November 2025
Upper left: Jo Hart from Shamrock won the Impact Award (presented by Joe Laperna and Tracy Rogers from DMA); upper right: Ben E. Keith won the Create Raving Fans Award (presented by Tony Robb from Pollo Campero and Jeff Bromwich from Potbelly; accepted by Andy Anthony, Marc Moseley and Shaun Mullens); lower row: Harbor Foodservice, Ben E. Keith and Upper Lakes Foods each received Championing Excellence Awards
The Foodservice Industry Unites at
DMA’s 2025 Fall Conference
SAN ANTONIO – Foodservice distributors, manufacturers, operators, and insights teams gathered at the InterContinental San Antonio Nov. 18-20, for Distribution Market Advantage’s 2025 Fall Conference.
At the event, presentations and panel discussions focused on the best ways to serve the consumer, the prospects for foodservice in 2026, and much more.
Contending with a Cash-Strapped Consumer
Circana’s David Portalatin described a restaurant landscape shaped by economic uncertainty, even as the return-to-office trend provided a modest lift for the industry.
Consumers increasingly value versatility across snacking and beverages, alongside a “return to purity” that’s elevating protein. At the same time, more discretionary spending is flowing to toys and video games, while food—despite being nondiscretionary—has seen reduced wallet share. As such, large chain restaurant transactions fell 2% in 2025 as they contended with financial strain and labor tightness weighed on activity.
Additionally, annual calories per capita declined 2%, as consumers shifted toward protein-rich options and away from sweets, snacks, and alcohol. GLP-1 usage and reduced pantry stocking was further shaping demand. Demographic and economic pressures—slowing population growth and a widening K-shaped economy—are prompting households under $75,000 to cut back sharply on dining out.
Total traffic for the restaurant industry dipped 0.3% in 2025, though fast casual (+3%), fine dining (+2%), and other retail (+2%) grew. For dayparts, breakfast rose 1%, while lunch and p.m. snacks were flat and dinner fell 1%.
Deals now account for 30% of foodservice traffic. Protein-led innovation, especially in chicken, continues to drive consumer interest, while high-protein beverages gain momentum.
Looking to the future, Circana projects 2026 growth of 2.8% in sales, 0.7% in traffic, and a 2.1% check increase.
Serving Raving Fans
Representatives from Pizza Ranch, Cowboy Chicken, Noodles & Company, as well as Taziki’s Mediterranean Cafe, joined Olo’s Hillary Holmes for a panel discussion on how to best serve raving fans amid rapid expansion.
Cowboy Chicken’s director of marketing, Brittany Mercer, opened by acknowledging the challenge of uniformity across locations, noting that even her husband insists the chicken at one store tastes different. She said this inconsistency was a weakness, but streamlining SKUs, tightening recipes, and prioritizing communication and training helped to make the flavor more uniform across its system.
Taziki’s senior director of supply chain, Jeff Darby, emphasized the importance of strong importer and distributor relationships, given their reliance on products from Greece. “We work with those importers, making sure that we’ve got plenty of stock,” he said, adding that operators are “always trying to prepare for LTOs and spikes in business.”
From an operations perspective, Adam Hing—drawing on prior experience with Darden Restaurant Group, plus his current role as director of supply chain for Noodles & Company—offered insight into forecasting. Surprisingly, he said he relied partly on instinct: “I always came from a guest-first perspective… would you buy this again?” This blend of data and intuition often led to accurate predictions, he said.
Pizza Ranch VP of supply chain and procurement Kelley Crawford offered a detailed look at how supply chain, technology, and guest experience intersect in a real-world operational challenge. Kelly described a major systemwide transition between soda providers—an upgrade that should have been routine after completing “97% of the way through” the rollout. But the final locations proved unexpectedly difficult.
While restoring operations was paramount, just as important was repairing guest trust. “We got some upset guests… we needed to get them coupons issued, or what do we do to get them back in?” she said, noting how it was important to make sure consumers were aware of their steps to own the issue.
