Chipotle Mexican Grill’s new Adobo Ranch dip

Source: Chipotle Mexican Grill

Restaurant brands are hoping hot new menu items will drive visits among younger costumers. Hot, in this case, is literal.

Spicy items like chicken sandwiches, seasoned sides and sauces are cropping up more often on menus at major fast-casual and quick-service chains. The idea is to introduce easy-to-execute and buzzy options that can capture the attentions of Gen Z and Gen Alpha diners, even if it’s only a flash in the pan.

One of those companies was Chipotle, which in June introduced Adobo Ranch, its first new dip in five years, as a limited-time offer.

“From an operations perspective, the sauce is a lot easier to do than bringing in another LTO or another protein. And you get a lot of the same benefit,” Chris Brandt, Chipotle’s president and chief brand officer, told CNBC.

The draw toward spice is yet another way restaurants are responding to slower consumer spending while trying to keep costs in check. A KPMG Consumer Pulse survey found that U.S. consumers plan to spend 7% less per month at restaurants this summer.

“There’s been a pullback, especially from lower-income consumers,” said Gregory Francfort, lead restaurant analyst at Guggenheim Securities. “Spice is a low-cost, high-return way to re-engage them.”

“Restaurants are really trying to be aggressive with their marketing calendars and releasing new products now,” Francfort said.

From March to June, U.S. restaurant chains collectively launched 76 new spicy menu items, representing roughly 5% of new menu items, according to market research firm Datassential. That includes permanent additions and limited-time offers and is roughly in line with historical menu item additions in the category over the last several years.

Around 95% of restaurants now offer at least one spicy item on their menu, according to Datassential.

Though the concept of spice on menus isn’t new, it appears to be catching fire with Generation Z and Generation Alpha — those roughly under the age of 30. Their preference for bold, spicy flavors is inspiring more restaurants to turn up the heat.

Up to 50% of Gen Z consumers eat at least one spicy meal a week, according to data from soda brand Sprite, which has been playing up its tangy flavor profile.

“Younger generations (Gen Z, for example) are fueling the spicy trend, craving bolder, more adventurous flavors,” a Wendy’s spokesperson said in a statement to CNBC.

“They’re not looking for bland or predictable,” said Cava’s chief concept officer and co-founder, Ted Xenohristos. “They want strong flavors.”

In April, Cava launched Hot Harissa Pita Chips to meet the rising demand. The chain also offers the Harissa Avocado bowl, harissa vinaigrette, and harissa honey chicken.

In May, Taco Bell launched the Mike’s Hot Honey Diablo Sauce, a collaboration between Mike’s Hot Honey and the taco chain’s signature Diablo sauce. It followed a February launch of the Caliente Cantina Chicken Menu, building off the fan-favorite cantina chicken.

In June, Wendy’s released the Takis Fuego Meal, a collaboration with the spicy rolled tortilla chip snack, which includes the chain’s signature spicy chicken sandwich and Takis-flavored fries.

There’s one challenge in introducing spicy items: Gen Z and Gen Alpha tend to move on from trends quickly. That makes it harder for restaurants to rely on one popular item for long.

Recent flash points like sweet and spicy and Nashville Hot are already seeing a drop in interest among Gen Z, according to Datassential. Instead, new flavor profiles with global ties are seeing stronger engagement among younger consumers, the firm found.

Social feeding the fire

Spicy menu items have gained traction primarily through social media. Platforms like TikTok and Instagram have become key discovery tools for Gen Z and Gen Alpha.

Restaurants are using these platforms to promote limited-time offers and influencer content, including taste tests and reaction videos. Short-form content can create urgency and encourage trial.

“Spicy food consistently performs well,” Tommy Winkler, a TikTok food influencer, told CNBC. “It is essentially the new billboard. It is a good chance that someone will end up ordering it.”

Wendy’s Takis Fuego Meal

Courtesy: Wendy’s

In June, the word “spicy” was mentioned over 40,000 times online, according to Datassential. The data showed spikes in those mentions around the time new spicy items started to trend.

This month, Coca-Cola-owned Sprite launched a campaign called “Hurts Real Good” to tap into the spicy food movement. The brand is positioning the soda as a pairing for spicy foods and is partnering with McDonald’s, Takis and Buldak Fried Noodles. The campaign includes a TikTok filter and other social media activations.

Oana Vlad, global vice president for Sprite, highlighted other eye-catching events like mukbangs — live-streamed broadcasts of hosts eating large amounts of food — or spicy noodle challenges as helping to bring spicy food into online culture.

“At Sprite, we always try to be inspired by consumer-first insights and then deliver something of value for a behavior that already exists,” Vlad told CNBC.

As of late April, the lemon-lime beverage ranked as the third most-popular carbonated soft drink by volume share, according to Beverage Digest.

McDonald’s fountain Sprite went viral a few years ago as social media users posted videos calling the taste “sharp” and filming their reactions to trying it.

“A huge portion of Gen Z try their first Sprite at McDonald’s,” Vlad said. “You can see fans describing Sprite at McDonald’s as a flash of lightning or electric.”

The diversity of younger generations is also helping to steer them toward flavors with depth, texture and regional identity.

Chili Crisp, used in traditional Chinese cooking; Nam Phrik, originating in Thailand; and Piri Piri, commonly associated with Portuguese and African cuisines, are increasingly showing up on U.S. menus, according to Datassential.

“As the population gets more diverse and as younger consumers want to experiment more, we see a greater willingness to try new flavor profiles,” Sara Senatore, managing director and senior restaurants analyst at Bank of America, told CNBC.





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