That one suckered 'em in real good....
Posted on 03/13/2024 1:11:14 PM PDT by CFW
Ricardo Lopez was long reluctant to raise the prices at his Mission District restaurant La Vaca Birria, where he serves succulent beef braised in a red broth packed into burritos and tacos. But as of late, he simply has no other choice to remain afloat. “I wish there was something else that I could do,” he said. Just like seemingly every other restaurant in the Bay Area, prices have been increasing at La Vaca Birria, and customers aren’t always accepting of the change. So in a recent Instagram post, Lopez addressed a customer complaint about high prices and broke down the reasons his popular grilled cheese birria burrito has gone from $11 a couple of years ago to its current price of $22.
[snip]
Key ingredients for Lopez’s beef birria, like USDA Choice grade chuck, have gone up. When he began the business as a food truck about three years ago, it was $4 per pound; two years ago it was $4.50, and now it’s $6. Because the restaurant uses about 2,500 pounds of beef per month, the $2 increase costs $5,000 per month. Other ingredients he uses like onions have jumped in price from around $11 to $80 for a 50-pound sack. Soybean oil has climbed from $20 to $50 per container. Even mesquite charcoal, a key component for his smoky grilled meats, is more expensive. (According to the U.S. Bureau of Labor Statistics, food inflation was up 2.2% year-over-year in February, and overall inflation was 3.2%.)
(Excerpt) Read more at sfchronicle.com ...
The reason you raised prices is secondary to your demographic. If you can’t afford the cost of rent, go back to the food truck.
Bottom line,if it cost too much, people will not buy! While I sympathizevwith your plight, you have to know what you client can afford.
Many businesses have gone out of business because they jumped on the Civid increase plan, and won’t go back down in price.
If your goal is to provide a good product at a fair price, then everything else has to adjust to meet that goal.
As a businessman,I can tell you many that go out of business, did so because of them being unwilling to adjust their prices to a point their customers can afford.
I hope you make the right decision.
Question: Would your customers object to buying your burritos from a food truck for 11 bucks? If the answer is yes, perhaps it’s the rent or location that is your problem.???
Minimum wage: I told you so.
Joe Bidumb : I told you so.
And a million other embrace socialism I told you so’s.
Where is obvious man?
Give Obvious Man the Nobel Prize....thank you.
The $20 effective date is April 1, you know, the day we’re going to blow up the entire lower tier of the wage structure in this state, and kick off our own fresh bout of inflation. With only one outlet the law doesn’t apply to him and, with chains laying off workers, particularly drivers, automating as much as they can, it’s not like his workers will actually have fast food jobs they’ll be able to leave him for.
Our overlords don’t mind so much the catastrophic consequences of their actions, including those who they pretend to help losing their jobs that are below 30 hours/wk anyway so Obamacare doesn’t have to be provided.. The important thing is that the Legislature gets to feel really good about giving theoretical workers “a living wage.”
“Costs of taxes, restaurant upkeep, labor, and advertising, are usually more important.”
That’s one big reason I like to eat at home.
Plus it’s generally WAY less salty. [Saves on gas, too]
[Screws the gov’t on taxes as I’m working for myself.]
But then Washington state passed the minimum wage thing. The owner didn't feel right about paying his new workers the same as his old workers, so he had to increase everyone's wages.
That, along with new zoning and increased rents he finally had to close it. Lots of good memories at that place.
He sold his pizza dough through the nearby small grocery store for years afterwards, but not the same as going to the local pizzeria.
Come on man! Its shrinkflation. Folks, the tortillas are getting smaller. There’s lesh smengredients in the burtito. What a rip off! Like the gas shations, you jush need to charge less man!
Note that union wage scales are based on a percentage of the minimum wage. So a guy getting paid $45 an hour with a $15 minimum wage will now be getting $60 an hour. Of COURSE the unions vote for this.
I agree with your point.
Yet, prices can and do go down based on supply, demand, free market.
Gas prices went down a lot under Trump.
certainly true about gasoline, but as a general rule inflation doesn’t go down it simply slows its rate of growth.
Even at the target 3% inflation rate, everything will double in price approximately every 20 years.
If inflation is 15% one year, then drops to 2% the next, that is 17% inflation. It is cumulative and compounding. A lot of people don’t understand that simple fact.
“But that’s how inflation is pure government THEFT - we work our asses off to keep costs low, so that the Federal Reserve and Fed.gov can print money to STEAL all our efficiency gains, and more, with debased money”
Too many people think businesses work to keep costs high. It’s just the opposite. They realize that there a point that the increase in prices will cause the consumer to abandon their product. Many businesses are reaching that cross-point. To stay in business they have to increase prices. However, if they increase prices they lose more customers thus reducing revenue. It is a lose/lose proposition.
Ingredients are <30%
Biden today: “Wages are rising faster than prices.”
Just pure b.s.
Sheet...!!! I can make an awesome burrito for under $5-6 bucks.......Prolly cheaper than that,,if it’s just cheese and beans.
Looks good to me.
Supposedly a Big Mac combo meal is $18 in California.
I’ll take burrito, if I lived in California.
Here in Georgia, I can get a Longhorn burger meal with bacon and Swiss cheese and far better fries (or any other side) for less than a California Big Mac combo.
I got 2 Big Macs and a single Large Fry here in the Midwest.
Less than $10 (But I DID use their coupon).
A large Coke would have been about $1.60 more.
Big Mac around here is about $4.89 before tax or so.
Even at the expensive McDonald’s it’s about $5.86 with tax.
What?
I grow onions so have no idea what the current price is but are they that expensive right now?
And what are the reasons?
Guy is oblivious to, he’s in SF, SF is in a doom loop, he could raise prices to $50 a burro or drop it to $3 a burro, and it doesn’t matter. He is well and truly f’d because he is in SF. Schadenfreude.
And leases
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.