April 23, 2024 
TABLE OF CONTENTS
Yum! Brands News
Dairy Foods: Dairy Farmers of America teams with Pizza Hut on sustainability initiative
Nation’s Restaurant News: KFC CMO Nick Chavez says brand’s influencer strategy helps attract a younger audience
Nation’s Restaurant News: Pizza Hut’s Lindsay Morgan wants to tug on the heartstrings of nostalgic pizza fans
Nation’s Restaurant News: Taco Bell’s Taylor Montgomery: Marketing today is about being a connector
Africa Outlook Mag: KFC Africa: Chicken that rules the roost
QSR Magazine: Taco Bell expands recycling program with TerraCycle
Cleveland Magazine: This Cleveland Taco Bell hosted another punk show: photos
Yum!Now News
Two (green) thumbs up to Yum!’s sustainability chief
Competitor Intelligence
Nation’s Restaurant News: McDonald’s ‘share the pen’ philosophy has driven business results
Bloomberg: Chipotle set to open first Middle East location
Restaurant Dive: Papa Johns franchisees accelerating growth this year in light of incentives
QSR Magazine: Cicis launches OREO Brownie Pizza
Industry Trends
CNBC: High global food prices may finally see a bottom in 2024, says Oxford Economics
Restaurant Business: Greg Flynn expands his Applebee’s empire
QSR Magazine: New Smashburger CEO embraces opportunity for growth and menu enhancement
Nation’s Restaurant News: Julie Hauser-Blanner named COO of Smalls Sliders
Policy & Regulatory News
Restaurant Business: Qdoba and Chipotle to pay millions to settle alleged labor violations in Washington state
Restaurant Business: Negotiations between Starbucks and its employees' union are set to begin
Nation’s Restaurant News: Surge in food delivery-related legislation and lawsuits could lead to industry regulation
Investing in People
CNBC: Delta Air Lines gives staff another 5% raise, hikes starting wages to $19 an hour
 
Yum! Brands News
Dairy Foods: Dairy Farmers of America teams with Pizza Hut on sustainability initiative
Dairy Farmers of America (DFA) is collaborating with Pizza Hut to enhance cheese sustainability, resulting in a 10% decrease in GHG emissions from Pizza Hut cheese production. Pizza Hut has exceeded its goal of sourcing 50% of dairy from sustainable farms by 2025, achieving 60% two years early. “At Pizza Hut, we’ve always been focused on bringing the best pizza possible to our customers, starting with key ingredients like our cheese,” said Rachel Antalek, Pizza Hut global chief food innovation officer. “In partnership with DFA, we’re further investing in making our cheese more sustainable and are very excited to see positive results in reducing our emissions at the farm level, by putting more good into our pizza.”
 
Nation’s Restaurant News: KFC CMO Nick Chavez says brand’s influencer strategy helps attract a younger audience
KFC U.S. CMO Nick Chavez highlighted the brand’s shift toward attracting younger demographics through innovative offerings like chicken sandwiches and influencer collaborations. Chavez emphasized the importance of authenticity in influencer partnerships and aligning values. “We’ve had a steady beat of key celebrity and influencer relationships really designed to engage younger audiences and they have recruited and attracted new interest and trial of our products,” Chavez said.
 
Nation’s Restaurant News: Pizza Hut’s Lindsay Morgan wants to tug on the heartstrings of nostalgic pizza fans
Lindsay Morgan, Pizza Hut U.S.’s CMO, highlighted how she aims to blend nostalgia with innovation to captivate today’s pizza enthusiasts while honoring the brand’s iconic legacy. With a marketing tenure spanning nearly two decades, Morgan seeks to refresh Pizza Hut’s emotional connection for the modern consumer. From limited-edition augmented reality pizza boxes to nostalgic “Hut Hats,” Morgan infuses fun and freshness into the brand.
 
Nation’s Restaurant News: Taco Bell’s Taylor Montgomery: Marketing today is about being a connector
Taco Bell has excelled in influencer marketing, demonstrated by its Live Más Live event and the TBX program, embracing creators and emerging chefs to reimagine offerings. Led by CMO Taylor Montgomery, Taco Bell focuses on brand objectives, business needs and team cohesion. As CMO, Montgomery noted he focuses on three areas of prioritization. “One, getting tight on what our brand objectives are and how do we balance and acknowledge who we are as a brand – where we were versus where we want to go in five to 10 years. No. 2 is the business. What are the needs and goals of the business? No. 3 is the team,” Montgomery said.
 
