Sizing Up the Competition: Chick-fil-A‘s Top 10 Rivals in the Fast Food Industry

Chick-fil-A has emerged as one of the most successful and beloved fast food chains in the United States, known for its delicious chicken sandwiches, waffle fries and exceptional customer service. Founded in 1946, the Atlanta-based company now has over 2,600 restaurants across the country and ranks as the third largest fast food chain by sales in the U.S. behind only McDonald‘s and Starbucks.

Despite Chick-fil-A‘s impressive growth and loyal following, it still faces fierce competition in the fast food industry, particularly in the chicken segment. From global giants to scrappy upstarts, a flock of challengers are vying for bigger pieces of the chicken sandwich market. Here‘s a detailed breakdown of 10 top Chick-fil-A competitors and how they stack up:

1. McDonald‘s

As the world‘s largest fast food chain with nearly 40,000 locations worldwide, McDonald‘s wields massive scale and brand power. Historically focused on burgers, McDonald‘s has made an aggressive push into chicken sandwiches to compete with Chick-fil-A. The Golden Arches now promote several "Crispy Chicken Sandwiches" which bear a striking resemblance to Chick-fil-A‘s signature offering.

However, McDonald‘s U.S. restaurants averaged just $2.9 million in sales per unit in 2021, compared to over $8 million for Chick-fil-A. McDonald‘s also significantly trails Chick-fil-A in key metrics like customer satisfaction, drive-thru speed, and service rankings. While McDonald‘s scale keeps it in the game, Chick-fil-A‘s quality and hospitality give it the edge.

2. Kentucky Fried Chicken (KFC)

KFC is the OG of fast food fried chicken with over 25,000 locations worldwide. The Yum! Brands chain built an empire on the secret recipe of Colonel Sanders but now offers an array of fried and grilled chicken entrees, sandwiches and sides.

While much larger than Chick-fil-A, KFC has struggled to match its rival‘s staggering unit economics. In 2021, KFC averaged about $1.5 million in sales per restaurant compared to Chick-fil-A‘s $8.1 million. As Restaurant Business notes, Chick-fil-A generates "more than half of KFC‘s systemwide sales with less than one-seventh of the unit count." KFC‘s international footprint keeps revenues flowing, but Chick-fil-A is the per-store powerhouse.

3. Popeyes Louisiana Kitchen

Popeyes clawed its way into the chicken sandwich spotlight with the mega-viral launch of its fried chicken sandwich in 2019. Crispy, juicy and bursting with Cajun flavor, Popeyes sandwich was an instant hit and triggered the "chicken sandwich wars." Popeyes has continued to innovate on the platform with Buffalo Ranch and Blackened Chicken versions to keep the momentum going.

Popeyes now has over 3,700 restaurants worldwide generating about $1.8 million per unit on average – still well below Chick-fil-A but growing rapidly. According to Numerator data, Popeyes has also ridden its sandwich success to convert more customers from Chick-fil-A than any other competitor. While Popeyes lacks Chick-fil-A‘s service and hospitality, it compensates with bold Louisiana flavor and value.

4. Wendy‘s

Wendy‘s made its name with "fresh, never frozen" burgers but has long been a contender in chicken as well. It offers a full lineup of fried chicken sandwiches (Classic, Spicy, Pretzel Bacon Pub), grilled chicken sandwiches, nuggets and tenders. In 2021, Wendy‘s generated about $1.9 million per restaurant across its 6,500+ locations.

Wendy‘s has managed to carve out a niche between the burger giants and Chick-fil-A with a balance of quality and value. While it can‘t match Chick-fil-A‘s per-store dominance, Wendy‘s ranked #2 behind Chick-fil-A in the American Customer Satisfaction Index for limited-service restaurants in 2021. Its cheeky social media presence and innovative promotions like its "Wendy‘s Rewards" program have also kept the brand relevant.

5. Burger King

Burger King is best known as the home of the Whopper but has made significant inroads into chicken in recent years. It introduced a new "Royal Crispy Chicken Sandwich" lineup in 2022 to better compete with Chick-fil-A and Popeyes. However, Burger King‘s U.S. business has struggled mightily of late, with same-store sales dropping 4.5% in 2022.

Burger King‘s over-reliance on value offers and underinvestment in digital and drive-thru have caused it to fall behind competitors. Franchisees are revolting against the corporate team‘s turnaround plans. While Burger King‘s huge scale (nearly 20,000 restaurants worldwide) keeps it afloat, the chain is paddling hard to stay relevant in the chicken sandwich current.

6. Bojangles

This Southern chain famous for "chicken ‘n biscuits" has built a loyal following across the Southeast U.S. with over 750 locations. Hand-breaded, Cajun-spiced chicken and scratch-made buttermilk biscuits are the foundation of Bojangles‘ menu, which is rounded out with hearty sides like "dirty rice" and sweet tea.

While only about one-tenth the size of Chick-fil-A, Bojangles ranked just behind it in a recent survey of "favorite chicken chains" and actually outperforms Chick-fil-A in average unit volume in core Southeastern markets. With strong brand affinity and room to grow, Bojangles is a formidable regional foe to the Chick-fil-A empire.

