Can Burger King's New Menu Items Keep the Company Afloat?
iStock.com/Manuel Milan
Burger King (BK), one of America's multinational fast-food chains, is back at it again with another new limited-edition burger, the Candied Bacon Whopper, alongside the upcoming Fiery Big Fish sandwich.
Burger King's Candied Bacon Whopper contains: candied bacon, sweet bacon jam, lettuce, tomatoes, crispy onions, and garlic aioli, all combined with the signature Whopper patty and served on a seeded Whopper bun. As for the sandwich, it's a spicy twist on the classic Big Fish sandwich, and it comes with pickles, lettuce, tartar sauce, and a spicy glaze on a brioche bun.
These new releases serve as a reminder of how the fast-food retailer has capitalized on the latest food fads to draw in customers plenty of times in the past. For example, when spicy foods were previously gaining popularity, BK added Sriracha to its burgers. Then there was the fiery Angry Whopper that had “jalapeños, something called 'angry onion petals' and hot sauce baked into the bun.” The company even went so far as to create a "nightmare" burger for Halloween in 2018 that BK claimed would increase the eater's chance of nightmares.
From a business perspective, the goal is to make its iconic Whopper burger align with current culinary trends, thereby sustaining consumer interest and expanding market reach. This time, the Whopper is being combined with a contemporary culinary trend. Although candied bacon started making waves on the internet in 2018 on food sites and Reddit, it was not until 2023 that candied bacon, or "millionaire's bacon," began to grow across social media and food recipe influencers. In that regard, BK has responded in a timely manner.
While both BK and its main rival McDonald's have relied on celebrity partnerships or crossover initiatives with brands from other sectors, their primary focus is on their distinct menu items.
Over time, Burger King has introduced an array of limited-edition burgers, most noticeably containing burger buns awash with bold, vibrant colors that have divided customer opinions. The foray into tinted buns serves several strategic objectives for Burger King. First, they are typically launched as limited-time specials, inducing a sense of urgency and the "fear of missing out" (FOMO) among patrons, thus prompting immediate purchases and boosting store visits.
Moreover, these specialty burgers are often tied to festive occasions or blockbuster movie releases, like "Spider-Man: Across the Spider-Verse." The visually striking colors are also prime fodder for social media snaps, generating buzz and enticing customers to link their social identity with the brand.
Not to be overlooked, this inventive approach enables Burger King to set itself apart from rivals who often play it safe with their menu selections. McDonald's and KFC have dabbled with unconventional burger buns in China, launching gray and pink variations respectively. However, Burger King takes it a step further by introducing this novelty in regions both inside and outside of the United States.
But maybe it's time for the fast-food company to rethink its strategies. Especially since these vibrant buns are not without their controversies and detractors.
At the core of this debate lies the possible health implications of the additives used to achieve these distinctive hues. One such ingredient is food dye. Although Burger King reassured ABC News that the black A.1. bun, for instance, contained less than 1% of food dye, the safety of these dyes continues to be contentious.
The Food and Drug Administration (FDA) has endorsed the use of food dyes as safe. However, this approval stands in stark contrast with certain scientific findings. Some research suggests that specific dyes have been linked to cancer in animal models and behavioral issues in children. One study, published in Bio Med Central, even argued for measures to reduce children's exposure to these dyes, citing their potential neurobehavioral effects. Moreover, the use of food dyes has led to unexpected side effects for Burger King's customers.
There's also more to BK's troubles that these colored buns don't seem to fix.
In 2023, the company was sued for the advertisement of its famous Whopper burger. The lawsuit contended that the company falsely portrays its flagship Whopper burger as larger in the menu visuals than it actually is. The class action suit asserted that Burger King represents the Whopper with a seemingly more substantial patty and ingredients that generously extend beyond the bun. It further claimed that the depicted Whopper appears to be about 35% larger, boasting over twice the quantity of meat than what is truly delivered to the customers.
Additionally, at the end of 2023, one of BK's largest franchisees was forced to declare bankruptcy. In response, Restaurant Brands International (RBI) Chairman Patrick Doyle recently addressed the challenges that Burger King franchisees faced due to excessive risk and the pandemic's impact. Speaking at the Restaurant Finance and Development Conference (RFDC), Doyle acknowledged the difficult situation and empathized with those who financed these businesses.
Prompted by these challenges, Doyle, the former Domino’s CEO, joined RBI and invested $30 million into the company’s stock with the intent to revive the brand. He stressed the necessity of risk for business growth but indicated that Burger King had surpassed a healthy risk level. He itemized risks into three categories — fundamental business, financial, and structural or external — which the pandemic only exacerbated.
Additionally, Burger King invested $400 million into the brand, launching the “Reclaim the Flame” campaign and implementing operational improvements that have boosted sales and franchisee profitability. Despite the hurdles, Doyle remains hopeful for Burger King's future, prioritizing franchisee success and expressing commitment toward stakeholder prosperity.
During the company's Q3 earnings report, however, its revenue fell short yet again. With BK's next earnings report coming up in February, the future of the BK brand and company will either continue on its path to much-needed success or face more unwanted challenges.
