Starbucks Sets its Sights on Panera

October 9, 2013

StarbucksLogowithspaceatbottom 304The success of fast-casual chains such as Panera Bread Co. and Chipotle Mexican Grill is causing competitors ranging from Starbucks to KFC and Taco Bell to look for ways to copycat their results.

With its latest menu additions, Starbucks has been moving deeper into Panera’s territory, Investor’s Business Daily reports.

Starbucks added new bakery products to its offerings following its acquisition of the La Boulange Cafe & Bakery fast-casual chain, and now the company is rolling out salad bowls and sandwiches at its coffee shops.

“They definitely intend to be more competitive with Panera,” Darren Tristano, executive vice president of foodservice research firm Technomic, told IBD.

Panera Bread Co. reported fiscal second-quarter net income of $51 million, up 15.6 percent from last year’s quarter. The company’s total revenue for the fiscal second quarter ended June 25 rose to $589 million, up 11 percent from the second quarter of fiscal 2012.