RESTAURANT STRATEGY with Chip Klose
Episode: Good Is No Longer Good Enough (January 29, 2026)
Episode Overview
In this episode, Chip Klose addresses a critical challenge facing independent restaurant owners in 2026: being "good" is now merely average, and it's no longer enough to succeed in a highly competitive hospitality landscape. Klose argues that the restaurants thriving today are those that move from being merely adequate to outstanding in a focused way. He breaks down the dangers of complacency and provides actionable steps for owners to move their business from good to exceptional, emphasizing the power of differentiation and creating memorable experiences.
Key Discussion Points & Insights
1. Why “Good” Is No Longer Good Enough
- State of the Industry (04:10–07:40)
- 20 years ago, if your food didn’t “poison people” and service was passable, you could do well.
- Increased restaurant density, delivery apps, meal kits, and social media have raised the expectations of consumers.
- Quote:
“In 2026, good just isn’t good enough. It’s not cutting it anymore.” — Chip Klose, (00:11)
- Bad vs. Good is no longer a relevant comparison—now the landscape is filled with “good” competitors.
2. What Happens When You're Just ‘Good’
- Commoditization & Its Risks (08:00–09:30)
- When you’re not differentiated, guests choose based on price and convenience.
- “You have become a commodity. And commodities compete on price, on convenience, on familiarity, on location. And that’s it.” — (09:00)
- Consumer Perspective (09:45–11:05)
- Customers need a compelling reason to leave home; good isn’t compelling enough.
- “Why would they do that? The answer is, they won’t. They’re not. Not unless you’re offering something that they can’t get anywhere else.” — (11:00)
3. Three Ways That “Good” Leads to Failure
a. Failure #1: The Menu
- Average Menus Don’t Inspire (12:00–13:40)
- Too many “good” options leads to forgettable dining experiences.
- Nobody recommends “good,” and it’s not photographed or shared on social media.
- Anecdote:
- Helped an owner cut their menu from 38 to 22 items and focus on upgrading 5 signature dishes.
- Result: Those five dishes soon made up 60% of orders; reviews shifted from “it was good” to “you have to try this.”
- Takeaway:
“Excellence in a few things beats adequacy in a lot of things.” — Chip Klose, (14:45)
b. Failure #2: The Experience
- From Efficient to Exceptional (15:10–19:45)
- Good service is expected, but memorable moments set you apart.
- Comparison:
- Restaurant A gives high-efficiency, accurate service, but nothing memorable.
- Restaurant B creates moments for birthdays, special occasions, recognizes regulars.
- Consulting Example:
- Added three “moment triggers”: personal welcome for first-timers, surprise for special occasions, greeting regulars by name.
- Table turns got marginally slower, but repeat visits up 34% in 8 weeks.
- Quote:
“Efficient is good, memorable is exceptional.” — Chip Klose, (19:50)
c. Failure #3: The Value Proposition
- Generic Value Doesn’t Win (21:50–26:00)
- Operators say: “We’ve got good food and good service” — not enough.
- A proper value proposition is specific and differentiates you.
- Bad vs Great Examples: (23:05–24:20)
- Bad: “We serve fresh, quality food in a welcoming atmosphere.”
- Great: “We are the only restaurant in town sourcing everything from farms within 50 miles.”
- Bad: “We have the best burgers around.”
- Great: “We dry age our burger beef for 30 days right here in house and grind it fresh every morning.”
- Anecdote:
- Brooklyn pizzeria’s unique position: “only wood fired Neapolitan pizza certified by the Associazione Verace Pizza Napoletana” led to a 30% traffic increase, not because the pizza changed, but the positioning did.
- Takeaway:
“Good isn’t a value proposition. Specific and differentiated is.” — Chip Klose, (25:55)
4. The Path From Good to Exceptional
a. Pick Your ‘Spike’ (27:10–29:30)
- Exceptional restaurants are known for doing one thing extraordinarily well.
