Latest news with #JaimeBunker
Yahoo
24-07-2025
- Business
- Yahoo
How Olive Garden is able to afford giving away unlimited breadsticks
Olive Garden, the Italian restaurant owned by Darden Restaurants, was founded in Orlando in the '80s and quickly found a loyal fanbase in part because of its 'never-ending' first course, which includes unlimited breadsticks. While unlimited breadsticks have now become a staple of the company's brand, the dish was actually first offered as a way to occupy customers after long wait times to receive their meal. Olive Garden's unlimited breadsticks are beloved by its loyal customers more than any other menu item, but few know the treasured appetizer was originally adopted to keep them busy. The breadsticks have been a staple of Olive Garden's Italian-style fare since 1982, when the first restaurant was opened on International Drive in Orlando. An immediate success, the restaurant enjoyed a far better crowd than expected on that first day, but food took longer than expected to leave the kitchen, an Olive Garden spokesperson told Fortune. On the restaurant's second day, it was just as busy, and the restaurant team made a decision that would later become a staple of the brand: to give the customers refills on breadsticks, for no extra cost, while they waited for their meals to arrive. While alarm bells rang and kitchen staff struggled to make enough sauce, customers munching on free breadsticks were satisfied. 'It made guests really happy, but it also helped the kitchen catch up since servers could get them themselves,' Jaime Bunker, Olive Garden's senior vice president of marketing, told CNN. Soon after, the company added soup and salad for customers purchasing an adult entrée to enjoy in the restaurant. 'Olive Garden's Never-Ending First Course was born,' the spokesperson said. While the breadsticks have always been popular with customers, the way Olive Garden managed them wasn't always a hit with investors. In 2014, hedge fund Starboard Value released a 300-page presentation criticizing Darden and Olive Garden. In the document, the investor said servers were bringing out too many breadsticks at once and claimed the breadsticks had declined in quality so much as to be compared to hot dog buns. After a proxy battle, Starboard replaced Darden's board of directors and made significant changes to the company's restaurants including Olive Garden, but kept the unlimited breadsticks as a staple. More than 40 years later, the company's bottomless breadsticks go hand-in-hand with the brand's identity and are a big part of why customers have made Olive Garden one of Darden Restaurants' most profitable brands, said Fordham University adjunct professor of Hospitality Marketing Stacy Ross Cohen. Olive Garden accounted for $5.21 billion in sales in fiscal 2025, making up about 43% of Darden Restaurants' revenue for the year, and 47% of its total segment profit over the same period. Of all the company's brands, which also include Ruth's Chris Steakhouse and LongHorn Steakhouse, Olive Garden has the most non-franchise locations at 935. Customers have come to expect the breadsticks and keep coming back in part just for the experience, Ross Cohen told Fortune. 'The breadsticks are something that make people feel recognized. They make them feel important. They feel cared for,' said Ross Cohen, who is also CEO of marketing agency Co-Communications. This story was originally featured on Sign in to access your portfolio
Entrepreneur
11-07-2025
- Business
- Entrepreneur
Olive Garden Pool Noodles, Pasta-Shaped Floats Sell Out
In June, Olive Garden began selling pool noodles shaped like some of their most popular pastas. And if you were lucky enough to snag one, you may have picked up a sound investment — the pool floats are selling for almost double on resale sites. The pasta-shaped pool noodles were available in three designs: Floatin' Fettuccine, Relaxin' Rigatoni, and Takin' It Easy Tortelloni. Each sold for $40 and came with an additional piece of summer-themed branded merchandise — a bucket hat, tote bag, or floating drink holder. "Olive Garden has always been known for going big — big portions, big value, and never-ending first courses," said Jaime Bunker, Senior Vice President of Marketing, in a statement at the time of the launch. "This summer, we're bringing that same spirit of abundance to the pool. Our pasta-inspired floats are a larger-than-life way to celebrate the dishes our guests love, and just like in our restaurants, every order starts with a first course." There's currently a tortelloni-shaped float for sale on eBay for $95, and one has already sold somewhere in the $70-$80 range. A fettuccine was listed at $80 (looks like it didn't sell), but another seller in Livonia, Michigan, is selling the same shape for the original price ($39.99). In the exact opposite direction, a different seller has listed one of the free gift-with-purchase items (the pasta-float cup holder) for $30. Entrepreneur has reached out to Olive Garden to see if the promotion will return. Related: People Are Reselling This Trader Joe's Item for $500 Online
CNN
05-07-2025
- Business
- CNN
The untold story about how Olive Garden's most popular special came to be
