Dutch Bros Expands Food Program: Can it Lift Ticket and Traffic?
Dutch Bros Inc. BROS is taking a meaningful step beyond beverages by expanding its food program across more locations, a move that could help drive higher customer traffic and larger order sizes. The company has historically been known for its customized drinks and energetic drive-thru experience, but management now sees food as a complementary growth lever that can unlock additional visit occasions and strengthen the overall value proposition.
The rollout has gained momentum quickly. What began as a small test in only a handful of Phoenix-area stores has already expanded to more than 300 locations across 11 states by the end of 2025. Management plans to continue expanding the program, targeting a systemwide rollout by the end of 2026. The initiative aims to make Dutch BrosBROS-- more relevant during morning and snack occasions, potentially encouraging customers to pair food with their beverage purchases.
Early performance indicators appear encouraging. According to the company, stores offering the food platform are already seeing improvements in both average ticket and transaction levels. Leadership noted that the program is generating additional beverage occasions and encouraging customers to add food items to their orders. Initial data suggests the initiative could contribute roughly a 4% comparable-sales lift at participating locations.
Beyond boosting sales, the food rollout also helps Dutch BrosBROS-- reduce structural barriers to visiting its shops. By offering quick food options alongside drinks, the brand can better compete for breakfast and daytime traffic while improving overall customer convenience.
While beverages will remain the company’s core focus, the expanding food platform could become an important supporting pillar. If the early results continue, the program may help Dutch Bros increase ticket size, deepen customer engagement and sustain transaction growth in the years ahead.
Key Competitors: Starbucks and McDonald’s
Two notable competitors of Dutch Bros in the beverage and breakfast space are Starbucks Corporation SBUX and McDonald’s Corporation MCD. Both companies have successfully leveraged food offerings to increase customer traffic and boost average ticket size.
Starbucks is the largest coffeehouse chain globally and competes directly with Dutch Bros in specialty beverages and customized drinks. The company has built a strong food platform featuring breakfast sandwiches, egg bites and bakery items that encourage customers to pair food with beverages. This strategy helps Starbucks to increase average order value while expanding the number of morning and midday visits.
McDonald’s is also a significant competitor in the breakfast and coffee segment through its McCafé platform. The company combines coffee beverages with a broad breakfast menu that includes items such as Egg McMuffins, biscuits and hash browns. By offering convenient food-and-beverage combos at competitive prices, McDonald’s captures substantial morning traffic.
As Dutch Bros expands the food program, it may compete more effectively with these chains by driving higher ticket sizes and attracting additional breakfast and snack occasions.
BROS’ Price Performance, Valuation & Estimates
Shares of Dutch Bros have lost 12.2% over the past year compared with the industry’s 3.1% decline.
BROS’ One-Year Price Performance
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From a valuation standpoint, BROS trades at a forward price-to-sales (P/S) multiple of 3.99, up from the industry’s average of 3.7.
BROS’ P/S Ratio (Forward 12-Month) vs. Industry
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The Zacks Consensus Estimate for BROS’ 2026 earnings per share has increased in the past 30 days. The company is likely to report strong earnings, with projections indicating a 19.7% rise in 2026.
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BROS currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Starbucks Corporation (SBUX): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).
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