Chili’s Changing Menu

Alright, folks, let’s talk about a restaurant comeback story that’s got all the ingredients of a classic underdog tale. While some of America’s favorite casual dining spots—think TGI Friday’s, Denny’s, Ruby Tuesday, and even Red Lobster—have been struggling in recent years, one chain is making a bold play to regain its former glory: Chili’s.

Now, Chili’s wasn’t exactly thriving before the COVID-19 pandemic hit, but the challenges of the past few years certainly didn’t help.

Sales were flat, locations were shutting down, and it was looking like the Texas-based chain might be heading toward the same fate as its struggling competitors. But enter Kevin Hochman, the new CEO of Brinker International, Chili’s parent company, who took the reins in 2022 with one goal in mind—turn this ship around.

His strategy? Keep it simple. Literally. Hochman introduced a more focused menu, meaning fewer dishes but better execution. As he put it, “Having a more focused menu where we can do fewer things a lot better is having a big impact.” And it’s not just about what’s on the plate—he’s also working to revamp restaurant interiors, improve service, and give the brand a serious boost on social media.

And guess what? It’s working. Chili’s just reported some pretty impressive second-quarter results, with restaurant sales soaring 31% compared to the previous year. That’s a huge win in an industry where inflation-wary consumers have been eating at home more often.

While many chains have been struggling with back-to-back quarters of slowing foot traffic, Chili’s has managed to bring back loyal customers “and” attract a younger generation through its revamped digital presence.

One of the keys to this comeback has been its “Food Great Scores,” a system that allows guests to rate their experience after a meal. The focus on quality and consistency has helped drive return visits, and according to Hochman, it’s a big reason why Chili’s is once again a major player in casual dining.

But they’re not stopping there. The company is putting serious money behind its transformation—hundreds of millions of dollars, to be exact. This includes investing in labor, store remodels, and more aggressive advertising. By 2027, Chili’s plans to revamp up to 125 restaurants each year, with most locations getting a fresh new look over the next decade.

During a recent earnings call, Hochman made it clear that Chili’s isn’t just bouncing back—it’s leading the way in casual dining again. The chain has “significantly outperformed the industry,” he noted, and it’s all thanks to a streamlined operation, smart investments, and a marketing team that’s putting Chili’s “back in culture again.”

So, what’s next? If Hochman sticks to this playbook—strong branding, an improved guest experience, and a relentless focus on quality—Chili’s just might have the secret sauce to stay ahead of the competition. Stay tuned, because this comeback story is far from over.

Fox Business

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