Chili’s Comeback: A Return to Its Roots and Core Culture

 

From its foundation in 1975 as a casual dining spot that catered to flavor-driven, value-conscious customers, Chili's Grill & Bar has maintained its focus on delivering Ready-2-Eat and Heat-n-Eat fresh food options according to Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. The brand, long admired for innovation and customer relevance, has recently seen a remarkable resurgence, overcoming industry challenges through strategic marketing, menu evolution, and an unwavering commitment to its core principles.

Historical Leadership in Ready-2-Eat and Heat-n-Eat

The early success of Chili’s was built on its ability to deliver bold flavors in an approachable, customer-friendly environment. Long before “grocerant” concepts emerged, Chili's offered customers convenient, high-quality meals to enjoy at the restaurant or at home. During the 1990s, their focus on takeout paved the way for their future Ready-2-Eat innovations. Their robust Heat-n-Eat options also stood out in an era when most casual dining restaurants lagged in take-home meal strategies.

This vision of convenience has been a hallmark of their success, driven by consumer-first decisions and a clear understanding of evolving customer needs. These initiatives were further supported by a cohesive company culture that valued both employees and customers, ensuring every new innovation resonated with Chili’s community-centric ethos.

A Focus on Customer-Centric Culture

At its core, Chili’s operates with a focus on three key pillars: customers, employees, and innovation. They have consistently empowered their employees to champion the brand’s values, reinforcing customer loyalty through a service-driven approach. This employee-centric focus ensures a consistent and exceptional dining experience—whether customers enjoy their meals onsite or take them home.

Their recent resurgence aligns with this legacy, but they’ve doubled down on one critical factor: staying “a customer ahead.” Through insights and analytics, Chili's has tailored offerings to address consumer needs, keeping relevance at the forefront despite broader economic challenges.

The Comeback Formula: Marketing and Menu Innovation

Chili’s comeback success lies in its focused execution across two domains: marketing campaigns and menu innovations.

1. Iconic Marketing Reinvented

Few marketing campaigns have captured public imagination as effectively as Chili’s “I Want My Baby Back Ribs.” First introduced in the 1990s, the jingle became a cultural phenomenon, later immortalized in the Austin Powers franchise and countless pop culture moments. This campaign positioned Chili’s as synonymous with hearty, indulgent dining, driving massive traffic to the chain and securing a stronghold in American casual dining.

In its resurgence, Chili’s has revisited this legacy, introducing updated advertising themes that evoke nostalgia while appealing to a modern audience’s tastes. Social media engagement and digital-first campaigns have allowed them to connect with younger consumers, maintaining relevance in an ever-shifting marketing landscape.

2. Menu Evolution for the Value-Seeking Consumer

While maintaining their bold flavors, Chili’s has leaned into value-based offerings, launching mix-and-match promotions, upgraded to-go meals, and limited-time deals. Recognizing that economic pressures are squeezing dining budgets, their emphasis on affordability has resonated with cost-conscious diners. Recent examples include affordable combos, tiered menu pricing, and promotions designed to encourage repeat visits or online orders.

A notable highlight of their comeback is the introduction of streamlined menus that focus on fewer, high-performing items. This reduces operational complexities and enhances the quality of every dish—both for dine-in and takeout.

Value Propositions That Deliver

Beyond taste and convenience, Chili’s comeback is anchored in its value-driven philosophy. They've met consumers where they are, offering budget-friendly meals, innovating with Heat-n-Eat options for busy households, and providing variety for groups with mix-and-match platters. Chili’s has successfully tapped into the grocerant mindset, bridging the gap between quick-service convenience and sit-down dining experiences.

Looking Forward: Sustainability and Digital Initiatives

To sustain this momentum, Chili’s is embracing new technology like AI-driven ordering, digital loyalty programs, and enhanced third-party delivery integration. Their ability to innovate within the grocerant space ensures that they stay competitive while appealing to the modern consumer’s lifestyle.

Think About This

Chili’s enduring commitment to bold flavors, convenience, and customer-first values has cemented its status as an industry innovator. Its recent revival showcases the power of staying true to core principles while adapting to a new dining landscape. By blending nostalgia with forward-thinking strategies, Chili’s is proving that it can remain a leader in Ready-2-Eat and Heat-n-Eat solutions, a standout for value-driven customers navigating a challenging economic environment.

