How Restaurants Can Manage Rising Food Costs

p>As anyone who shops in the grocery storereveal which menu items are making you money
knows, the cost of food has been steadily risingand which are not. Of course, you will always
for a few years now. The recent economichave core items that define your restaurant, but
downturn has slowed that trend somewhat, butmany fringe items can be changed and chopped
the reality is that everyone in the food serviceas needed until you find a combination that works.
industry is dealing with rising food costs, and theySeasonal ingredients can help your restaurant
will be for the foreseeable future as well.keep margins high and costs low. The cost to
So what should you do to manage these risingproduce a menu item should be a major factor in
food costs in a time when customers more thanthis decision. High dollar entrees may bolster your
ever expect high quality and low prices whenservers' check averages, but if the margin in that
they go out to eat?entrée is small because of expensive
Here are some strategies to help you cope:ingredients, then you're not doing yourself much
Leverage your buying power. Your restaurantgood. It may make sense to focus on less
goes through a lot of food and ingredients. Andexpensive items (especially when customers are
every month a large chunk of your budget goeslooking for values!) that have a higher profit
to suppliers who keep your walk-ins stocked. Thatmargin for you. Alternatively, you can take
chunk of money is the core expense in yourexisting menu items and interchange ingredients
business, and the most important one besidesthat don't compromise quality but do make the
payroll. The upside to this is because you spendentrée more affordable for you and your
so much with food suppliers, that makes you ancustomer.
important customer to them, and importantFinally, be sure to take advantage of seasonal
customers should be able to get deals and otherdeals. Many ingredients can be purchased in bulk
perks from their suppliers.during seasonal peaks in production at a discount.
The best place to start is to consolidate yourOnce you buy a seasonal product in bulk, get
food suppliers whenever possible. The more youcreative with different ways to work it into your
spend each month with a single company, themenu. No matter what, your menu should never
more leverage you will have in negotiatingbe a sacred cow. Constant tweaking and
discounts. If you can get a comparable productexperimenting is vital to helping you find the
from a single company without sacrificing quality,perfect combination.
than by all means go with as few suppliers asManage portions. Every recipe calls for specific
possible.amounts of multiple ingredients. In a bustling
Next, buy products in bulk whenever possible.kitchen at the peak of the dinner rush, those
Hopefully you already invested in adequate walk-inportion amounts often get more and more
freezer and refrigerator space before thegenerous. This is costing you money.
downturn. Buying core products and ingredients inTake the time to train kitchen staff on correct
bulk gives you access to deeper discounts, butportions and enable them to take the time to
this is only possible with plenty of walk-in space.measure portions correctly every time. A portion
Even if you are short on storage space, seriouslyscale is also a vital piece of equipment to help you
consider investing as soon as possible. Over thecontrol portions. The training process should be
long term this investment will pay off handsomelyongoing, and taking the time to train and enforce
in savings when you buy bulk product.quality control on portioning can translate into
Work over your menu. As food prices for somesignificant savings over time.
products rise, others fall or stay the same. At theIn fact, all of these strategies have a cumulative
same time, some items on your menu sell welleffect, and if implemented properly, can really
while others decline. Constantly evaluation willbenefit your restaurant's bottom line over time.