Marketing
How the Definition of Value is Evolving: 5 Things to Know
6/26/2025
What is value?
It’s a word we use a lot in the food and beverage industry. We want to offer good value. We market the value our brand offers. We release value meals. But if you had to define value as a concept, what would your definition be?
Often we use “value” synonymously with price, but clearly the concept goes beyond just low cost. Consumers don’t always buy the cheapest item—there can be value in higher-priced items.
Value might better be described as the overall worth that an option has in the eyes of a consumer, taking into account all of the qualities and attributes that matter to them. That’s why value can look very different from one consumer to the next and even from occasion to occasion. A consumer who prioritizes health will place a lot more value on foods that meet their health needs, or they may value a healthier breakfast item more because it starts their day off on the right foot. Younger consumers may value fun and novelty, looking for options to show off to friends or on social media.
Shifting consumer needs can also impact how consumers perceive value and what they want from restaurants. In times of economic stress, they may focus more on price, or they may place a higher value on a comforting meal choice that takes their mind off of their anxieties.
So, how has the value proposition changed and evolved recently? What do consumers value in a foodservice experience today?
Consider these factors when defining your own value proposition:
1. The dynamic nature of value
As noted above, there is no single, unchanging concept that will always define value—it changes from person to person, occasion to occasion. When a person is on their way to work, they may value a speedy transaction. When they are treating their partner to an anniversary dinner, they may value gourmet foods and the total experience more. As an operator, consider what your core or target consumer values and wants from you over the course of the day. What are the top five attributes they look for in a food experience? Are you meeting those?
2. Value goes beyond price
If value was only defined by a low price, $7 lattes and $15 hamburgers wouldn’t exist. Indeed, foodservice as a whole would be in a tough spot, as meals sourced from foodservice cost a consumer 4.3 times as much as a meal sourced from retail.1
In fact, consumers rate quality and service even higher than price when considering the value proposition. When deciding which restaurant to choose based on what they value, 88% said quick, high-quality service was important, while 87% said offering high-quality items was important to them, both factors that ranked above low prices.2
In other words, don’t lead with price as the marketing message—lead with quality and service.
3. Shifting demand for value deals
The recent emphasis on price has been largely driven by the release of combo and value meals, particularly at major chains. But, in another sign that value isn’t solely about price in the eyes of the consumer, customer interest in these value meals is waning. As of March, 59% of consumers said value meals were becoming more important to them, a pronounced drop from the 72% who said the same thing a year prior.2
Operators are taking notice, with 31% of restaurant operators saying they are very unlikely to offer a value deal in the future, a 10% increase from Q3 of 2024.2
4. Innovation Matters
So if operators aren’t focusing on value deals to drive traffic, how are they reaching consumers? With innovation.
Heading into 2025, 87% of consumers said they wanted to see more new trends and ideas at restaurants.3 They’re ready to be wowed again.
Operators are answering the call.
Nearly half, or 48%, say they plan to add a limited-time offering (LTO) to the menu in the next six months, a sign that they are shifting towards new, innovative products and concepts.2
Again, that innovation is resonating with consumers. In fact, 91% of consumers say they’re likely to choose one restaurant chain over another if they offer LTOs or new items.1
Looking for innovative ideas? Check out Simplot's Spring/Summer Trend Feast® Guide 2025, Trend #3: Retro-Vation.
5. Nostalgia can drive value
When thinking about LTOs and innovation, where should you focus? One proven winner—tapping into consumer nostalgia. According to research, 56% of consumers say they are likely to purchase something that makes them feel nostalgic.1
And that nostalgia is growing—it’s up 3% from a year ago.1
That nostalgia is paying off for operators, with 75% of chains who offer a nostalgia-based promotion seeing an increase in transactions, compared to only 57% who offered value deals.1
Where do you begin? For a specific point in time, think the 1990s, the era consumers say they are most nostalgic for.1 Are there options you offered in the ‘90s that you can bring back? What flavors, colors, designs, etc., make you think of the ‘90s?
That nostalgia can create real value for the consumer and a longer-term sales lift for your operation (particularly when offered at a higher price-point than a value meal).
It’s clear that value is about far more than price, and that what consumers value is constantly changing. Consider how quality, service, innovation, and nostalgia can drive consumer value for your operation, creating a more sustainable, successful business overall.
1 Foodservice Consumer Trends and Outlook, Circana, March 2025
2 7 Things to Know About Value, Technomic, 2025
3 2025 Consumer Need State Report
