We noticed significant overlap between the top ten states, in terms of minutes needed to work, between Chipotle’s Steak Burrito and the Chicken Parm from Olive Garden. The states that were found in the top ten for both were VA, PA, NH, KY, ID, IA, and UT.
Surprisingly, not a single state is found in the top ten in terms of minutes needed to work at min wage among all three items.
From the pricing distributions for these items, we can see that there appears to be two different patterns of pricing for core items in national chains found thus far.
Though Olive Garden’s Chicken Parmesan is offered at a price about twice the hourly minimum wage, we find that it’s pricing is relatively elastic and correlated with states’ minimum wages. 71% of the variance in pricing can be explained by the relationship with minimum wage.
For standard dishes in other chains such as Chipotle or Five Guys, pricing between states is relatively consistent, with little variance between states with lower or higher minimum wages.
This is just a small analysis of the data. As we source new data from more chains and continue our analysis we will update our blog with interesting correlations as we find them. Stay tuned for more by signing up for our newsletter.