How to price the dishes on your menu
The price of a dish is not simply what a competitor charges. It has to cover the food, the labour, the rent and leave you a profit. Here is a simple way to work it out.
Work out the full cost of the dish
Add up the price of every ingredient for one portion, including oil, spices and sides. A dish with 6 ingredients can have costs you forget, so write them all in a simple table.
Aim for a food cost percentage
Many restaurants aim for a food cost of around 28–35% of the selling price. If a dish costs €3, the selling price at a 30% food cost is about €10. The percentage depends on the type of venue, so adapt it to yours.
Do not forget the other costs
Food is only one part: labour, rent, energy, taxes and waste also have to be covered. If you price from food alone and add a little, you can sell a lot and still not make a profit.
Compare with the market, but do not copy it
Look at the prices of similar venues in your area to know where you stand, but set your price from your costs and the value you offer. A dish with a bigger portion or higher quality can carry a higher price.
Review it when ingredient prices change
When suppliers raise their prices, the margin melts without you noticing. Review your prices every few months. In a digital menu the change takes seconds and appears at once, with no reprint.
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Start freeFrequently asked questions
- What should my food cost be?
- It is often aimed at 28–35% of the selling price, but it depends on the type of venue and your other costs.
- Should I raise prices when suppliers raise theirs?
- If your margin drops too far, yes. You can also adjust the portion or the recipe, or raise the price of a few dishes slightly.
- Does a digital menu help?
- Yes, because prices change at once and analytics show which dishes sell well.