I couldn't make my restaurant's numbers work. So I took prices off the menu.
Dylan Alverson, owner of Post Modern Times, transformed his Minneapolis restaurant into a pay-what-you-can model, making more money than before.
Dylan Alverson, owner of Post Modern Times, transformed his Minneapolis restaurant into a pay-what-you-can model, making more money than before. This
Read Full Story at Business Insider Mkt →Why This Matters
The shift away from fixed pricing toward flexible, customer-determined models signals a broader reckoning with traditional capitalism’s rigid structures. When a business can thrive without enforced price floors, it challenges assumptions about fairness, accessibility, and the psychological barriers that often deter patrons from paying what they can afford.
Background Context
Pay-what-you-can (PWYC) dining isn’t new, but it has historically been tied to nonprofits or community spaces rather than for-profit ventures. The pandemic exposed vulnerabilities in restaurant economics, pushing owners to experiment with models that prioritize customer loyalty over rigid profit margins—a radical departure from decades of industry norms.
What Happens Next
If Alverson’s model gains traction, competitors may test hybrid approaches—perhaps scaling PWYC for off-peak hours or special events while maintaining fixed pricing elsewhere. Regulatory scrutiny could also emerge if businesses attempt to exploit such models to skirt minimum wage laws or tax obligations, forcing clearer definitions of sustainability.
Bigger Picture
This experiment reflects a growing consumer appetite for ethical consumption, where transparency and equity outweigh traditional profit incentives. As inflation pressures persist, more businesses may adopt flexible pricing—sparking debates about whether such shifts represent a temporary survival tactic or the early stages of a systemic economic reimagining.
