New Orleans-based Melissa Araujo, executive chef and owner of Alma Cafe, Saveur Catering, and Oscar at PWB, believes branded merchandise and apparel can be an excellent idea for bars, restaurants, and other hospitality businesses because it increases brand visibility and customer loyalty.
“It turns customers into walking billboards for your business, promoting the brand in daily life,” explained Araujo. “Merchandise can also create an additional revenue stream while strengthening the connection between the establishment and its patrons.”
According to Araujo, the profitability of a brand’s merch and apparel depends on demand and margins, but it can be quite profitable with minimal overhead, especially for smaller items like t-shirts or hats. “The markup on apparel and merchandise is typically high, and it can be incredibly profitable if tied to the brand’s culture or limited-edition runs that create urgency,” she said.
Araujo said customers tend to love wearable or useable items – like t-shirts, hats, hoodies, water bottles, pint glasses, coffee mugs, or items that resonate with the theme or atmosphere of the bar or restaurant, such as aprons, coasters, or bar tools, especially if they're high-quality or unique.
“Branded merchandise allows people to express their loyalty or personal connection to a business,” said Araujo. “For bars and restaurants, it can evoke memories of a good meal or a fun time spent with friends, making the item more meaningful. It also allows them to feel like part of a community or ‘insider group.’”
Araujo said she’s been successful with high-quality, practical items – t-shirts and hats – because they’re easy to wear and appeal to a wide audience. She also carries jackets and tumblers, as well as seasonal, exclusive, and limited-edition designs – all of which have created buzz.
“Your merch should feel like a natural extension of the experience you provide,” said Araujo.
Bar and Restaurant Merchandise Ideas, from Miami to Milan
What are bar and restaurant operators – as well as breweries, distilleries, and others in the F&B hospitality industry – doing when it comes to branded merchandise and apparel?
At R House Wynwood, a Miami-based restaurant and lounge that serves-up Latin-inspired dishes, cocktails, and a vibrant atmosphere, has embraced its unique audience by offering lifestyle-focused merch that reflects the high-energy, celebratory vibe of the establishment. “Our T-shirts, hats, and totes have been hits, but it’s the creative touches, like the fans, that truly resonate with our guests,” said Owen Bale, co-owner of R House Wynwood. “Each piece becomes a fun and personal way for them to take a part of the R House experience home.”
Caleb Ganzer, managing partner of the New York-based La Compagnie wine bars and Experimental Cocktail Club, which has multiple locations, said they’ve done fun shirts with their logo on the front and a slogan on the back. They’ve also produced branded sweatshirts, which were popular. “Limited edition shirts for a one-off event are fun ways for your guests to really demonstrate their loyalty and exclusivity and give bragging rights,” he said.
Grainne O’Neill, director of strategy at The Dead Rabbit in New York and Austin, Texas, said they partnered with a well-known young Irish illustrator, Hephee, to bring their merchandise line to life. “The unique artwork not only adds a fun, creative touch but also ties in perfectly with our brand personality, making each piece special,” she said. “Our approach to merch is closely tied to our product offering and locations. Whether it’s a reference to one of our signature cocktails, or a design inspired by the venue, each item tells a story that reflects who we are.”
This summer, Guinness and JW Anderson – as an apparel example – teamed up for a creative collection, including a pearl-effect jersey and hand knitted sweater. Both items feature aspects of the world’s iconic stout and were worn by models at Milan Fashion Week. Additionally, a ready-to-wear capsule collection will be launched in November 2024 via JW Anderson stores and online.
Branded Merchandise and Apparel Is Extremely Popular with Customers
Charles Borden, digital marketing manager at Pomegranate Hospitality in New Orleans – which runs Safta 1964 by Chef Alon Shaya, Silan Mediterranean, and Miss River, among others – pointed out that restaurants and bars are often venues for memorable moments in people’s lives, which is one reason why people like a merch item or two as mementos. “They can be the place where you always meet your friends from out of town or the local fixture that’s part of the neighborhood culture,” he said. “When you wear a hat or t-shirt with a restaurant’s logo, it’s a way of saying, ‘This place is important to me’ or ‘This place is a part of my culture,’ and it invites conversation about what makes those memories special.”
Bale, of R House Wynwood, said it’s all about the connection customers have with their brand. “When our guests are proud to love R House, they want to show it off, and R House merch lets them carry a little piece of the experience with them,” he said. “Plus, it’s a stylish way to say, ‘I’m part of the R House family.’
For Bale and his customers, branded merch is a total win. “It helps build loyalty, promotes the brand outside our walls, and turns regulars into superfans,” he shared. “It’s not just about the extra revenue – it’s about extending R House memories beyond the table. Our guests love feeling connected to the space, even when they’re not here, and that’s invaluable.”
