MCA’s Menu Tracker update reveals that of 4,000 same-line dishes monitored, 49% increased in price between spring/summer 2016 and this year.
During that time only 3% of same-line dishes reduced in price across the 111 operators analysed.
The dishes monitored were directly comparable same name products with the same description for both time periods.
The research shows that entry level prices have increased by around 4% over the past year with hikes particularly evident in sides and desserts across restaurant chains. In contrast, pub operators have increased exit mains and sides – both at 5.5%. Pubs also showed a 3.4% price hike for exit desserts.
The update points out that with rising cost pressures, the 3% price increases can be considered relatively modest and show operators are absorbing or offsetting much of these cost pressures through greater value engineering.
The report predicts that operators will look to sustain 2-3% price rises in the coming year, adding: “The state of the consumer economy will inevitably influence the extent of price rises. MCA expects further price rises to be made but with this accompanied with an increase in promotional activity.”
For more information about the Menu Tracker please contact sophie.barber@mca-insight.com