The difference between winners and losers in a tough restaurant market

A Deeper Dive: This week's episode of the podcast features James Walker, CEO of Frisch's Restaurants, to talk about the state of the restaurant industry.


Restaurants continue raising prices faster than grocers

Menu price inflation slowed at fast-food restaurants last month. But prices throughout the industry continue to increase faster than at supermarkets.

A six-unit operator with locations in Texas and Minnesota closed its locations and filed for Chapter 7 bankruptcy, citing continued losses.

The Bottom Line: Bankruptcy filings, closures, strategic alternatives and a sudden value messaging all suggest the industry is in a tough spot. But many brands are still thriving.

The giant food distributor Sysco said the consumer environment has been tougher on restaurants than expected this year due to higher menu prices.

The retail giant suggested its value is pulling customers away from restaurants, where menu prices continue to increase.

Prices at limited-service restaurants accelerated last month while grocery store prices declined, according to new federal data.

The restaurant industry added 6,600 jobs in April, according to new federal data, continuing a pattern of slower overall job growth.

Prices at restaurants increased slower than the overall rate of inflation in March. But they still increased faster than they did at the grocery store.

Operators complain of frequent fraud and a cumbersome process for getting their money back from delivery providers. “They make nothing simple for you.”

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