E&S Extra

Editorial Director Joe Carbonara provides insights and commentary on the state of the foodservice equipment and supplies marketplace.

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Won’t Get Fooled Again

Meet the new boss, Same as the old boss.

Joe Carbonara editor hsThose are the very last lyrics of “Won’t Get Fooled Again,” a hit song by The Who. Although that song was released all the way back in 1971, the sentiment seems apropos for the foodservice industry as it heads into 2023. That’s because so many of the same issues that dogged the industry for most of 2022 will remain center-of-the-plate challenges for the coming year.

Rising food costs, a big problem throughout 2022, represent the number one issue of concern for chefs heading into 2023, according to the James Beard Foundation’s Fall Industry Survey. In fact, 44% of the chefs participating in this national study ranked it as their top worry. And the next three concerns on the list might ring familiar: rising labor costs, the inability to find staff to hire, and rising non-food costs (utilities, containers, furniture, etc.). To nobody’s surprise, supply chain issues around food items were next. Interestingly, staff retention and supply chain issues around non-food items fell lower on the list.

Earlier in the song, Roger Daltrey, lead singer of The Who, belts out, “The change it had to come. We knew it all along.” In this case, that change took the form of 67% of the chefs participating in the James Beard Foundation survey increasing prices on their entire menus. Only 8% reported not raising prices at all, which is consistent with other studies. Prior to this dramatic inflationary period, operators would take price increases sparingly, but the current business environment left them no choice.

But change was not limited to price alone. More than half of the operators participating in the James Beard Foundation survey reduced the number of dishes on their menus, with 31% both cutting down and simplifying their offerings.

While fully aware of the challenges that lie ahead in the coming year, the chefs participating in the James Beard Foundation study did offer some reasons for optimism. For example, many respondents expressed hope in the “next generation” for motivating innovation and progress for the industry. “We are a resilient group of people who have fostered a strong network of community,” wrote in one of the respondents.

Indeed, challenging times are nothing new for the foodservice industry, which always seems to come out stronger than before. Lazy thinking says the industry perseveres because people have to eat and not everyone wants to cook or wash dishes. But it’s more than that. The industry continues to overcome the challenges it faces time and again due to the thoughtful hard work and collaboration among supply chain partners. 

Nor is change anything new to this industry. Overall, foodservice is a business based on serving food to people, and for that reason the foodservice industry is never in a static state. It is always evolving, and that’s what keeps so many of you engaged.

While I hope you don’t get fooled into thinking this will be an easy year, don’t shy away from the challenge and the opportunity to change for the better. As Ben Franklin once said, “When you’re finished changing, you’re finished.”

Here’s to a happy, healthy and prosperous 2023!

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