A Deeper Dive

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. 

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.

Why are restaurant chains still having challenges in 2025?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Rich Shank, the senior principal with sister company Technomic. 

We wanted to talk with Shank because of the uncertain state of the restaurant business so far in 2025. A lot of people thought that things would improve this year after a difficult 2024. But so far that hasn’t quite happened. Many chains have reported weak sales beyond just weather concerns, saying that consumers are still cutting back. 

We talk about why that is. We also talk about the uncertainty surrounding the economy, particularly with the threat of tariffs. We also talk about the potential impact of immigration restrictions. 

In addition, Rich talks about how the restaurant business has changed since the pandemic started five years ago.

We’re talking about the state of the industry so check it out. 

What’s going on with egg prices?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Ricky Richardson, the CEO of the breakfast-and-lunch franchise Eggs Up Grill. 

We wanted to talk to Ricky because he recently posted about a decision his franchisees made in reaction to egg prices.

Egg prices have hit record highs this year because of an outbreak of avian influenza, which has caused poultry farmers to get rid of much of their flocks, dropping supply. Because of the high costs, some chains such as Waffle House and Denny’s have instituted egg surcharges. 

Richardson explains just how big a deal these price increases are to the company’s franchisees and how the company and operators are dealing with them. We also talk about surcharges and the impact on customers. 

And we spend some time talking about Eggs Up and the breakfast-and-lunch category, quietly one of the hottest categories for years.

We’re talking about eggs on A Deeper Dive so please check it out. 

How should we think of the shift in marketing at Starbucks?

This week’s episode of A Deeper Dive is about marketing restaurant brands and it features Dawn Kane, the CEO and co-founder of Hot Dish Advertising. 

Kane has extensive experience in marketing and was recently named the 2024 Bonny LeVine Award winner by the International Franchise Association, which recognizes women for their contributions to franchising. 

There’s been plenty of marketing news of late, including some from Starbucks, which has started television advertisements, something it hasn’t done all that often. Its promotions around the Super Bowl also generated record redemptions for the company’s free coffee offer the Monday after the event. 

And then companies like Chili’s generated strong sales by taking advantage of social media opportunities and then using traditional advertising to supplement that. 

We wanted to talk about these issues as well as the challenges of breaking through all the marketing clutter at a time when the restaurant business is more competitive than ever.

We’re talking advertising on A Deeper Dive so please check it out. 

How does a restaurant chain come back from bankruptcy?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Jim Greco, the CEO of the recently-emerged-from-bankruptcy Tijuana Flats.

Greco is an industry veteran who has engineered turnarounds at Bruegger’s and Sbarro. He recently took over Tijuana Flats, the fast-casual Mexican chain, and is working on that comeback plan.

We wanted to talk with him to go over the best strategies for resuscitating struggling restaurant chains. It’s an important topic because a lot of companies are doing just that. So we talk about the importance of operations, marketing and, of course food.

Check it out.

Why are some chains easily outperforming their biggest competitors? 

This week’s episode of the Restaurant Business podcast A Deeper Dive features Joe Pawlak, the managing principal with RB sister company Technomic, to talk about this topic.

Several restaurant chains are easily outperforming top competitors right now. Chili’s is beating Applebee’s. Dutch Bros is outperforming Starbucks and Texas Roadhouse is outdistancing Outback Steakhouse.

Pawlak uses data from Technomic to help explain a lot of this. Customers clearly prefer some chains over others right now, and amid intense competition they are voting with their feet. 

We discussed what some of these chains are bringing to the table and how much luck plays a role. The discussion offers lessons for some brands as they look to win in a competitive restaurant market. 

The best time to invest in a restaurant chain may be when the industry is struggling.

This week’s episode of the Restaurant Business podcast A Deeper Dive features Andrew Smith, the cofounder of the private-equity firm Savory Fund. 

We have long wanted Smith on the podcast, largely because of Savory’s unique history. Smith has a restaurant operations background as a franchisee of brands like Little Caesars. 

