The Q1 2024 Restaurant Trends Report examines coffee and tea trends in all 50 states, breakfast transactions in 20 U.S. cities, and restaurant worker compensation data.
Key conclusions:
In the first quarter of 2024, guests across the United States paid an average of 3.08 PLNor a cup of regular coffee, 5.14 PLN for chilly brewing, 5.46 PLN for lattes and $3.74 for tea.1
Tea is more popular than regular coffee in 30 states.2
Saturday breakfast transactions increased by 6% Y/Y (year over year) and Mondays immersed 4% YEAR.3
In Chicago, servers and bartenders in full-service restaurants earned a median hourly wage of $9.48 in the first quarter of 2024, up from $9.00 in the first quarter of 2022. 4
In Washington, servers and bartenders at full-service restaurants earned an average of about $8 in the first quarter of 2024, up from $5.05 in the first quarter of 2022.4
In April, the hourly wage for fast-food workers in California increased 4% from the previous month, from $17 to $17.75.5
Delaware was found to be the most generous state when it comes to tips, with an average tip rate of 22.1%.6
Menu insights from the Restaurant Trends Report include: powered by Toast benchmarking toolwhich uses an AI-powered classification tool and allows users to compare restaurant and menu category performance with aggregated data from Toast restaurants.
Price of coffee, tea, chilly brew and latte in all 50 states
Whether it’s a warm cup of coffee, a delicately prepared latte or a comforting cup of tea, Americans are known for their love of caffeinated beverages. However, in recent months, interest in the price of coffee has increased as extreme weather conditions have affected harvests and caused global coffee prices to skyrocket, according to Wall Street Journal.
To understand how much Americans pay for a cup, Toast analyzed the average price of regular coffee, chilly brew, latte, and tea in every U.S. state. On average, consumers paid 3.08 dollars for a cup of regular coffee, 5.14 PLN for chilly brewing, 5.46 PLN for lattes and $3.74 for tea in Q1 2024
Hawaii had the most costly coffee in the country, with an average price of $4.89 – about 59% higher than the national average. California was the second most costly, with an average price that was about $1 lower than in Hawaii, at $3.88, which is 26% higher than the national average. At the other end of the spectrum, the average price for cup of coffee in Nebraska in the first quarter of 2024 it was only $2.12 — 31% less than the national average.
Toast saw similar trends for chilly brew and tea, with Hawaii and California leading the price list, but Alaska knocking California out of second place for the most costly latte, coming in at $6.09. What is the average price of a latte in Hawaii? As much as $6.69. The high prices of lattes in Hawaii and Alaska are likely due to the price of milk and the remoteness of these two states. Milk prices in these states are one of the highest in the countryand shipping goods like coffee to these regions only drives up those prices.
See the full report on Toast Newsroom.
Methodology:
1Toast analyzed restaurant transactions on the Toast platform from January 1, 2024 to March 31, 2024 to determine the price of beverages labeled “regular coffee,” “chilly brew,” “latte,” and “tea.” Beverages in the “tea” category include specialty, iced, black, herbal, and green teas. Milk tea is not included in this analysis. |
2Toast analyzed transactions on the Toast platform from April 28, 2023 to March 31, 2024 to determine the popularity of beverages labeled “regular coffee,” “chilly brew,” “ice coffee,” “latte,” “espresso,” “cappuccino,” “mocha,” “Americano,” “milk, tea,” and “tea.” Beverages in the “tea” category include specialty, iced, black, herbal, and green tea. The analysis dates have been extended beyond Q1 to remove seasonal ordering preferences. |
3Toast analyzed breakfast transactions at restaurants in 20 cities on the Toast platform from 5 a.m. to 11 a.m. in Q1 2023 compared to Q1 2024. Toast leveraged a group of restaurants from the same location on the platform from Q4 2022. |
4Data from full-service, same-site restaurants on Toast from January 1, 2022, to March 31, 2024. Excludes salaries, overtime, and bonuses. Paid time off is not included. Servers and bartenders included in the analysis worked at least five hours during the pay period and received tips greater than zero. Servers and bartenders had job titles that included a version of the words “bartender,” “waiter,” or “waiter.” Hourly wages do not include tips. Base wage is total wage divided by the number of hours worked. Tips per hour is total reported tips divided by the number of hours worked. |
5Data from eligible fast-food restaurants in the same store on the Toast platform from January 1, 2022, to March 31, 2024. Salaried wages, overtime, and bonuses are not included. Paid time off is not included. Employees included in the analysis worked at least five hours during the pay period. Employees who received tips are included, but tips were not included in the analysis. Base pay is total compensation divided by hours worked. |
6Data from full-service restaurants on the Toast platform where a tip was added to an order via card or digital payment between January 1, 2022 and March 31, 2024. Cash tips are not included in the analysis. |
About the Restaurant Trends Report:
The Restaurant Trends Report, developed by Toast, reveals key trends in the restaurant industry through aggregated sales data from select groups of restaurants on the Toast platform, which has approximately 112,000 locations as of March 31, 2024. This information is provided for general informational purposes only and does not constitute a recommendation. Toast does not guarantee the accuracy or completeness of any information, text, graphics, links or other items contained in this content. Individual results may vary. Toast does not guarantee that you will achieve any specific results if you follow any advice contained herein. It may be advisable to consult a professional, such as an attorney, accountant or business advisor, for advice regarding your specific situation. The Restaurant Trends Report is not an indicator of Toast’s operating results or the financial metrics reported by it.
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