The proliferation of iPad-based menus and wine lists is generating buzz, but far more interesting is the quiet adoption of hand-held ordering devices by several quick-service giants.
McDonald’s revealed to investors last week that one advantage of its new POS system is adaptability to handhelds, “which we're beginning to implement more and more [in] the restaurants,” commented president Don Thompson. He also noted that the new POS system is compatible with dual drive-thrus.
mcDonald's is updating its sales technology in large part because the next generation requires less user input. Franchisees say an order can be input with fewer keystrokes and screens, speeding up service during crunch periods.
The operators have groused a little about the cost, which they have to absorb after investing in equipment to produce coffees, frappes and other high-ticket beverages.
Meanwhile, I can attest firsthand that Chipowithin using handhelds at some stores, including the one near Restaurant Business' headquartersb in the Wall Street area of New York. A staffer was using one recently to take orders from the queue of 35 or so people. You placed your order and payed. Then, when you got to the serving area, less info had to be provided, and the line did move faster.
The revelation about McDonald's use of handhelds came during a conference call on Friday with financial analysts. During the call executives also offered these news nuggets:
--The January offer of a 20-piece serving size of Chicken McNuggets led to a double-digit increase in sales of the product.
--McDonald's sales of hot coffee rose 17% year-over-year during the just-concluded winter.
--A frozen strawberry lemonade will be introduced in May, a part of the chain's efforts to match new drinks with the season. Thompson noted that a new smoothie flavor is also in the works.
Showing posts with label beverages. Show all posts
Showing posts with label beverages. Show all posts
Monday, April 25, 2011
Thursday, October 8, 2009
Ruby Tuesday to roll 'best menu ever'
Ruby Tuesday is testing a new menu that “should lead to increased frequency,” marketing SVP Mark Young told investors Wednesday.
That, in turn, will help the chain attain its objective of raising guest tabs into the $12.50 to $14.50 range, from the current average of about $11.50, Young said during a conference call with financial analysts.
He did not disclose what selections will be featured on the new bill of far, but noted that they will include “several new items with bold flavors and more variety.” He also mentioned that the design spotlights an extended array of appetizers and “dinner-type items.”
The chain has been trying to boost sales in a two-pronged strategy of increasing guest counts, sometimes by offering deals, while also showcasing premium selections like a new lobster tail entree. Young said the concept will pare back its deal-making to facilitate a rise in the average check.
Beverage upgrades will also figure into that effort, he indicated.
Although Young said the new menu is still in a test phase, CEO Sandy Beall said the line-up is already set for a Nov. 3 rollout. He described it as “by far the best menu ever,” and said it was the result of “two or three years” of research and design.
Beall disclosed that the chain he founded 35-plus years ago now generates about 45% of sales with dinner-sized items, compared with a mix of 25% in past years. And that’s throughout the day—“we sell, gosh, probably 40% of all our dinners at lunchtime,” he said.
The chain’s objective, he added, is to raise that proportion to 65% of sales.
The new lobster entrée already accounts for 3% of sales, he commented. That compares with the 8% that comes from burgers, a signature of the chain, the executives indicated.
The chain’s officials noted that the recent rollout of Sunday brunch service to all but 100 stores has helped in drawing more visits from established customers.
That, in turn, will help the chain attain its objective of raising guest tabs into the $12.50 to $14.50 range, from the current average of about $11.50, Young said during a conference call with financial analysts.
He did not disclose what selections will be featured on the new bill of far, but noted that they will include “several new items with bold flavors and more variety.” He also mentioned that the design spotlights an extended array of appetizers and “dinner-type items.”
The chain has been trying to boost sales in a two-pronged strategy of increasing guest counts, sometimes by offering deals, while also showcasing premium selections like a new lobster tail entree. Young said the concept will pare back its deal-making to facilitate a rise in the average check.
Beverage upgrades will also figure into that effort, he indicated.
Although Young said the new menu is still in a test phase, CEO Sandy Beall said the line-up is already set for a Nov. 3 rollout. He described it as “by far the best menu ever,” and said it was the result of “two or three years” of research and design.
Beall disclosed that the chain he founded 35-plus years ago now generates about 45% of sales with dinner-sized items, compared with a mix of 25% in past years. And that’s throughout the day—“we sell, gosh, probably 40% of all our dinners at lunchtime,” he said.
The chain’s objective, he added, is to raise that proportion to 65% of sales.