Delivering Impact Through Distribution
Adrienne Moncrief, Cleveland Research Company executive director of foodservice and convenience, briefly shared her viewpoint on the industry before hosting a distributor panel that featured representatives of Gordon Food Service, Shamrock Foods, Ben E. Keith Co., and Harbor Foodservice.
“As we look ahead, many of the same forces shaping 2025 will continue—value pressure, shifting consumer behavior, and the need for constant innovation,” she said. “The brands that win will be the ones that keep evolving their menus, their marketing, and their guest experience to stay relevant in a tougher, more competitive landscape."
The panel discussion focused on the “pathway to yes” and finding ways to exceed customer expectations.
Cannon Whitby, senior vice president of Shamrock Foods, shared how the company was able to help a company contending with a sudden distributor transition.
“A true partner isn’t just there when things are easy — it’s there when you need them. When a customer’s distributor transition on the East Coast fell apart, we pulled together 16 drivers and seven transportation supervisors, flew them across the country, and kept their groceries moving for 45 days. That’s what partnership means to us,” he said.
Harbor Foods chairman and CEO Justin Erickson shared how his company developed a system to linen solution to help a multi-unit Mexican concept pick up and return laundry via existing food distribution routes. This led to them taking on the chain’s mail and materials distribution.
Chris Lewis, who serves as SVP of corporate sales for Ben E. Keith Company, shared how his company supported a fast-growing chain struggling with proprietary items during expansion. By analyzing inbound efficiencies and collaborating with the culinary team, they replaced difficult items with vendor-aligned alternatives, and the resulting cost savings became a key data point in the chain’s refinancing negotiations.
When asked to define the perfect partner, Karen Gordon-Warren, president of U.S. broadline distribution for Gordon Food Service, said: "We’re really looking for folks who want to partner with us in a way that positions the foodservice distributor as an extension of their team. When that’s the mindset, you get great collaboration, honest conversations, and a lot more clarity around what you’re trying to accomplish."
Winning Together in Tough Regulatory Times
In a panel focused on regulatory issues moderated by Foodini founder and CEO Dylan McDonnell, participants focused on new state laws regarding ingredients in California, Louisiana, West Virginia, and Texas that would become effective in the next few years, causing labeling headaches for many food producers who operated at the national scale.
“The new normal is this patchwork of state laws. You have California upfront regulating, then West Virginia, then Texas and Louisiana—all different, all overlapping. It’s a quagmire, and operators are having to reformulate, reroute, and relabel just to keep up,” said Emily Cowley Leongini, FDA regulatory attorney at ArentFox Schiff.
Additionally, Oregon, Colorado, and California had either already launched or were developing extended producer responsibility (EPR) for packaging. In general, ERP would make producers and distributors financially responsible for packaging waste and recycling.
“Extended Producer Responsibility is so complex that, especially in distribution, it’s a huge struggle to wrap your arms around. Every state has its own nuances, and if we’re not careful, we risk double-reporting or misreporting entirely,” noted Sven Fickeler, senior corporate counsel at Bunzl.
The panel also focused on new rules in California on sustainability and carbon, and SB 68, which would require allergen labeling on physical menus, digital menus, and QR codes for chains with more than 20 locations.
“What California is doing now is just the beginning. As sustainability and carbon accountability keep moving up the supply chain, every producer, distributor, and operator will need to plan for a world where climate reporting and packaging transparency are part of day-to-day business,” said Jared Keefer, senior director of operational excellence at Shamrock Foods.
The best way to handle an influx of regulatory changes was to leverage AI, using purpose-built “agents” to scrape regulatory sites. They also recommended building cross-functional regulatory surveillance teams, leveraging external counsel for outside perspective, and centralizing product and packing data.
Creating Superfans Among Customers and Stakeholders
Brittany Hodak, author of Creating Superfans, opened her keynote presentation with an anecdote about a treadmill delivery. She said the delivery person hated the product, and shared his thoughts with her.
This interaction colored her opinion of the product, but also represented an important rule of business: one employee’s interaction with a customer can drastically alter the perception of a company.
“Experience is everything, and everything is experience,” she noted.
She cited research saying 80% of consumers say experience is as important as product or service when it comes to companies, so she argued every employee can be an “acting chief of experience” within the experience department.