These days, Savory invests in emerging chains. The ifirm has invested in brands like Swig, Mo’ Bettahs, Houston TX Hot Chicken, Pincho, Via 313 and others.

Smith discussed his firm’s investment strategies, what they look for and how to tell whether a brand will be a winner or not. He also discussed the right time to exit an investment and why it’s not about time. He also notes that tough times for the restaurant business can be good times to make an investment and explains why that is on the podcast.

Check it out. 

What is the right franchising strategy for your restaurant brand?

It’s not as simple a question as you may think. And I brought in Sean Thompson, VP of IT with Freddy’s Frozen Custard and Steakburgers, to discuss franchising strategies and what may or may not work for restaurant brands.

The number of strategies for franchising a restaurant brand, or any industry for that matter, is as varied as the companies themselves. There are companies that love big operators and those that prefer smaller franchisees and everything in between. 

There are also misnomers about franchisees. They are not always local. And they’re not always small. 

In any event, we sort it all out on this episode as we talk about what works and what doesn’t and what is the key ingredient in any franchise company. Please check it out. 

Should restaurants worry about weight-loss drugs?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Leo Feler, chief economist with the data firm Numerator, to talk about the potential impact of GLP-1 drugs on consumers’ food-spending habits.

Drugs such as Ozempic and Wegovy are increasingly popular. The medications are historically used for Type 2 diabetes but were found to cause weight loss. They’ve been used increasingly for weight loss. With nearly half of Americans overweight or obese, they’re expected to only grow in popularity. 

Numerator recently coauthored a study analyzing the impact of these medications on sales at grocers and fast-food restaurants. They show a real impact that could influence sales in these industries. 

Feler talks about the study and the impact of GLP-1 medications and what restaurants should do to prepare.

Why did restaurants close so many locations last year?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Jim Balis, the operations partner with the private equity and debt financing firm CapitalSpring.

We had Balis on the podcast to talk about the closures. A lot of companies closed locations in 2024. Many of them ended up in bankruptcy, such as Red Lobster and TGI Fridays. Others have struggled for years. But many of them include brands like Wendy’s and Denny’s that closed locations for strategic reasons. 

Closures generate headlines in publications like Restaurant Business. But there are reasons they opt to close locations. We had Balis on the podcast to talk about these reasons. We talk about the reasons companies make these decisions and what issues operators should take into consideration before they opt to close a location.

We’re talking closures on A Deeper Dive so please check it out. 

How can you tell if an emerging brand will be a long-term success?

It’s not an easy question to answer. A lot of private-equity firms, restaurant executives, real estate companies, consultants, vendors and others all spend hundreds of millions of dollars to try and answer that question.

This week’s episode of the Restaurant Business podcast A Deeper Dive does its best to answer that question and features David Henkes, senior principal with RB sister company Technomic. 

Thousands of entrepreneurs start new restaurants every year. Many of them yearn to grow those restaurants into major chains. The vast majority of them fail. 

This year has demonstrated just how hard it is to tell whether a brand will ultimately fulfill whatever promise it once had. Companies such as MOD Pizza, Uncle Julio’s, Rubio’s, Tijuana Flats and many others, all of which had major backing at one point, either filed for bankruptcy or came close to it after their once-promising futures did not come to fruition.

And we recently told you the story of Baja Fresh, which 20 years ago was considered a pioneer of fast-casual Mexican only to quickly lose its place to the younger Chipotle Mexican Grill, which has gone on to become the biggest such concept in the world. 

The result is a fascinating discussion on emerging chains and what it takes to make them work, and why it’s so difficult to tell winners from losers, at least early on. So check it out. 

Restaurants have been loading their menus with new items lately.

This week’s episode of the Restaurant Business podcast A Deeper Dive is all about menu development, and specifically why so many restaurant chains are turning to limited-time offers to get customers in the door. RB Senior Menu Editor Pat Cobe joins me to talk about that this week. 

