Restaurants News

Will latest news make Chipotle shareholders feel all better or sick?

If Chipotle didn’t have bad luck, it might not have any luck at all. The chain is once again dealing with a health issue related to its restaurants with a report that a location was closed after it was learned employees may have contracted norovirus. Will consumers react better to Chipotle’s decision to close its restaurant in Billerica as a precaution than Wall Street did?

Are delivery start-ups in trouble?

Layoffs of staff, raising of fees, and lower valuations in funding rounds could be seen as signs of new pressures facing delivery start-ups. Questions are arising whether the new delivery start-ups are headed for flameouts. How may the business model of delivery start-ups have to change for long-term stability?

BK has sights set on being the top (hot) dog in fast food

Burger King’s management thinks they are onto something big — we’re talking Whopper-like big. So, what’s the next big thing in fast food? “Flame-grilled” hot dogs. Will the chain-wide availability of hot dogs propel sales to a new, higher level at Burger King?

How high can McD’s go with all-day breakfast?

McDonald’s is lovin’ its decision to go to a limited all-day breakfast menu after posting a 5.7 percent increase in comparable sales in the first quarter since making the change. Are you ready to call McDonald’s switch to all-day breakfast a success?

Why are some openings ‘grand’ and others less so?

At every Chick-fil-A Restaurant opening, the first 100 customers win one Chick-fil-A Meal per week for a year. The promotion regularly draws crowds of overnight campers and heavy coverage by the local media. Why do some stores and restaurants invest heavily in grand opening events and others not bother?

In-N-Out sues a food delivery startup

A third-party service is willing to pay full-price and deliver your goods to a customer for free. Sounds like good deal, right? Well, In-N-Out filed a lawsuit against food delivery startup DoorDash to stop the service from delivering its burgers without permission. Should restaurants or retailers be open or wary about outsourcing delivery to third-party services?

Will acquiring a pizza chain boost Urban Outfitters’ fortunes?

Urban Outfitters, Inc. announced yesterday that it has entered into an agreement to acquire substantially all of The Vetri Family group of restaurants, including Pizzeria Vetri. Will acquiring Pizzeria Vetri help boost Urban Outfitters’ retail sales or distract management from its core business?

Does McD’s have a breakfast (civil) war on its hands?

You might have thought that when McDonald’s announced offering all-day breakfast at its restaurants around the U.S., it might set off a battle for the market with its fast food rivals. Instead, the move may be the reason behind an uprising. Do you see reports of franchisee unhappiness at McDonald’s as a sign of serious problem with the strategy?

Restaurants say no more tips

Do tips result in better performance by restaurant workers, or is it a dehumanizing tradition whereby the earnings of hardworking people are determined by customers? Perhaps it is some of both, and that has led some restaurants to end the practice tipping altogether. Do you think most consumers today would prefer to pay more for their meal to avoid tipping or keep the system as-is?

Will automation lead to server-less restaurants?

Reminding some of the automats of yore, a new fast-food concept, Eatsa, with national rollout ambitions, has opened in San Francisco without any servers or counter help. What do you think of the prospect of automation leading to fast-food restaurants without counter help or restaurants without servers?

Amazon adds restaurant delivery to its menu of services

Even as Amazon faces new competition in grocery delivery from Google, the e-tailer is looking to move into another equally crowded area of food delivery — restaurants. Can Amazon scale its restaurant delivery and gain dominance in a market with so many competitors, big and small?

McD’s not lovin’ BK’s peace treaty proposal

Burger King made an offer that McDonald’s could refuse. Perhaps, McDonald’s should reconsider. The number-two burger chain placed ads in the Chicago Tribune and New York Times yesterday calling on its rival to join with it in a one-day promotion to create the McWhopper to raise awareness and funds in support of the International Day of Peace. Did McDonald’s make the right decision or a mistake in turning down Burger King’s offer?

Arby’s is really going to miss Jon Stewart

For years Arby’s has served as a comedic tool for Jon Stewart on Comedy Central’s Daily Show. Now the fast food chain will no longer have him to kick it around anymore. But give Arby’s credit — the company made the most of Mr. Stewart’s exit. Did years of Jon Stewart making fun of Arby’s help or hurt the chain’s business?

