How can restaurants deal with the K-shaped economy? This week’s episode of the Restaurant Business podcast A Deeper Dive features Michelle Korsmo, the president and CEO of the National Restaurant Association. We typically interview Korsmo at the National Restaurant Association Show every year. This year, we discussed a variety of topics, including the association’s legislative priorities, how it deals with the White House, technology, industry trends and other topics. We also talk about the economy and its impact on restaurants. The economy is bifurcated. Wealthier consumers have money. Low-income consumers do not. And they are cutting back. The result is a wide gulf in performance between restaurant chains. It’s always interesting chatting with Korsmo, so check it out. Visit our website: https://www.restaurantbusinessonline.com

How restaurants can handle the K-shaped economy

A Deeper Dive

[SPEAKER_A] You've heard me, Jonathan, every time we get together, I probably say high-tech, high-touch, right? And the key for restaurants to really figure out the right balance is bringing in the technology, but never losing that high-touch, right? Because that high-touch is what makes that incremental spend on a restaurant meal more valuable, right? That's really what you're going for. And I think when you think about it, it also comes down to getting the value equation right. Is what I'm spending in this restaurant makes sense for the quality of the food, the type of experience, the speed of delivery. All of that has to match. And when that matches and gets that really nice balance, you're going to see a restaurant be successful.

[SPEAKER_B] How are restaurants navigating the K-shaped economy? Hello, this is Jonathan Maze, editor-in-chief of Restaurant Business. And in this week's episode of A Deeper Dive, I speak with Michelle Korsmo, the CEO of the National Restaurant Association. This is the first in a series of episodes that we recorded during the recent National Restaurant Association Show. And every year, we like to talk to Michelle about sort of the state of things and how the association views the industry at the moment. We talk about a lot of things. We talk about trends that we saw at the show. We talk a lot about technology. We talk about how the association deals with the Trump administration. We talk about tariffs and other priorities of the association. We also talk extensively about the current state of the economy, in particular, the bifurcation of that economy. Wealthier consumers are doing well, lower-income consumers are not, and that difference is creating a lot of headaches for a number of different restaurant chains.

How restaurants can handle the K-shaped economy

Read the full transcript

The candid version is on a podcast,
not the earnings call.

How restaurants can handle the K-shaped economy

Read the full transcript

The candid version is on a podcast, not the earnings call.

The candid version is on a podcast,
not the earnings call.