stay in the loop on all the happenings at Yum! |
| McDonald’s plans a 4% global expansion in 2023, approximately 1,500 new restaurants worldwide. In Q3 2023, U.S. same-store sales surged 8.1%, with a 10.3% rise in Q2 and 12.6% in Q1. CEO Chris Kempczinski hinted at an accelerated U.S. growth rate, referencing ongoing property acquisitions, particularly in the South and Southeast regions. McDonald’s raised royalty fees for the first time in three decades, from 4% to 5%, effective 2024. |
| McDonald’s Japan introduces two limited-time Chicken McNugget sauces for the 2023 holiday season: Lobster-flavored Butter Sauce and Black-Truffle-flavored Steak Sauce, available until December 25. The Lobster-flavored Butter Sauce combines spiny lobster with butter, soy sauce, garlic, onion and a secret ingredient. The Black-Truffle-flavored Steak Sauce features tomato- paste-and-soy-sauce-based steak sauce with sautéed onions, black pepper, garlic and black truffle. |
| Quiznos introduces the Club Peri Peri Sandwich as its latest limited-time offering, infusing global flavors into a familiar favorite. The sandwich features grilled chicken, creamy peri-peri sauce, bacon, red onions, lettuce, tomatoes, jalapeños, and melted cheese, served on Italian white bread. The peri-peri sauce, a traditional South African condiment, adds a spicy touch to Quiznos’ take on the classic chicken club sandwich. |
| Starbucks has introduced three limited-time, holiday-themed cold foams to its menu: Peppermint Chocolate Cream, Sugar Cookie Cream and Chestnut Praline Cream. Available for an additional charge, these foams can be added to any customer’s drink. Customization charges contribute significantly to Starbucks’ revenue, accounting for approximately $1 billion annually, according to CEO Laxman Narasimhan. |
| Jack in the Box has introduced Mini Cinnis, bite-sized warm cinnamon rolls available in 5- and 10-piece orders. Priced at $2.50 for a 5-piece order and $5 for a 10-piece order, the new addition joins Jack in the Box’s late-night menu, which already features other mini items like Mini Churros and Tiny Tacos. |
| Deutsche Bank analyst Lauren Silberman suggests that restaurant operators may face challenges in 2024 as diners become more price-sensitive, potentially eroding the cushion provided by aggressive price hikes over the past three years. With traffic yet to return to pre-COVID levels, Silberman advises that operators should focus on strategic investments in value offerings, operational improvements, and leveraging underutilized dayparts. |
| Kitchen United, a shared kitchen operator, is reportedly closing all its locations operating inside Kroger stores and pivoting towards a software-focused business model. The move comes just over a year after Kitchen United raised $100 million in funding, with Kroger among the investors. Kitchen United’s shared kitchens allow customers to order food from various restaurant brands for pickup or delivery. |
| Convenience stores (c-stores) are expanding their offerings to attract more customers during the dinnertime hours. Traditionally, c-stores have lagged behind grocery stores and restaurants in promoting take-home meals, with only 6% of consumers purchasing prepared foods and beverages at c-stores during dinner. However, the landscape is changing as c-stores enhance their foodservice offerings. TravelCenters of America recently introduced a Comfort Classics menu, featuring items like meatloaf and pot roast. |
| In this Franchisee Spotlight, Danny Lehan, a Village Inn franchisee, shared his journey from being hired as a busboy at Village Inn at age 16 to owning multiple locations in Florida. Lehan emphasized his love for the brand, the skills he learned through the years, and the benefits of starting from within the company. He also highlighted the importance of empathy and understanding for every position in the restaurant, given his experience working various roles. |
| The Department of Labor has found that Paul and Meghan Sweeney, operators of five McDonald’s store locations in Western Pennsylvania through their company Indor, Inc., violated child labor laws. The violations involved employing 14-year-old and 15 year-old children outside of the allowable hours and times specified by law, such as working before 7 a.m. and after 7 p.m. between Labor Day and June 1, during school hours, and beyond 9 p.m. on days between June 1 and Labor Day. |
| A woman in Connecticut is suing the fast-casual salad chain Chopt after she allegedly found a piece of an employee’s severed finger in her salad. Allison Cozzi filed the lawsuit, claiming that she discovered the piece of finger while chewing on a portion of it that had been mixed into her salad. The incident reportedly occurred at the Mount Kisco, New York, location of Chopt. The lawsuit alleges that a manager at Chopt accidentally severed part of her left pointer finger while chopping arugula. |
|
|
