New York
CNN
—
Chili’s is ratcheting up its fight against fast food rivals with a new cheeseburger that might make McDonald’s call their lawyers.
The chain is rolling out Tuesday the Big QP burger, which not only has a similar name to McDonald’s Quarter Pounder but also the same toppings: two slices of American cheese, pickles, ketchup and diced onions. Chili’s says in a press release that its version has 85% more beef, making it “even more value-packed” than the fast food classic.
The Big QP is being added to Chili’s popular “3 for Me,” a $10.99 meal that includes the burger, fries, unlimited chips and free refills of a soft drink. The deal exploded in popularity last year when Chili’s took aim at customers of its fast food rivals (notably McDonald’s) who might be turned off by their rising prices.
And while the meal might be more expensive than a McDonald’s Quarter Pounder, which costs around $5 to $7 depending on the city, it’s comparable in price to a combo meal with medium fries and medium-sized soft drink.
Chili’s directly jabbed McDonald’s in its press release, calling the $10.99 deal “less expensive than a comparable meal at McDonald’s” as well as releasing TV ads that call the Quarter Pounder “tiny.”
The Big QP is the second McDonald’s-inspired burger from Chili’s. Last year, the chain added a Big Mac-like burger called the Big Smasher, rolling out a cheeky ad campaign that directly called out the Big Mac. Ultimately, that proved a successful gambit, with the Big Smasher helping Chili’s register a 15% jump in same-store sales following its release.
Chili’s is likely hoping to sustain its skyrocketing sales by continuing this rivalry. Sales in its most recent quarter jumped 31%, marking the chain’s third-straight quarter of double-digit growth. Shares of Brinker International (EAT), its parent company, have soared 200% over the past year.
Once trailing flashier rivals, Chili’s is pulling off its comeback thanks to these deals, plus revamped chicken tender recipes and viral TikToks of its “Triple Dipper” appetizer. The chain also recently opened a location in Scranton, Pennsylvania inspired by “The Office.”
This success stands in contrast to most casual dining chains. Typically catering to lower and middle-income families looking for a sit-down meal, diners have been abandoning these companies in recent years. These restaurants have been hiking menu prices at the same time their customer base is being squeezed by the rising cost of living, resulting in several bankruptcies, including Hooters, TGI Fridays and Buca di Beppo.
Although McDonald’s hasn’t directly responded to Chili’s, the chain recently added a “McValue” menu category in hopes of turning around its sluggish sales. In addition to the $5 meal deal, the menu also has a “Buy One, Add One for $1” option and more locally targeted promotions from its franchises.
