New Jersey Restaurants Benefit From Barbell Pricing
Restaurants in New Jersey are always looking for ways to stay afloat in a down economy or when inflation is at an all-time high. It’s not easy, so when restauranteurs find something that works, they will stick with it, and take advantage of its success to keep customers happy and coming back to enjoy the restaurant and keep it profitable.
Chili’s Grill and Bar New Jersey Locations
According to Nation’s Restaurant News (NRN), Chili’s Grill and Bar’s parent company Brinker International Inc., is doing exactly that with all of their eateries including their more than twenty locations in New Jersey. The Central Jersey spots include New Brunswick, Flemington, Edison, East Brunswick, Hamilton, Freehold, and North Brunswick.
They’re continuing something that is called “barbell pricing.” This method worked well for the company and restaurant locations late last year so they kept it going into this year.
What is Barbell Pricing?
Barbell pricing is when they will promote both high and low priced menu items. For instance, they may have a $9.99 burger special while also advertising a $15.99 specialty burger.
To me, it almost seems like a “bait and switch” strategy, but it certainly isn’t. The customer is choosing to make the switch when they come in for the lower specially priced item, but decides they would rather spend a little more to get a little more.
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The important thing is that it’s getting people into the restaurant, and once they’re in they will be spending money. This strategy has proven to save Chili’s and other restaurants from financial losses, bankruptcy, or having to close permanently.
Last week, the company’s CEO and president Kevin Hochman said, “The past two years of our Chili’s turnaround was all about improving the guest experience and creating a traffic driving model to build sustainable momentum in our business.”
The “Mom and Pop” or individually owned eateries are what my family prefers when we go out to eat. However, Chili’s is one food chain that we’ll enjoy occasionally. It’s good to know they’re doing something that seems to work for everybody.