Are Millennials the only ones shunning the drive-thru?

George Anderson’s days pulling up to a fast food chain’s drive-through to purchase burgers and fries are over, for all practical purposes. And his three resident Millennials have asked for years to bypass fast feeders. Which generation — Boomers or Millennials — do you think has the greater influence on the purchasing habits of the other?

Investors: McD’s turnaround plan lacks sizzle and steak

When Steve Easterbrook was named McDonald’s CEO in January, just about everyone paying attention agreed the company needed to reinvent itself. But with a focus primarily on reorganization, many investors are asking, “Where’s the reinvention?” Do you think Wall Street was expecting too much from McDonald’s management considering the length of time Steve Easterbrook has been CEO?

Uber plans to deliver everything

Uber isn’t just about picking up people in one place and delivering them to their destination in another. No, according to reports, Uber drivers (and bicycle riders) are, or soon will be, delivering restaurant meals and purchases from merchants, as well. Do you see Uber having a similar effect on foodservice and retail deliveries as it has on taxis and car services?

McDonald’s to give its workers a raise

Roughly 90,000 people working in restaurants operated by McDonald’s will be a little better off starting in July as the fast food chain has announced it will pay employees $1 above the mandated minimum wage. Will McDonald’s announcement have any effect on the public perception of the company and its franchisees as employers?

McD’s says ‘have it your way’ – eat McMuffins all day long

For those of you who have yearned for a McGriddle sandwich only to realize that it’s 10:35 a.m. and too late, there may be reason for hope. McDonald’s is testing an all-day breakfast menu at some of its locations in the San Diego area. Do you think all-day breakfast can play a significant role in turning McDonald’s business around?

Do fast feeders need a sugar rush for success?

Modern fast food restaurant menus, broadly speaking, tend to fall into two camps: those that offer nutritious fare and those that make an appeal strictly on taste. Recent news from Burger King and Sonic are illustrative of the pull that fast feeders feel. Will the future success of fast feeders hinge on chains making a strategic decision to pursue either a more healthful or indulgent positioning?

McD’s future includes antibiotic free chicken

McDonald’s announced yesterday that it would end the sale of chicken treated with human antibiotics at its restaurants in the U.S. within the next two years. How will McDonald’s decision to phase out the sale of chickens treated with human antibiotics affect the poultry industry?

Domino’s breaks new ground selling user-designed pizzas

The role user-generated content has played thus far in the restaurant world has tended to be in the form of restaurant reviews on sites like Yelp. But Domino’s in Australia is changing that: its fans decide what goes on the menu. Could a crowdsourced social media design model be as successful for retailers outside of foodservice?

Retailers are bringing the love on Valentine’s Day

Beyond the pink cutout hearts on windows, some chains are taking extra steps for Valentine’s Day to encourage intimate engagement among its customers. What do you think of campaigns that call for personal interactions with others?

C-stores are a foodservice force

Back in late 2013, the Hartman Group advised on how convenience stores could overtake restaurants in popularity as food destinations with a formula of easy, quick and accessible meals. Are c-stores primed for more foodservice market share growth in the years ahead?

McDonald’s auctions limited edition bottle of Big Mac Special Sauce

The list of ingredients which constitute the special sauce unique to McDonald’s Big Macs is not the closely-guarded secret it once was, but there must still be something special about it. McDonald’s Australia is auctioning off a branded bottle of Big Mac Special Sauce on eBay. Do you see McDonald’s eventually packaging its special sauce for sale in grocery stores similarly to what it is doing with its McCafe coffee?

McD’s makes a change at the top

McDonald’s has been on a search for answers. The company has posted months of declining same-store sales in the U.S. and abroad. In a familiar response to such challenges, the burger giant announced yesterday that Don Thompson would step down as president and CEO of the organization, effective March 1. What are the major challenges facing McDonald’s?

