Connect with us

Published

on

Dozens of restaurants nationwide have quietly begun using surge pricing and have reaped tens of thousands of dollars in profits from the controversial practice, The Post has learned.

Barbecue chain Tony Romas and nearly 100 other small restaurants have already turned to fluctuating menu prices during peak times — similar to the rollout planned by fast-food giant Wendy’s next year — according to one company that sells the software specializing in dynamic pricing.

Los Angeles-based Sauce Pricing — a startup backed by founding members of Sweetgreen, Uber, Airbnb and several private equity firms — said restaurants have the opportunity to increase item prices by 10% to 20% during the lunch rush so customers might pay an extra $1 to $2 for a $10 item, according to a blog post on its website.

In some cases, weve actually seen some restaurants go from having a 10% profit margin to a 20% profit margin, the blog post said.

One of its customers, Las Vegas-based casual eatery Rachels Kitchen, earned $64,000 in additional annual profit across three stores, according to Sauce Pricing’s website.

The Rachel’s Kitchen CEO Debbie Roxarzade confirmed the company uses Sauce Pricing’s software.

The prices “don’t increase or decrease [by] more than 15%, that’s our cap for all menu items,” she told The Post on Tuesday. She also said the price fluctuations only apply to the restaurant’s delivery orders from Doordash, UberEats and Grubhub.

Orlando, Fla.-based Tony Roma’s, popular for its ribs, did not return calls for comment.

Ice cream favorite Carvel was also listed as a Sauce Pricing customer on its website, but the Fudgie the Whale maker denied any ties to the startup when contacted by The Post.

Sauce Pricing founder Colin Webb did not immediately return calls and emails for comment.

Uber-style surge pricing allows a business to hike up the cost of an item when a restaurant is slammed. Theoretically, restaurants can also lower prices during slower times, though it’s not clear whether Wendy’s will let favorites like Dave’s Single fall below its base price.

The announcement by Wendys chief executive Krik Tanner this month that the burger chain will invest in a “dynamic pricing” pilot sparked anger and anxiety from inflation-battered customers fed-up with ever increasing food prices.

Price gouging. The corporate food company go to, posted one angry user on X.

Most of the price adjustments, however, are on online orders and are meant to help restaurants cope with rising labor costs and delivery fees from Doordash, Grubhub and UberEats, Sauce Pricing’s website notes.

Delivery accounts for a growing portion of restaurant revenues and costs, particularly since the pandemic, experts told The Post.

One industry veteran pointed out that restaurants have long lowered and raised their prices to lure customers during slow and busy times.

Happy Hour is dynamic pricing and so is a burger that costs more at dinner than at lunch or an offer of free delivery during a thunderstorm, said Chris Webb, chief executive and founder of ChowNow, an online food ordering company.

But people like reliability and having prices change because the demand is higher is not hospitality. 

Other experts said its just a matter of time before the restaurant industry catches up with industries like airlines and hotels that have mastered surge pricing.

Sometimes you check a flight and the price change within a week is dramatic, but it doesnt stop people from flying, said restaurant analyst Mark Kalinowski. 

Ultimately, consumers will accept it if a large number of restaurant chains do it, too.

Continue Reading

Sports

Leafs show ‘fight’ in OT loss, as Matthews returns

Published

on

By

Leafs show 'fight' in OT loss, as Matthews returns

BOSTON — Auston Matthews‘ return to the Toronto Maple Leafs‘ lineup wasn’t enough to lift the road team Saturday in Game 7 of its first-round Stanley Cup playoff series vs. the Boston Bruins.

The Maple Leafs fell 2-1 in overtime as the Bruins advanced to a second-round series that begins on Monday. It was the Maple Leafs’ sixth consecutive defeat in a Game 7, and their fourth straight to Boston.

Matthews was a late addition for Toronto’s lineup after being absent from the third period of Game 4 all the way through Game 6. He had been battling both an illness — which he played through in Game 3 — and an undisclosed injury. Toronto’s top forward didn’t want to delve into specifics directly after the loss, however.

“I’m not going to go into that tonight,” Matthews said. “I think maybe in the next couple days. We’ll just process this [first]. It was really hard to watch those two games [when I was out]. Just really proud of the guys to fight and battle back and give ourselves a chance.”

Matthews said he didn’t know until Saturday morning that he’d receive clearance from the Maple Leafs’ medical staff to play, and said his team, ultimately, gave all it could to try to get past the Bruins one final time.

“They’re always a tough opponent,” Matthews said. “They’re a well-put-together team. But I thought we were right there with them. Tonight was a tight game. It’s tough, could have gone either way.”

Matthews finished the night with one assist in 17:35 of ice time, as Toronto tried to pull off a rally from a 3-1 series deficit.

The two sides were deadlocked at 0-0 in Game 7 until midway through the third period, when William Nylander beat Bruins netminder Jeremy Swayman to give Toronto a 1-0 lead. Hampus Lindholm responded just 80 seconds later with an equalizer that would eventually take the game to overtime.

David Pastrnak needed less than two minutes in the extra frame to flummox Maple Leafs goaltender Ilya Samsonov and send Boston on to face Florida in the second round.

Samsonov, who had been replaced by Joseph Woll in the third period of Game 4 before the latter then backstopped Toronto to consecutive wins, was a surprise starter on Saturday. Woll was sensational in both outings, posting a .964 save percentage and a 0.86 goals-against average in the series, but he suffered an injury that kept him from Game 7.

