LIDS inc.

An observation we have been seeing lately...
A lot of QSR traffic right now is being driven by value menus.
Whether it be $5 bundles, discounted menus, or aggressive pricing.
And honestly, it's working.
People are showing up.
But what doesn't get talked about enough is when you lower prices, your margin for error gets really small.
A $5 meal can't afford waste product, inconsistent portions, or small mistakes happening throughout the day.
And during those busy rushes are when teams are moving the fastest and visibility is at its lowest.
With managers being on the line and teams focused on speed, problems get handled but not always seen.
So while traffic might be up, that doesn't mean profitability is.
We've been seeing this come up more and more in conversations recently.
Makes you wonder if value menus are actually driving profitable growth or just more volume?
Let us know how you are seeing this play out for you!

Most people don’t realize how important beverages actually are to a restaurant’s bottom line.
We were recently looking at a case study from a well-known QSR concept, and something really stood out.
Beverages made up about 10–12% of their total sales…
But nearly 25% of their profit.
That’s a huge difference.
What’s interesting is that this part of the operation usually doesn’t get a lot of attention day-to-day.
Not because teams don’t care
but because issues aren’t always obvious when they happen.
Things like:
• running out of product
• inconsistent pours
• small quality issues
They get handled in the moment…
but not always tracked or seen.
And over time, that can quietly impact one of the most profitable parts of the business.
It’s something we’ve been seeing more and more in conversations with operators.
Curious, how much visibility do you feel like you have into your beverage program today?

This past week gave us the opportunity to spend time with operators across the Greater Houston area and have some really valuable conversations.
Every conversation was different: different challenges, priorities, and perspectives. But together they paint a clear picture of where things stand right now.
A lot of focus is on:
• Balancing the bottom line
• Maintaining consistency in an ever-changing environment
More than anything, we’re seeing how adaptable operators have to be day in and day out.
We’re grateful to be part of these conversations and look forward to continuing to support operators as they work to run strong, efficient businesses.

We had a great opportunity to sit down with Emily Williams Knight, President & CEO of the Texas Restaurant Association.

Really enjoyed the conversation around what’s happening across the restaurant industry in Texas and hearing her perspective on the challenges operators are facing.

And it all happened over a great crawfish meal!

Appreciate the time and conversation! Looking forward to the next one.

We had an awesome time at the Texas Tour with the Texas Restaurant Association yesterday.
Great conversations with local operators and a chance to learn more about what’s happening across the foodservice industry in Texas.
Big thank you to the Texas Restaurant Association and Good Charlie's Oyster Bar and Seafood Kitchen for putting on a great event.
Looking forward to the next one!

We had an amazing time at Tastefest last night with the Conroe/Lake Conroe Chamber of Commerce!
So much great food and even better conversations. It was awesome getting to meet so many people from the local business community.
Huge thank you to the Conroe/Lake Conroe Chamber of Commerce for putting on such a great event.
Already looking forward to the next one!

One of the things we’ve noticed is that different operators use the system in different ways.

One manager uses the data for audits.
Another uses it to place weekly orders.
Another uses it during rush to make sure they never run out.

Different needs, same system.
But they all say the same thing:

“I don’t know how we did this before.”

After looking at the numbers behind syrup waste, one thing becomes clear:
It’s not spills causing the problem.
It’s early replacements.
Teams are trying to avoid running out, so they swap boxes before they’re fully empty.
That’s understandable.
But over time, those small decisions add up.

Most syrup waste doesn’t come from spills.
It comes from replacing BIBs too early.
A box feels light…
So it gets swapped “just to be safe.”
But here’s what that decision actually costs:
A single BIB can generate $600+ in beverage sales
Leaving just 5% behind = ~$30 lost per box
At 10% = ~$60 lost per box
Now scale that across a full rack over a year:
👉 That’s $18K–$40K in lost revenue
And that’s happening in many stores without anyone realizing it.
It’s not carelessness, it’s just a lack of visibility.

We’re excited to be a sponsor of Tastefest with the Conroe/Lake Conroe Chamber of Commerce
Tastefest is one of the Chamber’s signature events and showcases the incredible restaurants and food & beverage businesses across our community. This year’s event will be held March 26 from 5–8 PM at the Lone Star Convention & Expo Center and will feature unlimited tastings from 40+ local vendors, live cooking demonstrations, and exclusive deals and giveaways.
It’s always a great opportunity to connect with the community and celebrate the businesses that make Conroe and Lake Conroe such a great place to live and work.
We hope to see you there!

In many stores, beverage inventory is still managed the old-fashioned way.
Staff lift boxes, estimate what’s left, and keep a mental note of when something might run out.
Those checks happen all day long.
Better visibility simply makes those decisions easier.