McD’s looks for answers down under

New commercials may indicate McDonald’s is looking to increase the effectiveness of its “I’m Lovin’ It” ad campaign, but the chain and its investors are certainly not enamored with recent performance. Now the chain is seeking answers, and many of those, according to reports, are coming from Australia. What do you see as the biggest challenges facing McDonald’s in the U.S.?

Dining and lodging the big holiday gifts in 2014

While many traditional Christmas categories sold well this year, the biggest gains came from casual dining and lodging, according to Mastercard SpendingPulse’s initial report on holiday selling. Do you see traditional holiday gift categories increasingly competing against casual dining, trips and other “experiential purchases” in the years ahead?

Starbucks’ five-year plan includes doubling food sales

Coffee has made Starbucks a household name, but food sales are going to be a big reason for the chain’s continued growth in the years to come. That’s a key takeaway from Starbucks’ biennial investor conference yesterday. Is Starbucks on the right track turning its attention to growing day-parts beyond breakfast?

Pizza Hut puts radical change on the menu

It might have been safer to go with a small tweak here and there, but Pizza Hut is really looking to shake things up and so the world’s largest pizza chain has decided to throw its old menu in the dumpster and offer new options that pretty much address every type of taste there is. What do you like or dislike about Pizza Hut’s new approach?

Are customized burgers and mobile apps the future of McDonald’s?

For some McDonald’s customers in Australia, the menu just got both bigger and more technologically sophisticated. A video on YouTube shows a customer ordering a customized McDonald’s burger. Will a shift to customized burgers and app-based ordering make McDonald’s more competitive with fast casual chains in the U.S.?

When waiters attack!

Apparently, it’s tough to turn the other cheek or even to simply ignore an abusive customer — at least when it comes to waitstaff. While much research has explored what drives employees to lash out at supervisors and co-workers, little is known about what drives “counterproductive work behavior” (CWB) by workers toward their customers. Do retailers and restaurants have enough coping strategies in place to help associates deal with negative or abusive customer experiences?

Will McD’s first customer officer connect with Millennials?

McDonald’s has been on a sales skid and many watchers of the golden arches point to a failure by the chain to connect with Millennials as a major factor in its struggles. That’s where McDonald’s first VP-customer officer comes in. What do you think of McDonald’s organizing its marketing department by demographic groupings?

In-N-Out keeps popping up far from home

Since December 2011, In-N-Out Burger, the iconic California chain, has been opening brief pop-ups around the world with no plans to expand far from its California and Southwest base. What do you think is behind In-N-Out’s worldwide pop-up tour? Can you think of some other regional chains that would benefit from global pop-ups?

BK says Tim Hortons’ deal isn’t a tax dodge

Much of the reporting around Burger King’s deal to acquire Tim Hortons has been about plans for the combined company to establish its headquarters in Canada in order to take advantage of that country’s lower corporate tax rate. Will Americans believe Burger King management’s claim that its move to Canada is not prompted primarily by a desire to lower its corporate tax rate?

Less is more on restaurant menus

The “tyranny of choice” hypothesis in retail — offering too many product choices, thus confusing consumers and lowering sales — is widely accepted if infrequently addressed in stores. However, it appears that many restaurant chains are beginning to take a less-is-more approach to their menu choices. What do you see as the biggest benefit for restaurants reducing the number of items on their menus?

America eats alone

When Americans sit down to have something to eat or drink, there’s a better than 50-50 chance they are doing it alone, according to new research from The NPD Group. How do you see the rise of single-person households affecting the retail and CPG industries in the years ahead?

Local restaurants pass/fail personal loyalty test

If a retailer wants George Anderson’s loyalty, they need to earn it. Two recent experiences at local restaurants presented challenges that could have resulted in the short-term loss of revenue for both, but the respective reactions of the restaurant staff means one has earned his business going forward and the other has lost it. Do most retailers and other businesses grasp that emotional loyalty is key to deeper customer engagement?

Higher food prices could hurt grocers and help restaurants

Drought, sick pigs and high demand are just a few of the reasons that food prices have been climbing in recent months and hitting consumers squarely in the wallet. But the shrinking of the gap between the prices charged in grocery stores and restaurants could prove a boost to foodservice operators. How do you expect higher food inflation to affect the dining habits of Americans?

