For years, Olive Garden, the popular casual-dining chain known for its unlimited breadsticks, had resisted the growing trend of third-party delivery services. But now, in a surprising shift, the restaurant is teaming up with Uber Eats to bring its pasta and breadsticks straight to customers’ doors. This change comes at a pivotal moment as the company looks to counter declining in-store sales and meet evolving consumer expectations.

Darden Restaurants, Olive Garden’s parent company, announced a two-year exclusive delivery partnership with Uber Technologies, a move that marks a significant departure from its long-standing opposition to third-party delivery. This decision is not only a response to Olive Garden’s recent financial performance—where same-store sales dropped 2.9% in the first quarter of 2024—but also a strategic attempt to regain traction in a challenging economic environment where consumer spending at sit-down restaurants has been slowing.

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The partnership with Uber Eats will roll out in a limited capacity later this year and, if successful, will expand to Olive Garden’s more than 900 locations nationwide by May 2025. Notably, customers will be able to order their meals directly through Olive Garden’s website and app, while Uber Eats will handle the logistics of delivery. However, Olive Garden will not be available through the Uber Eats app itself, a decision that allows the chain to retain valuable customer data—a crucial asset in today’s competitive digital landscape.

A Surprising Turn for Olive Garden

For a long time, Olive Garden was a vocal holdout against third-party delivery services, even as competitors like Applebee’s and Chili’s embraced the trend. During the pandemic, when many restaurants were leaning into delivery to stay afloat, Olive Garden maintained its stance. Former Darden CEO Gene Lee famously said in 2019, “I don’t think we’re missing out on anything,” referring to third-party delivery.

The rationale behind this resistance was simple: Darden executives believed that third-party delivery would erode margins and diminish the customer experience. Darden’s current CEO, Rick Cardenas, echoed these concerns in December 2023, stating that adding third-party delivery hadn’t made a significant difference in the performance of its other concepts, such as LongHorn Steakhouse.

However, Cardenas has since shifted his perspective. “Guests have been asking us for home delivery options, and they continue to show they are willing to pay for the convenience,” Cardenas said in a statement. “As we continued to evaluate delivery, it was important for us to find a way to address this guest need state without disrupting the team member or guest experience and without compromising our competitive advantages and simple operating model.”

The Uber Advantage

One of the key reasons Darden chose to partner with Uber Eats is the company’s willingness to create a custom integration tailored specifically to Olive Garden’s needs. Cardenas highlighted Uber’s commitment to efficiency and speed at a national scale, as well as the seamless experience the integration will provide for both the restaurant and its customers.

“[Uber’s] investment in a custom integration, commitment to Olive Garden’s first-party delivery growth, and efficiency and speed at a national scale, made this exclusive partnership a clear choice,” Cardenas explained.

Sarfraz Maredia, Uber Eats’ vice president of delivery and head of Americas, added that delivery has become “a core expectation for consumers.” He noted that people expect the same quality experience whether they are dining in or receiving a meal at home. “We’re confident our teams can deliver on that promise together and continue to grow first-party delivery as a channel,” Maredia said.

Timing Is Everything

Olive Garden’s decision to embrace delivery comes as the company grapples with a difficult macroeconomic environment. Like many casual-dining chains, Olive Garden has been hit by a slowdown in customer traffic, particularly from lower-income consumers as inflation pressures continue to rise.

According to Black Box Intelligence, same-store traffic for casual-dining restaurants dropped 4.5% this year through early September, outpacing the broader restaurant industry’s decline of 3.3%. Darden’s same-store sales fell 1.1% across its portfolio, which includes brands like LongHorn Steakhouse and The Capital Grille, with Olive Garden seeing a steeper decline of 2.9%.

Darden’s response to this challenging market has been multifaceted. Last month, the company revived its iconic “Never-Ending Pasta Bowl” promotion, which offers all-you-can-eat pasta starting at $13.99. The promotion will run through November, a month longer than last year, as the company aims to bring customers back to its restaurants.

Despite these efforts, Cardenas has made it clear that the company will not resort to deep discounting or compromise its long-term financial health for short-term gains. “In this environment, we want to motivate guests to get back,” he said.

Positioned for Long-Term Success

With the partnership with Uber Eats, Olive Garden is positioning itself for long-term success in an increasingly delivery-focused market. Delivery orders will mirror in-store prices, with an average delivery fee of around $7 per order. Importantly, Darden expects profits on delivery orders to be comparable with its existing online carryout service, which has performed well in recent years.

The decision to move into delivery, while late compared to many of its peers, reflects a broader trend in the casual-dining sector where restaurants are being forced to adapt to changing consumer habits. As more customers prioritize convenience, Olive Garden’s move could help it win over new diners who prefer to enjoy their pasta and breadsticks from the comfort of home.

As the pilot rolls out later this year, all eyes will be on whether Olive Garden’s foray into delivery can turn the tide for the brand. If successful, the partnership with Uber could signal a new era for the iconic chain, one where breadsticks arrive not just at the table, but at your front door.