Summary
A study shows that many U.S. restaurants are increasing menu prices due to rising labor costs and tariffs. The report highlights that these costs are making it tough for restaurants to maintain their profits. Businesses are trying to balance price hikes with consumer expectations for quality and value.
Key Facts
- A study by Expert Market found that many U.S. restaurants plan to raise prices.
- Restaurants face a "double squeeze" from rising labor costs and tariffs.
- 62% have raised menu prices to handle these financial pressures.
- Staffing and wage costs are significant challenges, with 57% saying staff wages are the biggest issue.
- Tariffs impact 60% of businesses, leading to higher menu prices for 47%.
- Since January 2021, wages in restaurants grew by 27.5%, outpacing inflation.
- 80% of businesses say consumer expectations affect their operations, especially regarding affordability and value.
