Surviving the Restaurant Industry Shakeup: Why Customer Experience and Marketing Matter More Than Ever

Since the start of the year, a growing number of restaurants across the U.S. have shut their doors, with even more closures anticipated in the coming months. Major brands, including Hooters, are reportedly on the brink of bankruptcy, joining an already long list of restaurant chains that have filed for protection. Economic pressures, shifting consumer behavior, and the ongoing challenges of rising costs and labor shortages continue to squeeze margins. In these conditions, restaurant operators—whether independent or franchise—must be at the top of their game every single day.

Survival in this environment is not just about cutting costs or hoping for a turnaround. It’s about being proactive, strategic, and relentless in the pursuit of customer satisfaction and operational excellence. Every visit, every order, and every interaction matters. Now more than ever, creating a positively memorable experience for each customer is critical. Engaging with customers, expressing genuine appreciation for their business, and fostering personal connections are essential strategies for building loyalty. A warm greeting, a sincere thank you, and even small gestures of appreciation can turn a one-time customer into a regular guest.

A concept I’ve long championed is the power of “just one more.” Encouraging just one more visit per month from a regular customer, one more item added to an order, or one more referral from a satisfied guest can have a significant cumulative effect. But these incremental gains don’t happen by accident—they require a deliberate, proactive effort to ensure each customer experience is exceptional. Guests need to feel valued and appreciated every time they visit, which starts with engaged and motivated staff who understand the importance of hospitality.

At the same time, this is not the moment to cut back on marketing. While it may be tempting to slash marketing budgets in an effort to preserve cash flow, the reality is that you cannot “save” your way to profitability. Cutting back on marketing leads to reduced visibility, which in turn leads to fewer customers, making it even harder to sustain operations. Instead, a shift in marketing strategy is needed—one that focuses on keeping the restaurant top of mind for consumers while using targeted promotions to drive business.

Leveraging digital marketing channels, maintaining a strong social media presence, and ensuring active engagement with both existing and potential customers are crucial tactics. Email campaigns, text message promotions, and strategic partnerships with delivery platforms can all play a role in sustaining business and attracting diners. A well-executed marketing plan should balance brand-building efforts with direct-response tactics that drive immediate sales, such as limited-time offers or loyalty-based incentives.

Speaking of loyalty, Rewards Programs should be a focal point. It is a well-documented fact that Rewards members order more frequently, spend more per visit, and exhibit higher levels of brand loyalty than non-members. This makes it essential to continue building value into the program, ensuring that customers feel incentivized to keep coming back. Whether through exclusive discounts, surprise perks, or points-based systems, a well-structured Rewards Program fosters repeat business while strengthening the emotional connection between the restaurant and its guests.

Restaurants that embrace a forward-thinking approach—one that prioritizes customer relationships, marketing, and operational excellence—are the ones most likely to weather this storm. The current wave of closures is a sobering reminder of how unforgiving the industry can be, but it’s also a call to action. Restaurant operators must focus on what they can control: providing outstanding service, staying visible to their customers, and consistently reinforcing the value of dining with them. Those who rise to the challenge will not only survive but position themselves for long-term success in an increasingly competitive landscape.

Make today a great day. Make it happen. Make it count!

About the Author

With more than 40 years of experience in small business, restaurant, and franchise management, marketing, and development, Paul Segreto is a respected expert in the entrepreneurial world, dedicated to helping others achieve success. Whether you’re an aspiring or current entrepreneur in need of guidance, support, or simply a conversation, you can connect with Paul at paul@acceler8success.com.

About Acceler8Success Group

Acceler8Success Group empowers entrepreneurs and business leaders with personalized coaching, strategic guidance, and a results-driven approach. Whether launching, scaling, or optimizing a business, we provide the tools, mentorship, and resources to drive long-term success.


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