The new lobster entrée already accounts for 3% of sales, he commented. That compares with the 8% that comes from burgers, a signature of the chain, the executives indicated.
The chain’s officials noted that the recent rollout of Sunday brunch service to all but 100 stores has helped in drawing more visits from established customers.
Friday, August 7, 2009
Busted at belly bombing
The con’s over for the 10-year-old desperados who profess to be my nieces. The adorable little flimflammers have been playing me for years, laser-targeting those doe-eyed looks of sainthood to wheedle a pre-dinner soda or ice cream bar. After all, I’d think as I slid some sugary snack their way, the little dears don’t know any better. Why not indulge their misguided innocence, just this 15th time?
Then I read a research report from Technomic and C3, an agency that specializes in kids’ marketing. Seems that kids are well aware of what’s healthful to eat. But, just like lots of adults, they don’t want to eat it.
Nearly nine out of every 10 ankle-biters know that fresh vegetables and fruits are good for them, for instance. The problem is that many prefer the fruit filling of a PopTart or jelly doughnut.
Similarly, 78% cited salad as something they should eat for health reasons, and 76% mentioned steamed vegetables, no doubt as they were munching on some fries.
One of the more intriguing questions raised by the research is how the kids might’ve learned what’s healthy. Indeed, that unanswered point of interest could turn the data into a weapon for both sides on the obesity debate.
Those who assert the industry should be required to offer healthier options for kids can underscore the finding that salads are now among the most common items on the kids’ menus of full-service restaurants. Put salads on the menu, and the youngsters learn this is what they should be eating. The push-what’s-good-for-them proponents can point to that and claim victory.
Yet the restaurant industry can just as readily contend that, first, they are providing plenty of healthful choices to kids and their parents, and, second, that doesn’t mean behavior is going to change. The kids have to want the healthier fare, or be taught to eat it by their parents. Public health advocates can demand all the healthful menu choices they want, but it doesn’t mean the little folk are going to order them.
Indeed, the study found that children aged 9 and under—the ones who are most likely to depend on Mom or Dad for guidance in ordering within a restaurant—are more likely than their older siblings to order the type of stuff that drives Michael Jacobson crazy. Technomic found that those kids will go for the fries, chicken fingers and pizza, while children aged 10 to 12 will opt for dinners like salads, seafood or steak.
Yet, the study found, restaurants are continuing to develop menu options that are perceived as healthy, particularly certain beverages and natural or organic items.
Meanwhile, I have to perfect my withering comeback for the next cupcake request. They already (successfully) put the bite on me for ice cream, including a cone of some fluorescent pink flavor called Crazy Cotton Candy.
Then I read a research report from Technomic and C3, an agency that specializes in kids’ marketing. Seems that kids are well aware of what’s healthful to eat. But, just like lots of adults, they don’t want to eat it.
Nearly nine out of every 10 ankle-biters know that fresh vegetables and fruits are good for them, for instance. The problem is that many prefer the fruit filling of a PopTart or jelly doughnut.
Similarly, 78% cited salad as something they should eat for health reasons, and 76% mentioned steamed vegetables, no doubt as they were munching on some fries.
One of the more intriguing questions raised by the research is how the kids might’ve learned what’s healthy. Indeed, that unanswered point of interest could turn the data into a weapon for both sides on the obesity debate.
Those who assert the industry should be required to offer healthier options for kids can underscore the finding that salads are now among the most common items on the kids’ menus of full-service restaurants. Put salads on the menu, and the youngsters learn this is what they should be eating. The push-what’s-good-for-them proponents can point to that and claim victory.
Yet the restaurant industry can just as readily contend that, first, they are providing plenty of healthful choices to kids and their parents, and, second, that doesn’t mean behavior is going to change. The kids have to want the healthier fare, or be taught to eat it by their parents. Public health advocates can demand all the healthful menu choices they want, but it doesn’t mean the little folk are going to order them.
Indeed, the study found that children aged 9 and under—the ones who are most likely to depend on Mom or Dad for guidance in ordering within a restaurant—are more likely than their older siblings to order the type of stuff that drives Michael Jacobson crazy. Technomic found that those kids will go for the fries, chicken fingers and pizza, while children aged 10 to 12 will opt for dinners like salads, seafood or steak.
Yet, the study found, restaurants are continuing to develop menu options that are perceived as healthy, particularly certain beverages and natural or organic items.