New York CNN — When the first Olive Garden opened in 1982 in Orlando, Florida, it was a disaster. Long lines formed to get inside. The cooks couldn't make enough sauce to keep up with demand. Bells constantly rang, alerting the kitchen staff that a table was waiting more than 10 minutes for their meal. The second day wasn't any better. It was immediately clear to Blaine Sweatt, an Olive Garden cofounder and general manager, that he needed a quick and cost-efficient way to satisfy hordes of hungry customers as they waited for their entrées. Enter an endless supply of breadsticks, soups and salads. 'It made guests really happy, but it also helped the kitchen catch up since servers could get them themselves,' said Jaime Bunker, senior vice president of marketing for Olive Garden. The special — albeit slightly tweaked to choose either soup or salad — was added to menus and included for free to guests ordering an entrée. Four decades later, the 'endless' option remains a hallmark on Olive Garden's menu. Endless breadsticks, soup and salad are still coveted by cash-conscious guests seeking value amid economic uncertainty that's hurting the casual dining sector. The deal includes unlimited freshly baked breadsticks along with a choice of a soup (Chicken and Gnocchi, Pasta e Fagioli, Minestrone and Zuppa Toscana) or a salad. 'It's a tradition for the brand that even to this day embodies that spirit that we have of Italian generosity, of family, hospitality, of being in someone's home, where they just want nothing more than for you to have a good time and to be well fed,' Bunker told CNN. The special has become a 'core element' to Olive Garden's identity, said Maeve Webster, president of consulting firm Menu Matters, noting that there's been 'a lot of pressure from some of the investment groups that wanted to get rid of it because of profitability and cost.' About a decade ago, a prominent investor in Olive Garden's parent company was so fed up with the chain's sluggish sales that it released a nearly 300-page slideshow criticizing its breadsticks and sauce, suggesting changes like a management overhaul. Some things on its menu changed as a result, but the endless breadsticks stuck around. 'You have to give Olive Garden and those running it credit for being true to that brand identity and sticking with it, even if it costs a little bit more,' Webster told CNN. Expanding the 'endless' Olive Garden's endless option offers value to both customers and the company, Webster said. 'It's value, from a price point of view, where you're getting an enormous amount for the money you're spending,' she said, adding that there is a benefit for Olive Garden in messaging to consumers that 'this chain is truly trying to take care of them.' Breadsticks and soups are easy to plate and are both cost-efficient foods with high-profit margins, meaning they don't dent the chain's bottom line. Salads are a 'little higher' in cost because 'produce is a little more costly and you actually have to throw the salad together,' she said. However, Bunker said the pricing of the three items is 'built in' to the menu costs. Darden Restaurants, the chain's parent company, is cautious about hiking prices. It only raised Olive Garden's prices by about 2% last year, which is lower than the rate of inflation. The special was expanded into a meal option for lunch in 1991 and three years later as a dinner option. Beyond that, the popularity of those 'endless' offerings prompted Olive Garden to expand the concept to other parts of its menu. In 1995, Olive Garden launched an unlimited pasta offer that makes yearly appearances, except for a brief break during the height of the Covid-19 pandemic. The 'Never Ending Pasta Bowl' promotion happens around the back-to-school time in the fall when 'people have a lot of expenses' and 'consumers are looking to save,' Bunker added. Focus on value Value options for customers, 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. That was the chain's best same-store sales performance in three years and a sharp reversal from the 2.9% decline it experienced in the same quarter a year ago. Darden doesn't expect growth to remain that high, but it is forecasting a solid 2% to 3.5% rise in same-store sales for the next year. Similar to Chili's, Olive Garden says it's seeing customers revisit the chain because it offers a better value compared to fast food and grocery shopping. '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,' Darden CEO Rick Cardenas said on call with analysts in June. Olive Garden is adding more lower-priced options in the coming months and isn't planning any additional price increases, executives said on the call. Darden's (DRI) stock is up nearly 20% for the year. Part of Olive Garden's success, in Webster's opinion, is that the chain hasn't 'allowed themselves to get too distracted by the relentless pursuit of trends that the industry finds itself in.' Bunker said Olive Garden has no plans to tinker with or axe the endless soup or salad and breadsticks option — and confirmed that there's no limit to how much a guest can order in one sitting. 'We're very committed to giving our guests never-ending, abundant, crave-able Italian food at an everyday value,' she said. 'It's just part of who the brand is.'
