Can four new restaurant designs revive Taco Bell sales?
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Taco Bell is set to get a makeover.
The Irvine, Calif., franchise has laid out plans to test four new restaurant styles in Orange Country this summer. Aimed at embracing the future with hints of the past, when Taco Bell locations opened with a bell, outdoor patio, and聽fire-pit, the company is hopeful the聽new designs can revitalize dwindling American interest in fast food and capture ground lost in the rise of "fast casual" food places.
鈥淚t鈥檚 no longer ,鈥 stated Deborah Brand, vice president of development and design at Taco Bell Corp., in a company press release. 鈥淐onsumers are looking for a localized, customized and personalized experiences that reflect the diversity of their communities 鈥 the flexibility in bringing these four designs to life gives us just that.鈥
But can a new look really revive sales?
Taco Bell dominated the Mexican-food-inspired fast-food market in the United States for decades, but the 2010s brought several blows to Taco Bell and the entrenched fast-food giants.
A September 2014 showed fast-food chains were losing ground in nearly all age demographics. Baby boomer visits dropped 18 percent in the US as they searched for more nutritious options, Generation Xer's interest declined 11 percent as fast-casual restaurants offered better food for the price, and 89 percent of Millennials sought out fast-casual restaurants that offered more customization.
Later the same year, a seemed to show a different side of the same trends. While McDonald鈥檚, Taco Bell, and KFC were continuing to dominate and expand abroad, they were losing ground at home. Regional chain In-n-Out won best hamburger, Chick-Fil-A best chicken chain, and Rubio鈥檚 Fresh Mexican Grill was at the top of the Mexican food charts.
Taco Bell placed 8th for Mexican food chains, below Qdoba, Chipotle, and Rubio鈥檚.
鈥淥ur survey clearly shows the big guys need to respond,鈥 Tod Marks, senior projects editor for Consumer Reports, told Reuters.
Taco Bell responded, in part, with new locations and new aesthetics.
In September 2015, Taco Bell began testing new facilities in urban markets. 鈥淐antina鈥 locations opened up in Chicago and San Francisco and traded in large seating areas for modern floor plans, more open kitchens, and more customizable menus. The location in San Francisco features a pick-up window and a patio for on foot consumers.
Taco Bell appears to be following the same approach of designing the restaurant to fit with its location in its four new designs:
Heritage: The new Heritage design is intended to be a more modern take on the original Taco Bell layout. Warm white walls meet tile, timber, and classic materials for the 鈥淢ission Revival鈥 style, according to Taco Bell.
Modern Explorer: The rustic new Modern Explorer is designed for suburban and rural locations. Inspired by farms, the look is more rustic, natural, but still open.
California Sol: The California Sol design 鈥渂lurs the lines between indoor and outdoor,鈥 Taco Bell writes. It鈥檚 aimed at celebrating the California roots of the franchise with a beach feel.
Urban Edge: The most modern of designs combines street art and modern materials to fit newer urban locations.
Whether the new looks can make consumers hungrier for super burritos, Mexican pizzas, and Crunchwrap Supremes remains to be seen.聽The newly designed聽restaurants聽debut this summer in Orange County and if customers respond favorably, there are plans to roll out the new look to other regions throughout 2016. Longer term, Taco Bell鈥檚 expansion plans include opening 2,000 additional restaurants in the US by 2022, with hundreds of 鈥淐antinas鈥 planned and will likely feature many of the new designs.
鈥淏uilding new restaurants is a key component to the overall growth and evolution of Taco Bell,鈥 said Brian Niccol, chief executive officer at Taco Bell Corp. said in the press release. 鈥淕reat design, Great Food and Great Economics is at the heart of our growth.鈥