As a restaurant owner, raising prices is one of the toughest decisions you will ever make. Is now the right time? How much should I raise prices? How many customers will I lose? How can I soften the blow? The following suggestions will help keep your bottom line healthy—without jeopardizing the success of your business.
Keep increases as modest as possible
Don’t raise the price of every meal by a few dollars across the board. Take time to analyze your financial situation, and choose how best to apply increases. Customers recognize that you add value to their lives; it is in their best interest for you to remain profitable. If your prices increases are both modest and valid, the transition should be relatively easy.