KFC is experimenting with a novel eatery, emphasizing on various sauce offerings.
At "Squirty," a fresh establishment set to debut this Friday in Orlando, dips and condiments are the main attractions. The eatery, which swaps out the usual red color scheme for a pink one, revolves around 11 novel dips and chicken strips – both favorites among Gen-Z food enthusiasts who enjoy experimental flavors and boneless chicken.
The unveiling of Squirty comes during challenging times for the Yum Brands-controlled chain, which has recorded several consecutive quarters of decline for its US restaurants. KFC's efforts with value meals and limited-time deals haven't resonated with customers, resulting in struggles against trendier chicken chains like Wingstop and Raising Cane's.
With Squirty, the intention was to refresh the famous "finger lickin' good" slogan and emphasize one of its most renowned products – the chicken strips, as per Christophe Poirier, KFC's chief concept officer.
Poirer explained to CNN that their objective was to modernize the slogan, focusing on the tenders, which are some of KFC's most iconic products. He stated, "By building on this updated 'finger lickin’ good,' we developed a new vision: an abundance of sauces, lots of color, and numerous drinks." This concept is "specifically tailored to Gen Z."
Tenders have a growing appeal among younger consumers due to their convenience and the ability for customization. A survey by Technomic Ignite, a food consultancy firm, indicates that the availability of chicken tenders has increased by more than 5% over the past five years.
Squirty pays homage to KFC's 11 spices and herbs in its fried chicken by offering the same number of sauces, available in flights of four. They range from spicy, like the jalapenño pesto ranch and creole honey mustard, to sweet, such as teriyaki and Thai sweet and spicy.
Sauces have emerged as "a significant driver" of innovation in the fast food industry, according to R.J. Hottovy, head of analytical research at Placer.ai. He believes that Squirty will help KFC "modernize its brand and align with current market trends."
By expanding its sauce options, KFC can maintain a simplified menu akin to its competitors while providing customers with the chance to customize their orders based on their taste preferences, Hottovy told CNN.
Unlike the flagship brand, Squirty offers a more limited menu, focusing on some sandwiches, new desserts, fruity beverages, and sides like toasted rolls, fries, and coleslaw.
The interior boasts self-service kiosks, vibrant colored seats and tables, and a space for live entertainment. The exterior is adorned in pink with a prominent Squirty logo that includes a small mention that it's a KFC brand. Orders can also be placed at the drive-thru.
Squirty will initially be a one-location establishment, but there are plans to expand the concept in the future.
Spin-offs on the Rise
Establishing a standalone concept instead of integrating it into KFC offers the brand an opportunity to "collect a wealth of information" and provides the liberty to experiment, according to Poirer.
Similarly, Taco Bell, yet another Yum-owned chain, debuted a new cafe in San Diego that emphasizes unique beverages and snacks catering to younger customers and mirrors the success of McDonald's-owned McD's.
David Henkes, senior principal and head of strategic partnerships for Technomic, told CNN that spin-offs serve as platforms for "experimentation and create an 'incubator' for innovation, allowing chains to test things that don't currently fit within the chain's menu."
Of course, not all spin-offs succeed. IHOP, for instance, retired its fast casual concept, Flip'd, after only two years.
At Squirty, customers can pair their chicken strips with a variety of innovative dips, adding a new dimension to their food experience, highlighting the business's focus on sauces.
The success of McD's-owned spin-off concepts has inspired other food chains, like Taco Bell, to experiment with unique offerings, aiming to cater to Gen-Z food preferences and attract a younger customer base.