The Most Expensive Thing in a Restaurant

After 35 years in the restaurant industry and owning independent restaurants like Othello's Italian Restaurants in Edmond and Norman, Oklahoma, I’ve spent countless hours analyzing restaurant expenses.

Owners constantly monitor utility bills, labor costs, food costs, and the endless maintenance expenses that never seem to stop. But even when you combine all those expenses together, they still don’t equal the most costly thing in a restaurant: An empty chair.

I’m certainly not the first person to say that, but it’s a concept I’ve preached for years.

Let’s look at what really happens when chairs sit empty.

You are still paying for electricity, gas, insurance, rent, payroll, equipment, and inventory. The kitchen is prepped. The staff is ready. The overhead continues whether customers walk through the door or not.

Without customers sitting in those chairs, none of it works.

At first, that statement may sound overly simplistic, but the psychology behind it is powerful.

People walk past your restaurant and glance inside. If they see an empty dining room, many will simply continue to the next place. But if they see a busy restaurant filled with conversation and activity, they immediately think:

“This place must be good. It’s always busy.”

An empty chair never says a word, but it speaks volumes about public perception.

At Othello’s, we intentionally seat our first guests near the front windows where they are visible from outside. I often greet them by saying:

“Welcome to Othello’s. You’re our first guests of the evening. Thank you for coming early to avoid the rush.”

That early energy matters. The first few tables help create momentum and set the tone for the entire night.

Another strategy we’ve used is reaching out to local senior housing communities. We offer smaller portions at reduced prices to encourage early dining traffic. While this demographic may not generate the highest ticket averages, they help create cash flow and, more importantly, visible activity in the restaurant.

That activity becomes marketing in itself.

Every restaurant location has an opportunity to identify the “ignitor” that starts the day off right — the factor that tells potential customers this is a place worth visiting because people are already there enjoying themselves.

So when you’re reviewing your P&L and dissecting food costs, labor percentages, and operating expenses, don’t overlook the most obvious issue of all:

Empty chairs.

Because in the restaurant business, perception often becomes reality.