USDA Responds to Labor Disputes on Coast Ports
The U.S. Department of Agriculture (USDA) released the following statement in response to labor disputes at East Coast and Gulf Coast ports:
“The Administration is taking action to monitor and address potential impacts on consumers due to labor disputes at East Coast and Gulf Coast ports. Our analysis shows we should not expect significant changes to food prices or availability in the near term. Thanks to the typically smooth movement through the ports of goods, and our strong domestic agricultural production, we do not expect shortages anytime in the near future for most items.
“Likewise, non-containerized bulk export shipments, including grains, would be unaffected by this strike. For meat and poultry items that are exported through East and Gulf Coast ports, available storage space and re-direction of products to alternative domestic and international markets can alleviate some of the pressure on farmers and food processors.
“We are keeping an eye on downstream impacts in the west, and we will continue to monitor and work with industry to respond to potential impacts. Our Administration supports collective bargaining as the best way for workers and employers to come to a fair agreement, and we encourage all parties to come to the bargaining table and negotiate in good faith—fairly and quickly.”
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Toast Report: Most Americans Choose Sandwiches, Wraps for Lunch
Toast, the all-in-one digital platform built for restaurants, says its Q2 2024 Restaurant Trends Report, provides insight into the overall state of the U.S. restaurant industry through an analysis of aggregated data from selected cohorts of restaurants and in select U.S. cities on the Toast platform, which serves approximately 120,000 restaurant locations as of June 30, 2024. Read more details about our methodology below.
Key takeaways:
- In Q2 2024, guests at quick-service restaurants (QSRs) paid an average of $11.26 (+4.6% YOY) for sandwiches and wraps, $12.98 (+4.6%) for bowls, $11.45 (+4.6% YOY) for burgers, $11.42 (+2.7% YOY) for salads, $10.74 (+4.3% YOY) for burritos, $6.04 (+4.4% YOY) for an order of fries, and $3.00 (+4.6% YOY) for a soda.
- Sandwiches and wraps were the most popular food at quick-service restaurants in every state except California, Nevada, Oregon, and Texas, where tacos are the most popular. Bowls were most popular in Hawaii, and salads were the most popular item in Utah.
- Consumer spending at quick-service restaurants in 20 U.S. cities Toast explored saw a noticeable shift to breakfast and away from dinner and late-night transactions.
- In June, cashiers at quick-service restaurants in California made a median hourly wage of $16.98.
- Tipping dropped slightly in Q2 2024 to a total average of 18.8%. Full-service restaurant tips also dipped to 19.3%, and quick-service restaurant tips dropped to 15.9%.
Toast Benchmarking powers the Restaurant Trends Report’s menu insights. This tool leverages AI-based classification and allows users to compare restaurant and menu category performance against aggregated data from peer Toast restaurants.
To gauge the cost of going out to lunch for consumers compared to last year, Toast examined same-store sales at quick-service restaurants on the Toast platform among 13 different food types: tacos, fries, hot dogs, dumplings, soups/stews, quesadillas, chicken tenders, burritos, sandwiches/wraps, salads, burgers, bowls, and noodles/ramen.
Burgers, bowls, and noodles/ramen topped the list as the most expensive items, while tacos, fries, and hot dogs were the cheapest. Tacos (+5.9%), sandwiches/wraps (+4.6%), burgers (+4.6%), and bowls (+4.6%) saw the largest increase in pricing in Q2 2024 compared to Q2 2023.
The price of hot dogs (+1.9%), salads (+2.7%), and dumplings (+3.8%) grew the slowest in Q2 2024 compared to last year.
Hot dog sales dipped 9% in Q2 2024 compared to Q2 2023, while sales of bowls, chicken tenders, and burritos rose 1%.
View the full report on the Toast Newsroom.
Toast analyzed transactions at quick-service restaurants on the Toast platform from April 1 to June 30, to determine the price growth of tacos, fries, hot dogs, dumplings, soup/stew, quesadillas, chicken tenders, burritos, sandwiches/wraps, salads, burgers, bowls, and noodles/ramen. Toast used a cohort of same-store restaurants on the platform since Q1 2023.
Toast provides a comprehensive platform of software as a service products and financial technology solutions that give restaurants everything they need to run their business across point of sale, payments, operations, digital ordering and delivery, marketing and loyalty, and team management. We serve as the restaurant operating system, connecting front of house and back of house operations across service models including dine-in, takeout, delivery, catering, and retail. Toast helps restaurants streamline operations, increase revenue, and deliver amazing guest experiences. For more information, visit www.toasttab.com.
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Giant Eagle Lowers Price on 200+ Produce Items
Giant Eagle, Inc. has reduced the average price of more than 200 produce items by 20 percent across its Giant Eagle and Market District locations, offering customers an estimated $25 million in annual savings. Its New Low Price initiative will include many of the most popular items in the produce department as Giant Eagle aims to provide affordable access to high-quality fresh food in the face of continued high grocery costs across the neighborhoods it serves.
“Today’s announcement reflects our unwavering commitment to delivering quality, variety, and value to our customers and communities,” said Brian Ferrier, senior vice president of merchandising at Giant Eagle. “By significantly reducing prices on more than 200 produce items, we’re not just offering savings – we’re investing in everyday value. In these challenging economic times, we’re proud to make the fresh, quality produce we stock daily more affordable and we believe these savings will make a real difference in people’s lives.”
With food prices remaining elevated throughout 2024, this latest price reduction effort from Giant Eagle is intended to help customers realize long-term, meaningful value in a fresh department that
customers and their families prioritize. According to the Food Industry Association’s 2023 Power of Produce report, 58% of Americans say they eat fresh produce at least four to five days a week.
These long-term price reductions play a critical role in how Giant Eagle plans to deliver value to customers. As industry factors may cause the shelf prices of these and other items to change in the
future, the investment the company has made into lowering these prices will remain.
Other price-focused initiatives include the continuation of strong weekly sales and unique one-day and three-day sales, the retailer’s seasonally focused Deals for Days discounted prices and personalized savings through the myPerks loyalty program.
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