From their iconic baby back ribs jingle to their present-day innovations, Chili’s reminds us why the right blend of food marketing and brand culture is critical for long-term success.

Foodservice Solutions® specializes in outsourced business development. We can help you identify, quantify and qualify additional food retail segment opportunities or a new menu product segment and brand and menu integration strategy.  Foodservice Solutions® of Tacoma WA is the global leader in the Grocerant niche visit us on our social media sites by clicking one of the following links: Facebook,  LinkedIn, or Twitter

The Risk of Raising Restaurant Prices in 2025

 

In 2025, the foodservice landscape is rapidly evolving, creating significant challenges for restaurant operators contemplating price increases. While higher menu prices may offset rising labor, rent, and ingredient costs, they come with heightened risks in an era where consumer behavior has dramatically shifted. From the Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions® perspective, this period marks a decisive shift in how consumers evaluate food options. With more alternatives and easier access to these choices than ever before, the stakes for restaurants have reached unprecedented levels.

The Perils of Price Hikes

Price sensitivity among diners is more acute today than at any point in the past decade. A 2025 Technomic study revealed that nearly 70% of consumers are open to switching dining venues if their preferred option raises prices. Unlike the pre-pandemic era, where brand loyalty often anchored consumer choices, today’s diners prioritize value and convenience, effectively eroding traditional loyalty.

When prices increase, the question consumers ask isn’t just, “Is it worth it?” but also, “What are my alternatives?” Compounding the challenge is the explosion of Ready-2-Eat and Heat-n-Eat meal options available across a variety of distribution channels. Convenience stores like Wawa and Sheetz, grocerants such as Whole Foods, and third-party food delivery platforms like DoorDash now offer flavorful, high-quality meals that rival traditional restaurant fare at lower prices.

Five Critical Consumer Shifts Driving Risk

1.       Declining Dining Out Frequency: Inflation and economic uncertainties have reduced the number of discretionary outings, prompting customers to scrutinize menu prices more closely.

2.       Value Alignment: Consumers increasingly align spending with perceived value, which includes food quality, portion size, and service efficiency.

3.       Evolving Work Lifestyles: With remote work persisting, fewer people dine out near office hubs, redirecting foot traffic to non-traditional points of food distribution.

4.       Savvy Spending on Subscriptions: Subscriptions to meal kits or grocery delivery services such as Blue Apron or Instacart+ offer budget-conscious alternatives to dining out.

5.       Expanding Palates: Consumers seeking global flavors often explore lower-cost options, including international food halls, street vendors, or meal services emphasizing diverse cuisines.

 

Technology and Consumer Empowerment

Technology is the ultimate equalizer in 2025, empowering consumers to explore, compare, and choose alternative dining options faster than ever. Mobile apps, social platforms, and AI tools have broken barriers, enabling a seamless migration away from restaurants with rising prices.

1.       Apps Driving Discovery: Platforms like Too Good To Go and Foodora reduce food waste while offering discounted meals, allowing customers to try premium items at accessible prices.

2.       Personalized Search Tools: With AI-powered meal finders like ChatGPT plugins or Google Lens, consumers can instantly find cheaper, nearby alternatives offering their favorite dishes.

3.       Aggregator Evolution: Delivery apps now compete on price transparency and service fees. For example, Uber Eats introduced loyalty programs tying discounts to recurring orders from specific cuisines.

4.       Subscription-Based Models: Monthly meal passes on platforms like Grubhub+ attract budget-savvy users who want to save on delivery fees while dining from local establishments.

5.       Cooking Assistance with AI: Services like Cooklist utilize pantry data and recipe databases to show how home-prepared meals can replicate restaurant-quality dishes for a fraction of the cost.

Technology doesn’t merely inform—it actively pulls diners toward alternatives that fit their budgets and convenience preferences, eroding traditional dining models further.

 

Customer Migration Has Never Been Easier

Gone are the days when trying a new restaurant or meal format required effort or risk. Today’s consumers explore an increasingly accessible web of food options spanning convenience stores, meal kits, and even vending solutions that offer fresh, quality meals.

Five Examples of Seamless Migration

1.       Convenience Store Ascension: Chains like Kwik Trip and Circle K excel by selling high-quality meals such as fresh salads and artisan sandwiches. Some stores now operate mini food courts with rotating menu items.

2.       Grocerant Integration: Retailers like Trader Joe’s and Whole Foods Market have transformed into meal-prep hubs with pre-seasoned proteins, global meal kits, and heat-and-eat entrees.

