| |
|
|
California's SB 68 (ADDE Act):
What Foodservice Operators Need to Know
|
|
|
|
The first major U.S. legislation requiring restaurant menus to include food allergy disclosures is coming to California July 1, 2026. - Beginning July 1, 2026, restaurants across California will be required to clearly disclose major food allergens in every menu item.
- The law applies to "restaurants and similar retail food establishments that are part of a chain with 20 or more locations doing business under the same name and offering for sale substantially the same menu items."
- And critically, this means the law applies to any group with 20 or more locations nationwide that has a presence in California—meaning national brands with just one location in California must comply.
Read more from DMA content partner Foodini here.
|
|
|
|
|
|
Customers in a Square Loyalty program visit a restaurant 57% more often, according to global Square Loyalty 2022 data. Learn More
|
|
|
|
|
|
The Rise of Dirty Soda: A Trend Taking the Beverage Industry by StormOver the past year, the “dirty soda” trend has taken the beverage industry by storm, fueled by social media and the desire for customization and unique experiences. This phenomenon has prompted major brands and restaurants like McDonald’s, Chick-Fil-A, Applebee’s, and Crumbl to adapt and offer their own versions to appeal to a growing consumer base, particularly Gen Z.
According to MenuData, the market for dirty sodas is expanding rapidly. Currently, dirty soda menu penetration is at 2% but is growing at a rate of 42%, while traditional soda remains flat. The pricing for dirty sodas averages $5.50, with prices increasing by 6% quarter after quarter.
What’s Behind the Dirty Soda Trend?Consumers are drawn to “dirty sodas” for several reasons. For starters, they relish the opportunity to craft their own unique flavor combinations, giving them a sense of customization and control.
The process of making or ordering a “dirty soda” is also seen as a fun and engaging experience. Consumers are also increasingly seeking out bold and unconventional flavors. For those who avoid alcohol, “dirty sodas” offer an indulgent and exciting alternative. The visually striking nature of these drinks makes them perfect for sharing on social media, adding to their appeal.
The “dirty soda” trend is largely driven by the preferences of younger generations, particularly Gen Z. Their desire for customization and unique experiences is a key driver of this trend. The growth of the non-alcoholic beverage market also plays a significant role, as there is an increasing interest in non-alcoholic options.
This creates a space for innovative and exciting alternatives like “dirty soda” to thrive. Consumers’ desire for new and personalized beverages, along with their interest in customizing beverage add-ins and add-ons, further drives the trend. Celebrities like Dua Lipa, Olivia Rodrigo, and Mormon Wives are taking dirty soda viral, further boosting its buzzworthy vibe.
Popular Add-Ins and Flavors Are Must HavesThe “dirty soda” trend has seen a variety of popular add-ins and flavors that appeal to a wide range of consumers. Whipped cream and flavored syrups are top preferences among 18–34-year-olds, while candied fruit is growing at 58% in menu penetration.
Cream is considered the “must-have” dirty soda ingredient, and popular flavors include coconut, pineapple, and strawberry. Emerging ingredients like protein, peach, and root beer are also gaining popularity. Tips for crafting the perfect dirty soda include: - Top with cream or coconut cream: This is a must for the perfect dirty soda.
- Add candied fruit: For that extra touch.
- Experiment with bold and unique flavors: Ensure popular ones like coconut, pineapple, and strawberry are part of the offerings.
- Make it visually striking: Ensure the drink looks visually appealing for sharing on social media.
- Consider other textures: Boba or functional benefits like protein can offer differentiation.
- Offer customization: Allow consumers to create their own unique combinations.
The dirty soda trend is more than just a passing fad; it’s a reflection of the evolving preferences of today’s consumers. As the market for non-alcoholic beverages continues to grow, dirty sodas are poised to become a staple in the beverage industry. Food Institute Focus
|
|
|
|
|
|
|
|
Why Logan’s Roadhouse Is Winning the Casual-Dining War
As food prices continue to rise in 2025, many consumers
simply can’t stomach $50 steaks. And that has presented casual-dining
restaurants with an opportunity.
Logan’s Roadhouse is one chain seizing the moment, finding
customers quite receptive to $11.99 value meals. A recent report found
that the 125-unit steakhouse chain beat out rivals including Texas Roadhouse
for high scores on quality, service, cleanliness, and atmosphere.
“Logan’s Roadhouse topping the customer loyalty index
highlights how consistent atmosphere, service, and value drive loyalty,” Kaveh
Vahdat, president of RiseOpp, told The Food Institute.
The Houston, Texas-based steak chain scored 52.6% in
customer experience in the Customer Loyalty Index from Market Force
Information, well ahead of its rivals. The loyalty index was based on surveys
of more than 3,400 U.S. consumers, as noted by Restaurant Business.
Logan’s leapt eight spots in this year’s rankings, finishing with a score of 4.52 out of 5. Rivals Texas Roadhouse and LongHorn Steakhouse attained scores of 4.45 and 4.43, respectively.
