March 16, 2021
Tim Hortons will supercharge advertising, boost menu improvements around product quality and enhance the digital customers experience of the chain in Canada thanks to an investment of C$80M ($64,176,400 USD), according to a press release.
The brand recently upgraded its menu as part of its Back to Basics plan, including additions of dark roast coffee, Craveables lunch sandwiches and Canadian eggs in breakfast sandwiches. Part of this latest investment will heighten awareness of those initiatives, as well as additional menu enhancements this year.
The brand's Canadian mobile app active user base has grown approximately five-fold since 2018. In fact, about one-third of all Canadian adults have used the Tims Rewards loyalty program in the last 18 months. The recent investment will support that program and other strategic digital initiatives, as well as a substantial increase in overall advertising throughout the balance of the year.
The ad spend will highlight taste and quality, value as well as strengthening the country's affinity for the brand, according to the release.
In addition to the corporate investment, advertising contributions from restaurant owners in Canada will be increasing by 0.5% of sales to support these efforts into 2022 and beyond.
"The efforts behind our Back to Basics plan are starting to deliver results," Jose Cil, CEO of Tim Hortons parent company, Restaurant Brands International, said in the release. "Our investment today reflects that confidence and our optimism in the plan."
That plan focuses on building the leadership team, product quality, digital initiatives, value offerings and brand-building across Canada.
"Despite the disruptions from COVID, our team maintained focus throughout 2020 and has delivered three consecutive product launches with encouraging early results, contributing positively to our sales," Tim Hortons President Axel Schwan said in the release. "Our new dark roast coffee has received a higher guest rating than any of our previous recipes; our affordable, Craveables lunch platform — with the roast beef and crispy chicken sandwich is receiving great feedback and we are seeing meaningful sales contributions from our nationwide launch of freshly cracked, Canadian eggs in our breakfast sandwiches."
Tim Hortons is based in Oakville in Ontario, Canada and has more than 3,900 systemwide restaurants located in Canada and over 4,900 in the U.S. internationally.