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The Street
The Street
Business
Daniel Kline

Wendy's Menu Brings Back Popular Burger, Drops Another

Wendy's (WEN) tends to be fairly conservative when it comes to tinkering with its menu, compared with Yum Brands' Taco Bell and KFC, which tend to make bold moves designed to get attention. 

The No. 2 burger chain (behind McDonald's (MCD), but ahead of Restaurant Brands International's (QSR) Burger King) generally follows what the market leader has always done: selectively add limited-time-offers while bringing back past favorites.

That's a strategy that works. 

New products can be boom or bust. Wendy's has scored some big hits with its Baconator brand, which has been leveraged for a breakfast version and for Baconator fries, but new products can also fail. McDonald's, for example, has a long list of premium burgers (hello, Arch Deluxe) that were heavily advertised and failed to deliver big sales.

Introducing an item that has some success, then removing it from the menu so you can bring it back later may not have the immediate hit potential that a truly new product has, but interest can build over time. 

When an old favorite returns, it brings back customers who fondly remember the item and lures in new ones who may have missed it the first time.

This strategy builds excitement, which can take a menu item from a mild success to something consumers get really excited about.

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Wendy's Bringing Back the Pub Burger

Wendy's leaned into the season by bringing back its Summer Strawberry Salad while also adding a Strawberry Frosty (at the expense of the vanilla one). 

Now, the chain is reportedly going a little heavier with its next offer, according to a memo that reportedly was sent to stores and was posted on Reddit.

"We are thrilled to bring back the fan favorite Pretzel Bacon Pub Cheeseburger and Chicken Sandwich, along with Pub Fries, to the Wendy 's menu in August," the company said.

To make way for the return of the Pretzel Bacon Pub Cheeseburger. Wendy's will be taking the Big Bacon Cheddar off the menu.

The Dublin, Ohio, company has not confirmed these moves.

Wendy's will sell the Big Bacon Cheddar until supplies run out and then it will be marked "no longer available" on menu boards, according to the document.

The Pretzel Bacon Pub Cheeseburger is served on a pretzel bun.

Bacon Pub Fries feature sea salt fries topped with applewood smoked bacon, shredded cheddar cheese, and warm beer cheese sauce, Chewboom reported in 2020.

Keeping the Wendy's Menu Fresh

Wendy's has been growing its business, which Chief Executive Todd Penegor talked about during the chain's first-quarter earnings call.

"We achieved a second consecutive quarter of double-digit two-year global same-restaurant sales, reaching 15.4% as we lapped one of our best quarters of all time in the prior year," he said. "This was an acceleration versus our Q4 on a two-year basis, which highlights the momentum we have in our business across the globe." 

Penegor credited menu innovation and limited-time offers as catalysts for that growth.

"Craveable innovation in our hot honey chicken sandwich and biscuit, fun and distinctive advertising on one of the biggest stages in the world at March Madness, continued positive customer response to our core improvements like our hot and crispy fries, and an improved operating environment with increased staffing levels and more dining rooms open throughout the quarter," the executive said.

The CEO says Wendy's can build sales by developing more promotions and building out its calendar.

"So clearly, as we drive trials, drive awareness and continue to build a strong calendar, not only on disruptive promotions at the breakfast day part to bring folks in to trial us, but to bring some news with innovation throughout the year, that's an opportunity to keep growing our business," he said.

 

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