Menus & Costing
Menu price increases require a strategic approach
As inflation continues to affect the industry, experts address how and when to increase prices without upsetting customers.
Figuring out when and how to raise menu prices is one of the hardest decisions when running a restaurant, and it’s especially true now with increased costs on food and labor hitting everyone’s bottom lines.
Inflation, supply chain shortages, and the industry’s current labor woes are some of the issues affecting restaurants’ bottom lines, and in most cases, they’re adjusting prices.
Others add small surcharges onto customers’ bills to meet increased expenses. According to the Association’s most recent survey on business conditions, 91% of operators surveyed raised menu prices; 16% report adding surcharges to checks.
Some restaurants are adding surcharges to offset increased operation costs; some are combatting rising credit-card transaction fees (swipe fees). Heartland Payment Systems(Opens in a new window) explains that surcharges typically only apply to customers paying with credit cards, not those using debit, prepaid, or gift cards.
As inflation continues to affect the industry, experts address how and when to increase prices without upsetting customers.
Figuring out when and how to raise menu prices is one of the hardest decisions when running a restaurant, and it’s especially true now with increased costs on food and labor hitting everyone’s bottom lines.
Inflation, supply chain shortages, and the industry’s current labor woes are some of the issues affecting restaurants’ bottom lines, and in most cases, they’re adjusting prices.
Others add small surcharges onto customers’ bills to meet increased expenses. According to the Association’s most recent survey on business conditions, 91% of operators surveyed raised menu prices; 16% report adding surcharges to checks.
Some restaurants are adding surcharges to offset increased operation costs; some are combatting rising credit-card transaction fees (swipe fees). Heartland Payment Systems(Opens in a new window) explains that surcharges typically only apply to customers paying with credit cards, not those using debit, prepaid, or gift cards.
