7 Key Restaurant Revenue Streams to Prioritize in 2026

Profitability remains a challenge for many restaurants, especially with prices for ingredients and labor going up. In fact, only 27% of restaurant owners expect to be more profitable this year.

One of the best things to do is to find additional revenue streams to supplement your core food and beverage sales. Diversifying your income sources can help offset rising costs and boost your overall profitability.

7 revenue streams restaurants of every type need to pay attention to

Restaurant owners must look beyond traditional dine-in revenue and diversify their income streams. Offering additional services, like delivery and takeout, meal kits and subscription boxes, and even catering and hosting special events can unlock new growth opportunities.

1. Delivery and takeout

60% of American consumers reported ordering delivery or takeout once a week. To maximize this revenue stream, you must have an efficient online ordering system.

You can opt for third-party delivery apps like Uber Eats, DoorDash, and Grubhub to reach a wider audience. Choosing this option is beneficial if your restaurant is in a competitive market where people use these apps frequently. 37.8% and 36% of multi-restaurant users choose Grubhub and Uber, respectively, as their preferred platforms.

Delivery apps help boost your restaurant’s visibility and attract new customers.

The only tradeoff to this is that you and your customers have to pay additional fees, which typically fall between $0.49 and 15% of the total bill.

You can also develop your own delivery system to gain more control of the revenue and costs. For example, you can take orders from your social media profiles, like Facebook and Instagram, using a form or direct message. You can then accept cash payments upon delivery, which is helpful for local restaurants with limited budgets.

Another approach is to integrate an online ordering feature or plugin into your website and leverage your FOH as delivery drivers. Research and compare different online ordering platforms and other point-of-sale (POS) systems like Toast, TouchBistro, and Square. Setting up this feature will entail costs for the platform, web developers, and any necessary hardware.

Whichever route you choose, make sure to create a seamless ordering experience and timely delivery to keep customers satisfied and coming back.

2. Meal kits and subscription boxes

Just like delivery and takeout, meal kits and subscription boxes allow customers to enjoy restaurant-quality meals at home. With an expected annual growth rate of 4.57% from 2024 to 2029, meal kits provide an opportunity to increase revenue and reach more customers.

Meal kits not only provide a new way for customers to eat their favorite dishes at home but also help restaurants make the most of their existing resources.

For instance, you can incorporate surplus ingredients or prepared items that don’t get used up during regular service into meal kits. This way, you reduce food waste and generate revenue from products that would otherwise go unused.

Subscription boxes take the concept of meal kits a step further by providing customers with regular deliveries of meals or ingredients. These are very useful for:

• Young professionals and families who don’t have time to cook from scratch due to long work hours, commutes, and childcare responsibilities

• Health-conscious consumers who want nutritious, portion-controlled options that cater to special diets like keto, paleo, or plant-based

• Older adults who are living alone and want to avoid waste from cooking for one.

• Novice home cooks who want to hone their skills through the step-by-step instructions included with meal kits

Meal kits and subscription boxes both offer a steady income stream for restaurants, even during slow seasons.

3. Catering services

Offering catering for events such as weddings, corporate gatherings, and parties lets you reach a broader customer base without affecting your overhead costs.

Additionally, catering large events can help you manage your inventory more efficiently, reducing food waste and maximizing profit. Promote your catering services on social media and through word-of-mouth to attract more clients and boost their overall revenue.

Create specialized catering menus tailored to different types of events to enhance this revenue stream further. Offering customizable packages allows customers to choose the options that best fit their needs, whether it’s a simple lunch for a corporate meeting or an elaborate spread for a wedding reception.

4. Special events and private dining

Special events and private dining provide restaurants with the opportunity to charge premium prices for customized menus and exclusive services.

If you have a big area, you can host weddings, corporate events, birthday parties, and other celebrations, allowing you to maximize the profitability of your space. In fact, 93% of diners said they are more willing to make a reservation at a restaurant that offers special events, and 61% are more willing to pay a higher price for a special event menu.

For example, a restaurant can offer a tailored menu for a wedding reception, including gourmet dishes and specialty drinks, which can command higher prices than the regular dining menu.

You can also provide function rooms for holidays like Thanksgiving, Christmas, and New Year’s. Our team announcement tool can help you flag events for your staff’s awareness.