Yahoo
05-07-2025
- Business
- Yahoo
The untold story about how Olive Garden's most popular special came to be
When the first Olive Garden opened in 1982 in Orlando, Florida, it was a disaster. Long lines formed to get inside. The cooks couldn't make enough sauce to keep up with demand. Bells constantly rang, alerting the kitchen staff that a table was waiting more than 10 minutes for their meal. The second day wasn't any better. It was immediately clear to Blaine Sweatt, an Olive Garden cofounder and general manager, that he needed a quick and cost-efficient way to satisfy hordes of hungry customers as they waited for their entrées. Enter an endless supply of breadsticks, soups and salads. 'It made guests really happy, but it also helped the kitchen catch up since servers could get them themselves,' said Jaime Bunker, senior vice president of marketing for Olive Garden. The special — albeit slightly tweaked to choose either soup or salad — was added to menus and included for free to guests ordering an entrée. Four decades later, the 'endless' option remains a hallmark on Olive Garden's menu. Endless breadsticks, soup and salad are still coveted by cash-conscious guests seeking value amid economic uncertainty that's hurting the casual dining sector. The deal includes unlimited freshly baked breadsticks along with a choice of a soup (Chicken and Gnocchi, Pasta e Fagioli, Minestrone and Zuppa Toscana) or a salad. 'It's a tradition for the brand that even to this day embodies that spirit that we have of Italian generosity, of family, hospitality, of being in someone's home, where they just want nothing more than for you to have a good time and to be well fed,' Bunker told CNN. The special has become a 'core element' to Olive Garden's identity, said Maeve Webster, president of consulting firm Menu Matters, noting that there's been 'a lot of pressure from some of the investment groups that wanted to get rid of it because of profitability and cost.' About a decade ago, a prominent investor in Olive Garden's parent company was so fed up with the chain's sluggish sales that it released a nearly 300-page slideshow criticizing its breadsticks and sauce, suggesting changes like a management overhaul. Some things on its menu changed as a result, but the endless breadsticks stuck around. 'You have to give Olive Garden and those running it credit for being true to that brand identity and sticking with it, even if it costs a little bit more,' Webster told CNN. Olive Garden's endless option offers value to both customers and the company, Webster said. 'It's value, from a price point of view, where you're getting an enormous amount for the money you're spending,' she said, adding that there is a benefit for Olive Garden in messaging to consumers that 'this chain is truly trying to take care of them.' Breadsticks and soups are easy to plate and are both cost-efficient foods with high-profit margins, meaning they don't dent the chain's bottom line. Salads are a 'little higher' in cost because 'produce is a little more costly and you actually have to throw the salad together,' she said. However, Bunker said the pricing of the three items is 'built in' to the menu costs. Darden Restaurants, the chain's parent company, is cautious about hiking prices. It only raised Olive Garden's prices by about 2% last year, which is lower than the rate of inflation. The special was expanded into a meal option for lunch in 1991 and three years later as a dinner option. Beyond that, the popularity of those 'endless' offerings prompted Olive Garden to expand the concept to other parts of its menu. In 1995, Olive Garden launched an unlimited pasta offer that makes yearly appearances, except for a brief break during the height of the Covid-19 pandemic. The 'Never Ending Pasta Bowl' promotion happens around the back-to-school time in the fall when 'people have a lot of expenses' and 'consumers are looking to save,' Bunker added. Value options for customers, 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. That was the chain's best same-store sales performance in three years and a sharp reversal from the 2.9% decline it experienced in the same quarter a year ago. Darden doesn't expect growth to remain that high, but it is forecasting a solid 2% to 3.5% rise in same-store sales for the next year. Similar to Chili's, Olive Garden says it's seeing customers revisit the chain because it offers a better value compared to fast food and grocery shopping. '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,' Darden CEO Rick Cardenas said on call with analysts in June. Olive Garden is adding more lower-priced options in the coming months and isn't planning any additional price increases, executives said on the call. Darden's (DRI) stock is up nearly 20% for the year. Part of Olive Garden's success, in Webster's opinion, is that the chain hasn't 'allowed themselves to get too distracted by the relentless pursuit of trends that the industry finds itself in.' Bunker said Olive Garden has no plans to tinker with or axe the endless soup or salad and breadsticks option — and confirmed that there's no limit to how much a guest can order in one sitting. 'We're very committed to giving our guests never-ending, abundant, crave-able Italian food at an everyday value,' she said. 'It's just part of who the brand is.'
