After seven years on top, Olive Garden has lost its casual dining crown to Texas Roadhouse, as Americans make it clear they’d rather have steak than breadsticks.
AT A GLANCE
- Texas Roadhouse surged past Olive Garden with $5.5 billion in U.S. sales, up 14.7% year-over-year.
- Olive Garden trailed at $5.2 billion, managing only a 0.8% increase.
- Texas Roadhouse opened 26 new restaurants in 2024, while Olive Garden added just 15.
- Several legacy casual dining chains—Red Lobster, TGI Fridays, Bar Louie, Hooters—have shuttered locations or filed for bankruptcy.
- Olive Garden is now leaning on delivery partnerships to reverse its decline.
Steak Takes the Crown from Breadsticks
The long-reigning champ of American casual dining has finally been unseated—and it wasn’t by a trendy fusion joint or a digital-first brand. Texas Roadhouse, the unapologetically meat-loving steakhouse chain, has officially overtaken Olive Garden to become the top-grossing casual dining restaurant in the U.S.
According to Fox Business, Texas Roadhouse pulled in $5.5 billion in U.S. sales over the past year—a staggering 14.7% increase. Olive Garden, on the other hand, posted a comparatively sluggish 0.8% rise, landing at $5.2 billion. Even with nearly 200 more locations, Olive Garden couldn’t keep pace.
As the Daily Mail put it, “After a stunning seven-year reign, Olive Garden is no longer the top dog in casual dining.”
A Casual Dining Reckoning
Texas Roadhouse’s rise comes amid an industry-wide shake-up. Once-iconic chains are crumbling under the weight of changing consumer preferences and economic pressures. Red Lobster filed for Chapter 11 bankruptcy in 2024 after a costly misfire with its “Endless Shrimp” promotion and a 22.7% nosedive in sales. TGI Fridays closed more than 130 restaurants. Bar Louie is in its second bankruptcy since 2020. Even Hooters has closed dozens of locations.
Meanwhile, Texas Roadhouse isn’t just surviving—it’s thriving. The chain opened 26 new locations in 2024, signaling investor confidence and consistent customer demand. Olive Garden managed to open just 15, even as it scrambled to stay competitive with new delivery deals and digital promotions.
Watch Texas Roadhouse surge ahead of Olive Garden.
Identity Crisis vs. Brand Loyalty
What’s driving the shift? Many analysts say it comes down to brand clarity and cultural alignment. Texas Roadhouse has doubled down on what it knows: hearty steaks, a raucous dining atmosphere, and family-friendly pricing. They aren’t chasing trends—they’re embracing tradition.
Olive Garden, by contrast, is leaning into damage control. After years of depending on gimmicks like endless pasta bowls and meal deals, it’s now testing new partnerships with Uber to offer deliveries within an eight-mile radius. While the strategy may boost short-term orders, it hasn’t yet solved the chain’s core problem: brand fatigue.
Chili’s, another competitor, may offer a path forward. With a revamped menu and sharper marketing, the Tex-Mex chain reported a 31% increase in order volume. That’s the kind of pivot Olive Garden hopes to replicate, but whether it can do so without alienating longtime customers remains to be seen.
As Restaurant Business quipped, “Move over, Olive Garden—there’s a new sheriff in town.” Texas Roadhouse’s victory suggests that the future of casual dining belongs not to the most locations or the flashiest promos, but to the brands that stay true to what they do best—and do it better than anyone else.
