Americans are wondering why go out for a burger when you can grill one at home for a cheaper cost by Wendy.
Wendy warned on Wednesday that the recent alarming slowdown in restaurant sales is being driven by a growing gap between the rising cost of eating out and falling prices at the grocery store.
“It’s gotten a lot cheaper…to get fresh beef at your local butcher and go home and grill it,” Wendy’s executives said during a conference call with analysts.
Higher prices at restaurants is a side effect of higher minimum wages that have gone into effect in many states and also a healthier jobs market that has forced employers to pay their workers more. That’s a good thing for Main Street, but not so for restaurants.
Wendy’s sales in the last three months barely grew at 0.4% and it dimmed its sales outlook for the rest of the year. Even Shake Shack (SHAK) is experiencing a slowdown.
The Americans popular burger joint on Wednesday said its same-restaurant sales rose 4.5% last quarter, a fraction of the 13% growth from the year before.
Americans Wondering Why Eat Burger Americans are wondering why go out for a burger when you can grill one at home for a cheaper cost…Aug 11 2016nigerianews.info