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Restaurant Menu Pricing: How to Set Prices That Boost Profits And Keep Customers

ChowNow

Menu pricing isnt just about covering costsits about finding that sweet spot where profitability, customer perception, and operational reality meet. Set prices too low, and youre leaving money on the table. Most operators aim for food costs to be around 28-35% of the menu price, though this can change from restaurant to restaurant.

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Value Is the New Battleground for Loyalty

Modern Restaurant Management

based diners who recently ordered from a QSR, fast-food or fast-casual chai also found that value is about more than just price. Guests are significantly pulling back their discretionary spending, which is directly influencing when, how, and what they choose to order at quick-service and fast-casual restaurants.

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Price Matters: Inflation Wearing on Consumer Dining Behavior

Modern Restaurant Management

RMS just released our latest findings around consumer sentiment for Q1 , which revealed, among other things, that price is starting to matter—and not by an insignificant amount. When asked why they were getting less value from a restaurant visit, 82 percent reported higher prices. The sentiment has changed rapidly.

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Keeping Up with Diners’ Expectations Amid Rising Prices

Modern Restaurant Management

These smart kiosks, found increasingly in QSR and fast casual restaurants, also enhance order accuracy, reduce labor costs and provide brands with valuable data on diner preferences and ordering patterns.

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MRM EXCLUSIVE: Personalized Promotions Must Line the Loyalty Path

Modern Restaurant Management

While there was a brief dip in consumer awareness of menu price increases in late 2024, the spring of 2025 has seen a moderate rise, affecting dining habits and consumer perceptions of value. “With rising prices tied to eggs and imported goods, restaurants will need to think creatively about their menus,” Fink said.

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2025 F&B Trends: Newstalgia, Stealth Health, and Botanical Beverages

Modern Restaurant Management

High menu prices have been an issue in the industry in recent years due to inflation, resulting in a decline in traffic as diners wish to spend less. In 2025, operators can offer elevated foodservice experiences at more affordable prices through emphasizing value in LTOs to drive sales.

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Top Three Reasons Why Multi-Unit Operators Should be Looking at Fast Casual Brands to Expand their Portfolio in the Restaurant Industry

Modern Restaurant Management

According to a study conducted by Technavio , the fast casual restaurant industry will witness a compound annual growth rate of over 12 percent from now until 2026. I believe that fast casual continues to be a great place for savvy multi-unit restaurant franchisees to diversify. Which brings us back to the restaurant industry.