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How to handle menu price hikes as labor costs soar

With unemployment near record lows and minimum wage hikes going into effect in many jurisdictions, operators are under pressure to raise menu prices in order to remain profitable. But they have to do it while keeping their customers happy with what they’re paying. Regardless of the price, guests have to think they’re getting their money’s worth.

“Value is the relationship between quality and price,” said Mark Kuperman, chief operating officer of data analytics and services company Revenue Management Solutions. “Keeping those in balance, whether it’s a $5 item or an $18 item, is really critical.”……Read More