Yahoo
05-07-2025
- Business
- Yahoo
The untold story about how Olive Garden's most popular special came to be
When the first Olive Garden opened in 1982 in Orlando, Florida, it was a disaster. Long lines formed to get inside. The cooks couldn't make enough sauce to keep up with demand. Bells constantly rang, alerting the kitchen staff that a table was waiting more than 10 minutes for their meal. The second day wasn't any better. It was immediately clear to Blaine Sweatt, an Olive Garden cofounder and general manager, that he needed a quick and cost-efficient way to satisfy hordes of hungry customers as they waited for their entrées. Enter an endless supply of breadsticks, soups and salads. 'It made guests really happy, but it also helped the kitchen catch up since servers could get them themselves,' said Jaime Bunker, senior vice president of marketing for Olive Garden. The special — albeit slightly tweaked to choose either soup or salad — was added to menus and included for free to guests ordering an entrée. Four decades later, the 'endless' option remains a hallmark on Olive Garden's menu. Endless breadsticks, soup and salad are still coveted by cash-conscious guests seeking value amid economic uncertainty that's hurting the casual dining sector. The deal includes unlimited freshly baked breadsticks along with a choice of a soup (Chicken and Gnocchi, Pasta e Fagioli, Minestrone and Zuppa Toscana) or a salad. 'It's a tradition for the brand that even to this day embodies that spirit that we have of Italian generosity, of family, hospitality, of being in someone's home, where they just want nothing more than for you to have a good time and to be well fed,' Bunker told CNN. The special has become a 'core element' to Olive Garden's identity, said Maeve Webster, president of consulting firm Menu Matters, noting that there's been 'a lot of pressure from some of the investment groups that wanted to get rid of it because of profitability and cost.' About a decade ago, a prominent investor in Olive Garden's parent company was so fed up with the chain's sluggish sales that it released a nearly 300-page slideshow criticizing its breadsticks and sauce, suggesting changes like a management overhaul. Some things on its menu changed as a result, but the endless breadsticks stuck around. 'You have to give Olive Garden and those running it credit for being true to that brand identity and sticking with it, even if it costs a little bit more,' Webster told CNN. Olive Garden's endless option offers value to both customers and the company, Webster said. 'It's value, from a price point of view, where you're getting an enormous amount for the money you're spending,' she said, adding that there is a benefit for Olive Garden in messaging to consumers that 'this chain is truly trying to take care of them.' Breadsticks and soups are easy to plate and are both cost-efficient foods with high-profit margins, meaning they don't dent the chain's bottom line. Salads are a 'little higher' in cost because 'produce is a little more costly and you actually have to throw the salad together,' she said. However, Bunker said the pricing of the three items is 'built in' to the menu costs. Darden Restaurants, the chain's parent company, is cautious about hiking prices. It only raised Olive Garden's prices by about 2% last year, which is lower than the rate of inflation. The special was expanded into a meal option for lunch in 1991 and three years later as a dinner option. Beyond that, the popularity of those 'endless' offerings prompted Olive Garden to expand the concept to other parts of its menu. In 1995, Olive Garden launched an unlimited pasta offer that makes yearly appearances, except for a brief break during the height of the Covid-19 pandemic. The 'Never Ending Pasta Bowl' promotion happens around the back-to-school time in the fall when 'people have a lot of expenses' and 'consumers are looking to save,' Bunker added. Value options for customers, 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. That was the chain's best same-store sales performance in three years and a sharp reversal from the 2.9% decline it experienced in the same quarter a year ago. Darden doesn't expect growth to remain that high, but it is forecasting a solid 2% to 3.5% rise in same-store sales for the next year. Similar to Chili's, Olive Garden says it's seeing customers revisit the chain because it offers a better value compared to fast food and grocery shopping. '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,' Darden CEO Rick Cardenas said on call with analysts in June. Olive Garden is adding more lower-priced options in the coming months and isn't planning any additional price increases, executives said on the call. Darden's (DRI) stock is up nearly 20% for the year. Part of Olive Garden's success, in Webster's opinion, is that the chain hasn't 'allowed themselves to get too distracted by the relentless pursuit of trends that the industry finds itself in.' Bunker said Olive Garden has no plans to tinker with or axe the endless soup or salad and breadsticks option — and confirmed that there's no limit to how much a guest can order in one sitting. 'We're very committed to giving our guests never-ending, abundant, crave-able Italian food at an everyday value,' she said. 'It's just part of who the brand is.' 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