Here’s a statistic: There were nearly 26,000 limited-time offers in the restaurant industry last year, according to Technomic. That was up 46% from 2022 and 53% from 2019. And, apparently, that hasn’t slowed down this year. 

In short, restaurants have broken out of their pandemic-fueled restrictions on new menu development in a really big way.  

The reason is simple: Necessity. Restaurants have struggled to generate traffic the past couple of years and were leery of going too deep into a value war. 

But there is little evidence that all this development is pulling in more customers. And there are real risks when it doesn’t do that. 

We’re talking about new menu items on A Deeper Dive so please check it out.

It’s impossible to kill a restaurant chain, even when it’s dead.

This week’s episode of A Deeper Dive features a discussion on a fascinating phenomenon in the restaurant world lately: Operators bringing formerly dead or dying brands back to life. RB colleagues Lisa Jennings and Joe Guszkowski join me to talk about three such concepts: Steak & Ale, Souplantation and Sweet Tomatoes and Ground Round. 

Steak & Ale, a Norman Brinker-created brand that was a casual-dining pioneer, recently opened a location in suburban Minneapolis, 15 years after the entire chain was shut down. 

Sweet Tomatoes, a buffet concept that was killed in a 2020, pandemic-related shutdown, recently opened a location in Arizona. 

And Ground Round—which still has a couple of locations open in the west—is planning a new location in Massachusetts. 

Why are these brands coming back? And most importantly, can these chains survive off nostalgia alone? We’re about to find out.

We’re chatting about resurrected restaurant brands this week so check it out. 

Church’s Texas Chicken has a new recipe that’s its old recipe. 

This week’s episode of the Restaurant Business podcast A Deeper Dive features Joe Guith, CEO of the chicken chain. He joined us for an exclusive look at the company and its growth plans. 

Church’s does have some big growth plans. The company wants to get to $2 billion in system sales by 2028, up from $1.4 billion last year. 

We talk about what the company plans to do to get to that, including remodels and more digital efforts. 

And we talk about the company’s value proposition and its core customer, lower-income diners, and how the chain’s restaurants can profit when it focuses on value. 

But we also talk about the company’s chicken recipe, which is its original recipe. Church’s went away from that recipe a decade ago, and Joe explains why the company did that and why the recipe was brought back. Church’s advertising using the term “original recipe” has led to a lawsuit from rival KFC. 

We’re talking chicken on A Deeper Dive so please check it out. 

What’s the story behind the Hawaiian barbecue trend?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Elisia Flores, the CEO of the 200-plus unit franchise, L&L Hawaiian Barbecue. 

L&L is rapidly growing and helped pioneer the idea of Hawaiian barbecue, though Flores explains exactly what that is. The chain’s system sales grew more than 10% last year, according to Technomic, and it has plans to continue to expand through franchising over the next several years. 

We talk about the company’s story, and the challenges of taking a Hawaii-based concept to the mainland, and about teaching consumers here about Hawaiian cuisine.

But we also talk about issues of family ownership. Flores took over as CEO from her father, who had owned and run the concept for decades. We talk about the challenges and opportunities of family ownership and why Flores needed to work outside the business before she came back to work for her father. 

We’re talking Hawaiian barbecue on A Deeper Dive, so please check it out. 

What is happening with TGI Fridays?

This week’s episode of the Restaurant Business podcast A Deeper Dive features a discussion on the recent Chapter 11 bankruptcy filing by the casual-dining chain TGI Fridays. RB Senior Editor Joe Guszkowski joins me on the podcast to discuss the situation. 

TGI Fridays’ filing over the weekend was hardly a surprise, given the chain’s years of decline and its apparent death spiral this year. 

The company recently lost control of much of its business after the trustee on its whole business securitization terminated it as the manager of most of its assets. 

TGI Fridays also failed to secure a sale to its U.K. operator, which also ended up seeking debt protection in that country.

