Skip to Content

Wendy's, Burger King order up some new looks

More
Text SizeAAA

Filed under: Food, Recession

Two of the country's top fast-food chains are dishing up new looks.

For Burger King, the second-largest U.S. hamburger chain after McDonald's, customers will be treated to redesigned restaurants with a flashy red-and-white color scheme.

And Wendy's, the third-largest hamburger seller, is seeking to lure new customers with one of its biggest advertising campaigns ever, according to the Wall Street Journal.


So why are these two burger behemoths making changes now? The reason may lie in dwindling consumer appetite for spending money on dining out given the recession and a stream of dismal news about the economy.

Burger King (BKC) suffered a decline in same-store sales of 2.4% during its fiscal fourth quarter, meaning that restaurants open at least a year saw a slip in demand. The reason why? The company blamed consumers choosing to eat at home and discounting by its competitors.

Wendy's suffered from similar problems, with same-store North American sales slipping 1.2% during the second quarter. The new campaign comes after Wendy's/Arby's Group (WEN) hired a new advertising firm in July as part of a turnaround for the Wendy's brand.

It's no secret that Wendy's has struggled with its message following the 2002 death of founder Dave Thomas, who had served as the chain's pitchman. Last year, the chain ended an eight-month old campaign featuring men sporting red wigs with braided pigtails, a tip to the image of red-headed Wendy in its logo, which the company acknowledged was a love-it-or-hate-it message.

The new ad campaign will cost the company about $75 million in the forth quarter, the Wall Street Journal reported. According to Wendy's, the slogan will be "You know when it's real," a message designed to tout the freshness of the chain's food. The premiere TV commercial will appear on ESPN's Football Friday night programs including Sportscenter and NFL Live.

"You'll see more pressure on advertising as our economic climate continues to be troubling," said Darren Tristano, executive vice president at Chicago-based restaurant consulting firm Technomic.

Part of the reason why fast-food chains are revamping their looks and messages is because of competition from the casual dining segment, such as restaurants including Panera and Five Guys Burgers and Fries, Tristano said.

The idea of freshness is designed to appeal to consumers eager for food that isn't precooked and beef that's fresh instead of frozen, Wendy's says. And the chain might just be tapping into anxieties many consumers have about the safety of food, following food-borne illness outbreaks and the New York Times' recent article on the dangers of hamburger.
Subscribe to Walletpop

Add your comments

Please keep your comments relevant to this blog entry. Email addresses are never displayed, but they are required to confirm your comments.

When you enter your name and email address, you'll be sent a link to confirm your comment, and a password. To leave another comment, just use that password.

To create a live link, simply type the URL (including http://) or email address and we will make it a live link for you. You can put up to 3 URLs in your comments. Line breaks and paragraphs are automatically converted — no need to use <p> or <br /> tags.

Vote Now For the Readers' Choice Best in Food Awards
Nominations have been received and vetted for the best-of-breed in gourmet grocers, online gourmet ...
Zingerman's Bakehouse: Artisan Bread and Pastry from Ann Arbor
Zingerman's Bakehouse of Ann Arbor, Michigan, is nominated for a Luxist Award in the best bread ...

Jason Cochran
Jason Cochran Filed under: Bargains, Extracurriculars, Transportation, Travel, Celebs & Money

On board the new Oasis of the Seas: Is it worth the money?

So here I am, writing this from off the coast of Florida as part of the first two-day preview cruise of the magnificent Oasis of the Seas. Royal Caribbean has launched the largest cruise ship in the ...
Geoff Williams
Geoff Williams Filed under: Credit cards

Citigroup holds its customers hostage

Across the nation, Citibank credit card holders are receiving what pretty much amounts to a ransom note: We're going to raise your rates, says the letter, in so many words, but if you spend more ...
Bonnie McCarthy
Bonnie McCarthy Filed under: Budgets, Kids and Money, Saving Money, Technology

Family budgets: Make movie night safe again with family-friendly review sites

Around my house, we don't make the decision to pile into the car and head over to our local Cineplex as easily as we once did. It costs a lot of money these days to see talking animals, wild things ...
Madhusmita Bora
Madhusmita Bora Filed under: Transportation

Shop the friendly skies? The airlines are hoping you'll buy while in the sky

Along with sandwiches and soda, you may one day be able to buy tickets to Lion King and Animal Kingdom while cruising 35,000 feet above ground. A New York Times story reported that the airline ...

Headlines from WalletPop Partners