In a pivotal press release today, Toast Inc. (NYSE: TOST), the all-in-one digital technology platform tailored for the restaurant industry, unveiled its 2025 Voice of the Restaurant Industry Survey. The report sheds light on how restaurant operators are navigating a landscape fraught with challenges, including rising costs and shifting consumer spending dynamics, while reaffirming their commitment to delivering exceptional hospitality experiences.

1. Resilience Amidst Challenges

The 2025 survey, conducted between April 18 and May 13, 2025, captured insights from 712 restaurant decision-makers across the United States. In an era marked by uncertainty, the data reveals an industry that is not only surviving but also adapting and thriving. Operators are focusing on profitability and efficiency while enhancing the guest experience, demonstrating remarkable resilience.

2. Key Findings from the Survey

Profitability Takes Center Stage

A significant 40% of restaurant operators reported that improving profitability is their top priority for the upcoming year. This focus underscores the industry's shift towards strategic financial management in response to economic pressures.

Major Pain Points Identified

The survey highlighted the predominant challenges faced by operators:

Inflation (20%): The rising costs of food and supplies have emerged as the top concern.

Marketing (16%): Effective marketing strategies are crucial in retaining customer interest.

Sourcing and Hiring (16%): The difficulty in hiring qualified staff continues to be a pressing issue.

Menu Adjustments on the Horizon

In light of ongoing inflation, nearly half (48%) of respondents indicated plans to increase menu prices to safeguard their profit margins. This move reflects the delicate balance operators must maintain between cost management and customer satisfaction.

Labor Market Challenges

With 47% of operators focused on increasing staff efficiency due to hiring difficulties, it’s clear that the labor market remains a significant hurdle. Operators are prioritizing strategies that enhance productivity without compromising service quality.

Embracing Artificial Intelligence

A striking 86% of operators expressed comfort with artificial intelligence, and 81% indicated plans to integrate AI solutions more extensively in the future. This optimism suggests a forward-looking approach, leveraging technology to streamline operations and enhance guest interactions.

3. A Bright Future for Hospitality

Despite the complexities posed by rising costs and a challenging labor market, the survey paints an optimistic picture for the future of the restaurant industry. Operators are doubling down on their commitment to guest traffic by investing in marketing and customer incentives, rather than resorting to workforce reductions or reduced operating hours.

Moreover, one in four respondents is planning to expand their operations within the next year. This proactive approach underscores the industry's dedication to preserving the essence of hospitality and community engagement.

4. Conclusion: The Grit of the Restaurant Industry

The findings from Toast's 2025 Voice of the Restaurant Industry Survey serve as a testament to the resilience and adaptability of restaurant operators. In the face of adversity, the industry is not only focusing on protecting margins but is also committed to enriching the guest experience—the heart of the restaurant business.

As the industry continues to navigate these challenges, the insights from this survey provide a powerful reminder that grit and innovation are always on the menu.

For those interested in a deeper dive into the data and insights from the survey, the full report is available on the Data by Toast website.

Original press release