3.       Vending Renaissance: Advanced vending machines offering items like poke bowls, sushi, and grain bowls have popped up in high-traffic areas, bringing fresh, high-quality food closer to consumers.

4.       Crowdsourced Dining Recommendations: Localized Facebook groups and TikTok influencers guide users to the best low-cost dining options in their area, stealing foot traffic from more expensive restaurants.

5.       Event Partnerships: Food trucks now partner with popular events, offering restaurant-level quality for casual gatherings like farmers’ markets, game days, or music festivals.

These options increasingly make Ready-2-Eat and Heat-n-Eat formats preferable for price-sensitive, convenience-seeking diners.

 

Mitigating Risks from Price Increases

Raising prices in 2025 doesn’t have to mean losing customers, but it does demand strategy. The Grocerant Guru suggests restaurants consider:

1.       Reinforcing Value Messaging: Highlighting portion sizes, locally sourced ingredients, or eco-friendly packaging to justify pricing.

2.       Offering Tiered Pricing: Small, medium, and large portion sizes ensure that diners at different price points feel catered to.

3.       Digital Exclusives: Providing app-based loyalty discounts or time-specific offers to reward frequent customers.

4.       Investing in Quality Differentiation: Standing apart from non-traditional competition by showcasing unique dishes or premium ingredients.

5.       Expanding Non-Dine-In Sales: Launch Ready-2-Eat or Heat-n-Eat product lines sold in nearby grocers or delivery services to ensure consumer engagement beyond the restaurant setting.

 

The Path Forward

Restaurants must recognize they are no longer the default meal provider—they're one choice among many. Success in 2025 requires offering compelling value, leveraging technology to build loyalty, and embracing innovation to retain customer relevance.

As non-traditional points of food distribution thrive, restaurants can no longer afford to assume customer loyalty. By embracing flexibility, transparency, and digital-savvy strategies, restaurants can turn the risk of price increases into an opportunity for long-term brand stability. Failure to do so may result in customers migrating toward competitors that prioritize affordability, ease, and consumer convenience.

Don’t over reach. Are you ready for some fresh ideations? Do your food marketing ideations look more like yesterday than tomorrow? Interested in learning how Foodservice Solutions® can edify your retail food brand while creating a platform for consumer convenient meal participation, differentiation and individualization?  Email us at: Steve@FoodserviceSolutions.us or visit us on our social media sites by clicking the following links: Facebook,  LinkedIn, or Twitter

Grocerants: 7 Big Opportunities for 2025

 

As 2025 approaches, the evolving food landscape presents unparalleled opportunities for all food retailers offering grocerant meal components or meals.  All food retailers include Convenience Stores, grocery service deli’s, restaurants, dollar stores think of it as any retailer has the ability to evolve into a hybrid concept blending grocery and restaurant-style dining. Political uncertainty, inflation, and changing consumer preferences are reshaping the way we think about meals. Here are the Grocerant Guru’s insights into seven critical opportunities for grocerants this year, driven by key consumer trends and challenges.

1. Political Uncertainty Drives Comfort Food Trends

Economic instability fueled by political uncertainty often pushes consumers toward comfort and familiarity. In 2025, grocerants can leverage this by offering hearty, homestyle meal bundles that evoke nostalgic flavors. Ready-to-Eat (RTE) lasagnas, pot roasts with root vegetables, and freshly baked bread can tap into consumers' need for reassurance. Bundling these options with mix-and-match sides such as roasted potatoes, steamed greens, and pre-prepped salads can position grocerants as the perfect solution for uncertain times.

2. Inflation Elevates At-Home Dining

Inflation continues to pinch household budgets, making at-home dining more appealing than eating out. However, many consumers lack the time or skill to prepare full meals. Grocerant retailers that prioritize Heat-and-Eat solutions, like marinated chicken with pre-portioned vegetable stir-fry kits, can capture this demographic. Offering clear cost comparisons to restaurants (“Feeds four for under $20”) on packaging and signage can solidify the value proposition for budget-conscious shoppers.

3. Winter Meal Planning Highlights Skill Gaps

Winter’s long nights and busy schedules often leave consumers ill-prepared for meal planning. The lack of culinary skills compounds the issue, with many struggling to create varied, appealing menus. Restaurants have traditionally filled this gap, but grocerant retailers can counteract by creating flexible meal kits. These kits could include options like braised short ribs paired with mashed potatoes and roasted Brussels sprouts, each pre-seasoned and easy to assemble. Seasonal promotions and bundling discounts can further encourage repeat purchases.

