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Jack in the Box gives specialty drinks the raspberries
May 17, 2010
As McDonald's moves forward with its national smoothie rollout and $1 soft drink deals, Jack in the Box also is strengthening its beverage offerings with a new smoothie and shake flavor, as well as switching its fresh-brewed tea brand. The West Coast-based burger chain now offers Raspberry Smoothie and Raspberry Shake, the latter made with real vanilla ice cream, and serves Gold Peak brand tea for its non-flavored and flavored teas, including raspberry.
"With summer just around the corner, this is a great time to raise awareness of our beverage options sodas," said Tammy Bailey, division vice president of menu marketing and promotions for Jack in the Box Inc, in a news release. "Offering the refreshingly distinct flavor of raspberry in three different beverages provides our guests variety that they can't find at any one of our major competitors."
In the increasingly competitive quick-service market, brands are increasingly focused on the $153 billion non-alcoholic beverage industry. McDonald's began its focus on specialty beverages in 2008 and will complete its McCafé line with the rollout of frappes and smoothies this summer. The chain already is seeing a sales lift from the new drinks even without national advertising, the company said in its latest quarterly earnings call.
Jack in the Box's raspberry announcement reminds consumers of its longstanding Real Fruit Smoothie line, launched in 2008. The new flavor also ties into the growing superfood trend as consumers become more health conscious.
By switching to Gold Peak, Jack in the Box becomes the first major foodservice chain in the U.S. to offer this brand for its freshly brewed flavored and non-flavored teas. Both sweetened and unsweetened flavors at Jack in the Box are now brewed from 100 percent real Ceylon tea leaves.
Burger King recently added Gold Peak tea, a new offering that coincides with its switch to Seattle's Best Coffee as it too hopes to take a gulp of the beverage market. Burger King will feature a $1 Icee promotion this summer as well.
Both Jack in the Box and Burger King are struggling to return to positive same-store sales. This week Jack in the Box reported company same-store sales were down 8.6 percent for the second quarter. Burger King reported in late April that its worldwide comparable sales for the third quarter were down 3.7 percent. McDonald's reported in late April that its global comps were up 4.2 percent for the first quarter.
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