Ding! Taco Bell knocks Burger King off throne
Americans love their Locos Tacos, Nacho Fries and Quesaritos.
The popular items on the Taco Bell menu helped the Mexican-style fast-food chain surge past Burger King to become the No. 4 restaurant chain in the US.
And with No. 3 chain Subway experiencing sagging sales, Taco Bell could very well jump into the top three chains in 2018, according to Technomic, a food-service research firm.
“The gap between Subway and Taco Bell is narrowing,” Erik Thoresen, Technomic principal of restaurant research, told The Post. “If Subway’s sales continue to decline, Taco Bell could leapfrog it this year.”
Taco Bell’s US revenues in 2017 grew 5 percent, to $9.8 billion, while Burger King finished the year with US sales of $9.3 billion — marking the second straight year Americans favored Mexican fast food over the home of the Whopper.
Subway, which closed 800 locations in 2016 and 1,000 in 2017, saw 2017 revenues decline 4 percent, to $10.8 million, according to Technomic.
The average Subway store pulls in $350,000 in annual sales compared with Taco Bell’s $1.5 million per store, according to John Gordon of Pacific Management Consulting Group.
“The sales are so low at Subway that it’s difficult for the franchisees to pay their rent and staff,” Gordon added.
The rising popularity of Mexican-style cuisine may also be a factor in Taco Bell’s success. The misfortunes of Chipotle Mexican Grill may have helped Taco Bell, too.
“Taco Bell has been growing fast, and that could be, in part, because Chipotle stumbled,” said restaurant analyst Roger Lipton.
Meanwhile, Chipotle just hired away Taco Bell Chief Executive Brian Niccol.