Dive Brief:
- Jollibee has launched a permanent line of premium, made-to-order beverages dubbed Signature Sips, the company said in a press release this week.
- The beverage lineup includes quenchers, freezes and iced teas and a cold brew, according to the announcement. Prices start at $4.99 for quenchers and freezes and $3.99 for iced tea and cold brew. These 16-ounce drinks can be ordered a la carte or added as an upgrade to a meal.
- In addition to its premium beverages, Jollibee has been rolling out burgers made with Angus beef using lessons drawn from Smashburger, a brand the company has owned since 2020. These burgers are helping build average daily sales in the category, CFO Richard Shin said during a third quarter earnings call.
Dive Insight:
Enhancing beverage options has been a growing trend recently, especially as chains work to attract more Gen Z customers, who tend to prefer sweeter beverages. Sonic added several cold and sweet drinks to its menu earlier this year. McDonald’s spinoff brand CosMc’s beverage menu is largely made up of drinks with high sugar and caffeine contents.
Jollibee’s drinks are priced competitively with those at Starbucks. At an arbitrarily selected Starbucks location in Virginia, Restaurant Dive found that Starbucks charges over $4 for a 16-ounce iced tea and over $5 for a frozen refresher drink if ordered online.
Jollibee’s new beverages could help drive additional sales momentum for the brand in North America, where it posted double-digit same-store sales growth, Shin said. The company also launched its first loyalty app in October, which led to a 30% uplift in average check in eight weeks.
North America holds significant growth potential for the chain. At present, Jollibee has over 100 units on the continent. The chain is generally focused on expanding within existing markets, including California, Texas, New York, Maryland, Arizona, Virginia, Illinois and Washington. As of June, the brand expected to have 14 new openings in North America this year.
