Home » Lifestyle » Restaurant owners fear less profitability as food, labor costs weigh: ‘We are scared’
Restaurant owners fear less profitability as food, labor costs weigh: ‘We are scared’
How has inflation impacted restaurants?
Apple-Metro CEO Zane Tankel discusses how inflation is impacting consumers going to restaurants on ‘Fox Business Tonight.’
Half of restaurant operators in the U.S. expect to make less profit in the new year, according to a recent report from the National Restaurant Association.
In 2022, operators battled rising inflation that drove up supply costs and made borrowing capital more difficult, forcing many to raise prices, according to the group.
The National Restaurant Association Business Conditions survey underscored how "the trifecta of higher food costs, labor costs and energy/utility costs" remains a significant challenge for a majority of operations, which already run on thin margins.
CEO SAYS RESTAURANTS ‘CAN’T COMPETE’ WITH 'VIRTUAL WORKING' TREND
More than 90% of those surveyed said that food costs are a significant challenge, while 89% say that labor costs also pose headwinds.