Restaurants add spicy menu items in a bid for younger diners

Restaurant brands are hoping hot new menu items will drive visits among younger customers. Hot, in this case, is literal.

Spicy items like chicken sandwiches, seasoned sides and sauces are cropping up more often on menus at major fast-casual and quick-service chains. The idea is to introduce easy-to-execute and buzzy options that can capture the attentions of Gen Z and Gen Alpha diners, even if it’s only a flash in the pan.

One of those companies was Chipotle, which in June introduced Adobo Ranch, its first new dip in five years, as a limited-time offer.

“From an operations perspective, the sauce is a lot easier to do than bringing in another LTO or another protein. And you get a lot of the same benefit,” Chris Brandt, Chipotle’s president and chief brand officer, told CNBC.

The draw toward spice is yet another way restaurants are responding to slower consumer spending while trying to keep costs in check. A KPMG Consumer Pulse survey found that U.S. consumers plan to spend 7% less per month at restaurants this summer.

“There’s been a pullback, especially from lower-income consumers,” said Gregory Francfort, lead restaurant analyst at Guggenheim Securities. “Spice is a low-cost, high-return way to re-engage them.”

“Restaurants are really trying to be aggressive with their marketing calendars and releasing new products now,” Francfort said.

From March to June, U.S. restaurant chains collectively launched 76 new spicy menu items, representing roughly 5% of new menu items, according to market research firm Datassential. That includes permanent additions and limited-time offers and is roughly in line with historical menu item additions in the category over the last several years.

Around 95% of restaurants now offer at least one spicy item on their menu, according to Datassential.

Though the concept of spice on menus isn’t new, it appears to be catching fire with Generation Z and Generation Alpha — those roughly under the age of 30. Their preference for bold, spicy flavors is inspiring more restaurants to turn up the heat.

Up to 50% of Gen Z consumers eat at least one spicy meal a week, according to data from soda brand Sprite, which has been playing up its tangy flavor profile.

“Younger generations (Gen Z, for example) are fueling the spicy trend, craving bolder, more adventurous flavors,” a Wendy’s spokesperson said in a statement to CNBC.

“They’re not looking for bland or predictable,” said Cava’s chief concept officer and co-founder, Ted Xenohristos. “They want strong flavors.”

In April, Cava launched Hot Harissa Pita Chips to meet the rising demand. The chain also offers the Harissa Avocado bowl, hot harissa vinaigrette, and harissa honey chicken.

In May, Taco Bell launched the Mike’s Hot Honey Diablo Sauce, a collaboration between Mike’s Hot Honey and the taco chain’s signature Diablo sauce. It followed a February launch of the Caliente Cantina Chicken Menu, building off the…