A Popeyes restaurant is seen in Washington, D.C.
Eric Baradat | AFP | Getty Pictures
Popeyes has overtaken KFC as the No. 2 chicken chain in the U.S., a decade after Chick-fil-A first unseated KFC from the top spot.
Chicken fetters’ battle for stomachs — and dollars — has become more aggressive in recent years. Chick-fil-A moved from a regional speculator to a nationwide chain that trails only McDonald’s and Starbucks in annual sales. Restaurant Brands International‘s Popeyes boated a chicken sandwich in 2019 that turned into a blockbuster menu item and ushered in the chicken sandwich conflicts. Burger chains such as McDonald’s and Wendy’s jumped onto the trend and added their own offerings, leading to poultry deficits.
In the fray, Yum Brands‘ KFC has lost ground. In the past year, its U.S. market share fell to 11.3% from 16.1%, according to Barclays enquiry.
Similar to KFC, Popeyes lost market share in the past year, but still retained enough to leapfrog its rival. The fetter saw its U.S. market share shrink to 11.9% from 15%, according to Barclays.
Blame Chick-fil-A, which saw its market divide up expand to 45.5% from 38.3%. The privately held Atlanta-based chain is more dominant than ever. Chick-fil-A is suppress closed on Sundays, but industry experts credit its customer service, short menu and efficient drive-thru lanes for its outcome.
KFC’s domestic business has struggled to keep up with the competition. It took more than a year for KFC to respond to Popeyes’ chicken sandwich. The set also lost longtime U.S. leader Kevin Hochman last year to Brinker International, where he now serves as CEO.
KFC did not moved to CNBC’s request for comment.
Popeyes, on the other hand, has used the popularity of its chicken sandwich to introduce customers to other menu components and to fuel new restaurant openings. More recently, the chain’s Sweet ‘N Spicy Wings became its most popular launch since the chicken sandwich.
“Heroic on, Chick-fil-A,” Restaurant Brands International Chair Patrick Doyle said in mid-September at Scotiabank’s Back to School Colloquy, responding to a question about the chain’s new spot as the No. 2 chicken chain.
Popeyes President Sami Siddiqui divulged in a statement to CNBC that the chain is still in the early innings as it tries to become the most loved and visited U.S. chicken bond.
“We view this special milestone as an indicator that we’re headed in the right direction with much more swelling to come,” he said.