Restaurants Paying 50% More for Products

Those costs are being passed on to customers in the form of higher bills. A Colorado Springs restaurant chain is adding a 5% inflation surcharge to orders, and Pluckers Wing Bar, with three locations in the Houston area, has notified customers of a temporary surcharge for each 5-wing order, chicken wings continuing to be one of the products most affected by supply chain disruptions.

Texas Restaurant Association President and CEO Dr. Emily Wright says the increases aren’t discouraging support of H-Town’s love affair with our restaurants. “We’re definitely seeing inflation in Texas. Many products are up north of 50% over the same time last year, but what we’re recommending to restaurants here is that they have that conversation with customers and be very transparent about it.”

Among the shortages hitting hard currently is aluminum in bottles and cans.

“The unfortunate part is the cost of goods for these restaurants is at the highest rate in ten years,” says Wright. “We are seeing restaurants pass that on in a small percentage, but we are not seeing that deter customers from still visiting restaurants.”

In addition to bearing the higher cost of the ingredients they serve, restaurants are also among the service industries severely crippled by the worker shortage. Demand for their wares can sometimes exceed their ability to deliver the service.

photo: Getty Images

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