Joe and I talk about these issues and why Fridays filed for bankruptcy and what it says about the casual-dining sector. We talk about the causes of the filing and what will happen with the company from here. We also talk about the kinds of things that work in this environment. Because casual-dining chains can win in an environment like this.

We’re talking Fridays on A Deeper Dive so please check it out. 

What do we make of McDonald’s E. coli outbreak?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Bill Marler, the country’s leading attorney on food safety issues and foodborne illness outbreaks. 

Marler is with the law firm Marler Clark. He has represented victims of outbreaks and consulted with companies on foodborne-illness issues for more than 30 years. We wanted to talk with him about the situation at McDonald’s.

As of now at least 75 people in 13 states, and likely many more, have been sickened after eating Quarter Pounders at McDonald’s. The issue appears to be linked to slivered onions.

We discuss this, how rare it is for McDonald’s to be involved in an outbreak like this, proving that it can happen to anybody. Marler gives us a lot of historical context. We talk about why beef has been relatively safe for the past 30 years but why vegetables—such as onions—now appear to be frequent causes of E. coli outbreaks.

And we talk about what companies can do to ensure that their food supply is safe.

We’re talking McDonald’s E. coli on A Deeper Dive so please check it out. 

What are we to make of the weird year in restaurants?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Kenny Kraft, a managing director with Houlihan Lokey, and Tyler Martinez, a vice president with the investment firm.

The three of us talk about the state of the restaurant industry, and there’s a lot to talk about. This year has been an odd one. 

Consumers have cut back on dining out at fast-food chains and casual dining concepts but appear to be spending more at restaurants overall. Some chains are filing for bankruptcy and others like Wingstop are generating record high sales. 

And many concepts are grabbing share, such as Chili’s, Popeyes and Domino’s.

We talk about what’s driving these share gains and these differences. We talk extensively about consumers’ perception of value, and how brands can get on the right side of consumer perception of quality. 

We also talk a bit about the eatertainment sector and what’s driving challenges there this year. 

We’re talking about the state of the restaurant industry on A Deeper Dive so please check it out. 

Can your restaurant use customer reviews to manage their business?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Avi Goren, the cofounder and CEO of the hospitality technology company Marqii. 

Marqii does a few things, such as automating updates on menus and location data. But it also has a product that helps operators manage and track reviews.

We spoke with Avi at the recent FSTEC conference in Dallas about this because we’re fascinated by the impact reviews can have on restaurants, both good and bad. 

Avi and I talked about reviews, their impact on restaurants, and how operators can use them to help manage their business. We talk about best practices and how a bad review isn’t necessarily a death knell.

We’re talking restaurant reviews on A Deeper Dive so please check it out. 

What are the benefits and drawbacks of artificial intelligence?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Richard Del Valle, the chief information officer with the Charlotte, North Carolina-based chicken chain Bojangles. 

We spoke with Richard at the FSTEC restaurant technology conference in September. 

We were interested in the efforts Bojangles was making in adding consumer-facing technology into its restaurants. In particular, Del Valle discussed the company’s use of voice-activated AI in the drive-thru. 

AI is taking over much of the restaurant business. Bojangles has been adding the technology to its restaurant drive-thrus.

Del Valle talked about this effort and its impact on both customers and employees. He also talked about whether the technology can help restaurants save on labor. His answer may surprise you. 

We’re talking AI on A Deeper Dive so please check it out.

How do you market a brand like Jack in the Box?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Ryan Ostrom, the chief marketing officer for the San Diego-based burger chain. 

This is a complicated environment in the restaurant industry and we wanted Ostrom on the podcast to talk about how to market a brand in an environment like this.

Ostrom and I talk about the complexities of this market, and about balancing the need for price-based promotions and customers’ desire for better fast food. We talk about the difficulties of marketing these days, given the presence of mobile orders and loyalty as well as traditional media. 

We also talk about the chain’s strategy for new markets and its ability to make fun of its competitors. 

And because it’s Jack in the Box we talk a lot about, you guessed it, tacos.

