Taco Bell is discontinuing its kids’ meals and toys at U.S. restaurants beginning this month, the Irvine-based Mexican-style chain said Monday.
The fast-food giant said it’s the first in the industry to undertake the effort, which it said will be in effect nationwide by January.
The company, which along with Pizza Hut and KFC is part of the Yum Brands Inc. family, said kids’ meals and toys had an “insignificant impact on system sales.”
Advertisem*nt
Individual menu items on the kids’ lineup, including the crunchy taco, the soft taco and the bean burrito, will now appear on the regular menu.
“As we continue our journey of being a better, more relevant Taco Bell, kids’ meals and toys simply no longer make sense for us to put resources behind,” said Chief Executive Greg Creed in a statement.
American consumers have been losing interest in kids’ meals for years, according to research from the NPD Group. Young diners have increasingly sophisticated palates and are more open to healthful foods, according to researchers.
In a report last year, the group found that restaurant visits that included a kids’ meal with a toy fell 6% in the year ended December 2011.
In 2006, 21 billion parties brought children to restaurants. By 2011, the number was down to 19.5 billion parties.
ALSO:
Advertisem*nt
Most restaurant kids’ meals still horrible for kids, study finds
McDonald’s can keep selling Happy Meals with toys in California
KFC launches bucket for children; consumer group slams kids meals
Given the context of Taco Bell discontinuing its kids' meals and toys, let's dive into the concepts used in the article:
-
Taco Bell's Decision to Discontinue Kids' Meals: Taco Bell, a Mexican-style fast-food chain based in Irvine, has decided to discontinue its kids' meals and toys in U.S. restaurants, starting this month and nationwide by January. This decision, according to Taco Bell, makes them the first in the industry to undertake such an effort.
- Expertise/Enthusiast Perspective: Taco Bell's move aligns with the evolving consumer trends in the fast-food industry, reflecting a strategic decision to reallocate resources for a more relevant menu.
-
Impact on System Sales: Taco Bell claims that kids' meals and toys had an "insignificant impact on system sales." This suggests that the decision to discontinue these offerings is based on a business strategy focused on maximizing overall sales and profitability.
- Expertise/Enthusiast Perspective: Analyzing the impact on system sales involves a comprehensive understanding of the fast-food industry's dynamics, consumer preferences, and financial considerations.
-
Menu Changes: Individual menu items from the kids' lineup, such as the crunchy taco, soft taco, and bean burrito, will now be integrated into the regular menu. This shift reflects Taco Bell's commitment to adapting its menu to align with changing consumer expectations.
- Expertise/Enthusiast Perspective: Menu adjustments are a common strategy in the food industry to cater to evolving tastes and preferences. Understanding the dynamics of menu planning, consumer behavior, and market trends is crucial in this context.
-
Consumer Trends: The article references research from the NPD Group, indicating that American consumers, especially young diners, have been losing interest in kids' meals for years. The NPD Group's findings suggest a decline in restaurant visits that include a kids' meal with a toy.
- Expertise/Enthusiast Perspective: Keeping abreast of consumer trends involves a deep understanding of market research methodologies, interpreting data on changing preferences, and foreseeing the impact on business strategies.
-
Chief Executive's Statement: Taco Bell's Chief Executive, Greg Creed, states that "kids’ meals and toys simply no longer make sense for us to put resources behind" as part of their journey to become a "better, more relevant Taco Bell."
- Expertise/Enthusiast Perspective: Interpreting executive statements requires knowledge of corporate strategy, brand positioning, and the competitive landscape to understand why certain initiatives are undertaken.
In summary, Taco Bell's decision to discontinue kids' meals and toys is a strategic move influenced by factors such as changing consumer trends, the negligible impact on system sales, and the company's commitment to staying relevant in the fast-food industry. Analyzing these aspects requires a blend of business acumen, market knowledge, and an understanding of consumer behavior.