“Obviously, we didn’t practice yesterday, we traveled, and it wasn’t any better, in fact it was a little bit worse yesterday,” Toronto coach Sheldon Keefe said of the injury. “We had told Samsonov he had to stay ready last night, there was a chance that Joe wouldn’t be able to go, but Joe was going to do everything he could to try to be ready. The medical team was going to continue to work with him to get him ready, and that’s the process they went through this morning.

“It wasn’t until this afternoon that it was determined that Joseph wouldn’t be available.”

Samsonov came through with his best outing of the playoffs in a 29-save performance, but that couldn’t cover up for Toronto’s continued inability to produce offense. The Leafs scored just 12 goals total in seven games, which was a hurdle that helped determine their fate.

Before Matthews was forced out due to injury, it was Nylander who missed the first three games of the series with what he confirmed was a migraine issue. Nylander said on Saturday that at times the headaches would be so intense he couldn’t see. Nylander said the Leafs’ doctors thought the symptoms might be concussion related and held him out until he felt better.

“The situation is very complicated. It’s hard to explain what it is,” Nylander said. “It’s hard to play [through that].”

Nylander also defended Toronto’s nucleus of players, which includes himself, Matthews and Mitch Marner. Combined they scored five goals and 10 points in the first-round series that once again ended in disappointment.

“Look, I don’t think there’s an issue with the core,” Nylander said. “I think we were right there all series. We battled hard.”

Keefe concurred.

“When teams play the Leafs, they set up the game for the Leafs to beat themselves,” he said. “I thought we did that in Game 3 and 4, we beat ourselves. We’ve been trying to break through for a long time. Any answer [now] is going to fall on deaf ears, and I get that. The core isn’t different, but the feeling around the team was different and played different. I thought we showed signs in this series of a team that could win.”

Continue Reading

Sports

David is Goliath: Pastrnak wins Game 7 in overtime

Published

on

By

David is Goliath: Pastrnak wins Game 7 in overtime

BOSTON — David Pastrnak scored on a feed from Hampus Lindholm 1:54 into overtime and the Boston Bruins defeated the Toronto Maple Leafs 2-1 in Game 7 on Saturday night to clinch their NHL first-round series and advance in the Stanley Cup playoffs.

Jeremy Swayman finished with 30 saves and Lindholm had the tying goal in regulation to help the Bruins avoid losing their second straight first-round series after holding a 3-1 lead. They have now defeated the rival Maple Leafs in Game 7 of the first round of the playoffs three times in the past seven years.

After a loss in Game 6, Boston coach Jim Montgomery told reporters the club needed more from Pastrnak, and the right wing delivered. He ended up with four shots on net across 30 shifts and 21:21 of ice time.

“I thought he was dynamic tonight,” Montgomery said. “I thought he had his most possession time, he was creating shots, he was taking what was available.”

Boston will meet the Florida Panthers, who upset the Bruins in seven games in the first round last year and spoiled a season in which they posted records for the most wins and points in a season in NHL history. Game 1 is set for Monday night in Florida. The Panthers have been resting since Tuesday, when they eliminated Tampa Bay in five games.

William Nylander scored and Auston Matthews had an assist in his return from a two-game absence for the Maple Leafs, who are now 0-6 in Game 7s since the 2013 conference quarterfinals. They are 0-4 on the road in those games — all in Boston. Matthews missed Games 5 and 6 with an undisclosed ailment.

Matthews opened the game on Toronto’s third line before rejoining the first line in time for the Maple Leafs’ lone goal. He finished with 24 shifts and 17:35 time on the ice.

Ilya Samsonov started in goal for the Leafs for the first time since Game 4 and finished with 29 saves.

“Obviously, not moving on, not getting the result we want is extremely difficult,” Toronto captain John Tavares said. “With the type of team that we have, and the type of character that’s in here, and just the belief in this locker room, I’m very proud. We stuck with it and gave ourselves a chance.”

Toronto coach Sheldon Keefe concurred.

“Loved how our team fought to put us in the position to compete and play in this game, have a chance to be one shot away,” he said. “Obviously, you reflect on the series, we don’t love the hole we dug ourselves, and it’s a big reason why we’re here. Love the fight of our team.”

Pastrnak ended with three goals in the series, and he will now face a second-round opponent against whom he scored five times last postseason.

“Huge moment, obviously,” Pastrnak said of Saturday’s winner. “You could say a little relief, as well.”

The Associated Press contributed to this report.

Continue Reading

Sports

Leafs’ Matthews a finalist for Lady Byng Trophy

Published

on

By

Leafs' Matthews a finalist for Lady Byng Trophy

Toronto Maple Leafs star forward Auston Matthews was named a finalist for the Lady Byng Trophy on Saturday.

It marks the third time that Matthews has been a finalist for the award, which is presented annually to the player voted to best combine sportsmanship, gentlemanly conduct and ability as voted on by the Professional Hockey Writers Association.

Vancouver Canucks forward Elias Pettersson and Carolina Hurricanes defenseman Jaccob Slavin also were named finalists.

Matthews, who was a runner-up for the award in 2019-20 and finished third in 2020-21, led the NHL with 69 goals this season. The 26-year-old also recorded a career-high 107 points and had 20 penalty minutes in 81 games.

Pettersson, 25, is bidding to become the first player to win the award in Canucks franchise history. He totaled 89 points (34 goals, 55 assists) and 12 penalty minutes in 82 games this season.

Slavin, 30, had 37 points (6 goals, 31 assists), a plus-21 rating and eight penalty minutes in 81 games this season. He won the award in 2020-21 and was runner-up in 2021-22.

Los Angeles Kings captain Anze Kopitar won the Lady Byng Trophy last season.

Continue Reading

Trending