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The Risk of Menu Expansion in 2021

Supply chain shortages may restrict some restaurants from meeting post-pandemic consumer demands.

By Justin Wick1851 Franchise Contributor
Updated 3:15PM 07/21/21

2021 has brought continued challenges for restaurants looking to capitalize, but certain restaurant franchises are finding simple solutions to align with the needs of their consumers.

In a recent article, Restaurant Business Online detailed how Del Taco is introducing breakfast tacos to its menu as the chain “banks on customers returning to their routines.” The menu expansion is one that Del Taco hopes will increase its consumer traffic in the mornings; while breakfast tacos are “an increasingly popular item in the restaurant world,” they are “surprisingly rare among fast-food chains,” the article states.

Restaurants may be able to expand their consumer audience with a larger menu, but some may have a difficult time doing so with their current supply chain. The fast-food and fast-casual market is roaring back faster than many anticipated, but continued food shortages may prevent restaurants from operating at full capacity. Chicken, beef, ketchup packets and even cups and straws are all in short supply, forcing many restaurants to increase their menu prices to make up for the shortage.. Even if it makes complete sense for a restaurant chain to expand their menu and address consumer needs, the supply needs of certain chains are unable to fulfill their provisions.

But how will QSR brands hoping to meet new consumer demands survive the supply shortage? Del Taco’s solution is simple: it will rely on cheddar cheese, hash browns, beef and scrambled eggs to pull its new breakfast tacos together, and each location will likely have to adjust its supply orders accordingly.  

A simplified order form in 2021 may also make menu expansion a more feasible option for others wanting to follow suit. While COVID-19 forced restaurants to embrace immediate adjustments, menu expansion could be a long-term goal as new supply measures are straightened out.

A larger menu, however, does not necessarily guarantee success. Some industries may be better off focusing on a few current restaurant items, and some customers have “menu board anxiety” if there are too many options.

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