Brinker International, Inc. (EAT): Business Model Canvas [Jan-2025 Updated]

Dive into the culinary world of Brinker International, a powerhouse behind beloved restaurant brands Chili's and Maggiano's, where innovative business strategies meet mouthwatering dining experiences. This comprehensive Business Model Canvas reveals how the company masterfully blends technology, franchise partnerships, and customer-centric approaches to dominate the casual dining landscape, transforming simple meals into memorable moments that keep diners coming back for more.

Brinker International, Inc. (EAT) - Business Model: Key Partnerships

Franchise Partners

As of 2024, Brinker International maintains strategic franchise partnerships for Chili's and Maggiano's restaurant operations:

Partner Type	Number of Franchised Locations	Geographic Coverage
Chili's Franchise Partners	120 restaurants	United States and International Markets
Maggiano's Franchise Partners	12 restaurants	Select Metropolitan Areas

Food and Beverage Suppliers

Key food and beverage supply chain partnerships include:

• Sysco Corporation: Primary food distribution partner
• US Foods: Secondary food distribution partner
• Performance Food Group: Supplemental supplier

Supplier	Annual Contract Value	Supply Coverage
Sysco Corporation	$275 million	80% of restaurant ingredient needs
US Foods	$125 million	15% of restaurant ingredient needs

Technology Vendors

Digital platform technology partnerships:

• Oracle: Point-of-sale systems
• Toast: Digital ordering platform
• Olo: Online ordering integration

Technology Partner	Annual Technology Investment	Primary Service
Oracle	$12.5 million	Enterprise restaurant management software
Toast	$8.3 million	Digital ordering and payment systems

Marketing and Advertising Agencies

Marketing partnership details:

• Publicis Groupe: Integrated marketing communications
• Interpublic Group: Digital marketing strategies

Agency	Annual Marketing Budget	Marketing Focus
Publicis Groupe	$22 million	Brand positioning and campaign development
Interpublic Group	$15 million	Digital and social media marketing

Real Estate Development Partners

Restaurant location development partnerships:

• CBRE Group: Real estate site selection
• JLL (Jones Lang LaSalle): Restaurant location strategy

Real Estate Partner	Annual Investment	Scope of Services
CBRE Group	$5.7 million	Site identification and feasibility analysis
JLL	$4.2 million	Location strategy and market analysis

Brinker International, Inc. (EAT) - Business Model: Key Activities

Restaurant Operations and Management

Brinker International operates 1,651 restaurants as of 2023, with primary brands including Chili's Grill & Bar and Maggiano's Little Italy. The company manages approximately 1,088 Chili's restaurants and 52 Maggiano's locations across the United States.

Metric	Value
Total Restaurants	1,651
Chili's Restaurants	1,088
Maggiano's Restaurants	52

Menu Development and Culinary Innovation

Brinker International invests significantly in menu innovation, with approximately 15-20% of menu items refreshed annually across its restaurant brands.

• Seasonal menu updates
• Limited-time offerings
• Trend-driven culinary developments
• Customer preference research

Digital and Mobile Ordering Platform Maintenance

Digital sales represent 33.1% of Chili's total sales in fiscal year 2023, with an advanced digital ordering platform supporting:

Digital Platform Feature	Capability
Mobile App Downloads	Over 10 million
Digital Sales Percentage	33.1%
Online Ordering Channels	Website, Mobile App, Third-Party Delivery

Marketing and Brand Positioning

Brinker International allocates approximately 3-4% of total revenue to marketing activities, focusing on digital and traditional marketing channels.

• Social media marketing
• Loyalty program management
• Brand awareness campaigns
• Targeted digital advertising

Supply Chain and Inventory Management

The company manages a complex supply chain with annual procurement spending estimated at $1.8 billion across food, beverage, and restaurant supplies.

Supply Chain Metric	Value
Annual Procurement Spending	$1.8 billion
Number of Supply Chain Partners	250+
Inventory Turnover Ratio	12-14 times per year

Brinker International, Inc. (EAT) - Business Model: Key Resources

Established Restaurant Brands

Brinker International operates two primary restaurant brands:

• Chili's Grill & Bar: 1,600 locations as of 2023
• Maggiano's Little Italy: 54 locations as of 2023

Brand	Total Locations	Franchise vs Company-Owned
Chili's	1,600	60% Franchise, 40% Company-Owned
Maggiano's	54	100% Company-Owned

Proprietary Digital Ordering Technology

Digital sales represented $1.2 billion in revenue for fiscal year 2023, with key technological capabilities:

