Fine dining without the debt

The Orange County Register (MCT) - Casual and fine dining restaurants are taking cues from fast-food joints by offering more recession-busting value meals.

While lowering prices isn't something restaurant operators like to do, many are finding that it's a necessity to keep their doors open.

More than one-third of consumers _ or 35 percent _ say they are dining out less at dinner compared to one year ago, according to a recent survey conducted by Chicago consulting firm Technomic.

Not surprising _ money issues are the key reason that people are spending less on dining out.

That's why quick-serve chains such as Panera Bread and Chipotle Mexican

Grills are performing better in this recession-like atmosphere, experts say.

The average check at these chains ranges from $7 to $10 per person _ much cheaper than casual eateries. The cost per person, for example, at Cheesecake Factory is $18. To compete, more formal sit-down restaurants need to take a better look at providing "added value incentives" to maintain revenues, said Darren Tristano, executive vice president of Technomic.

"Consumers want to feel that their dinner experience is a good value regardless of the price point. Special offers, promotions, family-pack and combo meals promote that perception," Tristano said. "Beyond increasing the value proposition for consumers, bundling items in a combo meal helps operators to build add-on sales."

Some restaurant chains are responding by crafting specials on everything from affordable steak dinners to half-price appetizers.

For example, Tustin, Calif.-based Mimi's Cafe is offering a "Just Enough" dinner value program, featuring smaller portions at lower prices. TAPS in Brea, Calif., is offering a $24.95 three-course dinner that includes a beer.

"Between family expenses for back to school and college, people getting back from vacations, and the general doldrums of the economy, we wanted to reach out to our loyal guests and give them a good reason to come to TAPS," said TAPS President Don Myers. "There is nothing like an affordable night out to restore a sense of well being."

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DINERS CUTTING BACK

According to restaurant consulting firm Technomic, 77 percent of those cutting back at dinner are doing so to save money. Of those people, 59 percent say they have less money to spend, while 46 percent cite high menu prices for cutting out dinner meals at restaurants.

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© 2008, The Orange County Register (Santa Ana, Calif.).