Taco Bell has unveiled a new concept in San Diego that steps away from its taco-centric menu. The newly opened Live Más Café focuses primarily on beverages, offering a range of milkshakes, coffees, fruity iced drinks, and a twist on the popular “dirty soda” trend with its signature Mountain Dew Baja Blast.
This move sees Taco Bell entering a competitive beverage market, dominated by industry giants like Starbucks and Dunkin’, as well as fast-growing chains such as Dutch Bros, Swig, and Scooter’s Coffee. The new prototype resembles CosMc’s, a beverage-focused concept owned by McDonald’s, aimed at attracting younger customers with specialty drinks and snacks.
According to R.J. Hottovy, head of analytical research at Placer.ai, beverage chains have been among the fastest-growing segments in the restaurant industry over the past two years. He suggests that this new café format could be Taco Bell’s strategy to diversify its audience by catering to younger consumers, who are more inclined to visit beverage-led establishments.
Taco Bell sees the Live Más Café as part of its plan to disrupt the beverage industry. The café’s menu includes a variety of drinks that have become key elements of Taco Bell’s offerings in recent years, such as frozen coffee and shakes known as Chillers, Agua Refrescas (a green tea-based drink with fruit), and new cold brew coffee options, developed in partnership with Beekeeper.
Taco Bell’s expansion into the beverage category is a reflection of its broader strategy to stay competitive within the Yum Brands portfolio. The chain has consistently outperformed sister brands KFC and Pizza Hut, reporting a 4% increase in same-store sales during Yum’s most recent earnings quarter, driven by popular items like the new value meal and Big Cheez-It.
The Live Más Café was developed in partnership with Diversified Restaurant Group, one of Taco Bell’s largest franchisees, which also played a key role in creating Taco Bell’s successful Cantina concept.
Related topics:
- Hardline Coffee Opens Roastery and Café in Sioux City’s Eco Hub
- Toebeans Cat Café Opens in Roanoke: Coffee, Cats, and Community
- Let’s Go Coffee Co. Opens in Emmaus, Offering Coffee and Community