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- Brinker International CEO Kevin Hochman said Chili’s is winning over consumers by keeping prices low.
- “We’ve been running the $10.99 campaign now for four years. The consumer doesn’t need a coupon. They don’t need an app. They don’t need to come a certain time of day,” Hochman said on CNBC’s “Mad Money.” “They know they can come to Chili’s and get an amazing value, and that’s why we’re winning in the marketplace.”
Brinker International CEO Kevin Hochman said Thursday Chili’s is winning over consumers by keeping prices low.
“We’ve been running the $10.99 campaign now for four years. The consumer doesn’t need a coupon. They don’t need an app. They don’t need to come a certain time of day,” Hochman said on CNBC’s “Mad Money.” “They know they can come to Chili’s and get an amazing value, and that’s why we’re winning in the marketplace.”
The $10.99 offering has become a cornerstone of Chili’s value strategy, giving customers an entrée, bottomless non-alcoholic drink and unlimited chips and salsa. That approach continues to pay off, according to Hochman, who took over Brinker in 2022 and ushered in a remarkable comeback for the chain. Following years of sluggish growth after the Great Recession, Brinker shares have soared nearly 700% since Hochman took over as CEO. In the company’s latest earnings, Chili’s reported another 5.6% increase in same-store sales in its latest quarter, while Brinker issued a strong forecast for fiscal 2027.
Rather than relying heavily on price increases to drive sales, Hochman said Chili’s has focused on bringing more customers through its doors. Some of those customers opt for the $10.99 meal, he explained, while others spend more on premium food and drinks.
“We’re building the business the right way with volume,” he said. “We’re building it sustainably, and that’s why we’ve had five years of unprecedented growth.”
Chili’s has paired those low prices with investments in the dining experience, he said. While some restaurant chains have turned to kiosks and other technology to reduce labor, Hochman said Brinker went in the opposite direction by adding workers.
Brinker’s workforce has grown to more than 85,000 employees from more than 50,000 when he took over as CEO in June of 2022, according to Hochman, as the company added servers, food runners and other restaurant staff. Hochman said those investments are also improving efficiency, with ticket times at an all-time low and guest experience at an all-time high.
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