economy

Financing

The problem with $4 gas

The Bottom Line: This week’s edition of the weekly restaurant finance newsletter looks at the return of $4 gas and why that will put a lid on traffic.

Financing

The restaurant industry is stagnant right now

The Bottom Line: This week’s edition of the weekly restaurant finance newsletter looks at weak industry hiring and why that points to a saturated business.

The nation's 14th largest metro area has come a long way since the city filed bankruptcy in 2013. Now Detroit is finally getting noticed as a hub of opportunity.

Cities hosting matches can expect an economic boost that generates restaurant sales, but the broader impact will likely be more muted than people expect.

The Bottom Line: This week’s edition of the weekly restaurant finance newsletter looks at economic data, and why a booming market is of little help.

The economy performed worse than expected in the first quarter and disposable personal income fell last month. Much of the spending these days is concentrated on a small group of Americans.

A Deeper Dive: Michelle Korsmo, president and CEO of the National Restaurant Association, joins the weekly restaurant finance podcast to talk about the state of the industry.

Fogo de Chao and DineAmic Hospitality have adjusted their value offerings to strengthen non-celebration, weekday business.

The Bottom Line: The price of a gallon of gas is nearing $4.50 and showing no signs of slowing. That likely hurt restaurant sales and traffic in March and April. And the worst may be yet to come.

If prices remain elevated, they could start to take a bite out of restaurant sales and traffic. Operators are responding by focusing on value and service, and trying to look beyond the present.

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