Africa Outlook Mag: KFC Africa: Chicken that rules the roost
Akhona Qengqe, general manager of KFC Africa, shared her inspiring career journey and the company’s commitment to inclusivity and sustainability. Qengqe’s leadership was noted to drive diversity initiatives and innovative store concepts, ensuring KFC Africa remains a workplace of opportunity and a force for good in local communities. “KFC is a global brand with a rich, decades-long history of success and innovation. Today, while honoring our heritage, we remain committed to modernizing Colonel Sanders’ vision by serving feel-good food at scale through inclusive, equitable and sustainable business practices,” she said.
 
QSR Magazine: Taco Bell expands recycling program with TerraCycle
Taco Bell U.S. is expanding its recycling program in collaboration with TerraCycle, now accepting various sauce containers, souffle cups/lids and coffee creamer pods. Participants can sign up on the Taco Bell Sauce Container U.S. Recycling Program page on TerraCycle.com, collect empty containers in a cardboard box, print a free UPS shipping label from their TerraCycle account and send the shipment to TerraCycle for recycling. The waste is transformed into hard plastic pellets for making new products, and participants earn TerraCycle Recycling Rewards points, which can be converted to cash or donated to nonprofits like the Taco Bell Foundation.
 
Cleveland Magazine: This Cleveland Taco Bell hosted another punk show: photos
The West 117th St. Taco Bell in Cleveland recently hosted its second pop-up punk concert, “Baja Blast 2,” featuring local bands like Necroprophecy, Body Farm and Razor Blade. Attendees enjoyed the chaotic night of music, accompanied by Fire Sauce packets. The event drew a crowd, with additional attractions including a tattoo artist offering “Baja Blessed” face tattoos and an impromptu food fight involving tacos purchased from the restaurant.
 
Yum!Now News
Two (green) thumbs up to Yum!’s sustainability chief 

Next in our “How I Got Here” Earth Day lineup, leading the charge for Yum!’s overall sustainability strategy is Jon Hixson, chief sustainability officer and vice president of government affairs. He's the driving force behind our company’s commitment to environmental stewardship, ensuring that it's not just a talking point, but a core aspect of Yum!’s Good Growth strategy. 

Read more about Hixson’s journey in this Earth Day edition of “How I Got Here” and watch for more stories from our leaders this week.

Read more
Competitor Intelligence
Nation’s Restaurant News: McDonald’s ‘share the pen’ philosophy has driven business results
Under CMO Tariq Hassan’s leadership, McDonald’s has achieved over 30% growth in systemwide sales since 2019, driven by successful marketing campaigns like the Travis Scott Meal and Cactus Plant Flea Market collaborations. The brand’s “share the pen” philosophy prioritizes fan-generated content, empowering influencers to authentically engage with the brand. By focusing on fan connection, cultural relevance and bravery in creative partnerships, McDonald’s has cultivated genuine interactions with consumers.
Bloomberg: Chipotle set to open first Middle East location
Chipotle is expanding into the Middle East with its first location in Kuwait City, scheduled to open amidst lower sales for some U.S.-based companies due to boycotts related to the Israel-Hamas conflict. Despite this, Chipotle plans to open more locations in the region, including one in Dubai later this year.
Restaurant Dive: Papa Johns franchisees accelerating growth this year in light of incentives
Papa John’s franchisees are accelerating its growth plans for 2024 due to incentives offered by the franchisor, which eliminates the national ad contribution for five years for new restaurants opened this year. This incentive could save $330,000 in development costs, prompting franchisees to move up unit openings from the first half of 2025 to Q4 2024. Despite CEO Rob Lynch’s departure, franchisees are implementing structural changes outlined in Papa John’s Back to Better 2.0 plan, focusing on increased national advertising and local ad spending flexibility.
QSR Magazine: Cicis launches OREO Brownie Pizza
Cicis Pizza has unveiled its latest limited-time offering, the OREO Brownie Pizza, available from April 22 to June 2. Crafted by Cicis’ culinary expert C.C. Pazzini, this dessert pizza combines OREO cookie crumbles and a warm brownie base, topped with Cicis’ sweet icing. Jeff Hetsel, President of Cicis, expressed excitement over the new dessert, believing it will fulfill guests’ pizza wishes.
 