“Events pack a restaurant’s holiday calendar,” D.J. Constantino, our resident food journalist, writes. “Between business dinners, big tables, corporate events, and more, there may be something to note every night.”

This personalized approach makes customers feel valued and guarantees memorable occasions, leading to positive reviews and word-of-mouth referrals. Additionally, your restaurant can offer add-on services such as live music, décor, and event planning, further increasing their revenue streams.

5. Branded merchandise

Selling branded merchandise lets you generate additional income while promoting your restaurant. Eater points out the “pics or it didn’t happen” mentality as one reason branded merchandise has become popular among restaurants.

“Merch is a very effective ‘You are here,’ a dropped pin on the mall map of your life,” author Linni Kral adds.

T-shirts, hats, mugs, and tote bags with your logo can appeal to loyal customers who want to show their support. Starbucks does this well with its coffee mugs and water bottles.

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Customers who wear or use your branded products act as walking advertisements, spreading the word about your restaurant. This can be especially valuable for restaurants looking to expand their reach and attract new diners.

Finally, it helps to choose products that align with your restaurant’s theme, cuisine, or values. For example, a farm-to-table restaurant might sell reusable tote bags or aprons, while a trendy cocktail bar could offer stylish glassware and barware.

6. Cooking classes and workshops

About 33% of Americans watch cooking shows regularly. This implies a large interest in cooking and learning new recipes, especially among Gen Z consumers, with 45% trusting cooking show hosts for food and cooking advice. Offering cooking classes and workshops can tap into this demand, providing an additional revenue stream for your restaurant.

These educational experiences allow customers to learn new techniques, discover unique ingredients, and recreate their favorite dishes at home.

• Seasonal cooking classes teach customers how to prepare dishes featuring the freshest ingredients of the moment, whether it’s grilling summer veggies or baking holiday pies.

• Cuisine-specific workshops dive deep into the techniques and flavors of a particular regional cuisine, such as Thai, Italian, or Mexican.

• Technique-focused sessions help home cooks master essential skills like knife handling, pasta making, or plating presentation.

When structuring your cooking class offerings, think about the format that works best for your restaurant. For instance, you could host multi-week series, single-session intensives, or even one-off demo-style events. Your pricing can then range from $50 to $150 per person depending on the length, exclusivity, and materials provided.

Make sure to promote your classes heavily through your website, social media, email list, and even flyers in the restaurant. Encourage attendees to share their experiences online social media for word-of-mouth marketing.

7. Loyalty programs and gift cards

With so much competition these days, restaurants must find ways to build customer loyalty and drive repeat business. This is why 67% of restaurants have a loyalty program like punch cards or a digital rewards system.

By offering rewards, discounts, or exclusive experiences, you’re basically rewarding customers who return to your establishment.

You can offer a free meal or beverage after customers visit for a specific number of times or offer exclusive discounts and promotions. Promoting your loyalty program online helps increase awareness and conversions.

Raul Galera, the partner manager at ReferralCandy, a tool that helps businesses run such programs, suggests having a landing page dedicated to this campaign.

“Highly interested customers want access to in-depth information,” he notes. “As a result, create a dedicated page explaining your rewards system and current incentives. You can also place a FAQs section to help first-time users navigate the platform and understand how to maximize points.”

Gift cards are another revenue stream to consider. These allow you to generate immediate revenue upon their sale and introduce new diners to your restaurant. Plus, 61% of consumers admitted they spend more than the gift card’s value when redeeming it, which increases your profit margin even more.

Which income sources bring the most revenue to restaurants?

Aside from finding additional revenue streams for your restaurant, you should also maximize your existing income sources. Drinks, sides, appetizers, and add-ons are some of the most high-earning items across all types of establishments.

Drinks

Drinks, especially liquor, make the most money, whether they’re ordered in bars or restaurants. The average pour cost of an alcoholic beverage is 20%, which generates 80% gross profit.

The high profit on alcoholic drinks gives your restaurant more pricing flexibility. You can charge premium prices for cocktails, wines, and beers without dramatically impacting customer demand or perceived value.

For example, a cocktail that costs $2 to make can easily be sold for $10, resulting in a substantial profit.

Non-alcoholic beverages, like coffee, sodas, smoothies, and gourmet teas, can also be sold at a significant markup—by as much as 1,150%. Since these items require minimal preparation time and resources, they are a quick and efficient way to increase sales.

