Burger King Improves Sandwich Option - Analyst Blog

By Zacks Equity Research,

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World's second-largest fast food hamburger chain, Burger King Worldwide, Inc. ( BKW ) has recently decided to increase the size of its signature BIG KING Sandwich. The decision was taken after witnessing strong demand for its BIG KING Sandwich since its Nov 2013 debut.

Made with fire-grilled beef, the new BIG KING is priced at $3.69 and is served at all Burger King locations across the U.S. The customers will also have the option of combining the new sandwich with other items like Original Chicken Sandwich, Spicy Original Chicken Sandwich and Premium Alaskan Fish Sandwich. The new combo offer will cost around $5.0.

Product innovation acts as one of the profit driving strategies of the company. Consumer product companies necessarily need to upgrade brands and create differentiated value propositions for customers in order to cater to consumers' changing demand. As part of its menu improvement initiatives, Burger King expanded its chicken, coffee and additional menu platforms and focused on low-calorie products like Satisfries. Some of the new items under the premium platform include Premium Buffalo Chicken Strips, Premium Chicken Parmesan Sandwich, BBQ Rib Sandwich and Angry Whopper Sandwich.

Innovation and introducing new items has become a fast trend among all the restaurateurs. In late Dec 2013, The Wendy's Company ( WEN ) added two spicy food items to its Right Price Right Size Menu platter. These two limited-time products - Spicy Chipotle Crispy Chicken Sandwich and Spicy Chipotle Jr. Cheeseburger - have been priced at only 99 cents.

Other Stocks to Consider

Burger King Worldwide currently has a Zacks Rank #3 (Hold). Investors interested in the restaurant industry may consider stocks like Brinker International, Inc. ( EAT ) and Buffalo Wild Wings Inc. ( BWLD ). Both the stocks carry a Zacks Rank #2 (Buy).

BURGER KING WWD (BKW): Free Stock Analysis Report

BUFFALO WLD WNG (BWLD): Free Stock Analysis Report

BRINKER INTL (EAT): Free Stock Analysis Report

WENDYS CO/THE (WEN): Free Stock Analysis Report

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Zacks Investment Research

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing , Business , Stocks
Referenced Stocks: BKW , BWLD , EAT , WEN

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