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Stock impact report

America's K-shaped economy has turned restaurant winners and losers upside down [Business Insider]

Texas Roadhouse, Inc. (TXRH) 
Last texas roadhouse, inc. earnings: 2/20 04:03 pm Check Earnings Report
Have an account? Log in Fast food's recession playbook is breaking as deals fail to lure pressured consumers. Casual dining is winning the K-shaped economy while fast food leans harder on discounts. Analysts told Business Insider that the discount strategy is a double-edged sword. For the past few decades, fast food consumption has had a reliable recession indicator: when budgets tighten, Americans head for the drive-thru. However, in today's K-shaped economy , analysts say that the old playbook is breaking — and some of the biggest chains are finding that even price cuts aren't bringing customers back. "We have a consumer that's cutting back on dining, and that's been happening for really, probably two and a half to three years," Restaurant Business editor in chief Jonathan Maze told Business Insider. "So we now see a large number of chains that are using a discount strategy as a crucial form of marketing." Deals are becoming the business The deals aren't just louder Show less Read more
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