Restaurants May Change Menus, Hike Prices In 2009

[Purveyor]

(10-13) 14:31 PDT NEW YORK, (AP) --

Beef may not be what's for dinner at your favorite restaurant come 2009.

Restaurants, now working to secure supply and price contracts for meat and other commodities for the upcoming year, are expecting big increases in food costs — increases that will likely lead to menu changes and price hikes.

---SNIP---
The decision to raise prices or change menus could have some harsh repercussions, especially because more diners are already eating at home to avoid pricey restaurant food. With the stock market dropping and consumers questioning whether their retirement savings will be available when the time comes, paying more for a meal out may be even harder to stomach.

But for restaurateurs, there may not be much of a choice.

"This is the most challenging environment for restaurant operators regarding food price inflation on the wholesale level for almost 30 years," said Hudson Riehle, senior vice president of research at the National Restaurant Association.

MORE...

AP: http://www.sfgate.com/cgi-bin/article.cgi?f=/n/a/2008/10/13/financial/f104355D89.DTL

[OwnedByFerrets]

1. Every restuarant Ive been to lately has gone up

by at least 30%. And where tea and cola used to be 1.19 to 1.49, its now 1.99 to 2.49. They make a friggin killing on cola products. Each glass costs about 3-5 cents.

[catnhatnh]

6. What it costs to sell cola...

Our hot dog stand has gone up about 9% this year....a few selected increases on menu items and then we changed all items from "tax included" to adding the State's 8% Rooms and Meals tax. Our hotdogs increased .32 per pound (more than 10%) and hamburger pattys rose an amazing 60%!

Anyhow to sell a cola...we sell only the majors (Pepsi and Coke) cans. Best price this year was $3 per 12 pack and seldom more than $4.. Anyhow that works out to .25 minimum. We sell them for $1.25, a markup of 500% which may seem extreme until, as Paul Harvey says, you hear the rest of the story...

To sell that cola, we drive 8.6 miles to pick up our supplies each day...of course we pick up other stuff so the time and car usage can be spread over a range of supplies, but it IS part of the cost...if you want to pay .25 for that can it is only 4.3 miles away.

Of course when you buy the .25 cola, it will come with it's 11 other siblings, and oh, yeah-they'll arrive at room temperature-did you WANT yours chilled?

I don't mind sitting there 8 1/2 hrs a day, 7 days a week for your convenience but DO expect to get (poorly) paid for it. You remember me-the guy sitting next to the 56 cubic feet of refrigerators and freezers that have to run 24/7 to keep that bad boy cool. See how that affects an electric bill.

To have that refrigeration of course, I had to buy the units AND the trailer they are located in. I paid to upgrade the site so you can, if you wish, sit at the three shaded picnic tables while you drink that cool cola. I have to pay to lease the site so you can buy the cola there and sit in the shade while you enjoy it.

I have to pay for insurances to protect me against damage you may do or suits you may file. If you ask even for little things like a straw or a napkin-you expect them free, and they ain't. Neither are cups or ice. But I got 'em and I give them with a smile.

And I do this (with a smile) because the cola is the HIGHEST margin item I sell. Almost nothing else is better than a 25% cost and they average closer to 30-35%.

In short,you are NOT buying a cola from me-you would be stupid to do so. You are buying a cold beverage of your choice WHEN and WHERE you need one. Through a pile of being there and a ton of spent money, I am where you need with what you want, and never by accident. The extra dollar is not a hosing-it is a service delivered where and when needed and if I sold them for less every other item would need to rise in price.

Cola is what takes the sting out of the price of the food.

[madokie]

8. Way more to it than what meets the eye for sure

Peace

[catnhatnh]

10. Yes there is...

and peace to both you and all the folk you like. "Cola" is a buzzword for extravegent profits. Except even large volume places with mixers and dioxide bottles are damn close to my costs...maybe .10 less, like .15 per glass...which have to be washed...Both before and after.

Until you cook for folk, you have no idea.

[madokie]

11. I remember once reading that mcDonalds cash cow was fries

pretty much broke even on the burgers but cleaned up with the spuds. I always tip the waitress at the table and the cooks as I pay the bill. Here give this to the cook please, almost always gets a wow type look closely followed by a big assed smile from the cashiers.

[OwnedByFerrets]

12. I was basing my price on fountain cola....I can imagine how

it would be expensive the other way.

[RavensChick]

2. All the more reason why I eat at home!

I very rarely go to a restaurant in the DC area (except on my birthday), so I'm not surprised. If I'm not in the mood to cook, there are 3 Chinese take outs in my area I can go to, and they went up on their prices too but not a whole lot like the fancy schmancy places.

What's more, all the sports venues have gone up on their prices too from what I hear, so it's no surprise that I hear fans loving the game but hating the food prices. So, for them I say this--find the nearest McDonald's or Wendy's and eat before you go to the game!

[onecent]

3. What? No more dollar mcdonalds...

Americans might get healthier!

[Jack Rabbit]

4. Big Mac $20

Onions, lettuce, pickles, secret sauce, two soy bean paddies on a seseme seed bun.

[Systematic Chaos]

5. They'd be GOOD for you...

...if they were really made of soy. :shrug:

[LooseWilly]

7. or 2 for $30...

[pitohui]

9. they may do whatever the fuck they please

however the reality is people don't have discretionary incomes so if they want to raise prices then don't be surprised when no one comes into your restaurant