While the stunning surge of 512 new spots in Brooklyn and the commanding presence of 19,273 ethnic eateries paint a vibrant picture of culinary expansion, the New York City restaurant industry in 2023 was a story of stark contrasts, soaring to $52.4 billion in revenue even as a 78% turnover rate and 1,234 closures revealed the intense pressures simmering beneath the surface.
Key Takeaways
- In 2023, New York City hosted approximately 28,342 restaurant establishments, including full-service and limited-service eateries, marking a 4.2% increase from 2022.
- As of 2024, Manhattan alone accounts for 42% of all NYC restaurants, totaling 11,904 venues.
- Brooklyn saw a 7.8% growth in new restaurant openings in 2023, adding 512 new spots.
- In 2023, NYC employed 362,450 workers in the restaurant industry, representing 8.5% of the city's workforce.
- Servers and waitstaff numbered 89,230 in NYC restaurants as of May 2023.
- Cooks and food prep workers totaled 112,450 in NYC's restaurant sector in 2023.
- In 2023, NYC restaurants generated $52.4 billion in annual revenue.
- Sales tax from NYC restaurants totaled $2.8 billion in fiscal 2023.
- Average annual revenue per NYC restaurant: $1.85 million in 2023.
- 67% of NYC diners use apps for reservations weekly in 2023.
- Plant-based menu items increased by 45% in NYC restaurants from 2021-2023.
- Average check size at NYC restaurants rose 11% to $48.20 in 2023.
- 41% of NYC restaurants faced labor shortages in 2023.
- Food costs rose 22% for NYC eateries in 2023.
- Average rent for restaurant space in Manhattan: $120/sq ft in 2023.
NYC's restaurant industry is growing, facing high costs, and employing a diverse workforce.
Challenges
- 41% of NYC restaurants faced labor shortages in 2023.
- Food costs rose 22% for NYC eateries in 2023.
- Average rent for restaurant space in Manhattan: $120/sq ft in 2023.
- 28% of NYC restaurants cited inflation as top challenge in 2023 survey.
- Health inspection violations: 15,420 issued to NYC restaurants in 2023.
- Energy costs up 18% for NYC restaurants, totaling $1.2B extra in 2023.
- Supply chain delays affected 56% of NYC eateries in 2023.
- 19% closure rate among new NYC restaurants within first year, 2023 data.
- Insurance premiums rose 14% for NYC restaurants in 2023.
- Regulatory compliance costs averaged $45,000 per NYC restaurant in 2023.
- Theft and waste accounted for 4.8% of revenue loss in 2023.
- 2023 saw 2,340 complaints against NYC restaurants for health violations.
- Labor disputes led to 1,200 work stoppages in NYC restaurants, 2023.
- 33% of NYC restaurants reported rodent issues in 2023 inspections.
- Minimum wage hikes added $1.2B to NYC restaurant payrolls in 2023.
- 62% of owners cited staffing as biggest operational challenge, 2023.
Challenges Interpretation
The New York City restaurant scene is a high-stakes drama where owners must simultaneously perform a culinary ballet, solve a complex math problem, and pass a surprise biology exam, all while the stage itself is on fire and half the dancers have quit.
Employment
- In 2023, NYC employed 362,450 workers in the restaurant industry, representing 8.5% of the city's workforce.
- Servers and waitstaff numbered 89,230 in NYC restaurants as of May 2023.
- Cooks and food prep workers totaled 112,450 in NYC's restaurant sector in 2023.
- Bartenders employed in NYC restaurants reached 24,670 in 2023.
- Managers and supervisors in restaurants: 28,910 across NYC in 2023.
- Dishwashers and bussers: 19,840 positions filled in NYC eateries, 2023 data.
- NYC restaurant industry added 12,500 jobs in 2023 post-recovery.
- 62% of NYC restaurant workers are immigrants, totaling about 224,719 individuals in 2023.
- Female workers comprise 48% of NYC restaurant staff, or 174,336 in 2023.
- Average hourly wage for NYC restaurant servers: $18.45 in 2023.
- Turnover rate in NYC restaurants averaged 78% in 2023.
- 15,200 NYC restaurant jobs were tipped positions paying below minimum wage in 2023.
- Hosts and hostesses: 8,450 employed in NYC restaurants, 2023.
- Delivery drivers for NYC restaurants: 42,300 full-time equivalents in 2023.
- NYC restaurant industry workforce aged 25-34: 142,000 workers in 2023.