She also shared a definition of a superfan: “a customer or stakeholder who is so delighted by their experience with a brand, product, or service that they become an enthusiastic advocate.”
She noted stakeholders who are superfans can engender trust and loyalty from consumers by making things personal. And this was important to defeat apathy via advocacy – eliminating a major pain point for consumers.
DMA Unveils 2025 Awards
DMA unveiled its awards for 2025, starting with its Championing Excellence Award, which recognized excellence in distribution. The company recognized three companies for the Championing Excellence Award, based on the number of brands they serve:
Ben E. Keith Foods
Harbor Foodservice
Upper Lake Foods
Ben E. Keith was given the newly created Create Raving Fans Award. Additionally, the company awarded Jo Hart of Shamrock Foods with its Impact Award. Read More
Thank You for Making the 2025 Conference a Success!
DMA president and CEO Angela Korompilas
Another DMA Fall Conference is in the books, and we can't thank you enough for joining us! To all of our sponsors, presenters, attendees, and staff: thank you for making this year's event one of the best we've ever had.
DMA Rebrands but Keeps Focus on Strategic Goals
DMA president and CEO Angela Korompilas unveiled new branding for the company at the event, including a new website and new colors. Korompilas noted the rebrand represented a new era for the company, but stressed that DMA would remain focused on the same four pillars established in its strategic plan:
Provide compelling value proposition for customers
Strengthen member integration and value
Maintain an optimal distributor network
Create a high performance culture
Looking to 2026, DMA plans to standardize reporting, evaluate and improve price audit capabilities, expand strategic account planning, enhance order-entry platforms, and pursue cost-to-serve optimization.
Member engagement will be reinforced through more consistent business reviews, clearer goal-setting, data-driven insights, and collaborative materials that streamline the customer experience.
DMA will further leverage modeling tools, freight optimization, and capacity planning to sustain an effective distribution network.
Internally, the organization has realigned teams, improved workflows through CRM automation, standardized processes, and expanded training resources. Moving forward, DMA will continue focusing on technology, data, AI enablement, and talent development to deliver meaningful impact and strengthen partnerships across the network. Learn More
Industry News
Restaurants’ 3 Key Challenges for 202
Rising cost of ingredients. Increasing wages. Tariffs. You name it and the food industry is facing it right now. Both internal costs and external forces are applying pressure to the food industry.
Expert Market’s 2025 Food and Beverage Report found that the majority of restaurant operators are feeling serious stress.
“The restaurant industry has always worked on tight profit margins, so, when there’s a rise in operating costs, businesses have no choice but to pass that on to the customer. It’s not a great situation to be in – they’re backed into a corner at the moment,” said Chris Maillard of Expert Market.
“The food and beverage sector is often the canary in the coalmine – as discretionary spending, it’s one of the first areas to feel the pinch in tough economic climates. This could be a signal that tariffs will soon start to bite across other areas of the U.S. economy.”
Costs Accumulate
According to Sawsan Abublan, CEO of Shawarma Press, the most challenging factor for restaurants right now is the rising cost of items like food supplies.
“Unlike labor or utilities, which can be forecasted, ingredient prices fluctuate frequently and are influenced by multiple external factors – global trade conditions, transportation costs, climate impacts, and even international conflicts that affect supply chains, all of which make margin management increasingly difficult,” Abublan told The Food Institute.
Expert Market found 76% said that rising ingredient costs are having an impact on their profit.
Wages
Sixty-two percent of respondents to the aforementioned report said they’ve had to raise menu prices to offset wage increases.
Labor costs might be the most predictable expense, but increases in other areas, like ingredients, have made it harder to plan for, noted Chris Motola, financial analyst at National Business Capital.
Tariffs
According to the report,47% of businesses said tariffs have directly led to increased menu prices for customers.
Tariffs have been attributed to an increase in ingredients and supplies, according to 41% of respondents, and 25% say supply chain volatility is a major obstacle.
Re-engineering menus around more profitable prime costs is a skill some restaurants use to mitigate the aforementioned challenges, while some chains “struggle, and just wallow in the headwinds,” said Dan Rowe, the CEO of Fransmart.
