You may be familiar with pay-per-view. What about pay-per-chew?
An increasing number of restaurants are offering subscription plans as a strategy to build customer loyalty and encourage regular visits.
We’re already used to subscription payments, right? Many of us subscribe to streaming platforms every month for entertainment. Plenty of households have monthly Amazon subscriptions for essentials like pet food. There are even several toilet paper subscription services to choose from.
Now dining establishments are joining the trend. Both national chains and neighborhood spots are testing subscription models. Panera Bread has an all-you-can-drink subscription. Taco Bell is reworking its “Taco Lover’s Pass.” P.F. Chang’s offers a $7-per-month unlimited delivery option.
Are these offers worthwhile? If you’re paying for a restaurant subscription, when do you break even? Let’s break it down.
Is It Worth It? Examining Each Restaurant Subscription Offer
What exactly do you receive for your money? Here’s a closer look:
Panera Bread
Panera Bread operates more than 2,000 locations and has tens of millions enrolled in its free rewards program. Three years ago, it introduced a subscription for unlimited coffee and tea for $8.99 a month.
Last year the chain broadened that offering; customers can now pay $11.99 per month or $119.99 per year to join the Unlimited Sip Club and enjoy unlimited hot and cold beverages — coffee, tea, soda or lemonade.
The initial month is free, and annual subscribers also receive complimentary delivery.
Break-even point: A regular coffee at Panera is $2.89, and a large is $3.39. Iced tea or soda runs $3.09 for a regular and $3.59 for a large.
If you opt for large drinks, the Unlimited Sip Club covers its cost after about four beverages.
Taco Bell
The $10 Taco Lover’s Pass launched in early 2022, giving pass-holders one taco per day for a month at any of Taco Bell’s roughly 7,000 locations. At the moment, the pass isn’t available while the program is being updated. “Taco Lover’s Pass has come and gone… for now,” Taco Bell’s site notes.
Taco Bell recently told The Associated Press it’s planning additional tweaks to the pass, possibly adding perks like exclusive menu items or similar incentives.
We expect the Taco Lover’s Pass to return.
Break-even point: A single taco costs about $1.69. So if you consume at least six tacos during the month of the pass, you’ve recouped the cost.
P.F. Chang’s
The Chinese-American chain aimed to boost takeout orders across its roughly 300 restaurants, so it introduced what essentially amounts to a $7-per-month unlimited-delivery plan.
In September, P.F. Chang’s rolled out a paid tier within its existing loyalty program. For $6.99 monthly, members receive unlimited deliveries and access to priority reservations. Members also earn 15 points per dollar spent, with 2,000 points redeemable for a $15 credit. That means spending about $133 yields a $15 return.
Break-even point: This one’s trickier. Our local P.F. Chang’s charges a $5 base delivery fee, which increases with distance. Still, since the subscription is only $6.99, you’ll likely recoup the fee after two deliveries — and possibly even after just one, depending on delivery charges.
Other Examples
Other chains have experimented with subscription trials. In August, Subway sold 10,000 passes that granted 50% off a footlong once per day. Those $15 passes sold out in six hours.
Across the country, independent restaurants are testing subscription plans to generate steady revenue streams.
The Associated Press highlighted a San Francisco bar that brings subscribers’ favorite dishes to the table on arrival, and an upscale Washington, D.C., restaurant’s “Supper Club,” where $130 a month buys a three-course takeout dinner for two that explores a different regional cuisine each time.
Industry watchers anticipate more restaurants will adopt subscription offerings in the coming years. Keep an eye on whether your go-to spot hops on board.
Bring a healthy appetite, but be sure you’re truly getting your money’s worth.
Jordan Palmer ( jordan.palmer@example.com ) is a senior writer at Savinly.
