B lurring segments, expanding opportunities If you’ve felt the foodservice landscape bending as a side effect of inflation, you’re not alone. Rising costs have reshaped consumer expectations on value, and operators have been pulling creative levers to drive ticket averages. The change in scenery has brought unique challenges, but it’s also brought expansive opportunities for operations, inspiring segments to “borrow” tactics from one another and encouraging mixing-and-matching revenue-boosting approaches. A clear example of sharing between segments is seen in the wider use of the combo concept. While meal deals and combos have long been a hallmark of quick-service restaurants, casual dining operators are beginning to use them as traffic-drivers. Learn how you can take advantage of this newfound fluidity in foodservice by effectively incorporating combos into your winning strategy.
Did you know?
- As off-premise dining grows, service distinctions between segments matter less, and consumers are more open to exploring a broader range of foodservice options to meet their needs.1
- 66% of restaurant operators feel there are more “blurred lines” between segments now than ever before.2
Bundled with potential
By strategically leveraging straightforward combo structures, casual dining operators can strengthen their value proposition and compete more effectively in the industry. Combos not only drive a higher check average by encouraging customers to buy additional items, but they also increase value perceptions among consumers because they are discounted relative to buying the items separately.
When developing combo meal strategies, casual dining operators should consider:
Timed Promotions: Offer combos during key dayparts, such as lunchtime meal deals or after-work snack bundles, to drive traffic.
Elevating Non-Alcoholic Beverages: Take inspiration from limited-service restaurants by featuring customized flavored sodas, lemonades, and refreshers. Bundles with elevated beverage offerings can ladder up into upselling tactics.
Investing in Takeaway-Friendly Beverages: Expand bottled and canned beverage options by stocking up on sodas, electrolyte waters and energy drinks to support growing off-premise demand and drive incremental revenue.
PepsiCo Partners can support operators looking to fill their menu with drinks that are refreshing enough to spur on an upsell.
Combos don’t have to be quick
Top-performing value menus at quick-service restaurants thrive on straightforward combo structures that encourage bundling, making ordering simple and intuitive.3 Now, full-service restaurants are tapping into this same strategy:
Applebee’s recently debuted its Really Big Meal Deal offerings featuring a choice of the Big Classic Bason Cheeseburger or an all-new Big Cluckin’ Chicken Sandwich along with fries and a soft drink, available for dine-in or carry-out for $9.99.2
Additionally, non-alcoholic beverages present a significant opportunity in casual dining, with an average profit margin of 27.8%, higher than limited-service restaurants (22.7%) and on-site operators (22.8%).4 Compared to desserts and appetizers, non-alcoholic beverages consistently deliver stronger margins, providing full-service restaurants with greater flexibility for meal deals that include a beverage without eroding overall profitability.
By integrating thoughtfully designed combos and bundles into their menus, casual dining operators can create new value-driven occasions that drive guest engagement and higher check sizes.
Your profit building partner
For operators looking to integrate combos into their business, PepsiCo’s Profit Calculator & Combo Calculator can help. This tool helps operators evaluate profit margins across different beverage formats (bottles, cans, bag in box and combo offerings, streamlining decision-making and optimizing profitability. As competition intensifies, full-service restaurants must rethink their approach to value. Combo strategies—long proven in limited-service settings—offer a powerful way to enhance guest perception, increase check sizes, and drive beverage attachment.
Sources
1 Datassential 2025 Industry Forecast, August 2024
2 Datassential 2025 Trends, December 2024
3 Datassential Chain Performance Update: Value and Affordability, January 2025
4 Datassential Promotions & Upselling December 2024
