Survey: Restaurant operators face steep cost increases — but remain optimistic
Rising food and operating costs are impacting American restaurant operators in a big way.
Over two-thirds (68%) of U.S. operators have raised menu prices in the past 12 months, and nearly one in three (30%) plan to raise them again, according to the 2026 Hospitality Operator Report from SilverChef USA, a provider of restaurant equipment financing.
Over the past 12 months, the typical U.S. operator saw a median cost increase of 7.5%, consistent across every type of establishment. Operators reported the steepest cost increases in food and beverage supply (66%), labor and wages (35%) and utilities (35%). American restaurant operators were more likely to see improved margins compared to their Canadian peers (64% in the U.S. vs. 42% in Canada).
Cooking equipment such as ovens, ranges and fryers is among biggest financial pain points for American restaurant operators, cited by 20% of survey respondents, followed by point-of-sale and technology hardware (15%) and refrigeration (13%).
Due to the high costs, more than a quarter (27%) U.S. operators said they want to upgrade their equipment but can’t afford it. This figure rises to 42% of operators in hotels with foodservice. One-third (33%) U.S. operators delayed a planned equipment upgrade in the past 12 months due to costs, rising to 43% of those in the catering business.
The typical U.S. operator spends a median of $22,500 a year on equipment maintenance and repair, according to the survey.
Despite ongoing cost pressures, a large majority (87%) of U.S. operators are optimistic about the year ahead, rising to 96% for catering companies. On the other hand, 17% of operators in fine dining restaurants and hotels with foodservice say they are pessimistic about the future.
[READ MORE: Numerator: Slowing inflation doesn't ease consumers' concern]
Additional insights from SilverChef USA include the following:
•The median cost to open a hospitality business in the U.S. is $325,000.
•Licensing and permits (36%) slightly outrank commercial kitchen equipment (35%) as the expense most likely to blindside a new operator, with food and beverage inventory (31%) close behind.
•Over half (59%) of U.S. operators turned a profit within their first year, compared to 37% of their Canadian peers.
•The upgrades that operators want the most are smart refrigeration with monitoring and alerts (45%), integrated POS and kitchen-display systems (44%) and energy-efficient cooking equipment (40%).
•The majority (86%) of U.S. operators say the ability to change or upgrade equipment at any time, without paying full price upfront, would help their operations run more smoothly.
The 2026 Hospitality Operator Report was conducted by Leger, the largest Canadian-owned market research and analytics company, on behalf of SilverChef Group. The study surveyed 600 American foodservice and hospitality operators and owners and 250 Canadian foodservice and hospitality operators and owners from June 22 to July 6, 2026 using Leger's online LEO panel, which has more than 400,000 members across North America.
