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Monday, March 2, 2020

Wendy's Increases Ad Spend To Promote Breakfast Menu

Wendy’s tapped McDonald’s former chef Mike Haracz to promote breakfast
Wendy’s officially launches its breakfast menu on today.

Ad Age reports Wendy’s has had limited success in past attempts to crack into the breakfast business. This time, it seems to be much more prepared—although so do its rivals. The fast-food restaurant chain announced its 2020 breakfast intentions back on Sept. 9 and unveiled its March 2 launch date on Feb. 4.

“Since everybody knows there’s a new entrant coming into the breakfast daypart, we would have expected it to be highly competitive, and that’s what we’re seeing,” Wendy’s CEO Todd Penegor said in a conference call on Feb. 26.

McDonald’s on Friday said it is calling Monday, March 2 "National Egg McMuffin Day." It’s offering anyone with its app a free Egg McMuffin from 6 a.m. to 10:30 a.m. on Monday, which of course is the same day as Wendy’s big rollout. McDonald’s has already been promoting value deals such as 2 for $4 offers on the Sausage McMuffin with Egg, Bacon Egg & Cheese Biscuit, and Bacon, Egg & Cheese McGriddles.

Wendy’s said on Feb. 26 that it plans to spend about $40 million to $50 million on breakfast advertising, as part of the total $70 million to $80 million dedicated to breakfast advertising this year, with the rest coming out of the ad funds it already gets from franchisees. The increased spending means Wendy’s working media weight will be up about 30 percent this year. The company is in a bit of a breakfast startup mode pointing out it expects to have a loss on its breakfast business in 2020, due to the investments it is making in marketing.

Others are making investments, too. Some Chick-fil-A restaurants, including those in the Chicago area, are offering a free breakfast item each Tuesday in March.

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