Thriving Restaurants

Restaurant Owners and Managers--Do your food costs fall as fast as they rise? Recent commodity price fluctuations to be aware of...

Fresh chicken wings are 53% lower than they were in 2019. The market has them priced below $1 per pound! Are your prices back to 2019 levels? Avocados, pork back ribs, and pork belly (bacon) are all below 2019 as well. Eggs are currently below their price from 3 years ago. A seasoned procurement person knows how to navigate the commodity markets. They should more than pay for themselves over a year. At Thriving Restaurants our goal is to save a minimum of 2X our fee. The savings is usually much higher than that.
If your company needs someone to help manage and negotiate prices send us a note at [email protected]

Attention Restaurant Owners/Managers! Are you aware of how deflating food prices can have a negative impact on your business? Read on to learn how dropping prices can harm your restaurant and what you can do about it.

When market prices for ingredients drop, restaurants with a contracted markup in writing with their distributor will benefit from immediate price reductions. However, those without a contracted markup are at a significant disadvantage because their prices will drop much slower, potentially losing out on profits.

This disadvantage becomes even more pronounced during times when customers are watching their spending closely. Competitors with a margin in place can offer more competitive menu prices and see greater profits from similar sales. This allows them to offer higher wages to their staff and outspend the competition on advertising.

To avoid falling behind, it's crucial to have a solid contract in place with your suppliers that outlines a set markup for everything you buy. This provides stability and protects your business from the fluctuations of the market. Take some time to review your supplier contracts and ensure you have a contracted markup in place.

In short, having a contracted markup in place is essential for restaurants to stay competitive and maintain their profits. Don't let deflation harm your business - take action today. If you need help or advice, don't hesitate to contact us at Thriving Restaurants. We're dedicated to helping growing restaurant operators compete with big chains, leveraging our 30+ years of relationships, large buying power, and aggressive contracts. Gain an advantage over your competition before they gain one over you.

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Glenn Hurley on LinkedIn: #restaurant #foodindustry #procurement #consulting #restaurantindustry… 📣 Attention Restaurant Owners & Managers! 🍽️ Are you in the process of negotiating a new food contract for your restaurant? Have…