With the unstable economy, a few restaurants around town have turned to a fixed-price menu option – but this time, it’s not just the restaurants most would expect.A fixed-price menu — a special deal usually offering an appetizer, entrée and dessert for one set price — has become popular with casual dining restaurants such as Chili’s or Applebee’s, and now a few upscale restaurants have picked up the idea.Fleming’s Prime Steakhouse and Wine Bar is offering a “Summer Prix Fix” option — a three course meal, including a choice of appetizer, entrée and dessert, for $35.95.”We’re trying to be competitive with value in the economic market,” said Randy Canda, Fleming’s employee.Galatoire’s Bistro is also offering a dinner menu special, available through the end of August.The menu offers a three course meal, with a choice from three appetizers, four entrees and two desserts, for $29.95. Peter Weathers, marketing professor, said price bundling is very prevalent in marketing and has always existed in one form or another.”Price bundling encourages some customers to buy more than they initially planned,” he said. “In this case, the goal for restaurants is to get people who would have purchased only an entrée to get an appetizer and dessert as well. Some customers come out ahead and some spend more.”Weathers said a fixed-price menu can be a good deal for customers who planned on ordering multiple courses because of the total price for multiple items is lower than if purchased individually.Weathers said the idea of bundling items uses psychological concepts, playing upon how people perceive certain items and prices.”There is a lot of psychology involved in marketing,” he said. One example is marking prices at $9.99 instead of $10. It’s all about how the consumer perceives the price and special offer.”Ruth’s Chris Steak House started offering a fixed-price menu about a month and half ago with their lunch special.Chris Bachman, Ruth’s Chris general manager, said the menu includes a choice of salad, entrée and a side dish, for $19.95.Bachman said the restaurant changed the lunch menu to appeal to the lunch crowd.”Most people think of Ruth’s Chris as a ‘sit here forever and have a meal’ type restaurant,” he said. “We’re trying to get people in and out quickly so they can stop in during their lunch hour.”Bachman said the restaurant hasn’t promoted the new special much, but lunch-time business has picked up a bit since it was created.The fixed-price lunch menu is strictly a lunch-time feature – there are no plans to try a dinner menu option, he said. Though other Ruth’s Chris restaurants have offered discount programs, Bachman said the Baton Rouge location has not participated because the average check amount here is lower than Ruth’s Chris national average.”I know we’re considered to be a higher end restaurant,” he said. “But I feel like because of what we offer, we are still competitive in the industry.”Elise Disbennett, animal science freshman, said she is a frequent restaurant goer, but never takes advantage of fixed-menu options. “It’s just a lot of food,” she said. “I don’t eat much, so even an entree is too much food.” Matthew Caillet, history graduate student, said he only dines out “every so often,” but likes to take advantage of specials, such as different menu options. “I usually just get an entree,” he said. “But, if I have coupons or there are special menu options, I’ll get other things, depending on what the special offers.”Canda said Fleming’s fixed-price menu, a popular choice, began last winter with its winter menu, and continued with a spring and summer menu. He said plans for a fall menu offer are in the works.”We’re not sacrificing quality or damaging our brand,” he said. “We’re still offering good food, just smaller portions at a reasonable price.”Weathers said the general idea of price bundling works and is alive and well in today’s market.”Almost all businesses use price bundling in some form,” he said. “For example, Cox Communications bundles cable, phone and internet, and all fast food restaurants offer a value meal.”—-Contact Steven Powell at [email protected]
Baton Rouge restaurants offer fixed-price menus
July 26, 2009