Colorado Restaurant Group Latest To Add Surcharges To Bills To Offset Inflation

  • More restaurants are adding fees and surcharges to customer bills as the pandemic and supply chain crisis spreads.
  • To offset additional costs like increased wages and COVID protocols, restaurants are using fees to try to make ends meet.
  • Choice Restaurant Concepts, a Colorado Springs, Colorado restaurant group, blames inflation for having to add a new supplement to its five area dining establishments.

As the coronavirus pandemic spreads, more restaurants are adding surcharges and fees to the bottom of their bills, passing the rising costs on to consumers when they dine out.

Typically, restaurateurs earn their income from meal totals before taxes and tips that cover the costs of running their business. To offset additional costs such as increased wages, the addition of COVID protocols, increased costs caused by the pandemic, some restaurants have added fees to try to make ends meet.

Choice Restaurant Concepts, a Colorado Springs, Colorado restaurant group, blames inflation for having to add a new supplement to its five area dining establishments.

“Rather than increasing prices across the company, we have decided to charge a 5% fee to compensate for the current cost differences,” Choice Restaurant Concepts says on its website. “The reason we have chosen this path is that it allows you as a consumer to hold us accountable when we take it down. “

The restaurant group has promised its customers that the surcharge caused by the “temporarily swollen economy” would not be a long-term solution and hopes to remove it in 2022, the statement said.

Group chief executive Travis Blaney said the company was prepared to adjust the inflation surcharge as it went, according to the local Colorado news station. KRDO.

In the majority of states in the United States, it is legal for companies to add supplements, but they must be disclosed to consumers. Diners who encounter an additional or charge related to COVID-19 that were not properly disclosed can request the removal of the charge or may file a complaint with a local regulator.

Restaurant patrons have expressed that they are selective about what extras they will pay and may feel like they are caught off guard by extra charges after their meal, an October article from Open table find.

Soaring food costs due to supply chain bottlenecks have pushed some restaurants across the United States to implementation costs and surcharges or completely remove menu items that are too expensive to prepare.

Restaurant owner Douglas Kim at Jeju Noodle Bar in New York City said Grub Street that he had to take a popular chicken wing appetizer off the menu when the cost of wings increased in August to $ 5 a pound.

“It’s a lose-lose situation,” Kim said. “If I sell chicken wings for $ 24, people will think I’m crazy.”

Kim also added a 5% surcharge to her menu to help cover the extra costs, according to Grub Street.

Chef Geoff’s Restaurant Group of Washington DC’s Geoff Tracy restaurant has chosen not to add a supplement because it can be confusing for the customer, he told the DC area radio station. OMCP.

However, Tracy plans to increase menu prices at her restaurants in 2022, he said.

“At the end of the day, the consumer has to come to terms with the fact that prices are going up because the cost of the products we sell to them is going up,” Tracy told WTOP.

The general consensus among experts is that for these pandemic-related fees and charges to be successful, restaurants need to be transparent and communicate the additional costs to their customers.


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