Inflation has increased. The price of Olive Garden's ‘Never Ending Pasta Bowl' hasn't

CNN

6 hours ago

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Even with restaurant and menu costs soaring over the past few years, Olive Garden is keeping the price of one promotion constant.
The chain's 'Never Ending Pasta Bowl,' which lets customers order unlimited pasta with up to 96 possible combinations, is returning on August 25 for $13.99 — the fourth consecutive year at that price. That's a notable achievement, considering many restaurants have hiked menu prices because of inflation and rising costs.
The National Restaurant Association recently said that menu prices have jumped more than 30% between February 2020 and April 2025, which is 'on par with the increase needed' to maintain a restaurant's average 5% profit margin.
Olive Garden only raised its prices by about 2% last year, lower than the rate of inflation. Meanwhile, profits jumped 12.7% in the latest quarter compared to the year before.
So, how does it make the promotion's math work?
The chain is likely luring eaters into making additional purchases, such as appetizers, desserts and cocktails, as well as saving money due to bulk buying, according to Maeve Webster, president of consulting firm Menu Matters.
'If the pasta brings them in the door and they purchase other profitable items, then it definitely makes sense in the long run,' she told CNN. 'Olive Garden has likely done the math regarding how many patrons will actually eat significantly more than $13 of pasta. Some will, of course, but likely on average it works out in their favor.'
She added that the chain, which has nearly 1,000 locations, purchases so much pasta that they 'likely have a very strong and cooperative relationship with pasta suppliers, which can, in turn, help them with price.'
The 'Never Ending Pasta Bowl' deal, which lasts until November 16, includes the options of choosing from four pastas (fettuccine, spaghetti, angel hair, rigatoni), six sauces (alfredo, marinara and meat sauce, among others) plus toppings for a $4.99 surcharge, which includes crispy chicken, meatballs or Italian sausage.
Also included are unlimited soup or salad and, of course, endless breadsticks.
Olive Garden rolled out the 'Never Ending Pasta Bowl' deal in 1995, and it has made annual appearances since then (barring a brief pause during the Covid-19 pandemic). The promotion has become a mainstay on the menu, enticing value-seeking families because of its affordability factor.
The promotion is timed around back-to-school when 'people have a lot of expenses' and 'consumers are looking to save,' Jaime Bunker, senior vice president of marketing for Olive Garden, previously told CNN.
Value options have helped Olive Garden win big with budget-conscious consumers. Notably, the return of its buy-one meal and get a take-home meal deal, following a five-year hiatus, helped raise Olive Garden's sales by 6.9% in its most recent quarter, which ended on May 25.
'Our consumers want to go out and spend their hard-earned money, and we think we're taking some wallet share from fast food and fast casual,' said Rick Cardenas, CEO of Darden, Olive Garden's parent company, on a call with analysts in June.
Other casual dining chains are also emphasizing value, and seeing results. For example, Applebee's same-store sales jumped nearly 5% in its most recent quarter, a welcome reversal after it recorded eight consecutive quarters of declines.
Applebee's said its '2 for $25' deal, which includes an appetizer and two entrees, helped attract customers. It hopes to maintain that momentum Monday with the launch of a new value offering that lets customers choose three appetizers and three sauces or dips for $14.99.
BJ's Restaurants, Red Robin and Chili's, have all in recent days posted positive results driven from promotions, too.