Three Data-backed Strategies to Reduce Restaurant Operating Costs Without Sacrificing Service Quality

When restaurant operators think about reducing operating costs, they often think they have to make large, sweeping cuts. While the fastest, easiest option might seem to be letting a number of employees go or drastically changing service hours, such extreme measures can actually backfire. According to the latest 7shifts 2025 Restaurant Labor and Cost Profitability Report, labor costs reaching up to 30 percent of revenue and food inflation ranked as the top concern by 52 percent of restaurant operators in 2025, therefore finding ways to reduce expenses without compromising quality has never been more critical. Here are three ways to reduce your costs without experiencing backlash or sacrificing service quality. 

Staff AppropriatelyWhen restaurants cut employees or reduce tables, they don’t end up with fewer expenses–they end up with burned-out, disgruntled team members who aren’t operating at their best. This leads to a decrease in the service they provide customers and may even…