McDonald's, Burger King and Starbucks all were reminded this year of fast food's golden rule: Price matters.
After some high-profile new fast food launches late in 2013, McDonald's, Burger King and Starbucks were all forced to wipe them off the menu in early 2014. McDonald's found out quickly -- by February -- that it couldn't sell giant spicy chicken wings for $1 apiece.
Burger King, which is likely to create new Tim Horton's products in 2015 after it finalizes its merger with the Canadian coffee chain, may have learned from the debacle of trying to sell lower-calorie, pricey French fries dubbed Satisfries. Those were yanked from the menu in August.
And even Starbucks, not known for missing the mark on its coffee, had to retreat in April from offering small, fancy pastries with an overly buttery taste.
In a fast food business desperate for sales growth at older store locations, the headline-grabbing missteps on important new products highlighted diners' price resistance about food meant to be eaten on the run.
Now 2015 is sure to bring a slew of new products from fast food companies eager to entice the hungry masses. And investors are looking for growth.Read the Full Article