Industry Impact
When the dust settles from all these factors, independent restaurants may be hurt most.
“Large chains of quick-service restaurants may be able to absorb price increases because they buy in such massive quantities from a variety of locations,” said Izzy Kharasch, president at Hospitality Works. “A small restaurant will be far less able to absorb those costs without raising menu prices.”
These obstacles figure to linger well into 2026.
“I’ll be interested in seeing how the rest of 2025 plays out – whether, for example, we see fewer new restaurants opening and more closing their doors. It’s sure to be a real roller-coaster ride for the entire industry,” Kharasch said.
One certainty: restaurants will need to learn to adapt.
“The industry has always evolved through challenges – whether it’s economic shifts, labor shortages, or changes in consumer behavior,” Abublan said. “While some volatility will persist, especially with global supply chains, I believe these pressures are driving restaurants to become more resilient and efficient.”
Despite challenges like rising ingredient costs and tariffs, the restaurant sector isn’t completely devoid of success stories right now.
“Everything goes in cycles, and there is always opportunity in foodservice,” Rowe, of Fransmart, noted. “Look at Five Guys, with a limited menu and relatively high menu prices – same-store sales continue growing and they’re opening new units all over the world.
“I went to a smash-burger concept (recently) that does $4 million a year in 1,000 square feet and makes 30 percent profit. Imagine making $100,000 a month profit in a burger concept, while everyone else is crying about beef costs? … (There’s) plenty of opportunity.” Food Institute Focus
Regional Indian Cuisines: The Next Big Global Flavor Trend
Yelp searches for regional Indian cooking, flavors, and dining concepts are on the rise across the U.S.
Yelp searches for Indian tiffin service, a traditional home-style meal delivery service, have increased by 153% recently, highlighting growing consumer interest that has been fueled in part by online content creators like Lily Baria, whose unboxing videos have enjoyed viral success.
In addition, searches for “Indian food buffet near me” have also jumped dramatically (+459%) on Yelp.
Food lovers are also embracing fresh interpretations like Indian bowls, with Yelp searches rising 135% year over year.
“Regional Indian dishes aren’t just gaining recognition; they’re inspiring more people to expand their flavor horizons. High profile openings like Gymkhana, Bungalow, and Ambassadors Clubhouse are helping to shine a spotlight on the incredible diversity of Indian cuisine, from comforting North Indian curries to bold South Indian street food,” said Tara Lewis, Yelp Trend Expert.
“This increased interest from diners on Yelp speaks to a larger shift where people are looking to break out of their usual go-to orders and seek out new, unforgettable dining experiences,” Lewis told FI.
The Evolution of Indian Food
“When I first began exploring Indian food professionally, most Western diners associated it with heavy buffets and creamy gravies. That has completely changed. Chefs today are focusing on light, refined presentations that let spice and regional identity shine through,” said Mariko Amekodommo, international culinary expert at Mariko Presents.
Amekodommo also drew parallels between the evolution of Indian cuisine and sushi’s metamorphosis from “novelty to mainstream sophistication” a few years ago.
Let’s dig into a few of the trending regional Indian cuisines and restaurant concepts.
Keralan Cuisine: Savory, Spicy, and Veggie-Forward
F&B intelligence platform Datassential identified Keralan food as its “Cuisine to Know for 2026” in its recent trends report.
“Keralan concepts (inspired by the cuisine found in the state of Kerala in India) are popping up stateside, with a variety of U.S. operators calling out Keralan dishes and beverages on menus. Keralan cuisine, which 39% of U.S. consumers are interested in trying, is characterized by seafood, rice, coconut, veggie-forward dishes, and spices like curry leaves, turmeric, asafoetida (a pungent, funky, savory spice), and more,” reads the report.
Other Regional Indian Specialties
In addition to Keralan food, Amekodommo expects that the culinary staples of the Goa, Nagaland, and the Himalayan regions will also steal the spotlight in the near future.
