Restaurant Performance Index - RPI

DEFINITION of 'Restaurant Performance Index - RPI'

A monthly index tracking the performance of the restaurant industry. The Restaurant Performance Index (RPI) is calculated based on answers given in response to a survey sent out to restaurateurs nationwide each month. The survey gauges answers in key areas such as same-store sales, traffic, labor, CAPEX, and others.

BREAKING DOWN 'Restaurant Performance Index - RPI'

The index is divided into two main components: a "current situation index" and an "expectations index". The current situation index data is based on current or recent indicators during the reference month, while the expectations index is based on forward-looking indicators such as how much capital the restaurant plans to use in the next six months. The RPI is published at the end of each month.

RELATED TERMS
  1. Retail Prices Index - RPI

    One of the two main measures of consumer inflation produced by ...
  2. NY Empire State Index

    A seasonally adjusted index that tracks the results of the Empire ...
  3. Index Investing

    A form of passive investing that aims to generate the same rate ...
  4. Indexing

    1. The adjustment of the weights of assets in an investment portfolio ...
  5. Philadelphia Federal Index

    A regional federal-reserve-bank index measuring changes in business ...
  6. Index Fund

    An index fund is a type of mutual fund with a portfolio constructed ...
Related Articles
  1. Entrepreneurship

    Why Do Many Restaurants Fail In Their First Year?

    Too many restaurant ventures will fail in their first year. What can entrepreneurs do to avoid such a fate for their startups?
  2. Entrepreneurship

    The 6 Best Cities to Open a Restaurant in the US

    Understand what a restaurant owner should consider when thinking about starting a restaurant. Learn about the top six U.S. cities to start a restaurant.
  3. Entrepreneurship

    Why the Restaurant Biz Has Narrow Profit Margins

    ...and why people still do it.
  4. Investing Basics

    Methods To Estimate The Cost Of A Local Restaurant

    Here are key factors to consider, and helpful formulas to use, to assess how much a local restaurant would likely be sold for, if you're a possible buyer.
  5. Entrepreneurship

    Economics of Owning a Restaurant

    Discover the many different economic points to starting and operating a restaurant and how you can potentially lower your costs to improve profitability.
  6. Investing Basics

    3 Business Tips from Restaurant Reality Shows

    The reality TV shows "Restaurant Impossible" and "Kitchen Disasters" offer lessons not just for restaurateurs, but for all business owners.
  7. Mutual Funds & ETFs

    The Top 5 Restaurant ETFs for 2016

    Find out which exchange-traded funds (ETFs) offer the greatest exposure to the growing restaurant industry, including a newer pure-play ETF in the sector.
  8. Investing

    11 Top Celebrity Restaurants

    These 11 celebrities may come from a variety of industries but they have all seen the allure of the restaurant business, both high-end and low-end.
  9. Professionals

    The Top 5 Richest Restaurateurs

    The top five richest restaurateurs have proven that it is possible to not only turn a profit in the restaurant business but to become multi-millionaires!
  10. Investing Basics

    What is an Index?

    An index is a statistical means of calculating a change in an economy or market.
RELATED FAQS
  1. What should be included in a restaurant business model?

    Learn what a business model is and its purpose, along with learning the specific elements that should be included in a business ... Read Answer >>
  2. Is it possible to invest in an index?

    First, let's review the definition of an index. An index is essentially an imaginary portfolio of securities representing ... Read Answer >>
  3. How do indexes determine which stocks are removed or added to them?

    Stock indexes are formed based on the kinds of stocks or financial securities they want to track. For example, the Standard ... Read Answer >>
  4. What are the pros and cons of using the S&P 500 as a benchmark?

    Learn about the advantages and disadvantages of using the S&P 500 as a benchmark for portfolio performance, and understand ... Read Answer >>
  5. To what extent can fast food restaurants like McDonald's pass along rising input ...

    Learn what input prices consist of. Understand to what extent a fast-food restaurant like McDonald's can pass along rising ... Read Answer >>
  6. What is the relationship between the PPI and the CPI?

    First, let's take a look at what these two acronyms mean: the PPI is the producer price index and the CPI is the consumer ... Read Answer >>
Hot Definitions
  1. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
  2. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis for the reporting of earnings and the paying of dividends.
  3. Weighted Average Cost Of Capital - WACC

    Weighted average cost of capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is ...
  4. Basis Point (BPS)

    A unit that is equal to 1/100th of 1%, and is used to denote the change in a financial instrument. The basis point is commonly ...
  5. Sharing Economy

    An economic model in which individuals are able to borrow or rent assets owned by someone else.
  6. Unlevered Beta

    A type of metric that compares the risk of an unlevered company to the risk of the market. The unlevered beta is the beta ...
Trading Center