Ron Shaich, Chili’s, Domino’s
Chili's embraces nostalgia with a redesign as Ron Shaich invests in eatertainment.
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Ron Shaich's Act III Holdings invests another $50 million in Level99, enhancing its food-and-gaming concept, with plans for four new locations annually starting in 2027. Chili’s is also undergoing a redesign, incorporating elements of its past and modern updates across locations. Meanwhile, Domino’s anticipates a new product launch to rejuvenate sales after mixed quarterly performance.
Why It Matters
The aggressive expansion plans for Level99 and the redesign at Chili’s suggest potential shifts in customer engagement strategies, which may impact territory dynamics. Additionally, Domino’s need for a strong product launch indicates evolving consumer preferences, which could affect unit economics and franchisee sales in the competitive landscape.
The franchise restaurant sector faces ongoing challenges as indicated by the Technomic Top 500 report, which shows a slowdown in sales for chain restaurants in 2025 due to consumers reducing dining expenditures. However, some sectors are experiencing growth, particularly in coffee, snacks, and chicken.
Ron Shaich, co-founder of Panera Bread, continues to invest heavily in the eatertainment sector through his company Act III Holdings. He has put an additional $50 million into Level99, an innovative food-and-gaming establishment, bringing his total investment to $100 million. Level99, which currently operates four locations, aims to expand by opening four new venues annually starting in 2027. This trend may indicate a broader shift towards experiential dining as consumers look for entertainment in their dining choices.
Chili’s Grill & Bar is undergoing a significant transformation with a redesign aimed at modernizing its image while incorporating nostalgic elements from its history. Approximately a dozen locations are already undergoing these upgrades, featuring new interior and exterior designs, including custom wallpaper and expanded bar areas. This makeover is part of a longer-term strategy to refresh the brand across its units.