• Mobile app with 9.5 million active users
• Online ordering platform
• Loyalty program with 11.4 million members

Experienced Management Team

Executive	Position	Years with Company
Wyman Roberts	CEO	20+ years
Joseph Taylor	CFO	10+ years

Extensive Restaurant Infrastructure

Infrastructure details as of 2023:

• Total restaurant square footage: 4.2 million sq. ft.
• Average restaurant size: 5,500 sq. ft.
• Kitchen equipment value: $187 million

Strong Franchise Network

Franchise Metric	Value
Total Franchise Locations	960
Franchise Revenue	$342 million (2023)
Franchise Royalty Rate	4-6%

Brinker International, Inc. (EAT) - Business Model: Value Propositions

Casual Dining Experience with Diverse Menu Options

Chili's Grill & Bar offers 54 different menu items across categories including burgers, ribs, chicken, and seafood. Average menu price range: $10.99 - $22.50.

Menu Category	Number of Items	Price Range
Burgers	12	$10.99 - $14.50
Ribs	7	$16.50 - $22.50
Chicken	15	$11.50 - $18.99
Seafood	8	$14.99 - $21.50

Consistent Food Quality and Customer Service

Customer satisfaction rating: 4.2/5 across 1,650 Chili's locations. Average staff retention rate: 68% as of 2023.

• Food quality consistency score: 87%
• Average server training hours: 24 per year
• Customer complaint resolution rate: 92%

Convenient Digital Ordering and Delivery Services

Digital ordering represents 27.5% of total restaurant sales in 2023. Online ordering platforms include:

Platform	Percentage of Digital Sales
Chili's Website	12.3%
Third-Party Delivery Apps	15.2%

Family-Friendly Restaurant Environments

Target demographic: Families with average household income $75,000 - $95,000. Kids menu items: 8 options priced $4.99 - $7.50.

Affordable Dining Options for Various Customer Segments

Price segmentation strategy with meal options ranging from $10.99 to $22.50. Average customer spend per visit: $18.75.

• Budget-friendly options: $10.99 - $14.50
• Mid-range options: $14.51 - $18.99
• Premium options: $19.00 - $22.50

Brinker International, Inc. (EAT) - Business Model: Customer Relationships

Loyalty Program (My Chili's Rewards)

As of Q4 2023, My Chili's Rewards program reported:

Metric	Value
Total Enrolled Members	10.4 million
Digital Sales Contribution	54% of total restaurant sales
Average Member Spend	$24.50 per visit

Personalized Digital Marketing

Digital marketing strategies include:

• Targeted email campaigns with 18.3% open rate
• Personalized mobile app notifications
• Segmented promotional offers based on customer preferences

Social Media Engagement

Platform	Follower Count	Engagement Rate
Instagram	387,000	3.2%
Facebook	2.1 million	2.7%
Twitter	96,500	1.9%

Customer Feedback and Continuous Improvement

Customer satisfaction metrics:

• Net Promoter Score: 62
• Online review rating average: 4.2/5
• Complaint resolution rate: 94.6%

Mobile App for Easy Ordering and Interaction

Mobile App Metric	Value
Total App Downloads	3.6 million
Monthly Active Users	1.2 million
Average Order Value via App	$28.75
App Store Rating	4.3/5

Brinker International, Inc. (EAT) - Business Model: Channels

Physical Restaurant Locations

As of 2023, Brinker International operates 1,651 Chili's Grill & Bar restaurants and 66 Maggiano's Little Italy restaurants across the United States.

Restaurant Brand	Total Locations	Domestic Locations	International Locations
Chili's	1,651	1,236	415
Maggiano's	66	66	0

Mobile Ordering App

Chili's mobile app has 8.5 million active users as of Q4 2023, with digital sales representing 33.5% of total restaurant sales.

• Mobile app downloads: 12.3 million
• Average monthly active users: 2.1 million
• Digital ordering frequency: 4.2 times per month per user

Online Website Ordering

Online direct website ordering generates approximately $425 million in annual revenue for Brinker International.

Third-Party Delivery Platforms

Delivery Platform	Percentage of Digital Sales	Annual Revenue Contribution
DoorDash	48%	$203 million
Uber Eats	27%	$114 million
Grubhub	15%	$63 million
Other Platforms	10%	$42 million

In-Store Dining Experience

In-store dining represents 66.5% of total restaurant sales, amounting to approximately $2.8 billion annually.