Meanwhile, I have to perfect my withering comeback for the next cupcake request. They already (successfully) put the bite on me for ice cream, including a cone of some fluorescent pink flavor called Crazy Cotton Candy.
Monday, August 3, 2009
The newest jolt on quick-service menus
McDonald's isn't convinced that energy drinks would make a good addition to its beverage mix. Indeed, it's betting the public will more readily embrace liquid snacks like frappes or smoothies, or thirst quenchers like flavored waters.
But that hasn't stopped three of its quick-service rivals from taking the plunge. Carl's Jr. and its brother in burgers, Hardee's, jointly announced today that they're adding Monster-brand energy drinks to the menus of all stores starting this month. The statement noted how popular the jolt in a can has become among young people. "You can’t walk down the street without seeing a young guy holding a can of Monster," remarked Andrew Puzder, CEO of the chains' parent, CKE Restaurants.
CKE's decision to start selling cans of Monster follows the introduction last month of a proprietary energy-drink brand for Krystal, the regional square-burger specialist. Krystal not only decided to market its own drink, called Blitz, but to offer it in fountain form. Patrons can either have it served over ice, or "frozen," like a slush.
They're clearly seeing opportunity where McDonald's reads at best a possibility. "The jury is still out relative to energy-based drinks," McDonald's USA president Don Thompson reportedly remarked after the company's annual shareholders meeting.
What seems to be missing from the deliberations is how the public will perceive the chains' addition of the highly caffeinated and often heavily sweetened drinks, which are clearly aimed in part at high-schoolers and older teens. Some watchdogs are going to equate the sales push with peddling espresso to children. There very well could be a backlash.
But first, watch for other chains to follow the leads of Carl's, Hardee's and Krystal.
But that hasn't stopped three of its quick-service rivals from taking the plunge. Carl's Jr. and its brother in burgers, Hardee's, jointly announced today that they're adding Monster-brand energy drinks to the menus of all stores starting this month. The statement noted how popular the jolt in a can has become among young people. "You can’t walk down the street without seeing a young guy holding a can of Monster," remarked Andrew Puzder, CEO of the chains' parent, CKE Restaurants.
CKE's decision to start selling cans of Monster follows the introduction last month of a proprietary energy-drink brand for Krystal, the regional square-burger specialist. Krystal not only decided to market its own drink, called Blitz, but to offer it in fountain form. Patrons can either have it served over ice, or "frozen," like a slush.
They're clearly seeing opportunity where McDonald's reads at best a possibility. "The jury is still out relative to energy-based drinks," McDonald's USA president Don Thompson reportedly remarked after the company's annual shareholders meeting.
What seems to be missing from the deliberations is how the public will perceive the chains' addition of the highly caffeinated and often heavily sweetened drinks, which are clearly aimed in part at high-schoolers and older teens. Some watchdogs are going to equate the sales push with peddling espresso to children. There very well could be a backlash.
But first, watch for other chains to follow the leads of Carl's, Hardee's and Krystal.
Wednesday, June 3, 2009
Beverage wars give rise to healthy counter-attack
Fast-food chains are scrambling like frat boys at a kegger to grab more coffee and smoothie servings. So how are the intended victims protecting their cup counts? In one of the great ironies of the business, drink specialists are countering with promises of better fast food.
The Reuters news service carried an exclusive yesterday about Starbucks’ plan to replace its anemic food offerings with a new line-up of better-for-you choices. "Food has been the Achilles' heel of the company,” executive vice president of marketing Michelle Gass told reporter Lisa Baertlein. “That statement will be long buried after we launch this program."
The new selections will reportedly include salads, breakfast sandwiches made with egg whites, and a variety of baked goods sweetened with sugar rather than high-fructose corn syrup, which nutrition scolds put in the same category as Communism, puppy kicking and bathroom-grout mold.
The baked products will also be produced without dyes or artificial flavorings. Preservatives will also be eliminated wherever possible, Starbucks said. The new array’s tagline will be “Real Food. Simply Delicious,” Gass told Reuters.
The news came to light a few days after Jamba Juice informed investors that it expects a new menu of “healthy on-the-go” food choices to generate as much as every fifth sales dollar (see below). Included are grab-and-go wraps, salads and sandwiches.
The meal-in-a-cup specialist is also encroaching on Starbucks’ turf a bit with new cold teas. Then again, Starbucks plans to extend its Vivanno smoothies line.