We’re talking marketing on A Deeper Dive so please check it out. 

Why is delivery so popular? Hint, it’s easy.

This week’s episode of the Restaurant Business podcast A Deeper Dive features Cameron Watt, the president and CEO of Intouch Insight, to discuss the firm’s recent study for Restaurant Business on third-party delivery at restaurants and convenience stores.

Intouch Insight is a customer experience consulting firm that works with companies across restaurants and retail. It uses secret shoppers to provide insights into a wide variety of issues, and recently examined service by the three major delivery companies: DoorDash, Uber Eats and Grubhub.

The results were fascinating. We discuss those results and why consumers appear satisfied with their delivery services. We talk about speed, accuracy and, most important, ease of use. We also talk about why delivery from restaurants appears to be better, by a fair bit, than delivery from convenience stores.

And we take a bit of a side trip to talk about growing competition between fast-food chains and convenience stores.

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

What is the future of Whataburger under its new CEO?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Ed Nelson, the CEO of Whataburger, and Debbie Stroud, who will take the chief executive job at the end of the year when Nelson retires. They joined the podcast for an exclusive interview.

Whataburger is a Texas-based chain with more than 1,000 locations in 15 states. It had operated as a family-owned brand for 69 years before it was sold in 2019 to BDT Capital Partners.

Nelson has worked with the chain since 2004 and was named CEO in 2020. We talk with Ed about his tenure as chief executive, the transition from a family-owned brand to an investment firm-owned brand and how the company dealt with the pandemic. We also talk about the chain’s elevation of general managers into operating partners.

Stroud was brought in as chief operating officer last year. She had a long career with McDonald’s and Starbucks. We talk with her about her priorities for the brand, its future growth and the keys for its future success.

We also talk about technology and the love Texas consumers have for their homegrown burger chain.

It’s an exclusive interview with the current and future CEOs of Whataburger so please check it out.

What is the future of Topgolf?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Mathew Focht, the founder and managing partner of the investment fund Emerging.

Emerging is a fund that invests in small technology and restaurant and entertainment concepts. The fund has invested in several food-and-entertainment brands.

Several such brands have emerged in recent years to combine restaurants with various activities, including minigolf, bowling, baseball, pickleball and even race cars. 

Topgolf is one of the biggest names in that business. The company thrived coming out of the pandemic. It was sold to the golf equipment maker Callaway Brands in 2020 and the next year Callaway added Topgolf to its corporate name as the chain’s sales went through the roof.

But those sales have fallen more recently, prompting Topgolf Callaway to propose a spinoff. Meanwhile another food-and-games concept, Pinstripes, is cutting costs as its own sales fall. And Dave & Buster’s has also had sales problems.

We talked with Mathew about these issues and what they mean for Topgolf but also the emerging food-and-games sector, which is still receiving considerable interest from investors. Mathew and I talk about this as well as the overall state of investing in the restaurant space.

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

How does a pot-themed brand become one of the industry’s fastest-growing restaurant chains?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Marc Torres, the CEO of the fast-growing sandwich chain Cheba Hut.

The Fort Collins, Colorado-based chain has picked up its growth in recent years behind franchising and strong average unit volumes.

System sales grew 29% last year, according to Restaurant Business sister company Technomic. Average unit volumes are well over $2 million, far higher than traditional sandwich concepts.

Marc discusses Cheba Hut, its history and performance, including why it generates those volumes. We also talk about franchising.

He also talks about the company’s pot theme, and how it convinces customers and landlords that it is more than that. Cheba Hut does not sell any THC, and Torres notes that its marijuana theme can only get the company so far. Ultimately its food does the talking.

We’re talking Cheba Hut on A Deeper Dive, so please check it out.

What do all these bankruptcies mean for the future of the restaurant industry?

In this week’s episode of the Restaurant Business podcast A Deeper Dive, RB editors Joe Guszkowski and Lisa Jennings join me to discuss the spate of bankruptcy filings this year and what they mean for the business.