Rob Mobsby, director of digital at EverythingBranded, one of the largest promotional product distributors within the United States, said consumers love to communicate their hobbies, values, or beliefs through branded merchandise and apparel, and it goes far beyond its functionality. “This form of expressions allows people to display that they’re a part of a specific community or fanbase, and instantly connects them to those with similar interests,” he explained. “Also in today’s digital age, having a tangible way to interact with brands can feel more authentic and is a nice break from being served digital advertisements or promotions all the time.”
Mobsby added that merch at bars, restaurants, or hospitality businesses is a great way to keep engaging with customers far after they walk out the door.
What Specific Merchandise and Apparel Items Do Customers Want?
Greg Kerr, CEO of Arizona-based Alchemy Merch, which helps produce custom products for artists and brands, said bars and restaurants can expand their offerings – beyond the standard merch – for a unique edge. “Custom bottle openers, enamel pins to commemorate events, challenge coins to help build loyalty, keychains, and even PVC shoe charms can be fun ways to showcase your personality,” he said.
Kerr said the items they see the most often include enamel pins, promotional coins, and tote bags. “Pins and coins can bring in an element of fun by using them as a reward or way to gain exclusive specials,” he revealed. “A nice tote is functional and gets a lot of impressions out in public. If you make a well-designed tote bag that someone takes to the store or while out and about, it’s getting seen a lot.”
Courtney Blake, owner and CEO of California- and North Carolina-based Pilot Light Consulting, which helps hospitality owners with strategy and launching a new operation, said all of the classic merch best serves most bars and restaurants, but customers also like the unusual or unique items. “If you have a diehard fan base, we have seen some pretty wild items like g-strings, branded bar tools, and luggage,” she added.
Mobsby, of EverythingBranded, shared that what customers really want can vary based on current trends; however, it’s true that some items will always be classic. “One example of a unique item that typically always resonates well with customers is the branded tote – which is clear from the instant virality of the Trader Joes’ tote, which sold out within minutes. It’s also the number one best-selling item we sell to bars and restaurants by far. Consumers want merch that blends aesthetic with functionality – items like mugs, aprons, t-shirts, can always be a good choice.”
Izzy Kharasch, a Chicago-based bar and restaurant industry expert and president of Hospitality Works, said guests are first looking for quality in items they can wear, use, or display. “Even the t-shirt – which are the most popular – should be made of a comfortable material that won’t shrink when washed,” he said. “Other items are baseball caps, though in colder areas, winter caps with a logo can be popular as well. Bar glasses, coffee mugs and water bottles are very popular, too.”
How Profitable Can a Bar or Restaurant Be with Branded Merch and Apparel?
Bale, of R House Wynwood, said the profit potential can be “huge” for bars and restaurants that are dedicated to selling branded items. And Blake, of Pilot Light Consulting, said merchandise can certainly help the profitability of any organization, but for most bars and restaurants those gains may be considered marginal. “The real benefit is in creating community among both regular, local guests and out-of-town fans, and expanding opportunities for upsells,” she said.
Mobsby, of, EverythingBranded, said it’s tricky to quantify exactly how profitable an establishment can be with branded merch, but it can certainly boost profits in multiple ways. “For one, offering merch for purchase is a great way to add an additional revenue stream; for places with a high rate of repeat customers, merch can be an especially strong profiting tactic,” he said. “On the other hand, owners can see a boost in sales by using merch simply as a marketing tactic. In an age where consumers are increasingly looking toward peer-reviews for recommendations, branded apparel acts as a walking endorsement for your eatery.”
For O’Neill of The Dead Rabbit, the true value of merch lies in the long-term impact it has on customer retention and brand visibility. “By offering branded items that resonate with your guests, you create meaningful touchpoints that keep your brand top of mind,” she said. “Every time a customer wears a t-shirt or hoodie, they’re reminded of their positive experience at your bar. This type of emotional connection leads to stronger loyalty.”
Kerr, of Alchemy Merch, agrees that the value of selling merch goes far beyond any dollar amount made. “Most items should allow a two to three-times markup from the cost of production,” he said. “It’s not going to overtake your other sources of revenue, but it can be a great value from a marketing perspective.”
Advice for Producing and Selling Branded Merchandise – Do’s and Don’ts
Mobsby, of EverythingBranded, said create a merch strategy that makes sense to your brand – one that amplifies its unique look and feel – because what works for one business may not work for the other. “For instance, a local dive bar may see the highest ROI from offering branded pint glasses, whereas a café or coffee shop would benefit most from a branded espresso set,” he said. “To do this, it’s critical to first identify what sets you apart from others, and what your customers are looking for.”
Blake, of Pilot Light Consulting, suggested that hospitality businesses and operators consider creating merch that says more about the guest than it does the business. “Think of it as shifting away from logo branding into lifestyle brand territory,” she said. “Some of Pilot Light Consulting’s favorite bar and restaurant merch doesn't even include the company logo. We have seen bars and restaurants accomplish this with limited releases, artist collaborations, modern clothing cuts, and event-specific merch.”
