How can I adjust my menu if my food cost is too high?

First check where the problem is

Before you start adjusting prices, you need to know which dishes are causing the problem. Not all dishes have the same impact on your profit.

Calculate your new minimum selling price

For each problematic dish, calculate what the minimum selling price needs to be to achieve a healthy food cost. The formula is simple:

Minimum selling price excl. VAT = Ingredient costs ÷ (Desired food cost % ÷ 100)

Choose your strategy: raise prices or lower costs

You have three options to lower your food cost. Often a combination works better than going all-in on one approach:

• Raise selling price: Most direct solution, but can scare off customers
• Lower ingredient costs: Different supplier, different products, smaller portions
• Remove dish from menu: Drastic, but sometimes necessary for chronic money-losers

Raise prices smartly and gradually

Price increases don't necessarily scare off customers if you do it right. Most guests accept reasonable increases, especially if quality stays consistent.

• Start with your least popular dishes: Less impact, less noticeable
• Increase in steps of €1.50-€2.50: Big jumps are too obvious
• Don't change everything at once: Spread it over 2-3 months
• Don't announce price increases: Just quietly implement them

Lower ingredient costs without losing quality

Sometimes you can lower costs without guests noticing. After managing kitchen operations for nearly a decade, I've found this requires more creativity than raising prices, but it's often more effective.

• Different supplier: Compare prices, especially for expensive ingredients
• Use seasonal products: Winter tomatoes cost 3x more
• Adjust portion sizes: 200g meat instead of 250g saves €2-3 per portion
• Look critically at garnish: Those expensive microgreens cost €0.80 per plate

Monitor results and adjust

After making changes, you need to watch whether the desired effect occurs. Food costs can fluctuate due to seasons and supplier prices.

• Check your food cost per dish monthly
• Watch your total revenue: Are sales declining due to higher prices?
• Keep an eye on supplier prices: They can go up again
• Adjust again if needed: This isn't a one-time action

A food cost calculator like KitchenNmbrs helps track these numbers automatically, so you quickly see when adjustments are needed.

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Sources consulted

• EU Verordening 852/2004 — Levensmiddelenhygiëne (2004) — Official source
• EU Verordening 853/2004 — Hygiënevoorschriften voor levensmiddelen van dierlijke oorsprong (2004) — Official source
• EU Verordening 1169/2011 — Voedselinformatie aan consumenten (2011) — Official source
• NVWA — Hygiënecode voor de horeca (2024) — Official source
• NVWA — Allergenen in voedsel (2024) — Official source
• Codex Alimentarius — International Food Standards (2024) — Official source
• FSA — Safer food, better business (HACCP) (2024) — Official source
• BVL — Lebensmittelhygiene (HACCP) (2024) — Official source

Calculate it yourself with KitchenNmbrs

All the formulas you learn here — KitchenNmbrs calculates them automatically. Enter your ingredients and instantly see your food cost, margin, and selling price. Try it free for 14 days.