7. Raising Cane‘s

"One Love" is the mantra of this fast-growing chain focused solely on fresh, never-frozen chicken fingers. Founded in 1996, Cane‘s now has over 500 locations nationwide dishing up hand-battered tenders, crinkle-cut fries, Texas toast and addictive "Cane‘s Sauce." Founder Todd Graves famously bootstrapped the company by working as a boilermaker in an oil refinery to raise startup funds.

That scrappy ethos pervades Cane‘s operations today, with an emphasis on quality, hospitality and community involvement not unlike Chick-fil-A‘s. While only about one-sixth the size of Chick-fil-A, Raising Cane‘s is one of the fastest growing brands in fast food. It ranked #3 in sales growth in the 2021 Nation‘s Restaurant News Top 500.

8. Zaxby‘s

Another Athens, Georgia-based chain, Zaxby‘s dishes out chicken fingers, wings and sandwiches across over 900 locations. While lacking the singular focus of Raising Cane‘s, Zaxby‘s has become a Southeast favorite for indulgent fried chicken meals rounded out with Texas toast, fried white cheddar bites and a signature sauce. Zaxby‘s "most loyal guests visit 13 times more than the typical QSR customer," per the company‘s franchise disclosure document.

While Zaxby‘s average unit volumes (AUVs) of about $2.7 million trail Chick-fil-A‘s, the company claims its top 500 units pull in more than $3.8 million – not too far off from Chick-fil-A‘s mark. Like Cane‘s and Bojangles, Zaxby‘s will look to maintain its strong regional base while strategically expanding.

9. Church‘s Chicken

Church‘s Texas Chicken is another old-school fried chicken chain that‘s built up a considerable global scale with over 1,500 restaurants in 26 countries. Core bone-in meals anchor a menu that also includes sandwiches, Tender-Strips, fried seafood and jalapeno poppers.

With corporate revenues around a half billion dollars, Church‘s is one of the largest chains focused primarily on chicken on the bone. It‘s cultivated a following based on the taste of its product and compelling value, with bone-in chicken deals as low as $5. But with AUVs just under $1 million, Church‘s lags far behind the likes of Chick-fil-A and KFC in unit economics. After some ownership and leadership churn, Church‘s will look to refocus and optimize its global footprint.

10. Shake Shack

Shake Shack has risen from a hot dog cart in New York City to a global fast-casual phenom with over 400 locations. While the chain made its name on burgers and frozen custard, it pushed into the premium chicken sandwich space with the "Chick‘n Shack" in 2016.

Hand-breaded, crispy and served on a pillowy potato roll with pickles and buttermilk herb mayo, the Chick‘n Shack has won plenty of fans on its own. Shake Shack‘s total revenues soared 41% year-over-year in 2022 to over $900 million, with average unit volumes around $3.8 million (albeit with much higher overhead costs than a traditional fast food joint).

While Shake Shack plays in a higher price tier than Chick-fil-A, its rapid rise demonstrates the "premiumization" of fast food chicken as consumers flock toward high-quality handhelds. With aggressive expansion plans, a strong digital business and licensing deals, Shake Shack has even more room to run in the chicken sandwich marathon.

Chain Restaurants 2021 AUV (in millions)
Chick-fil-A 2,600+ $8.1
McDonald‘s 40,000+ $2.9
KFC 25,000+ $1.5
Popeyes 3,700+ $1.8
Wendy‘s 6,500+ $1.9
Bojangles 750+ $2.6
Raising Cane‘s 500+ $3.7
Zaxby‘s 900+ $2.7
Church‘s Chicken 1,500+ $0.96
Shake Shack 400+ $3.8

Sources: Restaurant Business, company filings

Conclusion

While Chick-fil-A faces no shortage of fierce competitors, the chain‘s unmatched unit economics, customer loyalty and operational excellence give it a leg up on the fast food pecking order. Chick-fil-A‘s 83 score on the 2021 American Customer Satisfaction Index tied for the top spot among fast food chains. It generates significantly more revenue per store than any of its major rivals.

"The barrier to entry for serving chicken is low and the category is saturated with competition," David Portalatin, food industry advisor at The NPD Group told FOX Business. "But Chick-fil-A continues to distinguish itself from the rest of the industry not only for its high quality product but for being a company with a mission and purpose they have been consistently faithful to."

Chick-fil-A‘s "closed on Sundays" policy gives workers a reprieve in a relentless business and helps the company attract and retain talent. "Our decision to close on Sunday was our way of honoring God and of directing our attention to things that mattered more than our business," explains Chick-fil-A‘s website. That values-driven approach pervades everything the company does.

Wall Street is certainly bullish on Chick-fil-A‘s position. "They‘re just killing it," Baird analyst David Tarantino recently told Yahoo Finance Live. "Great customer service drives high productivity in their restaurants… they out-execute everyone else in fast food in the U.S."

Of course, Chick-fil-A can‘t afford to rest on its buns with so many rivals hungering for market share. Menu innovations like the new Cauliflower Sandwich will be key to bringing in new customers and boosting frequency. International expansion could unlock vast new growth avenues. And as digital orders soar industry-wide, Chick-fil-A must continue investing in its web, app and delivery platforms.

But all in all, Chick-fil-A has built a powerful recipe for success in fast food. As the chicken sandwich wars rage on, the original sandwich champ remains the one to beat.