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The Street
The Street
Daniel Kline

Taco Bell menu adds surprising new McDonald's killers

Taco Bell has no rules for its menu. 

Aside from not offering hamburgers — and it's not impossible to imagine the chain doing that someday — it generally adds whatever menu items it thinks its customers will enjoy.

In most cases, these new items have some touches that evoke the chain's history as a Mexican restaurant. Nacho Fries, for example, are certainly an attempt to equal McDonald's (MCD) -), Burger King, and Wendy's, but the chain does bring its own flair to the product.

Related: Taco Bell's newest menu item is a first for the chain

Some recent items, however, like its Naked Chicken Chips, a take on chicken nuggets, were pretty blatant attempts to appeal to customers who might not like Mexican food. That's potentially an important audience for the company if the Yum Brands (YUM) -) chain wants to win market share from McDonald's, Burger King, and Wendy's.

It's not so much about having items that appeal to the core Taco Bell customer. That audience wants to eat at the chain and is likely drawn there by both their favorite menu items and the frequent limited-time offers the chain brings out.

Instead, Taco Bell's best chance to grow its audience comes from enticing the person in the family or friend group who does not want tacos, burritos and other classic Mexican menu items. That one dissenting person drives business to more pedestrian chains and, now, Taco Bell has multiple offers to win over those customers.

Some of those items are being added nationwide, while the boldest addition is only in the testing phase, but if it works, it could be a true McDonald's killer. 

Nacho Fries have been a big success.

Image source: Taco Bell

Taco Bell adds broad appeal menu items          

Nacho Fries are not a permanent Taco Bell menu item, even though they pretty much always seem to be offered in some form. 

The chain has recently added the first vegan version of the popular side dish, which comes with vegan nacho cheese sauce. 

That's an important addition for the chain because McDonald's' famous french fries are neither vegan nor vegetarian. The vegan version of Nacho Fries is being offered nationwide for a limited time (as long as supplies last).

Taco Bell has also been going after McDonald's (and to a lesser extent Burger King and Wendy's) in the morning by making its breakfast lineup more approachable. It mocked some of its earlier efforts at the morning meal in a series of ads starring the actor and comedian Pete Davidson, and now it's expanding its breakfast lineup with some familiar sandwiches given a mild Taco Bell twist. 

The chain has launched Toasted Breakfast Tacos, "comprised of a delightful blend of fluffy eggs, melted cheese, and their choice of bacon, sausage, or potato, all wrapped in a perfectly grilled tortilla, for $1.49" nationwide.  

Davidson will also appear in a new ad for the chain touting the new breakfast tacos.

Taco Bell takes on Chicken McNuggets

While Naked Chicken Chips were a toe in the chicken-nugget waters, the chain's new Crispy Chicken Nuggets seem like a direct challenge to McDonald's, Burger King, and Wendy's. In fact, Wendy's even branded its chicken nuggets as "crispy nuggets" when it launched them in 2010. 

Taco Bell will be testing its version of the fast-food classic in stores in the Minneapolis area 

"Crispy Chicken Nuggets are made with marinated all-white-meat from whole-muscle chicken breast," the company described in an email. That may not sound like a dig at McDonald's, but it's a subtle hit at people questioning what the chain's McNuggets are actually made of.  

Taco Bell marinates its chicken nuggets in spiced jalapeño buttermilk before breading and frying them. The chain has also introduced two new dipping sauces, "signature Bell sauce, crafted with tomatoes, red chiles, onion, and garlic, or the hot and sweet Jalapeño Honey Mustard, featuring sweet honey with a kick of jalapeño and tangy mustard."

The nuggets are being sold in a five-piece pack with one sauce for $3.99-$4,99 and a 10-piece pack with two sauces for $6.99-$8.99.   

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