KFC's Failed Beef Chain Goes Viral

The Kentucky Roast Beef & Ham venture was driven by fears of rising competition in the fried chicken market from chains like Church's Chicken and Chik-Fil-A. Lead investor John Y. Brown Jr. believed the powerful Colonel Sanders brand could successfully market any type of food, prompting the diversification into roast beef and ham. This expansion wasn't isolated; around the same time, KFC also operated a chain of fish and chip restaurants and launched "Colonel Sanders' Inns" motels. The first test location for Kentucky Roast Beef opened in Las Vegas in 1968 and was an immediate financial success, selling $70,000 worth of sandwiches in its first month alone. This initial triumph spurred a rapid expansion, with the company opening around 100 locations across the United States between 1968 and 1970. Some outlets were branded solely as "Kentucky Roast Beef," while others were named "Kentucky Roast Beef 'n' Ham." The menu featured sandwiches with "beef beyond belief" and ham with a "smoked-in flavor," priced as low as 69 cents. However, the economics proved challenging. The cost of quality roast beef was significantly higher than chicken, making it difficult to turn a profit at a price point customers expected from a fast-food establishment. For just a few cents more than a 79-cent roast beef sandwich, customers could purchase an entire KFC chicken dinner, which seemed like a much better value. Ultimately, the chain couldn't overcome the logistical and financial hurdles. Preparing quality roast beef quickly for lunch and dinner rushes proved difficult, a problem McDonald's also faced with its own roast beef sandwich experiments. Within just two years, KFC corporate closed all the Kentucky Roast Beef locations, converting some of the buildings back into standard KFC restaurants.