Another key advantage of focusing on drinks is the potential for upselling. Restaurants can encourage customers to order drinks by pairing them with specific menu items or offering drink specials during certain times, such as happy hours or themed events.

Add-ons

Add-ons are a great way for restaurants to boost their revenue streams and enhance the dining experience for their customers. Simple add-ons like extra dipping sauces, additional sides, or upgraded ingredients can make a significant impact on the restaurant’s bottom line.

For instance, adding guacamole to a dish can cost the restaurant a small amount, but they can charge a premium price for it, significantly increasing their revenue. They’re also easy to prepare, which doesn’t affect your kitchen staff’s workload that much.

Premium add-ons, like organic options, can be even more profitable. After all, 41% of consumers admitted that they’re willing to pay more for all-natural ingredients so that you can cater to their demand.

Sides

Sides, such as fries, salads, and bread, allow for a markup of about 485%. Just like drinks, they’re inexpensive to make but can be sold at a high profit. They also help significantly increase your restaurant’s ticket size, making them an essential part of any menu.

Promotions and bundling are effective ways to increase the sales of sides. You can offer meal deals that include a main dish, a side, and a drink at a discounted price.

This strategy not only boosts the sales of sides but also makes the dining experience more attractive to customers. Additionally, during special events or peak dining times, highlighting popular sides as part of a combo can drive more orders and increase revenue.

Combos

Combos or meal deals offer a better value proposition for customers while allowing restaurants to boost their average ticket size. By bundling popular menu items together at a discounted price, restaurants can entice customers to spend more per visit.

For example, a burger, fries, and a drink combo can be priced attractively, making it more appealing than ordering each item separately. This strategy increases the restaurant’s sales per customer, which can significantly boost overall revenue.

Combos also help manage inventory and cut down on food waste. Restaurants can create combos that include items that need to be sold quickly, ensuring that food is used up before it spoils. Plus, offering combos can simplify the ordering process for customers, making it quicker and easier to choose what they want to eat.

McDonald’slaunched a limited-time $5 Meal Deal to attract more customers and combat the effects of inflation. This promotion, which included a McDouble or McChicken sandwich, four-piece chicken nuggets, fries, and a drink, aimed to drive traffic back into McDonald’s restaurants. After the campaign, they found that foot traffic increased significantly during the days following the launch.

Although there’s no data on the amount spent by customers, it’s reasonable to assume that many were enticed by the deal and possibly spent more than $5.

By strategically creating combos, you can drive increased sales per customer and boost their dining experience through simplified ordering.

Appetizers

The number of customers who skip ordering appetizers dropped by 8%, which means you can capitalize on this income stream.

Train staff to recommend appetizers to diners. Promoting appetizers as shareable plates can also encourage larger group orders and higher check averages.

Vegan and vegetarian food

The vegan food market is also a viable option, with 4% (or 13.4 million) of the US population opting for plant-based diets, so you should tap into this growing market. Incorporating vegan and vegetarian items into your menu can attract a broader customer base and increase your revenue.

Developing vegan and vegetarian dishes requires thorough planning, as some ingredients may cost more than what you’re substituting them for. For instance, using soy or almond milk can be more expensive than dairy milk. Fortunately, the higher profit margins on these items can offset the increased costs.

On the other hand, meat substitutes, like legumes, vegetables, and grains are cheaper, so you can create meatless dishes at a lower cost while maintaining high profit margins.

Breakfast and brunch dishes

Breakfast and brunch items have become increasingly popular, with 27% of Americans having eaten at fast-food restaurants for breakfast within the first 30 days this year. They’re also very profitable for restaurants since these dishes often have lower food costs compared to lunch and dinner items.

Boost your restaurant sales with additional revenue streams

Restaurants have plenty of opportunities to boost sales beyond selling main dishes. It’s up to you to choose the revenue streams that will work best for your establishment. Adapting to evolving customer needs and economic conditions will improve the likelihood of long-term success and sustainability for your business.

Make managing a team easier and more cost-efficient with a dedicated restaurant scheduling tool. This software helps you assign FOH and BOH staff as well as monitor events to keep everyone on track.

By using 7shifts, you can save time, reduce mistakes, and ensure everything runs smoothly. This means you can focus more on serving your customers and finding new ways to increase your revenue.