Appetizer sales are up, reflecting consumer pullback on costly entrees

Restaurant-goers are increasingly ordering mozzarella sticks and fried cheeses instead of entrees as budget-conscious customers look to cut costs.

According to the Buyers Edge Platform, which tracks food industry supply chain data, sales of appetizers have increased 20% year-over-year. The trend shows that customers are pulling back spending on higher-priced items.

Executives are dubbing the phenomenon “appetizer economy.”

Compared to last year, more people are going for dishes known to reduce appetite for the main courses. Orders for mozzarella sticks and pickle chips are up nearly 36%, along with cheese curds, jalapeno poppers, and cheese bites, which are up 33%, 20%, and 17%, respectively.

Dessert orders are also down 2%.

Experts note that the shift is primarily attributed to consumers seeking promotions and drink specials, which are frequently linked to appetizers, making dining out more budget-friendly.

It is also economical for restaurants to stock and serve shelf-stable or frozen appetizers, reducing wastage and managing demand.

K-shaped economy
The shift also comes as America experiences a K-shaped economy, where low-income consumers pull back on spending while the wealthy continue unaffected.

The behavior is also visible in grocery stores, where shoppers are increasingly switching to private-label brands to save money. Major retailers like Albertsons, Costco, and Kroger are responding by dedicating more shelf space to their own private-label products.