4. Mix-and-Match Meal Bundling Offers Customization

One of grocerant retailers most significant advantages is the ability to tailor meals to diverse household preferences. Unlike restaurant menus that are fixed, grocerants can invite customers to “build their perfect dinner.” By combining proteins (e.g., grilled salmon, rotisserie chicken) with versatile sides (e.g., truffle mac and cheese, garlic quinoa, fresh fruit medleys), customers can enjoy variety without compromise. Highlighting these options through digital kiosks and in-store sampling events can drive incremental sales.

5. Poor Service at Grocery Delis Pushes Customers Away

Poor customer experiences at traditional grocery store delis remain a pain point for many shoppers. Long wait times, inconsistent product quality, and unfriendly staff have pushed frustrated consumers toward quick-service restaurant (QSR) takeout. For grocerant enabled retailers, this represents an untapped opportunity. Improved deli services, focused on speed, freshness, and personalization, can win back disenchanted customers. Investing in technology, such as online ordering and self-checkout deli kiosks, can revolutionize the experience and outpace traditional grocery competitors.

6. QSRs Become First Choice for Small Households

Households with one or two members increasingly turn to QSRs for convenient meals tailored to their size and needs. Grocerants must adapt to compete by emphasizing portion control and single-serve options. Offerings such as individual protein bowls, sushi platters, or mini charcuterie packs can target these consumers effectively. Enhanced marketing to highlight convenience and cost savings over QSRs can sway this audience back to grocery-based solutions.

7. Seasonal and Event-Based Promotions

Seasonal and event-based marketing will be a crucial driver for grocerants in 2025. Winter football games, Valentine's Day, and Sunday roasts are moments grocerants can dominate by providing meal solutions tailored to specific events. By leveraging mix-and-match meal options to cater to a “game-day platter” or a romantic dinner, grocerants can bridge the gap between at-home dining and restaurant quality.

The Path Forward: Integration and Consistency

Grocerant retailers are uniquely positioned to address the evolving consumer landscape by integrating restaurant-quality meals with grocery accessibility. By improving service, emphasizing customization, and solving everyday meal challenges, grocerants can become a dominant force in 2025. This requires investment in technology, robust marketing strategies, and a commitment to quality that rivals any fast-food restaurant or traditional grocery chain.

For grocerants, the future is rich with potential. By addressing these seven opportunities, they can secure their position as the ultimate dining solution for today’s ever-changing consumer needs.

Don’t over reach. Are you ready for some fresh ideations? Do your food marketing ideations look more like yesterday than tomorrow? Interested in learning how Foodservice Solutions® can edify your retail food brand while creating a platform for consumer convenient meal participation, differentiation and individualization?  Email us at: Steve@FoodserviceSolutions.us or visit us on our social media sites by clicking the following links: Facebook,  LinkedIn, or Twitter

Why Branding Side Dishes for Takeout Matters

 

Side dishes have long been an underappreciated part of the culinary landscape, often treated as a mere afterthought to the main course. However, in today’s competitive retail and restaurant market, branding a quality side dish as a standalone takeout option is a smart strategy that can drive unit sales, store sales, and boost brand loyalty.

Steven Johnson Grocerant Guru® at Tacoma, WA based Foodservice Solutions® believes that when executed well, branded side dishes not only offer consumers flexibility but also create additional points of fresh food distribution. This, in turn, builds a stronger connection with the brand and fosters repeat business. Chick-fil-A’s recent move to offer its Pimento Cheese as a side dish is a textbook example of this strategy in action.

The Power of Branded Side Dishes

Side dishes represent an opportunity for restaurants and grocery stores alike to extend their menu offerings and elevate the customer experience. Branded, high-quality sides act as a natural extension of a company’s identity, reinforcing consumer perceptions about the brand's food quality, creativity, and customer-centricity. A well-branded side dish can do the following:

1.       Drive Incremental Unit Sales: Offering a side dish, particularly when it has standalone appeal, entices customers to add more to their orders. In Chick-fil-A’s case, the Pimento Cheese, available for $3.99, serves as a tempting add-on that feels like a premium upgrade to an already beloved meal. Even customers who come in for the main menu items will often opt to tack on a side that is exclusive, branded, and available for a limited time.