“Goan food, for example, combines Indian soul with Portuguese coastal influence – and it’s ideal for the global palate. Nagaland and Assam bring a smoky, earthy depth that resonates with the ‘open fire cooking’ trend, while Himalayan thalis embrace clean eating and sustainability,” Amekodommo told FI.
Regional Indian Concepts to Watch
New restaurants are also generating serious anticipation, prompting Yelp searches to surge 8,214% for Ambassadors Clubhouse, which is slated to open in New York City in January, while searches for Gymkhana%, which will open in Las Vegas next month, increased by 128%.
Amekodommo added that pop-ups and supper clubs revolving around regional Indian menus have also been gaining ground.
“I personally host curated Indian dinners in Europe that go beyond the traditional curries, like my Goan Dinner Party in Prague, where guests experience seafood, coconut, kokum, and cashew-based dishes in a contemporary fine dining setting. These experiences help people understand that Indian cuisine is as diverse and nuanced as Europe’s own,” Amekodommo told FI. Food Institute Focus
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Store News:
Chipotle announced it will offer an in-restaurant "Back Home BOGO" deal on Wednesday, Nov. 26, from 4 p.m. to close local time, to “help fuel Thanksgiving Eve gatherings among friends and family.” And to celebrate Cyber Weekend, Chipotle is also running a $0 delivery fee offer on orders placed through the app and website from Nov. 28 through Dec. 1. Full Story
Panera announced a strategic plan to reach over $7 billion in systemwide sales by 2028. To achieve this goal, the chain is focusing on refreshing its menu, delivering better value, improving customer experience, and expanding its footprint. Full Story
Taco Bell added three new items to its menu that were created by fans: the California Crunchwrap, Burrito Bliss, and Cantina Craze. After the inaugural launch of Fan Style, Taco Bell fans submitted 40,000+ orders, which will be available for a limited time exclusively through the app and in-restaurant kiosks at participating locations nationwide starting Nov. 20. Full Story
Culver’s uses a mentorship program to turn restaurant managers into owners, pairing long-tenured GMs with owner-operators, who coach them and then sign them on as partners. This approach has helped the burger brand grow from 837 units in 2022 to 1,046 as of this month, reported Restaurant Dive. Full Story
Noodles & Company’s footprint may be shrinking, but CEO Joe Christina says the closures are strategic. The fast-casual chain is focusing on restaurants where it can transfer sales to nearby locations. In fact, among the units that will shut down, the brand expects to keep 30% of sales via transfer to neighboring outlets, reported QSR. Full Story
Dutch Bros expanded its hot food program to about 160 shops by the end of Q3, marking an increase of about 96 stores compared to the end of Q2, according to a research note from TD Cowen analysts. Breakfast offerings have driven ticket and transaction growth at the deployed stores, contributing to the brand’s 5.7% increase in same-store sales, which included 4.7% transaction growth, Restaurant Dive. Full Story
Slim Chickens announced its signing of a 9-unit agreement with Nehal, Inc., a seasoned multi-brand operator headquartered in Conn. The group currently operates Subway locations and Wayback Burgers, bringing 15 years of franchise experience to the Slim Chickens system, reported QSR. Full Story
Store News (Continued):
Wendy’s plans to close roughly 300 U.S. stores in the near future. Interim CEO Ken Cook told investors on Friday that the chain has “some restaurants that do not elevate the brand and are a drag from a franchisee financial performance perspective,” reported USA Today. Full Story
Restaurant Brands International entered a joint venture with CPE to expand Burger King’s China presence. The companies hope to expand the footprint from 1,250 restaurants to over 4,000 by 2035 via the partnership. Full Story
Starbucks will form a joint venture with Boyu Capital to operate the brand in China. Under the agreement, Boyu will hold up to 60% interest in Starbucks’ retail operations in the nation, while Starbucks will continue to own and license the brand and intellectual property to the new entity. Full Story
Yum Brands will explore strategic alternatives for the Pizza Hut brand, which has struggled in recent years. Potential outcomes include an outright divestiture, selling a stake in the chain, or a joint venture, reported CNBC. Full Story
Denny’s will be acquired and taken private by TriArtisan Capital Advisors, Treville Capital, and Yadav Enterprises in a deal valuing the company at $620 million. Denny’s board is said to have unanimously approved the deal. Full Story
