​Casual dining brands sense an opportunity

A recent report from Fast Casual mentions how Olive Garden and other brands in the casual dining category are carving out opportunities in the current economic environment. Specifically, the experience they offer in relation to quick-service brands is making them a more appealing choice to many consumers – and they are promoting the potential benefits. While quick-service restaurants have struggled to keep prices as low as their guests have come to expect (or have had to shrink portions to contain price spikes), they are meeting with some pushback. A survey of 2000 consumers by LendingTree in May found that 65 percent of consumers had been “shocked” by a high bill in a quick-service restaurant in the past six months. Almost 80 percent consider the food from these restaurants a “luxury” and 62 percent report eating it less. Quick-service brands’ use of dynamic pricing is also making some consumers leery – even though guests could use it to their advantage to get better deals. There is potential here for restaurants across categories to make some changes that can help retain consumers who are questioning the value of restaurant meals right now. Boosting your experience factor is especially important. Using guest data to improve personalization and speed of service, implementing tech to improve your order accuracy, promptly responding to online reviews (and making changes as needed), and treating your team with the care you want them to show to guests can all go far to make the experience you offer feel worthwhile if your menu prices having been climbing.