Taco Bell is experimenting with a novel coffeehouse that emphasizes its beverage offerings.
Taco Bell is experimenting with a novel coffeehouse that emphasizes its beverage offerings.
The fresh addition to San Diego's dining scene goes by the name of Live Más Café, showcasing a drink-centric menu that comprises milkshakes, coffees, iced fruit drinks, and a unique twist on the popular dirty soda trend, showcasing their signature Mountain Dew Baja Blast.
The cafe's design shares similarities with CosMc's, the fresh 1-year-old concept owned by McDonald's, which emphasizes specialty beverages and indulgent snacks targeted towards a younger demographic. For Taco Bell, this marks a significant step into a category not just ruled by giants like Starbucks and Dunkin', but also by fast-growing chains such as Dutch Bros, Swig, and Scooter's Coffee.
As per R.J. Hottovy, chief of analytical research at Placer.ai, "quick-service restaurant brands, such as Taco Bell, acknowledge the substantial potential in beverages." He further explained that beverage-focused concepts magnetize younger consumers, which could potentially aid Taco Bell in "broadening and diversifying its audience."
In a press release, Taco Bell declared that this new model is their "strategy to revolutionize the beverage sector," boasting an "exemplary" lineup that has seen an increasing focus within the company in recent years. Over the past couple of years, they have introduced frozen coffee and shakes known as Chillers; Agua Refrescas, a green tea-infused drink with fruit inclusions; and new cold brew coffee alternatives in collaboration with Beekeeper, all of which are available on the cafe's menu.
Taco Bell stands out as the top performer in Yum Brand's portfolio, consistently outperforming sister brands KFC and Pizza Hut. The chain reported a 4% increase in same-store sales during Yum's recent financial quarter, propelled by popular menu items such as a new budget-friendly offering and the Big Cheez-It.
Live Más Café was conjured up in partnership with Diversified Restaurant Group, one of Taco Bell's most prominent franchisees with nearly 400 locations, who also lent a hand in the creation of its popular Cantina concept a few years ago.
The expansion into this beverage-focused business strategy by Taco Bell is expected to attract a younger demographic, potentially expanding their audience beyond their traditional customer base. This new venture, Live Más Café, not only follows this trend but also introduces a unique twist on the popular dirty soda trend.