U.S. Restaurant Industry Faces Margin Pressures Amid Modest 2026 Growth
Event summary
- Total restaurant and foodservice sales projected to reach $1.55 trillion in 2026, with over 100,000 jobs expected to be added.
- 42% of operators reported their restaurant was not profitable in 2025 due to rising costs.
- More than 70% of consumers say they would use restaurants more frequently if they had more disposable income.
- Restaurant and foodservice employment projected to reach 15.8 million jobs in 2026.
The big picture
The U.S. restaurant industry is navigating a mixed economic landscape in 2026, with modest growth tempered by persistent cost pressures and cautious consumer spending. Despite these challenges, the industry remains an economic powerhouse, driving job growth and fostering entrepreneurship. Operators are focusing on operational innovation, workforce investment, and smart policy solutions to sustain long-term growth in a still-challenging economic environment.
What we're watching
- Cost Management
- How operators will balance rising costs with delivering value to consumers.
- Labor Challenges
- Whether the industry can address workforce development and immigration reform to fill open positions.
- Technology Adoption
- The pace at which restaurant operators invest in technology-driven efficiency to streamline operations.