4 alternatives to service charges

May 30, 2017

Justin Pridon is vice president of consulting services at Revenue Management Solutions. This article does not necessarily reflect the opinions of the editors or management of Nation’s Restaurant News.

Costs are rising for restaurant operators everywhere. The minimum wage is going up in many places. Commodity costs are always a worry. And for many prime locations, rental rates continue to climb.

What’s a restaurant owner to do? In some cities, especially on the West Coast, some restaurants are taking an extreme approach: experimenting with added service charges to offset costs.

Cost pressures on restaurant owners and operators are certainly intense,