How a summer of bold marketing fueled a comeback at Chili’s
Restaurant Business Online
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It’s not often that you see double-digit same-store sales growth at a restaurant chain. It’s even less common among casual-dining brands. And it has become almost miraculous in the past two years as consumers have pulled back on their restaurant spending due to inflation. These days, you are lucky to break even.
That’s why my ears perked up when Chili’s Grill and Bar reported that its same-store sales jumped nearly 15% year over year for the period of April through June—a period in which many of its competitors in casual dining posted negative same-store sales and traffic.
Chili’s has been in the midst of a turnaround for about two years now. And there were signs in previous quarters that those efforts were starting to bear fruit. But there was nothing to indicate that a performance like this was coming. Chili’s 14.8% same-store sales growth was an 11-point leap from the prior quarter. As CEO Kevin Hochman said on the chain’s earnings call last month, it was a step change.
So how did Chili’s pull off one of the most surprising performances of the year? It had something to do with a new burger, a confrontational marketing campaign, a viral TikTok trend and a little luck. But you’ll have to read the full story to find out.
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