In the competitive world of fast food, Taco Bell has mastered the art of creating viral sensations that keep customers coming back for more. At the heart of this success is Liz Matthews, the chain's Chief Food Innovation Officer, who has been described as the GOAT (Greatest of All Time) in developing new product ideas.
The Decade-Long Quest for the Perfect Cheese Shell
For nearly ten years, Taco Bell's innovation team has been working on an ambitious project: creating a taco shell made entirely of cheese. Market research indicates strong consumer interest in this concept, following the massive success of previous innovations like taco shells made from Doritos chips.
The challenge has been significant. The team is now on its fourth cheese supplier and continues to struggle with maintaining the shell's crispiness while it waits for fillings like ground beef and additional cheese. "It softens up fast," admitted Brett Pluskalowski, a Taco Bell product developer, during a July check-in with Matthews.
Four months later, the pursuit continues. Matthews recently tasted the latest prototype and remains optimistic. "Still work to do but I see it happening in the future," she says. "I think the team is getting close."
The Limited-Time Offer Strategy That Drives Sales
Matthews has perfected a strategy that has proven difficult for competitors to replicate: the limited-time offer (LTO). These temporary menu items create urgency and excitement, keeping drive-through menus and apps fresh with new options.
This year, Taco Bell is on track to release approximately two dozen new menu items, doubling last year's total. These include innovations like the Flamin' Hot Grilled Cheese Burrito and Cheesy Street Chalupas. Remarkably, items that take years to develop typically remain on the menu for just four to six weeks.
The success of this approach is undeniable. Taco Bell's same-store sales have grown annually since 2012, with only a pandemic-driven 1% decrease in 2020. The chain has now become the fourth largest by U.S. sales, surpassing competitors Burger King and Wendy's.
Understanding the Taco Bell Customer
Matthews possesses an innate understanding of what her target customer wants. She focuses on creating items that someone leaving a party on a Saturday night would crave. Taco Bell's core demographic is 18 to 30-year-olds whom the company calls "cultural rebels" - more of a mindset than a specific demographic.
During her 26-year tenure at Taco Bell, Matthews has been instrumental in developing now-iconic products including the sea-green Baja Blast soda, Doritos Locos Tacos, and the Crunchwrap Supreme. These have become staples that define the Taco Bell experience.
Greg Creed, Taco Bell's chief executive from 2011 to 2014 who promoted Matthews to her current role, explains her success: "The reason she is the GOAT is because she understands the Taco Bell brand better than anyone and she is fearless."
From Failed Experiments to Viral Sensations
The innovation process at Taco Bell involves rigorous testing and sometimes years of development. The company tests hundreds of ideas annually in their Test Kitchen, with about 40 advancing to restaurant testing. Matthews ultimately decides which ideas get the green light.
Some concepts take decades to perfect. Taco Bell worked on french fries for nearly 20 years before finally launching a successful version coated in seasoning and dipped in nacho cheese sauce. Similarly, chicken nuggets required a tortilla-based masa and jalapeño buttermilk coating to become menu-ready.
Not every experiment succeeds. In 2017, Taco Bell added butter to its rice, only to face backlash from vegan customers. The company quickly removed the butter, demonstrating their responsiveness to consumer feedback.
Matthews oversees a team of approximately 100 product developers who constantly exchange ideas and monitor restaurant trends. "It kind of consumes our lives," Matthews admits, highlighting the dedication required to stay ahead in the fast-food industry.
As Taco Bell continues to innovate under Matthews' leadership, the quest for the perfect cheese-shell taco represents just one of many ambitious projects that could become the next viral sensation in the competitive world of fast food.
