Popeyes Stockpiles Poultry Supplies Ahead Of Nuggets Rollout: Report

Comments
Loading...

Restaurant Brands International’s QSR Popeyes fast-food chain has been stockpiling poultry supplies ahead of its July 27 rollout of a new chicken nugget product.

What Happened: According to a Bloomberg report, the chain has been gathering a frozen chicken inventory since January to ensure it would not have quantity control issues when the product debuts.

Popeyes has been testing the nuggets in Austin and Denver, using a new buttermilk-battered recipe similar to the chicken sandwich it introduced in 2019.

The chain is eager to avoid the problems it experienced with the chicken sandwich rollout when supplies ran out and angry consumers got into fistfights when they couldn’t buy the meal.

“Demand is very high right now, and consumer spending is surging,” said Popeyes Americas President Sami Siddiqui. “We’re planning appropriately.”

Related Link: Beyond Meat's Third Attempt At Introducing Plant-Based Chicken: Will The Public Bite?

Why It Matters: Popeyes’ stockpiling calls further attention to poultry demand severely outpacing supply, which has resulted in rising prices and restaurants dealing with product shortages.

Last month, Wingstop Inc WING responded to the growing shortage of chicken wings by introducing Thighstop, which provides bone-in and boneless servings of chicken thighs.

Wingstop Chairman and CEO Charlie Morrison acknowledged that adding chicken thighs to the menu was based on economic concerns because thighs are "much less expensive."

Photo: 9883074 from Pixabay.

Overview Rating:
Speculative
50%
Technicals Analysis
66
0100
Financials Analysis
40
0100
Overview
Market News and Data brought to you by Benzinga APIs

Posted In:
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!