2.       Boost Store Sales: When sides like Chick-fil-A’s Pimento Cheese are available for takeout, they not only complement in-restaurant sales but also drive additional revenue through carry-out and catering. Larger orders, like catering trays of Pimento Cheese starting at $6.50, offer customers the convenience of adding a unique, branded option to their events while driving higher ticket prices for the restaurant. This extension into larger, take-home portions for parties and gatherings creates another lucrative revenue stream.

3.       Build Brand Loyalty: A branded side dish reinforces the relationship between the customer and the brand. Limited-time offerings, like Chick-fil-A’s Pimento Cheese, create a sense of urgency and exclusivity, compelling loyal customers to return frequently to enjoy it before it's gone. When a branded side resonates with customers, it becomes part of their habitual purchasing behavior, driving repeat visits long after the side is taken off the menu.

4.       Diversify Fresh Food Distribution Points: The flexibility of branded sides allows for multiple points of distribution, whether through the app, in-store, or for catering. More access points mean more opportunities for the customer to interact with the brand. As Chick-fil-A positions its Pimento Cheese for dine-in, carry-out, and catering, they effectively maximize its reach. This multifaceted approach to distribution extends their fresh food presence into consumers’ homes and events, cementing Chick-fil-A’s brand as part of their daily lives.

Four Examples of Consumer Response to Incremental Points of Fresh Food Distribution

1.       Mobile App Convenience: Consumers increasingly value the convenience of ordering food via mobile apps, where branded side dishes can act as quick add-ons to their main orders. For example, Chick-fil-A’s Pimento Cheese side can be ordered directly through the app, encouraging customers to bundle their orders effortlessly. This quick, convenient access drives incremental sales and boosts the overall satisfaction of time-strapped customers.

2.       Carry-out for Flexible Meal Planning: Offering branded sides for carry-out provides an ideal solution for consumers who want flexibility in their meal planning. With Chick-fil-A’s Pimento Cheese available for pick-up, customers can easily incorporate it into their home meals or snacks. The grab-and-go convenience of these sides allows consumers to plan meals around branded items they trust, making their purchase a regular occurrence.

3.       Catering Orders for Special Occasions: Catering is an excellent way for brands to extend their reach into family gatherings, parties, and corporate events. By offering the Pimento Cheese in larger quantities, Chick-fil-A can secure a spot at special occasions, embedding itself in consumers' personal and professional lives. The social sharing of these branded side dishes fosters word-of-mouth marketing, leading to new customer acquisitions.

4.       In-store Promotion and Cross-sell Opportunities: In-store distribution offers an additional chance to cross-sell branded sides. When customers come in for a meal, they may not plan on ordering a side but will often be persuaded by promotional signage, samples, or recommendations from staff. Branded side dishes like Pimento Cheese allow employees to upsell, driving unit sales with minimal effort.

Why Branding Matters for Sides

Branding a side dish is about more than just flavor—it’s about creating an emotional connection with the consumer. Chick-fil-A’s decision to release their Pimento Cheese as a standalone item taps into consumer desire for indulgence, uniqueness, and the comfort of familiarity. Limited-time branding further fuels the exclusivity factor, making the product feel special and irreplaceable. This creates a memorable experience for the customer, who associates the side dish with a positive interaction with the brand. Ultimately, branded sides like this one can elevate a company’s overall brand perception, making customers feel more loyal to the experience and thus returning more frequently.

In a competitive marketplace, where innovation and differentiation are key, branding quality side dishes for takeout and catering provides an avenue for not just boosting immediate sales but building long-term brand equity. Chick-fil-A’s Pimento Cheese is a brilliant example of how focusing on these strategic side offerings can drive not just unit sales, but also foster deep, lasting connections with customers.

By tapping into this opportunity, restaurants and grocery stores can turn what was once an overlooked part of the meal into a driver of revenue and loyalty. As always, the grocerant niche, where fresh and customizable food reigns supreme, offers the perfect environment for this incremental strategy to thrive.

Invite Foodservice Solutions® to complete a Grocerant ScoreCard, or for product positioning or placement assistance, or call our Grocerant Guru®.  Since 1991 Foodservice Solutions® of Tacoma, WA has been the global leader in the Grocerant niche. Contact: Steve@FoodserviceSolutions.us or 253-759-7869