To be successful, bar and restaurant operators should put in the effort to design items that align with their brand, core values, and community, according to Kerr of Alchemy Merch. “Going beyond simply putting your same logo on everything and thinking about the item’s use can go a long way to making it more successful,” he said. “I’d also highly suggest making a quality product that you’d personally want to wear or use. If you don’t want to use the item you made, no one else does either.”
Kharasch, of Hospitality Works, encouraged operators to start by determining what items will really sell vs. sit on the shelf, and then commit valuable space for the merchandise. “Most often, operators put the merchandise somewhere that the guests don’t see and then they wonder why nothing sells,” he said. “Second, don’t do it on the cheap. Customers would rather see a few quality items that a bunch of junk.”
Kerr said that he often sees people go for the same old cheap promotional products and that doesn’t serve anyone. “No one wants to wear it and the $1 to $2 you saved per item ends up costing you more in people not getting legitimate use out of it,” he revealed. “Understandably, merchandise isn’t always at the forefront of a bar or restaurant’s to-do list, so it often gets treated as a last-minute addition and given that level of care. The more well thought out an establishment’s branding is, the more often we see supporting it in merchandise as a pillar of their messaging.”
Blake, who believes that bar and restaurant operators should only use branded merch to help tell their story and to invite guests to be a part of their “in crowd,” said there are some challenges to be aware of when producing a merch or apparel line. “Going into it, we advise clients to consider upfront costs, which can be large; – ongoing inventory management; the design process, which should be properly crafted; and the potential service bottlenecks that can be created in supplying merchandise to customers during service, depending on your service model,” she said. “The bandwidth needed to manage additional sales channels, like an optional online store – which requires fulfillment / shipping – should also be considered before owners dive in.”
How to Market Your Branded Merchandise and Apparel
R House Wynwood’s Bale said, once you’re ready to market your merch, make it impossible to ignore. “Use social media, email blasts, and display the merch right in your restaurant,” he said. “Get your team wearing it, feature it in fun photos or videos, and offer discounts or bundles to incentivize purchases. It’s all about showing your guests how cool it is to be part of the brand.”
Bale also noted that staff should be the “models.” “They’ll hype it up for sure,” he said. “Our staff gets so many compliments and questions about pieces they're wearing, allowing them to upsell the merchandise to guests who didn't know it was available for purchase.”
Araujo – of Alma Cafe, Saveur Catering, and Oscar at PWB – advised creating special events or promotions surrounding any new merchandise offerings, such as “buy a drink, get a free sticker,” or a discount on a t-shirt. “Collaborate with influencers or loyal patrons to spread the word,” she said. “Display the merch prominently in the restaurant or bar, so it’s easy to see and purchase.”
When it comes to marketing merch, Pomegranate Hospitality’s Borden said don’t underestimate the power of Gen Z and what they expect. “By and large, this generation has a fluent understanding of branding and even the cultural subtext of branded moments,” he said. “It’s not uncommon for modern forms of brand marketing to use memes, highly casual language, and daring stunts to create viral moments and an online dialogue with this large pool of digital-native consumers. If it’s appropriate for your brand, these strategies may be worth considering to secure mind-share in an increasingly crowded, competitive marketing landscape.”
Create Merch That Resonates and Acts as a Natural Extension of your Brand
In the end, branded merch and apparel at bars, restaurants, and F&B hospitality businesses is a powerful tool that goes beyond just sales – it’s about building a sense of community and keeping your brand top-of-mind long after customers leave your venue, said O’Neill of The Dead Rabbit. “The key is to create merchandise that resonates with your audience and feels like a natural extension of your brand, not just another product on the shelf,” she said. “Incorporating local flair, clever slogans, or references to signature drinks or dishes can make your merch feel even more personal and authentic.
Bale, of R House Wynwood, concluded that it’s all about giving guests something they genuinely love and that ties into the energy of your venue. “Keep it fresh, involve your staff, and don’t be afraid to think outside the box,” he said.
Aaron Kiel is an editor, writer and public relations professional in Raleigh, N.C., who’s worked in the beverage, tea and coffee industries for two decades, as well as hospitality and technology. He’s a journalist at heart, but he also wears a PR and communications hat through his consultancy, ak PR Group. Aaron is a contributing writer/reporter for Questex’s Bar & Restaurant News and he’s a past editor of Questex’s World Tea News. In 2023, he was a finalist and honorable mention in the “Folio: Eddie & Ozzie Awards” for Range of Work by a Single Author – B2B,” and in 2024, he won a Gold Northeast Region Award in the American Society of Business Publication Editors’ (ASBPE) Azbee Awards. Aaron also received a 2024/2025 ASBPE Diversity Fellowship Award, which supports and recognizes diversity in the field of B2B journalism. Connect with him on Instagram: @adventurer_explorer or visit akprgroup.com.
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