If you don’t know David Chang, he’s a celebrity chef restaurant owner who opened Momofuku and Milk Bar and he also has his own line of chili crunch and noodles. And he does a show called Ugly Delicious and a podcast and other things.

He was on Bill Simmons about 18 months ago. This was when we were starting to see the inflation push back with restaurants closing after the pandemic and restaurant staffs complaining. Bill asked him about the future of restaurants and people going out less and being more price sensitive.

David said that he expected people to stop going out and pay less for mediocre or bad food, but that people were less sensitive about paying a lot for “an experience,” and that the cost of great food like Michelin stars would continue to go up.

I brushed it off as self-serving because that’s how his restaurants would be categorized, but with the post about all of these long time chains closing, I think he was on to something.

I rarely feel buyers remorse after a great meal. But I have it all the time when I take my wife and two kids to chic fila and now it cost $38 instead of $20. Or even worse Applebees, where the whole family is going to cost $80 and you leave thinking “that was not good, I could have cooked better myself.”

It does feel like quality has gone down in general, but quality going down while price goes up really rubs people the wrong way. I would not want to be in the “midrange priced restaurant” business right now… I havent been to Pizza Hut in 10 years, but I can’t imagine paying $30 for two pizzas from there. Trader Joe’s has ready made crust for $1.99 and you can make an amazing pizza with real ingredients yourself, or there’s an authentic pizzaria by my house that is about $50 for two of the best pizzas you’ll ever eat with flour from Italy and prosciutto and burrata and fresh basil (so more of an experience.) There’s no place for Pizza Hut anymore. Go big or go home:) pay a little more for good stuff or make it at home.

Think about the restaurants that are closing… Applebees, Fuddruckers, Red Lobster.. they’re all Value brands. “Hey baby I’m going to take you out for a special date night. We’re going to red lobster.” I’d be sleeping on the couch that night. Just pay a few more bucks and go to a good place.