- Examples:
- Chipotle: fast casual with visible assembly.
- In-N-Out: extreme quality control on a small menu.
- Cheesecake Factory: huge menu with consistent execution.
- Alinea: fine dining as performance art.
- Quote:
“Notice, none of them are good at everything. They’re exceptional at one thing and good enough at everything else.” — (28:35)
b. Finding Your Spike: Framework (29:45–33:15)
- Review your best feedback: What do people rave about?
- Ask loyal guests: Why do they keep coming back?
- Analyze your competitors: What are they missing? Go in the opposite direction or deeper.
- Commit fully.
- No “halfway exceptional.” If you claim to be a steakhouse, deliver the city’s best steaks, not just “good” steaks alongside “good” seafood and “good” pasta.
- Investment Required:
- Not always money, but always time, focus, discipline, and willingness to sacrifice other areas.
- “You’re sacrificing almost everything else to be exceptional at one thing. And this can make people uncomfortable.” — (33:50)
- It’s okay to lose the less-loyal guests:
- “The people who want what you’re exceptional at will seek you out…and that’s worth more than being mediocre to everyone.” — (34:30)
5. Summary & Challenge to Listeners
- The industry has changed. Good food, service, and value are now the baseline.
- Winners are defined by choosing—and owning—their spike.
- Quote:
“You are in a category of one. You have no competitors because you’re the only one who does what you do.” — (36:10)
- Call to Action:
- “What’s your spike? What’s the one thing you’re going to be exceptional at? If you don’t have an answer, that’s your homework.” — (37:00)
- Invitation to connect for free consulting and to explore the P3 Mastermind.
- Closing Reminder:
“Good restaurants survive. Exceptional restaurants thrive. Question is, which one are you going to be?” — (38:00)
Notable Quotes & Memorable Moments
- “In 2026, good just isn’t good enough. It’s not cutting it anymore.” — Chip Klose (00:11)
- “When everything is good, nothing stands out. When nothing stands out, guests make decisions based on convenience and price.” — (09:22)
- “Excellence in a few things beats adequacy in a lot of things.” — (14:45)
- “Efficient is good, memorable is exceptional.” — (19:50)
- “Good isn’t a value proposition. Specific and differentiated is.” — (25:55)
- “Notice, none of them are good at everything. They’re exceptional at one thing and good enough at everything else.” — (28:35)
- “You are in a category of one. You have no competitors because you’re the only one who does what you do.” — (36:10)
- “Good restaurants survive. Exceptional restaurants thrive. Question is, which one are you going to be?” — (38:00)
Timestamps for Important Segments
- 00:11 — The uncomfortable truth: Good is not enough
- 09:00 — Commoditization and competing only on price
- 12:00 — Why average menus lead to obscurity
- 14:45 — Restaurant transformation by cutting and elevating menu items
- 15:10 — Turning average service into memorable moments
- 19:50 — Efficiency vs. memorability in hospitality
- 21:50 — Value propositions that don’t differentiate
- 25:55 — The power and necessity of specificity
- 27:10 — The ‘spike’ framework: Being exceptional at one thing
- 33:50 — The sacrifice and focus required for excellence
- 36:10 — Achieving a “category of one”
- 38:00 — Final challenge to listeners
Tone & Language
Chip Klose’s delivery is direct, challenging, and actionable, combining industry expertise with vivid metaphors, real consulting anecdotes, and a motivational perspective. His language is energetic yet pragmatic, often using rhetorical questions to push listeners to self-reflect and act.
Takeaway for Restaurant Owners
Being good is no longer a unique selling point—in 2026, it’s necessary but insufficient. Choose one area in which your restaurant can truly excel, commit to it fully, and make that your calling card. This focused exceptionalism is the only path from surviving to thriving in a crowded market.
For free resources or a consultation, Chip Klose encourages listeners to visit restaurantstrategypodcast.com/schedule.
