Olive Garden expands Lighter Portions as inflation-fueled demand for smaller, cheaper meals grows

Olive Garden, part of Darden Restaurants, is rolling out seven new lighter-portion dishes priced between $13 and $15 as the chain seeks to convert affordability into steady traffic. The new items include Chicken Parmigiana, Lasagna Classico, Five Cheese Ziti al Forno and Fettuccine Alfredo, among others. Regular entrees at Olive Garden remain priced from about $16 to $23. Darden said the new portions are being added because they are performing well, not just because customers want smaller meals.

Executives said the nationwide introduction is being accelerated to January, instead of the previously planned completion by the end of May. About 40% of Olive Garden menus currently feature Lighter Portions, with another 20% added recently.

The program is resonating with guests and has boosted affordability perceptions, according to Darden chief executive Rick Cardenas. The company indicated that the rollout is performing well on its own, with higher frequency among guests who opt for lighter portions. Cardenas noted the team is not counting on a heavy marketing push to drive demand at this stage.

The trend toward smaller, lower-priced options comes as inflation continues to lift menu prices and casual-dining chains seek to preserve traffic. The Washington Post, citing industry observers, has described budget-minded diners increasingly ordering appetizers as entrees and turning to early-evening specials to stretch meals further.

Cardenas also addressed the potential draw for customers on GLP-1 medications, saying such drugs appear to influence drinking more than eating, leaving room for smaller portions to appeal to those managing portion sizes while staying within dietary plans. The company is careful to frame the option as a complement to overall dining trends rather than a targeted health intervention.

Never Ending Pasta Bowl, Olive Garden’s long-running seasonal promotion, continues to be priced at $13.99 for a fourth straight year. The promotion runs from August through November and has remained at the same price as rising food costs have challenged menu economics. The chain says the program helps it manage value while controlling input costs during periods of inflation.

Darden said its brands have seen a shift in guest mix, with more high-income customers trading down to its casual-eateries while customers earning less than $50,000 a year pulled back. The company also noted improved traffic from diners aged 55 and older, some of whom had paused visits during the pandemic but are returning.

For the quarter ended Nov. 23, Darden reported revenue of about $3.1 billion, up 7.3% from a year earlier, with comparable sales rising 4.3%. Olive Garden, which accounts for about 44% of the company’s revenue, posted a 4.7% increase in comparable sales for the period. Darden’s shares hovered around $190 after the results.

Looking ahead, Darden raised its full-year revenue outlook for the second consecutive quarter, signaling confidence in continued demand for its value-focused and lighter-portion options as inflation persists and consumer spending patterns evolve.