Popeyes has achieved a significant milestone by overtaking KFC as the No. 2 chicken chain in the United States. This development comes a decade after Chick-fil-A first dethroned KFC from the top spot. The battle for customers’ palates and dollars in the chicken fast-food industry has become increasingly fierce in recent years, with Chick-fil-A evolving from a regional player into a nationwide giant, trailing only McDonald’s and Starbucks in annual sales.
The turning point for Popeyes came when it launched its chicken sandwich in 2019, which quickly became a menu sensation, igniting what is now commonly referred to as the “chicken sandwich wars.” Burger chains like McDonald’s and Wendy’s also hopped onto the trend by introducing their own chicken sandwiches, leading to shortages in the poultry supply chain.
In this competitive landscape, Yum Brands’ KFC has lost ground, experiencing a significant drop in its U.S. market share. According to Barclays research, KFC’s market share fell from 16.1% to 11.3% in the past year, mirroring the decline in Popeyes’ market share from 15% to 11.9%. The primary reason for this shift can be attributed to Chick-fil-A, which expanded its market share from 38.3% to a dominant 45.5%. Chick-fil-A is well-known for its exceptional customer service, a concise menu, and efficient drive-thru lanes, all of which have contributed to its sustained success. Despite remaining closed on Sundays, it remains a formidable force in the industry.
KFC has faced challenges in responding to the fierce competition, including the delay in introducing its own response to Popeyes’ popular chicken sandwich. KFC also lost its long-time U.S. leader, Kevin Hochman, to Brinker International, where he now serves as CEO.
In contrast, Popeyes has leveraged the popularity of its chicken sandwich to introduce customers to other menu items and drive new restaurant openings. More recently, its Sweet ‘N Spicy Wings have become the most successful product launch since the chicken sandwich.
Restaurant Brands International Chair Patrick Doyle declared, “Game on, Chick-fil-A,” during Scotiabank’s Back to School Conference in mid-September, acknowledging Popeyes’ new status as the No. 2 chicken chain. Popeyes President Sami Siddiqui is optimistic about the chain’s future, stating that they see this milestone as a sign that they are heading in the right direction and anticipate further growth in their quest to become the most beloved and visited U.S. chicken chain.