Taco Bell taking cues from higher-end rivals

Jan. 15, 2012

Amidst declining unit counts and a consumer perception of poor food quality, executives at Taco Bell are working to reimage the former Yum! Brands star.

The chain has hired professional chef and former America's Next Great Restaurant judge Lorena Garcia to revamp its menu and guests, who have traded up to fast casual chains such as Chipotle and Qdoba. According to a story in Bloomberg News, Taco Bell is looking to add items that include black beans, cilantro rice and corn salsa as part of its new Signatures menu.

The move reflects a push by the quick-service segment to compete with fast casual chains which have taken a significant portion of market share away from brands such as Wendy's, Burger King and Taco Bell.

For example, Wendy's is testing in Japan a Foie Gras Rossini Burger priced at about $16, and the Truffle and Porcini Grilled Chicken Sandwich, at almost $12. Meanwhile, Burger King is testing delivery options in its Washington, D.C., stores.

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Topics: Business Strategy and Profitability , Food & Beverage , Operations Management

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