It's all thanks to a happy hour and brunch strategy.
Kona has maintained that momentum in 2022. The chain is so far lapping its 2021 numbers and, despite recent increases in menu prices, shows no signs of slowing down. Customer traffic at the chain is as strong as ever, which CEO Manny Hilario attributes to Kona's investment in its"value layer"—doubling down on crowd-pleasers like happy hour deals and brunch.
"At Kona Grill our emphasis has been experiential…[and] our emphasis on growth has been the value layer," Hilario told investors during an earnings call."So we have put a lot of emphasis onas well as returning to happy hour. So we've seen a lot of success on those dayparts. So to a certain degree, I would say that any difference in check has been driven by our emphasis on strategy.
In the coming year, Kona will expand its footprint by as many as six restaurants, with plans for licensing up to three ghost kitchens and new locations in Utah, Ohio, and Arizona. While expansion has been somewhat hampered in 2022 due to supply chain difficulties, the chain has had no trouble finding real estate for its new builds, reporting"fantastic deals" from malls and retail centers.
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