Snacks Move Into More Restaurants
Quick-serve chains develop new items to drive snack business their way.
By Derek Gale, Associate Editor -- Restaurants & Institutions, August 1, 2007
 BK-branded potato snacks   McDonald's Chipotle BBQ Snack Wrap  Arby's popcorn chicken shaker  Jack in the Box's sampler trio Related reading: Special Report: A New Snack Mix |
While research shows that people are eating differently—fewer structured meals and more snacking, the same research indicates that consumers have not been too impressed with restaurants’ offerings in the snack space to date.
Nearly 85% of consumers surveyed in R&I’s New American Diner Study say they snack at least once a day, but nine of 10 say they rarely—if ever—visit a restaurant to do so.
And Chicago-based foodservice consultancy Technomic Inc. found last year that fewer than one in 10 consumers rated the selection of snacks at foodservice venues as “excellent.”
Looking to capitalize on this consumer behavior and desire for different snack offerings, Miami-based Burger King on July 31 announced plans to develop a line of branded snacks to appear in vending machines, on airlines and in convenience, drug and grocery stores this fall.
Two new snack chip flavors will be introduced: ketchup & fries, and “another yet-to-be-named savory that captures the flame-broiled flavor of the Burger King brand,” according to a press release. The burger chain also plans to offer 100-calorie bags of the chips in its stores.
In the release, Russ Klein, president of global marketing, strategy and innovation for Burger King Corp., talks of expanding brand reach far beyond BK’s 11,200 restaurants through the new distribution channels. “Our vision is to secure a brand presence in more than 100,000 outlets,” he says.
That would take the brand from the position of competing with c-stores, supermarkets and vending machines for snack business to actually having its product available on the shelves of those alternative food outlets.
Meanwhile, Oak Brook, Ill.-based McDonald’s (also on July 31) debuted its new Chipotle BBQ Snack Wrap, a third version of the snack item to accompany the successful ranch and honey mustard varieties. Like the other flavors, the new item will be available with either crispy or grilled chicken.
To help drive customers to McDonald’s stores for their snack cravings, the company is launching an accompanying promotional campaign including national television, radio and print advertising, a new Web site, www.mysnacktime.com, and street teams in six major cities: New York, Los Angeles, San Francisco, Chicago, Atlanta and Miami.
“This is big news for us,” explains Marta Fearon, director of U.S. marketing for McDonald’s. “It is considered not only a line extension, but a new product on our menus. We want to make sure consumers see and experience it. Our goal is [for customers] to think of McDonald’s as a snacking destination.”
The campaign invites consumers to celebrate snacking by joining a movement to “take back snack time” and by inviting those in their social network to accompany them to McDonald’s for a snack.
At the new Web site (actually part of the McDonald’s USA Web site), visitors can learn to “speak snack” and can send customized e-mails or voicemails to friends, families and co-workers. Meanwhile, on launch day only, the street teams will hand out gift cards good for a free sample of the new Chipotle BBQ Snack Wrap.
The success of the company’s low-price, fit-in-your-hand Snack Wrap product thus far certainly has caught competitors’ attention. Burger King, for example, has its own line of wraps—called BK Hold’ems—currently under development.
And others in the quick-serve segment, like Atlanta-based Arby’s and San Diego-based Jack in the Box, also have recently rolled out snack products involving chicken.
After announcing a popcorn chicken offering in June, Arby’s latest twist on the product is to offer popcorn chicken shakers—the same popcorn chicken, to which customers now can add buffalo or barbecue sauce, in a shakeable container.
Jack in the Box, meanwhile, in March debuted a sampler trio involving stuffed jalapenos, mozzarella cheese sticks and Spicy Chicken Bites ( chicken breast pieces with a spicy, crunchy coating), served with ranch and marinara dipping sauces.
Notably, all of these new snack items play to consumer demand for convenient, portable items that satisfy hunger without being a complete meal.
"By offering new options that appeal to the snacking consumer, chains [can] make a measurable impact on same-store sales and add business during off-peak hours," says Darren Tristano, executive vice president of Technomic’s Information Services division.
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