Why are restaurant chains introducing so many limited-time offers?

This week’s episode of the restaurant finance podcast A Deeper Dive features Katie Belflower, manager of menu research and insights with Restaurant Business sister company Technomic. 

This is part of a series of podcasts we recorded during the recently concluded National Restaurant Association Show.

We wanted to talk with Belflower about the shocking number of limited-time offers, or LTOs, restaurant chains have been pushing recently. The industry introduced a record number of LTOs last year, and she helps explain why. 

We talk about the impact social media is having on restaurants’ need for more innovation and whether weak traffic is forcing more companies to push new items. But we also talk about the risks associated with so many LTOs.

And we also talk a bit about menu pricing.

We’re talking limited-time offers on A Deeper Dive so check it out.

How is the restaurant industry adjusting to the Trump administration?

This week’s episode of the weekly restaurant finance podcast A Deeper Dive features Michelle Korsmo, the CEO of the National Restaurant Association.

This is the first in a series of podcasts we recorded during the National Restaurant Association Show this week.

We wanted to get a pulse on the restaurant industry and on its dealings with Washington, given the number of monumental issues there are. 

We discuss the impact of tariffs on the industry, for instance, and how much import taxes are expected to cost operators. We also talk about immigration. Restrictions on immigration are expected to drive up labor costs by reducing the pool of workers. But Korsmo has perhaps some surprising news on the prospects of immigration reform.

It’s always an interesting conversation with the head of the industry’s biggest trade group so please check it out.

What does Culver’s new CEO have in mind for the chain?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Julie Fussner, who was recently named chief executive of the 1,000-unit, Wisconsin-based burger chain. 

Culver’s is quietly one of the most consistent restaurant chains in the country and is one of a generation of high-growth burger concepts. Its system sales grew 16% last year. By contrast, fast-food burger chain sales last year grew just 1%.

Fussner came to the brand in 2017 and was later named chief marketing officer, the first CMO in that chain’s history. In April she was named just the fifth CEO in Culver’s history and the brand’s first woman CEO.

So we thought we’d bring her on and ask her a bunch of questions about plans for the company.

How will tariffs affect restaurants?

This week’s episode of A Deeper Dive features Neal Sherman, the founder of the used equipment company Tagex Brands.

President Trump dramatically escalated the tariff rate on imported goods to an average of 27%, according to the Budget Lab at Yale.

That’s expected to have an impact on restaurants. Most restaurant chains source the bulk of their food from within the U.S., but equipment purchases could be another matter.

We spoke with Sherman at the Restaurant Leadership Conference. Sherman's company, which operates a secondary market for restaurant equipment, is expected to be a beneficiary as rising equipment costs lead operators to search for better deals. 

We discuss the potential demand for used equipment as tariffs take hold. We also talk about the state of the restaurant industry and what a difficult economy could do to consumer demand. 

We’re talking tariffs on the podcast so check it out. 

How does Chili’s keep doing this?

This week’s episode of the Restaurant Business finance podcast A Deeper Dive features George Felix, the chief marketing officer for Chili’s parent company Brinker International.

We spoke with Felix at the Restaurant Leadership Conference. We wanted to talk about Chili’s marketing, and how it’s taken advantage of social media to draw attention to the brand. The chain’s same-store sales have increased more than 31% each of the past two quarters despite a brutal market for full-service chains.

Felix talks about the way Chili’s took advantage of consumer frustration over high fast-food prices and he details the company’s thinking as it elevated one of its long-time offers. 

He also talks about social media in general and how the company recognized consumer affinity for cheese pulls. And he talks about the company’s Lifetime movie.

We’re talking Chili’s and marketing on A Deeper Dive so check it out.

How do you teach an old pizza chain new tricks?

This week’s episode of the Restaurant Business podcast A Deeper Dive features David Karam, the CEO of the pizza chain Sbarro.

The pizza chain was founded in 1956 and for years thrived inside mall locations. But the company took on too much debt and filed for bankruptcy twice after the Great Recession. 

We wanted to talk with Karam to understand what Sbarro did to survive those two bankruptcies. Karam took over the chain between the two filings and has led the it ever since and now owns the concept. Sbarro just opened its 800th restaurant and has found new life in places like convenience stores and airports as well as international markets.

Karam discusses these plans and provides insight into how the company was able to find a life past bankruptcy. 

How did restaurants do in 2024?

This week’s episode of the Restaurant Business podcast A Deeper Dive is all about the Technomic Top 500 Chain Restaurant Report.

Kevin Schimpf, senior director of industry research at Restaurant Business sister company Technomic, joins the episode to talk about the ranking. 

The restaurant industry did not have a great year in 2024 if you look at the overall numbers. Kevin and I talk about that and why restaurants didn’t do as well.

We also talk about what sectors did well and what did not. Hint: It’s more menu based than anything else. We talk about the shift from some concepts to others and from some menu types to others and what it means for the future of the industry. We talk about Texas Roadhouse, McDonald’s, Starbucks, KFC, Raising Cane’s, Chick-fil-A and others. 

And also what sector should not exist.

We’re talking Top 500 on A Deeper Dive, so please check it out.

How will the bankruptcy filings of TGI Fridays and Hooters affect the market for securitizations?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Ed Cerullo, a credit analyst with Octus, to talk about whole business securitizations and the potential impact those bankruptcies can have on the market. 

Whole business securitizations use a company’s cash-generating assets to back bonds. Cerullo helps explain how they work, and why they’ve been so popular in the restaurant industry over the past 15-plus years. 

TGI Fridays was the first bankruptcy of a restaurant chain that used a whole business securitization, and Hooters was the second. Fridays also has the distinction of having lost control of its assets, the first time that had happened in any industry in 15 years. 

Both were risky investments, however, at the time they went to the securitization market. Cerullo and I talk about that, and whether the investments properly denoted the risks those companies presented at the time. We talk about whether the securitizations promoted this risk, and what the impact will be on the market going forward. 

In this special episode of A Deeper Dive — guest-hosted by Nation’s Restaurant News editor-in-chief and Take-Away host Sam Oches — Sam talks with Joey Cioffi, founder and CEO of The Salad House, a New Jersey based franchise that has grown to 20 locations since it first opened in 2011. Cioffi joined the podcast to share how The Salad House attempts to strike a balance between healthy and indulgent for the suburban customer and how he’s refined the business to support franchise success. 

Like what you hear? Subscribe to Take-Away on Apple or Spotify. 

In this conversation, you’ll find out why:

• In kids’ menus, health-forward concepts have opportunity for growth 
• There’s a broad spectrum of customers looking for a balance of healthy and indulgent
• An outside perspective can help you tighten up your business
• You don’t need A+ real estate if you make enough noise in your messaging
• You can’t fulfill your dreams if you don’t take a few risks along the way

Have feedback or ideas for Take-Away? Email Sam at [email protected].

What is the strategy for Authentic Restaurant Brands’ newest acquisition?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Alex Macedo, the CEO of the multi-brand operator Authentic Restaurant Brands (ARB). 

The company recently acquired the New England polished casual-dining concept Tavern in the Square, its latest in a series of deals for largely regional chains. The company owns Pollo Tropical, Primanti Bros., P.J. Whelihan’s and Mambo Seafood. 

The company’s chains generate $1 billion worth of revenue and $150 million in EBITDA, or earnings before interest, taxes, depreciation and amortization. 

We asked Alex why Tavern in the Square fits with these companies, when it plans to buy another chain and what’s the strategy behind acquiring regional concepts. We also asked Alex about ARB’s ultimate exit strategy. 

Check it out.