What is Happy Hour Pricing?

It is a promotional pricing strategy used by restaurants, bars, and coffee shops where some food and beverage items are offered at discounted prices for a certain period of time each day (usually during non-busy hours) to boost customer experience and increase sales.

• Increase foot traffic- Discounts provide customers with an incentive to come out more; this will help drive traffic towards restaurants, bars, etc.
• Increase sales- Even at reduced price points, the overall revenue from sales is increased; i.e., even if you sell fewer items, the volume of an overall order will be larger than before, resulting in a net positive increase in your revenue.
• Promote specific menu items- Restaurants can highlight certain food or beverage items they want to promote for increased sales.
• Increase customer engagement level- Creating special promotions will create hype or excitement and allow customers to be more likely to return to the restaurant, bar, or coffee shop.
• Better utilization of slow business times- Help businesses stay busy or increase their volume of sales during their slowest time of the week.