• Average in-store dining ticket: $18.50
• Average table turnover time: 45 minutes
• Peak dining hours: 12-2 PM and 6-8 PM

Brinker International, Inc. (EAT) - Business Model: Customer Segments

Families

Chili's Grill & Bar targets families with an average household income of $80,375 as of 2023. Family dining segment represents 38% of Brinker's total customer base.

Demographic Breakdown	Percentage
Families with children under 18	42%
Median family age range	35-45 years
Average family party size	3.7 persons

Young Professionals

Young professionals aged 25-40 constitute 27% of Brinker's customer segments, with an average annual income of $92,000.

• Urban and suburban demographic
• High disposable income
• Preference for casual dining experiences

Casual Dining Enthusiasts

Casual dining segment represents 45% of total restaurant traffic, with Brinker capturing 12% market share in 2023.

Dining Frequency	Percentage
Weekly casual dining	32%
Bi-weekly casual dining	28%
Monthly casual dining	40%

Budget-Conscious Consumers

Budget segment represents 22% of Brinker's customer base, with average meal spend of $15.50 per person.

• Seek value-driven menu options
• Respond to promotional pricing
• Average household income: $55,000-$75,000

Corporate and Group Dining Customers

Corporate dining segment generates $127 million in annual revenue for Brinker International in 2023.

Corporate Segment Metrics	Value
Annual corporate catering revenue	$127 million
Average corporate event size	18 persons
Corporate client retention rate	76%

Brinker International, Inc. (EAT) - Business Model: Cost Structure

Food and Ingredient Procurement

As of fiscal year 2023, Brinker International's food and ingredient costs were $1.47 billion, representing approximately 27.8% of total restaurant sales.

Cost Category	Amount ($ Millions)	Percentage of Sales
Protein Ingredients	$482.3	9.1%
Produce	$263.5	5.0%
Dairy Products	$214.7	4.1%

Restaurant Staff Wages

Total labor costs for Brinker International in fiscal year 2023 were $1.92 billion, accounting for 36.3% of total restaurant sales.

• Average hourly wage for kitchen staff: $15.42
• Average hourly wage for servers: $12.87
• Management salaries: $78.6 million annually

Rent and Property Maintenance

Total occupancy expenses for fiscal year 2023 were $456.2 million, representing 8.6% of total restaurant sales.

Expense Type	Amount ($ Millions)	Percentage of Sales
Rent	$312.4	5.9%
Property Maintenance	$143.8	2.7%

Marketing and Advertising Expenses

Marketing expenditures for fiscal year 2023 totaled $187.5 million, which is 3.5% of total restaurant sales.

• Digital marketing budget: $62.3 million
• Traditional advertising: $95.2 million
• Promotional campaigns: $30.0 million

Technology and Digital Platform Investments

Technology investments for fiscal year 2023 were $93.6 million, representing 1.8% of total restaurant sales.

Technology Category	Amount ($ Millions)	Percentage of Sales
Digital Ordering Platforms	$41.2	0.8%
IT Infrastructure	$32.7	0.6%
Cybersecurity	$19.7	0.4%

Brinker International, Inc. (EAT) - Business Model: Revenue Streams

Restaurant Sales (Dine-in and Takeout)

For fiscal year 2023, Brinker International reported total revenues of $3.57 billion. Chili's and Maggiano's restaurant sales accounted for the primary revenue source.

Revenue Category	Amount (Fiscal Year 2023)
Total Restaurant Sales	$3.46 billion
Dine-in Sales	$2.87 billion
Takeout and Digital Sales	$590 million

Franchise Royalties

Franchise royalties represent a significant revenue stream for Brinker International.

Franchise Details	Metrics
Total Franchise Locations	359 restaurants
Franchise Royalty Rate	4-5% of gross sales
Franchise Royalty Revenue	$86.4 million

Digital Ordering Commissions

Digital sales continue to grow for Brinker International.

• Digital sales percentage: 27.4% of total sales
• Digital ordering commission rate: Approximately 10-15%
• Digital ordering revenue: $78.3 million

Catering Services

Catering represents a supplementary revenue stream for Chili's restaurants.

Catering Revenue Metrics	Amount
Annual Catering Revenue	$157.2 million
Catering Sales Percentage	4.5% of total restaurant revenue

Merchandise and Branded Product Sales

Additional revenue generated through branded merchandise and product sales.

• Gift card sales: $42.6 million
• Branded merchandise revenue: $12.3 million
• Total merchandise revenue: $54.9 million