by Christopher Freeburn | December 7, 2012 11:47 am
Yum! Brands’ (NYSE:YUM) Taco Bell says that its Doritos Locos Taco is the most successful product launch in the chain’s history.
The taco, based on the popular Doritos line of snack chips from PepsiCo’s (NYSE:PEP) Frito-Lay , joined Taco Bell’s menu back in March. By the end of September, Taco Bell had sold more than 200 million Doritos Locos Tacos, which now comprise 7% of the chain’s menu mix, Restaurant News notes.
New flavors, including Cool Ranch, were originally scheduled to debut by the end of this year, but were delayed until 2013. An ITG Investment Research analyst speculated that Taco Bell has postponed adding the new flavors because it is enjoying such success from the original version.
Another analyst called the use of the popular Doritos brand a “brilliant move,” and praised how Taco Bell had deftly used social media promotions to drive sales.
The fast food sector is becoming increasingly competitive, with restaurant chains like Taco Bell, Burger King (NYSE:BKW), McDonald’s (NYSE:MCD) and Wendy’s (NASDAQ:WEN) rapidly adding new menu items in a bid to lure customers away from rivals.
Shares of Yum! Brands slipped fractionally in Friday morning trading.
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