Seventeen restaurant chains have filed for Chapter 11 debt protection this year, most of them since June.

That probably undercounts the true industry challenge as several companies are either close to filing or are doing an out-of-court restructuring. The filings include one of the industry’s biggest ever in Red Lobster.

We discuss these bankruptcies and get an update on where the businesses stand. We also talk about why these bankruptcies are happening now, four years after the pandemic.

We also get into a discussion on what works and how businesses can generate sales in a difficult environment.

Amid all the bankruptcy filings are companies like Chili’s and Wingstop that have reported ultra-strong sales. Why are they able to do that while others struggle?

We’re talking bankruptcies on A Deeper Dive so please check it out.

Why are some restaurant chains suddenly struggling in international markets?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Joel Silverstein.

Silverstein is a periodic guest on the podcast. He is the founder and CEO of the hospitality consulting firm Canyon Springs Advisors. He has helped a lot of companies grow in overseas markets.

I wanted to talk with him about the state of international development. We talk quite a bit about the state of the industry in China, where a number of U.S. chains have suddenly struggled but which are still intent on growing there.

We focus particularly on the coffee market, where Starbucks is struggling as is Tim Hortons. Both are watching as several aggressive upstarts, notably Luckin Coffee, have grown rapidly with low-priced coffee. We talk about that competition and what it means for the market there.

We also talk about the global economy and its impact on restaurant brands, as well as overall conditions in the U.S.

It’s a great conversation about international development on A Deeper Dive, so please check it out.

Why should franchisees take private-equity investments?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Mike Esposito, the cofounder of Franchise Equity Partners.

Franchise Equity Partners is a private-equity firm specializing in the franchise business. Mike helped found the firm in 2021 to invest in all kinds of franchisees. Before that he had an extensive career in investment banking, working 20 years with Goldman Sachs. He is also a Jersey Mike’s franchisee.

We talked with Mike about the state of the restaurant business, mergers and acquisitions and other issues, and the result was an extensive, interesting conversation about what kinds of investments work these days and what do not.

We talk about the necessity of restaurants’ value push and the impact it could have on margins. We talk about the kinds of concepts that have distanced themselves in today’s markets and how you can know whether an emerging chain has legs or not.

And we also ask why a private-equity investment is a good idea for certain franchisees.

But the biggest question we ask him is whether he is buying or not. His answer to that question is instructive.

It’s a wide-ranging discussion on A Deeper Dive, so please check it out.

How does an international restaurant chain break into the toughest market in the world?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Troy Hooper, the CEO of Pepper Lunch.

Pepper Lunch is a Japanese fast-casual chain in which customers largely cook the food themselves. It is part of a generation of concepts with unique business models that are rapidly establishing themselves in a U.S. market hungry for more Asian fare that provides interesting experiences.

Hooper became the CEO of Pepper Lunch last year. We wanted him on the podcast to talk about this brand and what he’s done to establish the concept in the U.S. It’s tough to break into this market, and he can provide some unique perspective on what it takes to do so. Hooper talks about what makes the brand tick and discusses its recent menu overhaul and how that fits into its plans. We talk about its unique menu overhaul and why Asian chains are taking off right now.

It's a fascinating discussion with one of the country’s more interesting emerging brands, so please check it out.

Why is it better for small restaurant chains to band together?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Kelly Roddy, CEO of the brand platform company Woworks.

Woworks operates several restaurant concepts, including Saladworks, Garbanzo Mediterranean, Frutta Bowls, Simple Greek, Barberitos and ZEats.

It is one of a growing number of platform companies that collect small concepts, and these companies have been gobbling up a lot of brands lately. The idea is that they can get stronger buying power and therefore cheaper prices for franchisees, at least in theory.

They can also invest in technology. We asked Kelly about that and how it works.

We also ask about the market for mergers and acquisitions. Woworks is apparently in the market for a new chain and we talk about that, what the market is like, what kinds of companies they’re looking for and how they could fit in.

