Financing

How restaurants can combat an economic slowdown

On this week’s episode of "A Deeper Dive," Joe Pawlak of Technomic discusses a recent downturn in industry growth.

This edition of "A Deeper Dive" is brought to you by PDQ POS.

pdq logo

Recent data on the restaurant industry has turned sluggish. Is it a temporary blip, or something else?

Joe Pawlak, managing principal with Restaurant Business sister company Technomic, joins "A Deeper Dive" to help answer that question.

Job growth in the restaurant business has slowed considerably this year, with the industry adding only 1,500 jobs a month since June—a shockingly low rate after years in which restaurants added 20,000 to 30,000 jobs monthly.

Restaurant sales so far in 2019 are growing at their slowest rate since 2010. Casual-dining same-store sales, which seemed to be building some momentum, have lost it in recent months. And the industry is still dealing with weak traffic and high labor costs.

Pawlak talks about what it all means, if anything. And he discusses what restaurants can do in the event of a slowdown. Or, more specifically, what they should not do.

Please have a listen.

Members help make our journalism possible. Become a Restaurant Business member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.

Multimedia

Exclusive Content

Financing

Reassessing McDonald's tech deals from 2019

The Bottom Line: The fast-food giant’s decision to end its drive-thru AI test with IBM is the latest pullback away from a pair of technology acquisitions it made five years ago.

Operations

Trend or fad? These restaurant currents could go either way

Reality Check: A number of ripples were evident in the business during the first half of the year. The question is, do they have staying power?

Financing

Starbucks' value offer is a bad idea

The Bottom Line: It’s not entirely clear that price is the reason Starbucks is losing traffic. If it isn’t, the company’s new value offer could backfire.

Trending

More from our partners