Wendy's will try to get the most out of its new products, while also keeping things simple.

Wendy's, part of Wendy's/Arby's Group Inc. (WEN), will on Monday begin selling its new Bacon Deluxe burger nationwide, after an advertising campaign backing the latest entry in the premium burger competition kicks off Friday.

The signature element of the sandwich is applewood-smoked bacon cooked from scratch in the stores, which Wendy's plans to also use on other items. Wendy's had typically used reheated, pre-cooked strips, but will begin topping its Baconator sandwich with the freshly prepared bacon, Wendy's Chief Marketing Officer Ken Calwell said Thursday in an interview.

Wendy's patty for its new sandwich is also the same size as its full-sized burgers, albeit cooked in a different way that it claims makes the burger juicier. For more meat, customers can add one or two extra patties to the Bacon Deluxe. Suggested prices range from $3.99 for the single-patty version to $5.99 for the triple-patty.

"People are very aware at Wendy's that if you want more for bigger appetites, they can go for doubles or triples," Calwell said. "We think that's a competitive advantage."

The method simplifies ordering for Wendy's by not requiring a new-sized patty, although Calwell would not say if it was a money-saving move. McDonald's Corp. (MCD) and Burger King Holdings Inc. (BKC), Wendy's two larger competitors, are both using thicker burger patties for their premium sandwiches.

Wendy's hopes the new products, corresponding with a marketing campaign re-emphasizing freshness and quality, will lift sales in a fast-food category fallen on increased discounting and continued consumer unemployment.

Analysts say that a bigger opportunity for Wendy's investors is an improvement in restaurant-level margins, which had deteriorated leading up to its merger with Arby's. The company is trying to raise margins to 16.7% by the end of 2011, up from 12.7% over the last year, according to recent research from SunTrust Robinson Humphrey.

But new food items are also key in driving sales. Wendy's had been lacking a robust product development pipeline for years, but it deepened since last year's merger. In June, Wendy's "Boneless Wings" was the first product coming from that initiative, which it credited for a big sales jump. Franchisees also appreciate the new products.

"We're very excited about it. You have to have consistency in rolling out new products," Robert Schermer Jr., president and chief executive of Meritage Hospitality Group Inc. (MHGU), operator of 69 Wendy's restaurants in Michigan and Florida. "We didn't have that in the last five years."

Wendy's/Arby's shares were recently flat at $4.77 and have lost about 3.4% this year.

-By Paul Ziobro, Dow Jones Newswires; 212-416-2194; paul.ziobro@dowjones.com