Jack in the Box results reflected an improvement in: dining room openings (60% of system); innovation, upsell & add-ons sales; digital progress which is helping frequency; and late-night.
Wendy’s is avoiding standardized menu price increases and turning to strategic increases designed not to price out lower income consumers.
The relevant question remains whether consumers who are increasingly cash-strapped can be convinced to pay more for higher quality levels?
Doordash’s platform generated +10% of all restaurant industry sales.
Full serve restaurant sales performance is currently a function of customer demographics.
UPS and AMEX both paint a picture of consumer strength with strong consumer spending & credit, as well as an uptick in travel both for business and leisure.
Denny’s August recovery is consistent with a decline in gasoline prices (which has been so influential on the lower-income demo) during this period.
McDonald’s believes it continues to enjoy pricing power (benefitting from the widest-ever gap between food away-from-home vs food-at-home), especially among the low-income demo where MCD is gaining share.
Chipotle’s steep +15% menu price increase was due to labor inflation, but is this sustainable?
Wingstop’s results are very informative as the chain is generally oriented towards a lower-income demo which is supposed to be struggling in the current economic environment.