Burgers still beat bowls
© 2015 Bloomberg Finance LP
“These new bowl-based companies—they’re awesome. They have great sales. They’re growing,” says Piper Jaffray senior research analyst Nicole Miller Regan, who covers publicly traded restaurant companies. But, she adds, “McDonald’s will not fail as they succeed.” “Bowls for the sake of bowls, I’m not interested in. Consumer tastes change,” Levitan says. “We try to invest in things where we feel that there are tailwinds rather than headwinds. You’re seeing all sorts of indications that eating healthier and convenience are two trends dominating the success of the restaurant world today.”
But for fast food restaurants, trying too hard to keep up with the trends can be more dangerous than missing out. Chipotle experimented with fast-casual spinoffs ShopHouse Asian Kitchen and Tasty Made, which closed in 2017 and 2018, respectively. Similarly, Red Robin opened a fast-casual concept Burger Works that failed to get off the ground, Freier says.
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