Higher costs, Denny’s growth plans, omakase trendsHigher costs, Denny’s growth plans, omakase trends

Restaurants may need to prepare for higher costs this year. A combination of tariffs on Mexico, Canada and perhaps China, along with immigration restrictions, could drive up the cost for some commodities as well as labor. Immigration restrictions could also drive up the cost of labor, experts say.

Denny’s CEO Kelli Valade outlined her company’s plans to get back to net unit growth by 2026 after targeting about 150 underperforming restaurants to close last year and this year. Valade said the company needed a “reset” after the pandemic and is now finding traction with the return of its $2-$4-$6-$8 value menu, as well as its remodeling program.

The word “omakase” literally means “I’ll leave it up to you,” and in most cases, it refers to the chef-curated sushi tasting menus in high-end Japanese restaurants. But now omakase menus are being served in non-Japanese restaurants, some by chefs running upscale restaurants who want to surprise guests with a multi-course menu of their own discretion.

Get all the headlines in today’s Restaurant Daily podcast.