What is lunchflation? Why has lunching become expensive in Asia-Pacific?

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After the pandemic started in 2020, millions of workers began working from home. However, when more individuals start going back to work, they are met with considerably higher expenses for almost everything, including food, transportation, and daycare. Going back to work now costs more due to rising petrol prices and growing inflation. And if their wage increases aren’t keeping up, this is reducing workers’ salaries.

 

Restaurant operators who must boost prices to pay for higher expenses are having challenges as a result of the trend. Now that people have returned to work following the pandemic, these costs are being passed on to the typical business lunch traveller, whose numbers have increased significantly. To determine how much consumers may anticipate paying following a pandemic, Square researchers examined sales information on popular lunch items in the United States. The findings supported what many working Americans already believed, which is that recent price increases in lunchtime meals had been significant.

Also Read: Sri Lankan crisis: Economy lessons India can learn

Lunchflation, a recently created phrase, describes the specific inflation of lunchtime meal prices, such as sandwiches and wraps. This has received a lot of attention recently as more individuals start going back to work following the outbreak. Costs at restaurants and eateries have increased for a number of reasons, including issues with the supply chain and limitations on international delivery.

The dinner’s purpose has been determined to be the rising costs faced by restaurant proprietors. Owners are hiking prices for the consumer to make up for rising costs for labour and food ingredients. This is happening not just in America but also in countries like South Korea, where the average meal price index increased 6.6% in April 2021. These consist of eateries that provide services including self-service via QR codes and online ordering, as well as local delivery at a set price through third-party partners. Restaurants can benefit from operational efficiency by saving money that they can then pass along to customers.

(with inputs from agencies)

 



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