Sweetgreen entered into an agreement to sell the company’s kitchen technology business, Spyce, to Grubhub parent Wonder. The salad chain acquired Spyce in 2021, which played a pivotal role in the development of its Infinite Kitchen to improve efficiency and food quality. Full Story
Fast-casual chain &pizza acquired Tijuana Flats, a Tex-Mex chain with 95 units. Alongside the deal, &pizza launched Latitude Food Group, a holding company that will oversee and guide both the pizza chain and Tex-Mex chain and “unite fast-casual and quick-service concepts that share a bold, unconventional spirit,” reported Restaurant Dive. Full Story
Executives on the Move:
Marco’s Pizza has appointed Brad Smith as VP of franchise growth, bolstering the brand's commitment to nationwide and international expansion. With decades of experience leading high-performing development teams and driving franchise growth across multiple industries and continents, Smith will play a pivotal role in Marco's next phase of accelerated growth. Full Story
Auntie Anne’s has hired Nathan Baldwin as its new chief brand officer. Baldwin joins GoTo Food’s pretzel concept in the midst of a brand refresh and push to develop more streetside locations and co-branded restaurants, reported Restaurant Dive. Full Story
Papa John’s has promoted its current CFO and EVP, International, Ravi Thanawala, to CFO and president, North America. Thanawala will lead the company’s North American business, including restaurant operations and development strategies, along with his CFO responsibilities, reported QSR. Full Story
Bojangles has promoted Cathy Chase to Chief People Officer. “Cathy understands that how we serve each other is just as important as how we serve our guests,” said Bojangles CEO Jose Armario. “She leads with heart, drives with strategy and shows up for our people every day. That kind of leadership is how we build a stronger Bojangles from the inside out,” reported QSR. Full Story
P.F. Chang’s appointed former Rosa Mexicano executive Jim Mazany as CEO, effective immediately. "Our goal is to build on the brand's strong foundation to deliver bold flavors, immersive dining experiences, and innovative concepts that delight today's guests and shape the future of modern Asian cuisine,” said Mazany. Full Story
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Supply Chain News
Labor Pains: Food Industry Braces for Leaner Staff in 2026
Fewer available workers, supply chain disruptions and overall economic pressures have combined to produce fewer job openings in the foodservice and hospitality sectors this year, according to the National Retail Federation. Meanwhile, experts told The Food Institute the labor outlook for 2026 doesn’t seem any brighter.
Though the NRF expects holiday retail sales to be up as much as 4.2% from 2024 and overall growth for 2025 to be up as much as 3.7%, much of the gain can be attributed to overall inflation and tariffs.
“The signals coming from the labor market suggest that food businesses are bracing for a challenging period,” said Barbara Sibley, president of Les Dames d’Escoffier New York, director at Holiday Cocktail Lounge, and CEO of La Palapa Mexican. “Restaurants are closing at unusually high rates, burdened by rising expenses and the strain of unpaid COVID-era … loans.
“At the same time, operators are anticipating even tighter labor conditions as immigration slows and the pipeline of new workers shrinks.
“These pressures are pushing the industry to rethink how it serves guests, experimenting with automation, simplified operations, and other efficiency-driven models.”
Many major retailers are staying mum on their seasonal hiring plans while other major businesses, like UPS, announced they would be hiring fewer workers than they did last year.
NRF said it expects retailers to hire 265,000 to 365,000 seasonal workers this year, down from 442,000 in 2024. The 2025 projections are the lowest in 15 years and likely reflect souring consumer sentiment.
“We have heard feedback from various retailers that this year; they felt like their staffing levels are adequate,” NRF chief economist Mark Mathews told Reuters.
Wages are a major concern as states and municipalities continue pushing to eliminate subminimums and increases in the minimum wage itself, encouraging many operations to turn to technology – think kiosks and robots. Add to that diners’ increasing preference to pay for their meals through tableside QR codes, according to StartUs Insights.
The National Restaurant Association show revealed in October that smarter tech would streamline workflows and reduce labor headaches, and greater use of data would provide insights into customer needs. Growing interest in takeout also likely would reduce the need for servers and hosts.
