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Wendy's has a few things that make it different from its fast-food hamburger rivals. The most obvious thing is the company's square burgers, which were created to make clear that its patties are fresh and not frozen.
In addition Wendy's (WEN) uses those burgers -- the ones that don't sell -- to make its chili. That's a side dish that you can't find at key rivals McDonald's (MCD) or Restaurant Brands International's (QSR) Burger King.
DON'T MISS: Burger King Menu Brings Back a New Take On a Classic Nationwide
The chili, which has always been a fan favorite, is now sold in cans at grocery stores. It's hard to imagine that the canned version tastes like the in-store variety simply because it's impossible to copy the perpetually cooking, old burger formula.
In general, that's why fast-food favorites haven't made the leap to the grocery stores. You could sell McDonald's or Burger King fries for people to make at home, but you can't really duplicate the in-store experience when you're reheating frozen french fries in your oven.
Basically, people will have a certain expectation, and a frozen product won't quite give them what they're expecting.
Sonic, however, the famed drive-in fast-food chain, has brought its iconic Tots to more than 4,000 Walmart (WMT) locations.
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Image source: ANDREW CABALLERO-REYNOLDS/AFP via Getty
Sonic Brings Its Tots to Walmart
While Sonic's Tots are iconic to the company's fanbase, they're not as well-known to most people as the fries at McDonald's, or even at Burger King or Wendy's. That might work to the company's advantage as people buying the frozen version may have looser expectations than they would for a more familiar product.
Sonic's Tots have already appeared for sale on the Walmart website.
"Crispy on the outside and filled with fluffy potato goodness on the inside, Sonic Tots are cooked to a golden brown and lightly seasoned with a touch of salt to enhance their flavor," the company said, according to Fast Food Post, which first reported the move.
"Touted as a true treat for both kids and adults alike, Sonic Tots can be prepared in the oven in as little as 20-25 minutes, or in the air fryer in just 10 minutes."
The Sonic Tots are being sold in a 28-ounce bag for $4.98, according to Walmart's website.
Sonic plans to bring its Tots to other retailers; the deal isn't exclusive to Walmart.
Walmart Has Mixed News on Pricing
Walmart, like every retailer, has been very conscious of its costs and how that affects what it charges customers. Chief Executive Doug McMillon spoke about that during his company's first-quarter-earnings call.
"In Walmart U.S., general merchandise costs are now lower than a year ago, which is great, but they're still higher than two years ago on like items," he said.
"In the dry grocery and consumables categories like paper goods, we continue to see high-single-digit to low-double-digit cost inflation. We all need those prices to come down. The persistently high rates of inflation in these categories lasting for such a long period of time are weighing on some of the families we serve."
McMillon said Walmart does not fully know what to expect in the coming quarters.
"This stubborn inflation in dry grocery and consumables is one of the key factors creating uncertainty for us in the back half of the year because of the cumulative impact on discretionary spending and other categories, specifically general merchandise," he added.
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