SIOUX FALLS, SD (KELO) — Over the past year, we’ve reported on several restaurants that have either closed their doors entirely, or left Sioux Falls.
The most recent ones being Watecha Bowl and Rosie’s, both are relocating to smaller towns.
But one local restaurant co-owner says closings don’t tell the entire story of an industry that constantly has to adjusts to changes.
Regular customers make up a bulk of the lunch crowd at the Pizza Ranch on 41st Street. Jerry Simunek says he’s here once a week.
“It’s got good food, reasonable prices, good variety in food, good service,” Simunek said.
Hearty appetites means brisk businesses for places like the Pizza Ranch. The owner says they’ve set sales records every year since opening back in 2007. They expect to gross more than $6-million this year.
“I think we’ve been open here for 17 years and we’ve never had a down year in Sioux Falls,” Pizza Ranch co-owner Todd Pharis said.
That includes 2019 when a tornado caused extensive damage to the restaurant and then the global pandemic that hit the following year.
“Just like when COVID came, everybody had to figure out how to do to-go and delivery. If you didn’t you’re out of business,” Pharis said.
Pharis says Sioux Falls remains a vibrant market for restaurants. He says a lot of national franchises have their eyes on locating to the city but that increased competition could put the squeeze on existing businesses here.
“But what that more restaurants, if you have the same number of people, you’re got to do a great job to make sure you’re still one of the customers’ favorite. Otherwise, they’re going to drop you off the list and go to the new place,” Pharis said.
To customers, restaurant closings are all part of the natural ebb and flow within the industry.
“I always see where one closes down, another opens. It’s like one replaces the other so, I don’t think it’s a big problem,” Jeanne Pattison of Sioux Falls said.
Pharis says far more restaurants are opening than closing across South Dakota and that making the customer experience a priority is any successful restaurant’s secrete sauce.
Pharis says since Pizza Ranch doesn’t serve breakfast, the high cost of food, especially eggs, doesn’t have as big of an impact on his business.
He also says paying employees above the minimum wage ensures he can attract and keep a high-quality workforce.
His restaurant employees more than 100 people, roughly half of them are full-time.