Dunkin’ and Starbucks go after the lunchtime crowd

All’s fair in love and retail. With a growing list of restaurants looking to grab share of the out-of-home breakfast market, who could blame Dunkin’ Donuts and Starbucks for going after the lunchtime opportunity. What do you think of the prospects for Dunkin’ Donuts and Starbucks to be successful during the lunch day-part?

Chefs spice up grocery store atmosphere

One thing missing from many (most) supermarkets is atmosphere. Many critics of the modern shopping experience point to restaurants as a source for new thinking when it comes to creating in-store environments consumers crave. So what would a supermarket look like if an award-winning chef designed it? What can grocery stores learn from restaurants and vice versa?

McD’s gets pushback on new Happy Meal food and mascot

McDonald’s has announced the addition of a lower calorie yogurt to its menu, and a new animated character to promote its meals with kids. The response from child health advocates and social media to the news was probably not what the chain had hoped. What do you think about McDonald’s changes to its Happy Meal menu and mascot?

Panera Bread turns to tech for faster, more accurate service

Panera Bread is turning to a high-tech solution to improve the customer experience at its restaurants. The company, according to reports, is reducing the number of cashiers at its counters and turning to kiosks, mobile and online to enable customers to place their own orders. Will such systems become standard practice in fast casual restaurants?

Taco Bell new fast-casual concept zigs where others zag

Taco Bell is testing a new concept, U.S. Taco Co., aimed at the fast-casual, Mexican food market but with an American flare. The big difference is that many ingredients are American rather than Mexican inspired. Is a playful American take on the taco a sizeable opportunity in the fast-casual space? What do you think of the rollout potential of U.S. Taco Co.?

Do food courts need an overhaul?

The recent bankruptcy filings of Sbarro, Quiznos and Hot Dog on a Stick had some observers lamenting on the sorry state of food courts and regional malls. How would you revamp food courts at the regional malls? Are food courts potentially a material differentiator for malls to online shopping?

Can McCafe become America’s favorite coffee brand?

McDonald’s recent announcement that it would be soon be handing out free coffee at its U.S. restaurants for two weeks set off wide speculation about how serious the fast food chain is about coffee, both at its own locations and in grocery aisles. Do you see McDonald’s focus on coffee enhancing or interfering with its core brand identity?

Changes on the menu at Starbucks

Starbucks, which has made repeated attempts in recent years to find the right menu items to pair with its java drinks, is making adjustments again, bringing back some of the items removed from its menu when pastries and other items were added from La Boulange, the bakery business Starbucks acquired in 2012. What do you find right/wrong about Starbucks approach to food?

Starbucks to test mobile ordering app to speed checkout times

Starbucks is updating its iPhone app to give cardholders easier access to their account information as well as adding digital tipping and “shake to pay” features. But the most interesting mobile news coming from the chain involves an app test that the company is not discussing publicly in great detail. Will mobile ordering apps become commonplace at foodservice operations in the near future?

McD’s moves out the old folks

Despite free WiFi, McDonald’s doesn’t attract the laptop crowd. More likely patrons are the elderly needing a place to go, teens hanging out, or homeless people escaping the cold, and seating limits are rarely enforced. How should local McDonald’s owners deal with elderly loiterers?

BK looks to out-big McD’s

You can almost hear the taunt coming from the playground. “My burger is bigger than your burger. Nah, nah, nah, nah.” That, in essence, is Burger King’s strategy to knock the real king of the fast good burger realm, McDonald’s Big Mac, off its throne. Do you see Burger King being able to make incremental share gains by winning the me-too competition with McDonald’s and others?

Does X-commerce have big potential beyond pizza?

According to a recent report on Polygon, Pizza Hut sold $1 million through the Xbox app in its first four months. Interestingly, 11 percent who placed an order used the app to make their very first online buy with the pizza chain. What other retail or consumer brands could benefit from apps such as that developed by Pizza Hut?