2022 Reflections: The Year That Was for Restaurants

– Tim McLaughlin, Founder & CEO, GoTab

"When we look back at 2022, two things stand out. First, we saw new habits were formed. Traffic and sales stabilized, though, in some cases such as drive-thru and the lunch daypart, traffic remains at lower levels compared to the big spikes in 2021 as restrictions were lifted and vaccinations became available. The second is pricing. Menu prices have consistently risen since 2021. In the early months of 2022, average price increases remained at about 10 percent. In June 2022, average price increase spiked from 10.7 percent increase YOY to 13.9 percent in July. It continued to climb but stabilized in September and October at slightly more than 15 percent. 

Though we’re nearing the price ceiling we identified in late September, Revenue Management Solutions consultants believe customers are not yet ‘trading out.’  Value deals, innovation within the value menu and personalized deals can keep traffic flowing and strengthen loyalty despite inflationary pressures on both restaurants and consumers. "

Get all of the reflections at 2022 Reflections: The Year That Was for Restaurants.