Logan’s has earned a devoted following due to its mesquite, wood-fire grilled steaks and Southern-inspired dishes. For much of its more than three decades in existence, the chain has also prided itself on celebrating charitable endeavors and supporting the American military.
“Our veterans and active military members have given so much for our country,” explained Logan’s marketing executive Shawn Van Winkle, in a statement. “Supporting our nation’s heroes is at the core of who we are at Logan’s.”
There are additional reasons for Logan’s success, according to industry insider Milos Eric, the general manager of OysterLink.
“Logan’s Roadhouse seems to give its teams room to bring personality into service, and that’s what makes it feel authentic,” Eric said.
Logan’s had struggled from 2019 to 2024, seeing systemwide sales decline 38%, leading to the closure of 74 locations, as reported by Restaurant Business. But the Houston-based chain has focused on improving core elements of its business, such as the quality of its steaks, under owner SPB Hospitality.
Another key element of the steak chain’s resurgence: the Real Deal Meal, which includes an entrée, salad, side, and an endless supply of rolls. Logan’s has also capitalized on the "dirty soda" trend.
Value offerings show that Logan’s is empathetic to cost-conscious consumers these days, experts note.
“Their $11.99 Real Deal Meal,” Vahdat noted, “speaks directly to the demand for affordable, full-service dining in 2025. For casual-dining chains, the lesson is that loyalty comes from dependable, welcoming experiences supported by strong value, not from short-term promotions alone.” Food Institute Focus
|
|
|
|
|
|
|
|
Store News: Popeyes is partnering with the YouTube series Hot
Ones on spicy offerings inspired by the hot sauces featured on the show,
including Sizzlin’ Sriracha Dippers, Smokin’ Rojo Sandwich, Darin’ Dab Ghost
Wings, and The Last Dab Sauce, which are available Sept. 15. Full Story
Chipotle Mexican Grill will expand into Asia for the
first time via a new joint venture with SPC Group. The brand will open
restaurants in South Korea and Singapore in 2026. Full Story
Moe’s Southwest Grill, which will be known as Moe’s Casa
Mexicana abroad, is going international for the first time. Operated by parent
company GoTo Foods, the Mexican food chain will expand into India in the next
45-60 days as part of a 45-unit master franchise development agreement with
operator Unify Works, reported QSR. Full
Story
Einstein Bros. is modernizing its store concept, which it
calls the “Elevate the Morning” format. The bagel chain will begin
renovating its stores and former Bruegger’s Bagels locations in the Cincinnati,
Ohio market to align with the new image, which “blends premium finishes, warm
neighborhood character, and thoughtful layouts,” reported Restaurant Dive.
Full
Story
Jimmy John’s debuted a pair of LTOs inspired by
the recent TikTok “cheese pull” trend: a Toasted Three Cheese Pizza
Sandwich and Toasted Sicilian Pizza Sandwich. While the former is a vegetarian
product, the latter features salami, capocollo, and ham in addition to
mozzarella cheese, reported Restaurant Business. Full
Story
Subway relaunched a line of four six-inch Fresh Fit
sandwiches, each with 20 grams of protein and under 500 calories, including
Grilled Chicken & Avocado, Ham & Turkey Stacker, Seasoned Steak &
Avocado, and Turkey & Ranch Delite. Full Story
U.S. chicken chain Raising Cane’s is entering the
European market, opening its first location in London. The news comes just
days after Dave’s Hot Chicken revealed its plan to open 180 units across
Europe, reported Restaurant Business. Full Story
|
|
Executives on the Move: Red Robin Gourmet Burgers, Inc. has appointed Humera
Kassem as chief people officer, effective Sept. 15. In this role, Kassem
will be responsible for overseeing Red Robin's organizational strategy and
vision centered on strengthening its culture and advancing its recently
announced First Choice Plan. Full Story
Yum Brands named Ranjith Roy as CFO to replace
Chris Turner, who is moving into the CEO role, reported Reuters. Full Story
Meanwhile, Yum Brands named Taco Bell CEO Sean Tresvant
as its chief consumer officer as well, as part of a series of C-suite
changes amid Chris Turner’s transition to CEO on Oct. 1. Jim Dausch, Pizza
Hut’s global chief digital and technology officer, was promoted to the same
role for all of Yum Brands, plus president of its Byte by Yum platform,
reported Restaurant Dive. Full
Story
Portillo’s appointed Denise Lauer as CMO, effective Sept.
22. Lauer brings more than two decades of marketing and communications
experience to Portillo’s, most recently serving as CMO for Marco’s Pizza,
reported QSR. Full
Story
Andy Wiederhorn is back as CEO of Fat Brands after
ceding the title following news of the investigation by both the Department of
Justice and the U.S. Securities and Exchange Commission over $47 million in
payments from Fat Brands to the Wiederhorn family. Wiederhorn returned to the
company after the charges were dropped, reported Restaurant Business. Full
Story
Caribou Coffee appointed Scott Kennedy as president and
CEO after serving as interim CEO since March, effective immediately.
