Chick Fil?
Speaker AA is releasing its own entertainment app, you guys with family friendly shows and podcasts.
Speaker AAccording to cnbc, Chick Fil?
Speaker AA plans to launch a new app on November 18th with a slate of original animated shows, scripted podcasts, games, recipes and ebooks aimed at families.
Speaker AA preview of the app viewed by CNBC included the first 22 minute episode of Legends of Evergreen Hills, which continues or protagonist Sam's adventures in the fantasy world of Evergreen Hills.
Speaker AThe first installment of Hidden Island, a scripted podcast about a family that shipwrecks on a deserted island.
Speaker AAnd a step by step cooking tutorial that uses a Chick Fil?
Speaker AA milkshake as a key ingredient.
Speaker ACustomers can pre download the free Chick Fil A play app for their phones, iPads and Android devices ahead of the launch next month.
Speaker AChris, I'm going to have you wrap this up.
Speaker AThis is in your wheelhouse, as you said.
Speaker AAre you buying or selling the idea of Chick Fil?
Speaker AA producing and distributing its own content via a standalone app?
Speaker BI love it, like, you know, disclosure biased here.
Speaker BYou know, major Chick Fil A fan, avid customer, as are many of our.
Speaker COmnitalk listeners after last week's show.
Speaker BYeah, yeah, they, you know, I love it.
Speaker BI think it's, it's a good idea for them, right?
Speaker BIt's a brand that people already love.
Speaker BAnd, and I think like the, on the surface level, right, people are doing less dining at the restaurant.
Speaker BYou know, there are places like McDonald's starting to close their playpens, et cetera.
Speaker BI think it's a fun way to have some sort of replacement engagement in the restaurant.
Speaker BAnd I thought you brought up a really good point at the beginning of the show of brands doing a good job listening to customers.
Speaker BAnd I don't think any customers like actually said, oh my God, I want Chick Fil?
Speaker BA streaming.
Speaker BBut, but when you look at the release here, they talked about understanding the adjacencies and how the adjacencies to mealtime are shifting.
Speaker BAnd instead of having like the play centers, they were looking for activities and games that could be adjacent to meal time that customers are doing now.
Speaker BParents with iPads and things at restaurants, I think it's a great idea to have a slightly different engagement in the restaurant, but then outside the restaurant you just extend your connection to that customer into totally new environments when you Chick Fil A was never being discussed.
Speaker BSo like, is it gonna be a massive win?
Speaker BProbably not.
Speaker BIs there gonna be a lot of halo effect from deepening connection with the brand and you know, can you market to kids without blatantly marketing to kids with this.
Speaker BYeah, probably.
Speaker BI like it.
Speaker AYeah.
Speaker AI mean, that's the question that they bring up in this article too, that I thought was interesting.
Speaker ALike Procter and Gamble did this soap opera early on.
Speaker ALike, is this the next is, is Chick Fil A the next png?
Speaker AAnd do they have the ability to drive traffic to another, you know, destination?
Speaker AWe'll see.
Speaker ALakshman, where do you come down on this?
Speaker DWell, if they, if they, if they figure out the licensing fees and all the royalties and everything with others in terms of, you know, how they're going to product go to production services on this one.
Speaker DRight.
Speaker DSo if it is a low overhead and they not invested a ton into that and have a lot more AI driven content generation going on here, this is a real use case for, you know, asset like model for them to develop and deliver content quite significantly.
Speaker DAnd kids are always, you know, stuck to their iPads so we can have greater engagement.
Speaker DI think it just increases two things.
Speaker DOne is traffic, where kids have a reason to go to Chick Fil A now and number two, duration for which they can stay in the store.
Speaker DSo you at least have to stay for the duration of the video.
Speaker DLikely.
Speaker ARight.
Speaker DAnd they likely, you know, give free wi fi and whatnot for this.
Speaker DAnd 8 to 10 minutes will likely get extended to 15 to 20 minutes.
Speaker DThe longer you stay, the more you buy.
Speaker DWhich in case drives the basket size and the aoe.
