Restaurant Brands reveals a revamp for their drive-thru
More than 10,000 Burger King and Tim Hortons drive-thrus will now have improved features, according to Restaurant Brands International, Inc. Predictive selling technology, interaction with restaurant loyalty programs, and remote, contactless payment are features of the latest digital menu boards.
Around 800 Tim Hortons locations in the US and Canada as well as more than 1,500 Burger King restaurants in the US had the digital drive-thru menu boards installed as of September. Later in the year, Popeyes Louisiana Kitchen, the company’s third brand, will begin to open in additional locations.
The initiative coincides with a spike in drive-thru and delivery sales at all of Restaurant Brands’ quick-service chains during the pandemic. According to Restaurant Brands International CEO Jose E. Cil, comparable drive-thru sales rose by double digits in the most recent quarter compared to the same period last year, while delivery sales increased “well into the triple digits across our systems.”
During an earnings call with securities analysts on October 27, Mr. Cil stated, “Given the momentum we’ve seen in off-premise, we’re excited to have ramped up our work to revolutionize our drive-thru experience with the installation of outdoor digital menu board technology at over 10,000 drive-thrus in the US and Canada, the bulk of which we expect to complete by the end of next year.”
The third-quarter results of the corporation demonstrated the ongoing difficulties caused by the pandemic, as regular operations are still suspended and recent increases in cases have resulted in the reiteration of restrictions at foodservice facilities. 96% of the company’s restaurants worldwide were operational as of the end of September, according to Mr. Cil; but, variations in consumer behavior have led to some variation in the rate of recovery among the company’s regions and dayparts.
For the three months ended September 30, Restaurant Brands International’s net income attributable to common shareholders was $145 million, or 48¢ per share on the common stock, as opposed to $201 million, or 76¢ per share, during the same period last year. The COVID-19 pandemic’s negative effects and the non-recurrence of a non-cash dilution gain during 2019 contributed to an unfavorable change in the impact of equity method investments and a decrease in income in the Tim Hortons and Burger King segments. These factors were partially offset by a decrease in income tax expense, an increase in revenue in the Popeyes segment, and a decrease in interest expense.
From $1.46 billion to $1.34 billion in total sales the previous year, there was a drop.
During the quarter, Burger King’s and Tim Hortons’ global comparable sales fell by 7% and 12%, respectively. Global comparable sales at Popeyes increased by 17%.
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Regarding Popeyes’ results, Mr. Cil stated, “Sales growth was especially strong in the US, where comparable sales rose almost 20% for the quarter and rose at a similar rate in September.” “We first introduced the Chicken Sandwich in August of 2019, and during the third quarter of 2019, we saw a 10% growth in comparable sales,” the statement reads.
Recent reformulations of well-known menu items across the company’s brands included the elimination of artificial colors, flavors, and preservatives from Tim Hortons’ English muffins and biscuits and Burger King’s Whopper sandwich. According to Mr. Cil, the corporation has also revealed new packaging changes that would eliminate over 1 billion single-use plastics in Canada.
Additionally, he said, “We partnered with scientists to reduce the methane produced by cows that we use in our iconic 100% beef burgers when we launched our innovative cows menu at Burger King.”