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View Full Version : A restaurant that gives away food - WTF?



Clifford C Clavin
22nd July 2012, 16:54
How does this fit into the paradigm of capitalism? I know it's "capitalism with a smile" still, and bullshit. But how does a huge company come out with this? Keep in mind, this is one of the top 15 restaurant chains in America.

(Sorry can't post links yet, still a new member. It's from Christian Science Monitor. Google it!)

Panera Bread lets diners 'pay what you can'

The café chain now has three 'Panera Cares' locations where people pay as much or little as they can afford. After one year, the idea seems to be working. 'People ... do the right thing,' says the company's founder.

After a year, Panera Bread's experiment with "pay what you can" restaurants seems to be working. The cafe chain now has three locations using the donations-only model (Clayton, Mo., Dearborn, Mich., and Portland, Ore.), out of its nearly 1,500 locations nationwide.

"We were doing this for ourselves to see if we could make a difference with our own hands, not just write a check, but really make a contribution to the community in a real, substantive way," Panera founder and Chairman Ronald Shaich told The Associated Press. The program, which Panera calls "Panera Cares," is an example of a "community kitchen," the AP says, in which for-profit companies act in part like nonprofits.

Most patrons, it finds, drop the entire retail cost, or more, into the voluntary donation box, in essence subsidizing a meal for someone who can't pay the full amount. Panera says about 60 percent leave the suggested amount; 20 percent leave more; and 20 percent leave less. The largest single payment so far? One person paid $500 for a meal.

Few people seem to be taking unfair advantage of the system. Most know that wouldn't be fair. Not paying when you could "is like parking in a handicapped spot," Mr. Shaich says.

"The lesson here is most people are fundamentally good," he says. "People step up and they do the right thing."

The cafes, which serve soups, sandwiches, and baked goods, look just like other Panera stores. But there are donation boxes instead of cash registers, though employees can process credit card payments as well.

The company also participates in more conventional charity programs, such as donating unused baked goods to churches, schools, and hunger relief organizations, says a story in at Cleveland.com. “Before a cafe even opens, we have organizations set up to receive day-end donations. Not a single item goes to waste,” says Panera regional marketing director Cara Sutch.

At the Portland, Ore., cafe, Carl von Rohr bought a bowl of potato soup and a cup of coffee and paid a dollar more than the suggested donation price (the retail price), says a story in the Portland Tribune.

“I’m willing to give this concept a try,” Mr. von Rohr said. “You walk [outside] and there are a number of people asking for money, and you never know what they’re going to do with it. You put in the extra money here, and you know they’re feeding people with basically healthy food.”

#FF0000
22nd July 2012, 17:12
This isn't really a new model, tbh. People have been doing "pay what you want/can" things for a few years now. And there's plenty of places in New York (for example) that run on donations. I mean, I usually see this happening with online services, e.g. Radiohead selling one of their albums for "whatever you want", or those video game bundles that sell for whatever you want. And if it works there then I'm not surprised at all that it also works in the real world where you have the eyes of the servers and the entire restaurant on you.

TheGodlessUtopian
22nd July 2012, 17:16
On average the amount given by those who give a lot tend to balance out those who barely give any.Though it can be a shaky model it can work out well if the owner lives in a populated area (usually higher income).

Lynx
22nd July 2012, 17:25
Philanthropy + publicity = profits ?

Clifford C Clavin
22nd July 2012, 17:32
I think restaurants are a lot different than digital albums though. The first requires paying wages, tangible goods, etc. What's to stop the place from becoming a soup kitchen or a place where teenagers take loads of food and pay jack squat?

I wish I could get some free food. I wouldn't feel bad about it one bit. None around here.

#FF0000
22nd July 2012, 19:15
The only thing stopping that is probably the fact that people are in full view of staff and other patrons. Even though it's "pay what you want" that doesn't stop someone with the money to pay from feeling like a dick for not paying it.

MrCool
22nd July 2012, 19:29
I think restaurants are a lot different than digital albums though. The first requires paying wages, tangible goods, etc.

Online retailers require high-bandwidth internet connections, servers, registered domain name(s), technicians on standby, etc.

A Revolutionary Tool
22nd July 2012, 21:59
If it became a unprofitable soup kitchen they would change things. This is just to attract the bleeding heart liberal types IMO, like how Starbucks gets "fair trade" coffee or whatever it's called to attract people who think they're helping things out by buying at Starbucks instead of other coffee places. It's basically them trying to make a buck by presenting an image of being socially conscious of some problem. If they weren't profiting from it they would drop the charade of caring in an instant.

Workers-Control-Over-Prod
22nd July 2012, 22:25
The Market still exists, it's just that it doesn't exist visually.

mew
23rd July 2012, 00:01
I read w/r/t "panera cares" cafes that 1/3 pay about what what the meal costs, while 1/3 pay less and 1/3 pay more. It's funny to read yelp reviews of panera cafes turned into "panera cares" cafes. A lot of middle class people whining about their favorite spot being infested with peasants.

Clifford C Clavin
23rd July 2012, 02:38
The closest I came to a Panera Bread is that I pooped in one of their toilets while on the road. I will say that it was pretty clean. I didn't sample the bread though.

Yuppie Grinder
23rd July 2012, 02:58
I like their bread.

Ocean Seal
23rd July 2012, 03:15
Well I know where I'm getting my cheap meals.

piet11111
23rd July 2012, 18:47
it can work out well if the owner lives in a populated area (usually higher income).

The richer people are the less they give to charity and when they do give a dime they expect at least a public pat on the back.

My father organized collections for the dutch brandwonden stichting (a foundation that collects for people with burn-wounds to research better forms of treatment among other things) and he had people collecting by street so he would have a good idea of what streets would get higher donations.
Turns out the low income streets where far more generous and the richer ones much less so (and have the most people who refuse to donate).
Sometimes there would be a business or rich individual who made a large donation but they made sure it ended up in the local newspaper.

Raúl Duke
23rd July 2012, 19:28
I'll probably be the one paying 1/3 (or nothing, considering how broke and unemployed I am) less all the time...I feel Panera is sometimes a bit too pricey for what it is.

Too bad it doesn't exist here.


t's funny to read yelp reviews of panera cafes turned into "panera cares" cafes. A lot of middle class people whining about their favorite spot being infested with peasants.

lol
That was the vibe that Panera gave me, even more stronger than starbucks.

Agent Ducky
23rd July 2012, 19:51
I like their bread.

Their bread kicks ass.
I wish there was a pay-what-you-want Panera near me because holy shit I love their bread but don't have money.

A Revolutionary Tool
23rd July 2012, 20:30
I never even heard of Panera bread before someone brought it up here a while ago. So obviously this is good publicity for them, I bet these places get people giving them hella money for "doing the right thing" all the time.

*EDIT* On a slightly related note Flea, the bassist for the Red Hot Chili Peppers, just came out with a solo album that is "pay what you want".

La Guaneña
24th July 2012, 16:52
We also got to remember that these restaurants have a huge profit margin. Low wages, shitty products, buy everything in enormous quantities.

But people are used to the average retail price, and end up still giving them a large profit.

jackbo487
25th July 2012, 00:28
Immediately thought of the Radiohead/Nine Inch Nails 'pay what you can' album models, glad to see others thought of it as well.

Interesting effort from Panera Bread, though...

CryingWolf
26th July 2012, 05:14
It's a simple marketing tactic. If you give someone an unconditional gift, they'll feel an overwhelming urge to give you something back. The urge is so strong, in fact, that they'll give you something they see as up to five times more valuable than what they received.