We’re talking brand collecting on A Deeper Dive, so please check it out.

Can technology fix restaurants’ workforce issues?

This week’s episode of the Restaurant Business podcast features two different discussions.

First, we chat with Michelle Korsmo, the president and CEO of the National Restaurant Association. We chatted with Michelle at the National Restaurant Show in May and discussed a variety of issues, including the regulatory environment, how companies are dealing with soaring costs and the importance of restaurant technology.

And speaking of restaurant technology, we also have RB Senior Technology Editor Joe Guszkowski on to talk about drive-thru AI, an increasingly popular piece of technology. McDonald’s just ended its test of that technology and I wanted Joe to talk about what that means for the future of the innovation.

We also chat about Red Lobster.

It’s a two-for-one interview day on A Deeper Dive so please check it out.

How do brands operate in a price-sensitive restaurant market?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Juan Martinez, the principal and founder of the consulting firm Profitality.

We periodically have Martinez on the podcast when we’re concerned about profits and, well, this is one of those times.

Consumers are frustrated by rising restaurant prices and are cutting back on dining frequency. Restaurants don’t have pricing power and are about to enter a value war. That could squeeze margins for some time.

How do you operate through that, particularly when many restaurants have already spent a lot of time cutting costs as it is?

Martinez and I talk about this challenge and what operators can do about it. We talk about value and what exactly that means in this day and age.

We’re talking about operating in a tough environment, so please check it out.

What are the restaurant industry’s biggest concerns right now?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Scott Redler, the co-founder of Freddy’s Frozen Custard and Steakburgers.

We spoke with Scott at the National Restaurant Show in May and we chatted on a variety of issues. We wanted to talk with him about some of the bigger concerns in the industry right now, given regulatory efforts such as the $20 fast-food wage in California and other issues. I also wanted to talk about the overall operating environment, as many restaurants are struggling with weak traffic.

Scott has been busy in the three years since he and his co-founders sold a majority stake in Freddy’s to Thompson Street Capital Partners. We talk about what he’s been doing since then, including his role as the former chair of the National Restaurant Association.

It’s a wide-ranging conversation with the co-founder of Freddy’s on A Deeper Dive so please have a listen.

How can restaurant chains survive in this market?

This week’s episode of the Restaurant Business podcast A Deeper Dive features longtime industry executive James Walker.

At the moment, Walker has multiple titles. He is the chief culinary and concept officer for Experiential Brands, a concept creation engine that has created brands such as the Original Hot Chicken, Inked Tacos and Pinsa Roman Pizza.

He is also the CEO of Frisch’s Restaurants, the family-dining brand.

We talked with Walker at the National Restaurant Show last month, and it was a wide-ranging conversation. We talked with him about Frisch’s and his new concepts.

But we also got into a discussion on the state of the industry. Traffic has been down throughout the industry amid high prices, but plenty of chains, like Wingstop, Sweetgreen and many others, have done just fine. And plenty of hot independent restaurants remain tough to get into.

We talk about that and what differentiates the winners and the losers.

We’re talking all things restaurants on A Deeper Dive so please check it out.

What is the future of Red Lobster?

This week’s episode of the Restaurant Business podcast A Deeper Dive features Victor Fernandez, the vice president of insights and knowledge at GuestXM.

GuestXM provides industry performance metrics, notably the Black Box index of industry sales and traffic.

I wanted Victor on the podcast so we could talk about the state of full-service restaurants, particularly a certain seafood chain that is filing for bankruptcy. We talked during the National Restaurant Show in Chicago.

Red Lobster filed for bankruptcy last month and has already closed 100 locations. It could close a lot more than that if it can’t renegotiate leases.

There are plenty of reasons Red Lobster is in this situation, but we wanted to get an assessment of the full-service climate, and how much that might have contributed. We talked about a host of other topics during the conversation as well, so it was a great snapshot of the state of the restaurant industry right now.