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Rodolfo Estrada plays a key role in driving innovation and culinary excellence at Jack in the Box. His inventive ideas and project management expertise are instrumental in creating and launching new products, contributing significantly to the company's success.
In an interview with Food Business Review, Rodolfo shares his insights on the importance of consumer engagement, cost management and ongoing innovation in the food industry. Can you describe your journey in this field and your current roles and responsibilities at Jack in the Box? I've had two stints in the company, the first lasting two years and the current one over a year and a half. During both tenures, I primarily focused on creating new concepts. It starts with ideation, testing thirty to a hundred ideas online with third-party input. The winning concepts are selected based on name and description, and we work with vendors, evaluating feasibility in terms of cost, timing, and various operational factors. We progress to the next phase, aiming to commercialize the product while collaborating across departments. Commercialization may be quick or lengthy, and sometimes, it adheres to the windows we have for either market testing or system deployment, though adjustments may be necessary due to the product's commercialization timeline. If the market test succeeds, we implement the system. Market tests can vary in size, taking place across 19 states in the U.S. We evaluate restaurant performance, name, brand, and potential adjustments. We measure success by sales, sometimes using central location tests (CLT) for consumer satisfaction. We review our marketing strategy, and if it works, we proceed with a system-wide launch to ensure products meet customer demands and brand standards. What does a typical day look like for you at Jack in the Box? We’re a team of 10 people, including chefs, food scientists, and technologists. We are actively involved in frequent project meetings and daily food sampling for new project development. Vendor interactions are routine as we meet suppliers to explore products and ideas. Planned ideation sessions with vendors in our kitchen help us understand their capabilities. Occasionally, we organize ideation sessions, some of which are quick, while others can span for several months. We recently conducted detailed ideation for our breakfast category, involving nine different suppliers and chefs collaborating to develop various concepts. These ideas are then presented to the leadership. Based on your experience, what significant challenges are currently impacting the food industry? Understanding consumer desires is a significant challenge. We utilize various consumer touch points, including concept testing, where consumers rank menu ideas. We also use focus groups and CLT, which are tested in the field to closely engage with consumers. The main hurdle is ensuring our product aligns with consumer preferences. Another challenge is the low innovation success rate, in which out of 100 ideas, only a few reach the restaurant due to rising costs, especially after the impact of COVID. Prices for resources like propane and food and packaging have increased, significantly affecting margins. Although it has evolved slightly in the last few months, some categories have remained expensive. Labor and operational complexity is a common challenge faced by most food chain companies. Our extensive 24/7 menu is consumer-friendly but operationally demanding for our restaurants. Are there any emerging trends or developments in the market that could address these issues? We track emerging trends from various sources, including third-party research and monitoring competitors online. Trends often originate in fine dining and transition to casual dining and fast food. For instance, Mexican flavors like birria are gaining popularity across food spaces. We're also exploring the introduction of boba tea drink, which is new to fast food but not the food industry. Enhancing our breakfast offerings is a continuous focus. Can you share insights on a recent project initiative where you applied the latest industry trends? During my first tenure at Jack in the Box, the Buttery Jack project was initiated. It replaced the underperforming Sirloin burger and became a significant revenue generator. We began with 150 ideas, narrowed them down to 10 thematic concepts, and further reduced them to five through focus groups. The Buttery Jack concept emerged with real butter and seasonings on the patty, a rare and successful addition to fast food, making it an exceptional project. What advice would you offer to your peers and emerging professionals in this field? My advice is to prioritize data. While obtaining data can be costly, it's a crucial investment. Allocate a portion of your budget for this purpose and proceed cautiously, capturing multiple consumer touchpoints before launching any product. In my experience, rigorously testing products using various consumer touch points significantly increases the chances of success. This approach demands planning, discipline, and resources, leading to a higher success rate.