Speaker AYeah.
Speaker AAnd I mean, Chris, what are your thoughts here?
Speaker AWalton?
Speaker AChris Walton.
Speaker ABecause it's not in the Chick Fil A app.
Speaker AYou use the Chick Fil A app like no one's business.
Speaker ASo I mean, do you think that they'd be better positioned putting this inside of that app experience or, or can they drive traffic to an entirely new app?
Speaker CI don't know.
Speaker CI'm starting to feel like this is a glass half empty podcast for me because I, I, I hate this idea too.
Speaker CI mean, and for the reasons you're saying, I think, you know, the, the P and G analogy is a false analogy because PNG was, was producing that content but distributing it through an existing content network, which is the problem here.
Speaker CSo whether you create your own app or whether you put it in the existing Chick Fil A app, when people are in the entertainment seeking mood, we talk about it all the time on the show.
Speaker CLike you're competing against TikTok, Instagram, YouTube.
Speaker CThat's a hard hurdle to get over.
Speaker CAnd so this whole thing, I mean, it's funny, it reminds me of my old boss, Jason Goldberger used to have this thing where he'd say, like, you remember, like the app craze in 2010, 2011, like, roughly.
Speaker CHe'd be like, do you know that Lysol built an app?
Speaker CLike, why in the hell would Lysol build an app?
Speaker CBut that's what they did, and I think that's what we're seeing here as well, is that a lot of companies are trying to get into this media thing, but they're not thinking about the right way to do it and they're almost over engineering a new wheel too much.
Speaker CInstead of just saying, okay, yeah, we want to put content in there, we want to create attachment to our brand.
Speaker CWhat's the right distribution channels for us to do that?
Speaker CAnd that's how you should be thinking of it.
Speaker CThis is, this is way too souped up for my tastes.
Speaker AYeah, I mean, and, and I think it actually goes a little bit against what Lakshman was saying because they.
Speaker AIt does involve a heavy amount of capital to invest to make this content and to really.
Speaker AAnd to drive traffic to it early on.
Speaker AYes, you have AI that can help make this a little bit simpler.
Speaker ABut my only question here is, you know, something that really started to resonate with me when we were at Chop Talk Fall last week, and that is just really rethinking about Gen Z and Gen Alpha.
Speaker AThey are the first digital first generation that has been.
Speaker AHas started on iPads from the moment that they were coming out of Bye bye baby.
Speaker AAnd now they are.
Speaker AAre looking at content.
Speaker AThey're exploring brands and experiencing brands in a digital way like they never have before.
Speaker ASo is this.
Speaker AIs.
Speaker AIs Chick Fil a really, like, doubling down and saying this is how we're going to try to invest with the next generation of consumer.
Speaker AWe know we have them.
Speaker AWe know that they want to come to our stores.
Speaker AWe know that the content that we're generating on the social platforms is working with them.
Speaker AHow do we get them further embedded with us?
Speaker AAnd that's the only question that I have here is like, will they actually be able to pull this off?
Speaker ABecause they're really putting all of their investment in doing that in a way that a lot of other retailers aren't doing anymore.
Speaker AEspecially like Walmart last year was doing, trying to do this too, with their Add to Heart series that we haven't heard anything about yet this year.
Speaker ABut could this be.
Speaker ACould this be them being kind of, you know, ahead of their time?
Speaker CYeah, but, and, and to that point, like Walmart, we haven't heard word one about that from Walmart this year.
Speaker CAnd they were doing that through YouTube too.
Speaker CSo like.
Speaker CBut no, no.
Speaker CWhat do you do you like this idea?
Speaker CAnd though like would.
Speaker CIs this how you would advise them trying to approach Gen Z?
Speaker AAnd I wouldn't do it in this way.
Speaker AI think I try to keep it within the Chick Fil A app.
Speaker AI think that makes more sense as a starting point.
Speaker AAnd then using clips or content to put on the social platforms on YouTube, on TikTok where the generation is exposing themselves or discovering content and then I drive them into the app for long form content if that's what they want.