The reduced job listings may reflect fears for the economy in general, Amanda Belarmino, hospitality professor and consumer behavior and tourism expert at the University of Nevada Las Vegas, told FI.
Belarmino said there has been a decline among workers in the hospitality and service industries since the pandemic, and inflation has reduced the number of restaurant visits, especially to fast-food establishments.
“Part of the decrease in job openings for many of these companies, however, has been a result of dedicated efforts in retaining employees and lowering their turnover rates, which is a silver lining in the decreased number of new openings,” Belarmino said.
Labor attorney Eric Kingsley said rather than focusing on wages, the focus “should truly be on continuity.”
“Turnover is expensive,” Kingsley noted. “Paying employees decent wages and stabilizing schedules increase loyalty to employers and diminish turnover that harms business.” Food Institute Focus
Economic Pulse
October Same-Store Sales Up 0.7%
Same-store sales for the restaurant industry increased 0.7% in October year-over-year as customer traffic declined 2% for the period, according to Black Box Intelligence. Since July, each month has delivered softer same-store sales and traffic than the one before.
"Only two segments posted negative same-store sales in October—Family Dining and Fast Casual—improving from three segments in September. Fine Dining flipped to positive and led sales growth, likely aided by sharp price increases and easy comps versus a weak October 2024," read the report.
“Consumers—especially middle- and lower-income households—are growing more cautious, and recent Black Box Intelligence data shows a corresponding pullback in sales and traffic. We expect performance to remain challenged in the coming months, and 2026 is also likely to be a softer year given pressure on disposable income, higher unemployment, and inflation," said Victor Fernandez, chief insights officer with Black Box Intelligence. Full Story
Selected Results:
Same-store sales at Jack in the Box decreased by 7.4% in the last quarter as both customer traffic and spending declined and higher commodities hit profit margins. However, executives said sales improved 300 basis points at the end of the quarter after focusing on discounts like a $5 Smashed Jack and a $4.99 Bonus Jack combo, reported Restaurant Business. Full Story
California Pizza Kitchen reportedly signed a deal to be acquired by a group led by Consortium Brand Partners for under $300 million, according to sources familiar with the matter. The investment represents Consortium’s foray into the restaurant category, reported Reuters via U.S. News & World Report. Full Story
Dine Brands’ value strategies appear to be paying off, recently fueling sales and traffic momentum for Applebee’s and IHOP after several quarters of declines. Applebee’s boosted same-store sales in Q3 for the second consecutive quarter, while IHOP’s traffic turned positive for the first time in several years, reported Restaurant Dive. Full Story
Value meals and catering helped Red Robin win back some lost traffic last quarter. Though the casual-dining chain’s same-store sales declined 1.2% year over year and traffic fell 3% in the period ending Oct. 5, its traffic improved dramatically over the course of the quarter, entering at -7% and exiting at -1.4%. Overall, traffic was 250 basis points better than the prior period, reported Restaurant Business. Full Story
The Wendy’s Co. posted a Q3 same-store sales decline of 4.7%. The company opened 54 new stores during the period, and international systemwide sales grew 8.6%. Full Story
Sweetgreen Inc. cut its full-year outlook after Q3 results worsened. Same-store sales in the quarter fell 9.5%, led by lower foot traffic. The salad chain is now scaling back its ambitions for new store openings, reported IndexBox. Full Story
Bloomin’ Brands will implement a turnaround strategy with a focus on Outback Steakhouse aimed at enhancing the guest experience, expanding brand reach to grow traffic, and refreshing its existing portfolio of restaurants. The company reported a 1.2% increase in same-store sales, reported MSN. Full Story
McDonald’s reported a 2.5% increase in U.S. same-store sales, while global same-store sales rose 3.6%. CEO Chris Kempczinski said the chain is working to meet consumers’ needs by delivering value, menu innovation, and compelling marketing, reported Yahoo! Finance. Full Story
CAVA reported a 1.8% increase in Q3 same-store sales. The company also opened 17 net new stores during the period, reported Yahoo! Finance. Full Story