Since the school year is coming to a close, Red Robin menu 2018 is offering free burgers now to teachers and others who work with students. The free burger deal is for anybody who works for or with a school. Diners must show a legitimate school ID when ordering. The restaurant chain said the offer includes counselors, administrators, bus drivers along with other educators employed by any level of school, from nursery school through secondary school and college. Retired teachers can get the free burgers also having an ID.
Diners can select from one of five Tavern Double burgers and bottomless steak fries. Burger options include the Cowboy Ranch Tavern Double and also the Taco Tavern Double. The burgers usually opt for $6.99. Simultaneously, executives detailed initiatives to counterbalance the damage by repricing the burger specialist’s everyday-value menu and pushing for more catering business.
Chain officials attributed the concept’s weak performance for your quarter ended July 15 to fewer guests dining on-site during peak periods, particularly at restaurants situated in shopping malls. “The continued weakness inside our dine-in traffic caught us off guard, even though it is impossible to parse just how much is because of change in guest behavior and what exactly is self-inflicted,” said CEO Denny Marie Post.
Red Robin’s fault is considerable, she indicated. Post explained that shoppers would see a crush of people waiting for tables and leave. Even though they stuck it, she continued, tables were turned more slowly, cutting into guest counts on weekends. “Seventy-five percent of the loss of dine-in service has come from peak periods,” she told financial analysts, as recorded in a transcript from SeekingAlpha.com.
The glut, in turn, was the result of operational changes undertaken by Red Robin 2 yrs ago, a recast known internally as Maestro, Post said. With setting up a new kitchen display system, two bussing positions were eliminated from each store. The purpose of collecting dirty dishes was shifted to servers.
“Unfortunately, we failed to execute this well in any way. Plus it impacted us most during peak periods,” she said. “We have seen both our wait time and the number of people walking away without getting seated increase year over year.”
Guest-satisfaction gauges and a surge in customer complaints pointed to your problem, but “we were lulled into complacency,” because ticket times improved, Post said. Overall, traffic was down .7%.
Upgrading hosts and hostesses.“Today, these hosts are asked to do much more as our takeout and third-party delivery businesses grow,” Post said, noting that staff members holding the task tend to be very junior. “We are moving rapidly forward with required new host training and improved selection criteria.”
Increasing staff levels at peak times “to capture the unmet demand we see inside our restaurant lobbies,” Post said. Yet she noted that Red Robin continue to look at ways of reducing labor from the adoption of brand new technology, particularly in five Western states where labor pricing is increasing with a gallop. She failed to name the states, but stated that Red Robin features a preponderance of stores there.
Bolstering delivery and catering sales at mall units, which take into account 16% from the Red Robin chain. Post also mentioned the chance of trying new signage and site-specific deals to draw more dine-in patrons. Particularly, she noted that Red Robin is forming a catering sales team to advertise the chain’s signature Burger Bar, a mini buffet for ofosii and offices, as a delivery option.
Trying alternative modes of promotion, like discounts for members of Red Robin’s loyalty program. Post noted that $1.99 kids meals were offered through the quarter one day a week, to great effect.
Red Robin CFO Guy Constant stressed that the chain fails to believe dine-in business was cannibalized by takeout and delivery, though he acknowledged, “we have hardly any visibility for that as the third-party delivery proprietors don’t share their data.”
Although most of Red Robin’s Q2 woes were attributed to the drop-off in on-premise business, Post noted which a 2.6% decline in same-store sales was a result of the decline inside the average check. The culprit, she said, was the achievements of the chain’s Tavern Double Burgers menu, a selection of burgers priced on the bargain rate of $6.99. The everyday-bargain items currently generate 15% of orders, up from 6% a couple of years ago, when advertising was put behind the array. This mixture have also been raised by an expansion of the menu during the quarter to five burgers, from the three that have been offered during Q1.
Post explained that the everyday value afforded through the menu has indeed drawn customers, but they tended to become current guests who traded down, rather than newcomers to the brand. Responding, Red Robin will vary the costs from the burgers contained in the line, and will move cautiously on expanding the menu. In case a burger is put into the Tavern menu, another will more than likely appear, Post said.