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Burger King Will Enter into the Coffee Battle

Late Tuesday, Burger King (BKC) announced plans to revamp its breakfast menu in an attempt to turn around its floundering business. BKC is going to add Starbucks (SBUX) and Seattle's Best coffee to all of its U.S. restaurants.

BKC's senior vice president John Schaufelbeger stated, "We'll be delivering a better cup of coffee" -- a strategy that has paid off greatly for rival McDonald's (MCD). MCD's addition of quality coffee drinks to its menu has provided a boost to its total sales -- results BKC hopes to emulate.

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Wendy's breakfast plans

A big part of Wendy's International Inc. (NYSE:WEN) presentation to its stockholders recently was its plans to reintroduce a breakfast menu. According to an interview with Wendy's chief marketing officer in Columbus Business First, about one in three test restaurants are pulling in $3,000 a week in breakfast sales.

The company has settled on a typical menu of egg, bacon/sausage and cheese sandwiches on a biscuit similar to the bread used on its new line of Frescata sandwiches. It will also offer its own versions of the morning burrito and French toast sticks.

Wendy's is all too aware of the value competition in this market. Burger King Holdings, Inc. (NYSE:BKC), for example, is set to introduce a new slew of sub-dollar choices. Look for Wendy's to do the same. Coffee is a big part of the draw, and its choice of a coffee partner has yet to be announced. Wendy's may be willing to pay to tie in a name-brand to elevate the breakfast appeal.

Continue reading Wendy's breakfast plans

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Last updated: February 11, 2012: 08:40 PM

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