What Would You Do? Beef Prices Are Spiking Again… Now What?
If you’re a restaurant operator right now, you’re feeling it. Beef prices continue to be in very uncomfortable territory, particularly on the cuts your customers actually want: steaks and prime rib. And just when you think there might be relief, supply tightness and packer margin pressure suggest this isn’t going away anytime soon.
Here’s the real challenge: you can’t just take beef off the menu. Customers still crave it. In fact, many are proving they’re willing to pay, especially for a great steak experience. So, the question becomes…
What would you do? Protect margins or protect traffic? The answer, of course, is both.
Here’s what smart operators are doing…
1. Re-Engineer the Menu
You don’t need to eliminate steaks, but you do need to rethink how they show up.
Adjust portion sizes subtly (8oz instead of 10oz)
Feature more “composed plates” (steak + sides vs. large standalone cuts)
Highlight experience over size (sauces, sides, presentation)
The goal: maintain perceived value while controlling plate cost.
2. Shift the Spotlight to “Underloved” Cuts
Operators who are winning right now are getting creative with:
Top sirloin
Flat iron
Inside round (London broil-style features)
Chuck-based steaks and roasts.
These cuts are currently trading much closer to (or even below) trim values—creating opportunity. Done right, most guests will just notice a great meal at a fair price.
3. Lean Into Ground Beef (Yes, Really)
It may not feel exciting, but it’s one of your best margin tools right now.
Gourmet burgers still carry strong perceived value
Blended burgers (beef + mushroom) can improve margins
Premium toppings and builds justify higher price points
When steaks get too expensive, burgers become the hero.
4. Be Strategic With Pricing
This is where many operators get caught.
Avoid constant small increases, confusing customers
Instead, make deliberate, noticeable adjustments
And remember, customers expect beef to be expensive right now. You’re not the only one raising prices; retail and your competitors are too.
Final Thought
This isn’t a short-term blip, it’s a new operating environment.
But there’s some cautious optimism:
Supply cycles will eventually rebalance
Demand may soften if economic pressure builds
And we’re already seeing some short-term pricing windows on select cuts
The key is staying flexible.
Adapt the menu, protect your margins, and keep giving customers a reason to come back for beef, just on your terms.