Tuesday, December 30, 2008
A good Starbucks rant, completely wasted
I was set to unload on Starbucks for embracing tea as its next big thing when a Jimmy Stewart moment took hold. My inner O’Reilly wanted to fume, “A coffee company doing tea? C’mon, folks, this is the dumbest thing I’ve ever heard! Why not just roll a keg of Budweiser behind the counter?” But the more I considered how McDonald’s and Dunkin’ Donuts kicked Starbucks in the beans by adding comparable brews, the more I wanted to say with a charming stutter, “Now wait a gosh-darned minute here. I love tea! Everyone loves tea! And now you won’t be able to get the really good stuff anywhere but Starbucks. It’s a brilliant idea, I tell ya!”
Which, of course, leads to two surprising conclusions: Jimmy Steward could’ve stomped Bill O’Reilly’s any time, even if Sean Hannity joined in. And the next major point of differentiation for a chain synonymous with coffee may indeed be exotic tea-based drinks like infusions and tea lattes. The concoctions sound far too complex for quick-service places to whip out along with chicken nuggets and snack wraps.
Ah, you counter, wasn’t that once said about lattes and other coffee-based craft drinks? And doesn’t even the local bowling alley now offer cappuccinos?
Sure, anyone can prepare those drinks today. All you do is push the button on the automated dispenser. But would you want a Vanilla Rooibus Latte or a Berry Chai Infusion coming out of an idiot-proofed machine, three steps from a deep fryer? It’s like grabbing a martini in a plastic bottle from a C-store’s cooler. The experience is just different.
Vanilla Rooibus, for the record, is a hot combination of caffeine-free “botanicals,” including rooibus, an exotic red tea that’s only grown in a pocket of Africa. When the world’s ready for McRooibus, Starbucks would probably need to embrace the next drink line.
The Berry Chai Infusion consists of aronia berry and black currant juices blended with the now-familiar flavors of chai.
There’s also an Apple Chai Infusion, a Black Tea Latte, and a London Fog Latte, incorporating lavender and bergamot, a pear-shaped Asian citrus fruit.
Are drinks of that complexity and ambition really going to show up soon on the menu boards of Jack in the Box, 7-Eleven or McDonald’s?
Of course, it’s an assumption that Starbucks can cultivate a market for those beverages.
On a recent visit to my local unit, I was the fourth person in a row to order a chai latte. I’ll bet most people never heard of chai until they saw it listed on a Starbucks board. Now I can choose from four varieties in my neighborhood King Kullen (go for Good Earth or Stash, by the way).
So I’m betting that, yes, it can.
Which, of course, leads to two surprising conclusions: Jimmy Steward could’ve stomped Bill O’Reilly’s any time, even if Sean Hannity joined in. And the next major point of differentiation for a chain synonymous with coffee may indeed be exotic tea-based drinks like infusions and tea lattes. The concoctions sound far too complex for quick-service places to whip out along with chicken nuggets and snack wraps.
Ah, you counter, wasn’t that once said about lattes and other coffee-based craft drinks? And doesn’t even the local bowling alley now offer cappuccinos?
Sure, anyone can prepare those drinks today. All you do is push the button on the automated dispenser. But would you want a Vanilla Rooibus Latte or a Berry Chai Infusion coming out of an idiot-proofed machine, three steps from a deep fryer? It’s like grabbing a martini in a plastic bottle from a C-store’s cooler. The experience is just different.
Vanilla Rooibus, for the record, is a hot combination of caffeine-free “botanicals,” including rooibus, an exotic red tea that’s only grown in a pocket of Africa. When the world’s ready for McRooibus, Starbucks would probably need to embrace the next drink line.
The Berry Chai Infusion consists of aronia berry and black currant juices blended with the now-familiar flavors of chai.
There’s also an Apple Chai Infusion, a Black Tea Latte, and a London Fog Latte, incorporating lavender and bergamot, a pear-shaped Asian citrus fruit.
Are drinks of that complexity and ambition really going to show up soon on the menu boards of Jack in the Box, 7-Eleven or McDonald’s?
Of course, it’s an assumption that Starbucks can cultivate a market for those beverages.
On a recent visit to my local unit, I was the fourth person in a row to order a chai latte. I’ll bet most people never heard of chai until they saw it listed on a Starbucks board. Now I can choose from four varieties in my neighborhood King Kullen (go for Good Earth or Stash, by the way).
So I’m betting that, yes, it can.
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