“Looking ahead, I see tremendous opportunity to accelerate our growth, expand
our reach, and continue elevating what makes Caribou unique,” said Kennedy. Full Story
Sweetgreen appointed Zipporah “Zip” Allen as its new
chief commercial officer, effective Sept. 2. Allen brings more than two
decades of leadership experience across the restaurant and technology
industries, with a track record in brand building and customer engagement,
reported QSR. Full
Story
Playa Bowls is fueling its franchise expansion under a
fresh C-suite team. Since stepping into the CEO role, John Cappasola has
leveraged his 30 years of leadership experience to strengthen the chain’s
franchise owner support, digital capabilities, and guest experience. COO Julie
Klinger, CFO Tony Reaman, and General Counsel Christine Johnson have also
joined the leadership team. Full
Story
|
|
|
|
|
|
Holiday Havoc Predicted: Supply Chain Uncertainty to Trigger Inflation
Supply chain uncertainty triggered by tariffs and other
post-pandemic factors likely will trigger high inflation in coming months, as a
report from Kearney warns these disruptions are here to stay.
“Tariff volatility, labor pressures, and fractured trade
flows are no longer temporary disruptions. They are structural realities that
demand a redesign of how supply chains operate,” the report said.
Kearney partner Suketu Gandhi told SupplyChainBrain retailers
probably have no choice but to raise prices or risk instability. Disruptions
are no longer intermittent problems; they’re the norm.
“Should they [retailers] defend the customer by not raising
prices to match their costs, or should they protect their margins?” Gandhi
said.
“With volatility now the new default setting, this quarter
could mean a big reset.”
Holiday Food Costs Set to Surge
The report foresees a rise of as much as 7% above base
inflation in the 4th quarter in global supply chain costs.
“Supply chains that thrive won’t be those that resist
disruption best, but those designed to expect it,” Rupal
Deshmukh, partner at Kearney Supply Chain Institute, told SupplyChainBrain.
A recent Kearney survey found 73% of chief operating
officers say they have a supply chain strategy, but only half say it gets
reviewed quarterly or that they plan more than a year out. Few have overhauled
their networks in the past year.
“The result: The gap between strategic intent and
operational readiness remains wide,” the report said, adding, “The companies
that will lead in the months ahead are not waiting for stability to return.
They’re building systems that anticipate volatility and absorb it by design.”
Meanwhile, agricultural economists have sounded the alarm
about produce prices doubling. Milk prices jumping from $7 to $14, and
strawberries that feel like luxury goods are part of a six-month outlook that
some economists envision for consumers, reported Fortune.
Tarun Chandrasekhar, chief product officer at Syndigo,
told The Food Institute margins are being squeezed, and the
long-term outlook remains fuzzy.
“While some [companies] may adapt successfully by
diversifying markets, investing in innovation, or localizing production, others
could face ongoing vulnerabilities due to supply chain rigidity, market
dependence, or shifting consumer expectations,” Chandrasekhar said.
Tariff Turbulence Through 2026?Babak Hafezi, adjunct professor of international business at American University, told FI consumers should expect food prices to continue to rise along with prices for other goods, possibly by double-digits and likely triggering a recession.
“However, the most likely scenario is that we enter a recession in the coming quarters and that the Supreme Court finds the current tariff regime illegal and an overreach by the executive branch, which will bring us back to pre-Jan. 21 environment,” Hafezi said.
“With inflationary pressures removed and a recession in progress, the Federal Reserve could decrease the overnight [interest] rate and force increased consumption and investment. Within 18 months we will see major new activity and growth. That’s my bet on this economy based on current policy discussions, court rulings, and economic analysis.”
Experts say tariff-related uncertainty likely will remain a factor into 2026, and possibly longer.
“With elections and potential policy shifts ahead, few companies are betting on a stable tariff environment in the near-term. For the food industry, the implications are especially acute given the long lead times required for many imported goods,” Chandrasekhar said.
“Non-perishables, specialty ingredients, and packaging materials ordered today are often slated for key promotional periods months ahead, including major holiday seasons.
"We can expect continued volatility across this year’s and next year’s holidays, particularly in categories that rely on global sourcing.” Food Institute Focus
|
|
|
|
|
|
|
|
|
|
Black Rock Coffee Bar raised $294 million in its IPO.
Shares are expected to begin trading on the Nasdaq under the ticker “BRCB” on
Sept. 12, reported Reuters via MSN. Full Story
C-store operator RaceTrac struck a deal to purchase
Potbelly for roughly $566 million. The two brands would remain distinct
after the deal closes, which is expected to occur in Q4, reported MSN. Full Story
Portillo’s has ended its breakfast test, which it had
trialed in Chicago. The fast-casual chain aims to simplify its operations
and prioritize value after recently lowering its expectations for Q3, sending
its shares down more than 7%, reported Restaurant Business. Full Story
|
|
|
|
|
|
|
|
|
|
|