Industry Trends
CNBC: High global food prices may finally see a bottom in 2024, says Oxford Economics
Oxford Economics predicts a decline in global food prices in 2024, offering relief for consumers. Abundant supply, especially of wheat and maize, has led to lower prices. The Russia-Ukraine conflict’s impact on grain supply has eased, with ample exports from both countries. However, rice prices have risen due to export restrictions from India and poor harvests. While food prices fell in 2023, they may drop further this year before a potential rebound. Risks like adverse weather suggest prices may gradually rise in the second half of 2024.
Restaurant Business: Greg Flynn expands his Applebee’s empire
Greg Flynn, known as the world’s largest franchisee, is expanding his Applebee’s empire with a plan to open 25 new locations over seven years. His Flynn Group recently acquired 26 Applebee’s restaurants in Florida and Georgia, adding to its portfolio of over 450 locations across 23 states. Flynn sees untapped potential in new markets for the brand, signaling a shift towards net-new unit openings. Despite previous rumors, Flynn affirmed that his company is not for sale and remains a dominant force in the restaurant industry, with annual sales of about $4.5 billion and 75,000 employees.
QSR Magazine: New Smashburger CEO embraces opportunity for growth and menu enhancement
Denise Nelsen, with extensive experience at Starbucks, has taken on the role of CEO at Smashburger, attracted by the opportunity for brand growth and creativity. Under her leadership, Smashburger aims to enhance its identity by optimizing the menu and emphasizing core offerings like smash-style burgers. The brand plans to expand both domestically and internationally, with a focus on supporting franchisees for mutual success. Although facing challenges, Smashburger is poised for growth with Nelsen’s leadership and the commitment of its franchise partners.
Nation’s Restaurant News: Julie Hauser-Blanner named COO of Smalls Sliders
Julie Hauser-Blanner has been appointed as the Chief Operating Officer of Smalls Sliders, tasked with overseeing daily operations, enhancing performance and driving efficiency for the rapidly growing concept. With her extensive experience in franchise operations and leadership roles at companies like European Wax Center and Front Burner Restaurants, Hauser-Blanner brings valuable expertise to Smalls Sliders. CEO Maria Rivera expressed excitement about Hauser-Blanner’s appointment, highlighting her ability to drive sales growth and implement innovative strategies.
 
Policy & Regulatory News
Restaurant Business: Qdoba and Chipotle to pay millions to settle alleged labor violations in Washington state
Two fast-casual Mexican chains in Washington state, Qdoba and Chipotle, have agreed to pay almost $7 million in total to resolve separate legal actions related to employment regulations. Qdoba settled a lawsuit for $3.8 million, accused of violating state pay transparency requirements by not disclosing wage scales and benefits in job postings. Chipotle agreed to a $2.9 million settlement for alleged violations of city scheduling and paid leave regulations at eight Seattle units.
Restaurant Business: Negotiations between Starbucks and its employees' union are set to begin
Starbucks and the union representing over 10,000 store-level employees are set to begin labor contract negotiations this week, marking a significant step nearly three years after the organizing drive began. These talks will focus initially on setting the framework for collective bargaining, covering issues like wage rates, scheduling policies, benefits and safety measures. Starbucks Workers United (SWU) insists that each store’s staff should be treated as a distinct bargaining unit, while also empowering a 400-member team to negotiate.
Nation’s Restaurant News: Surge in food delivery-related legislation and lawsuits could lead to industry regulation
The food delivery industry faces increasing regulation to ensure transparency and protect restaurants and consumers. Recent legislative actions and lawsuits aim to address fee transparency, operator rights and accountability for errors. States like Florida and California have introduced bills requiring disclosure of fees, while lawsuits against companies like Grubhub and DoorDash seek accountability for misleading practices.
 
Investing in People
CNBC: Delta Air Lines gives staff another 5% raise, hikes starting wages to $19 an hour
Delta Air Lines, the most profitable U.S. carrier, is implementing a 5% raise for staff, including flight attendants and ground handlers, starting June 1. This marks the third pay increase since 2022, with starting wages now at $19 an hour, up from $16.55. The raise excludes pilots, who secured significant pay boosts in a recent contract. CEO Ed Bastian emphasized Delta’s commitment to industry-leading compensation.
 
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