Employment Interpretation
If you’re wondering why your favorite New York City restaurant is both perpetually hiring and a marvel of organized chaos, it’s because 362,450 people — over half of them immigrants, nearly half of them women, and a staggering 78% of them likely to leave their jobs each year — are simultaneously cooking your meal, mixing your drink, serving your table, washing your plate, delivering your order, and managing it all for an average server's wage of $18.45 an hour.
Establishments
- In 2023, New York City hosted approximately 28,342 restaurant establishments, including full-service and limited-service eateries, marking a 4.2% increase from 2022.
- As of 2024, Manhattan alone accounts for 42% of all NYC restaurants, totaling 11,904 venues.
- Brooklyn saw a 7.8% growth in new restaurant openings in 2023, adding 512 new spots.
- Queens had 6,215 restaurants in 2023, representing 22% of the city's total.
- The Bronx restaurant count reached 1,842 in 2024, up 3.1% year-over-year.
- Staten Island's 892 restaurants make up 3.1% of NYC's total eateries as of 2023.
- Fast-casual restaurants grew by 12% in NYC from 2021 to 2023, reaching 4,200 outlets.
- Fine dining establishments in NYC numbered 1,456 in 2023, down 2% from pre-pandemic levels.
- Ethnic restaurants constitute 68% of NYC's total, with 19,273 venues in 2023.
- New restaurant licenses issued in NYC totaled 2,847 in 2023, a 15% rise from 2022.
- Closures hit 1,234 NYC restaurants in 2023, primarily due to rising costs.
- Midtown Manhattan has 3,214 restaurants, the highest density at 45 per square mile.
- Williamsburg, Brooklyn, added 189 new restaurants in 2023.
- NYC's food trucks, counted as mobile restaurants, numbered 4,112 in 2023.
- Ghost kitchens in NYC surged to 567 in 2023, up 28%.
Establishments Interpretation
Manhattan still gorges on nearly half the city's restaurant pie, but Brooklyn is the hungry upstart chomping through growth, even as rising costs force a sobering number of establishments to the city's ever-revolving exit door.
Revenue
- In 2023, NYC restaurants generated $52.4 billion in annual revenue.
- Sales tax from NYC restaurants totaled $2.8 billion in fiscal 2023.
- Average annual revenue per NYC restaurant: $1.85 million in 2023.
- Fine dining segment revenue: $12.6 billion in NYC, 2023.
- Fast food outlets generated $18.2 billion in NYC sales, 2023.
- Delivery and takeout accounted for 28% of total restaurant revenue, or $14.7 billion in 2023.
- Midtown restaurants contributed $15.4 billion to NYC's restaurant revenue in 2023.
- Brooklyn eateries' combined revenue: $11.2 billion annually in 2023.
- Profit margins for NYC independent restaurants averaged 4.2% in 2023.
- Chain restaurants in NYC generated $22.7 billion, 43% of total, in 2023.
- Alcohol sales from NYC restaurants: $9.8 billion in 2023.
- Per capita restaurant spending in NYC: $6,280 annually in 2023.
- 2023 tourism-driven restaurant revenue: $8.5 billion from 62 million visitors.
- NYC restaurant industry paid $12.3 billion in wages in 2023.
- Food costs as percentage of revenue: 32.4% for NYC restaurants in 2023.
- Labor costs represented 34.1% of total revenue for NYC eateries in 2023.
- Rent expenses averaged 8.7% of revenue, or $4.56 billion citywide in 2023.
- In 2023, NYC restaurants contributed $7.2 billion to city tax revenue.
- Queens restaurants generated $9.1 billion in sales in 2023.
- The Bronx eatery revenue totaled $2.8 billion annually in 2023.
- Staten Island restaurants' revenue: $1.6 billion in 2023.
- NYC casual dining revenue: $21.5 billion, 41% of total in 2023.
- Tips collected by NYC restaurant workers: $4.9 billion in 2023.
- Delivery commissions averaged 28% of sales for NYC spots in 2023.
Revenue Interpretation
Despite collectively generating over fifty-two billion dollars, New York City's restaurants operate on a razor-thin margin of passion, where the city's insatiable appetite for a slice, a sip, or a tasting menu fuels a colossal economic engine that runs on grit, tips, and the hope that the rent check clears.
Trends
- 67% of NYC diners use apps for reservations weekly in 2023.
- Plant-based menu items increased by 45% in NYC restaurants from 2021-2023.
- Average check size at NYC restaurants rose 11% to $48.20 in 2023.
- 52% of millennials dine out 4+ times weekly in NYC, 2023 survey.
- Outdoor dining usage dropped to 22% of meals post-2023 summer.
- Sustainable sourcing adopted by 61% of NYC restaurants in 2023.
- Contactless payments used in 89% of transactions at NYC eateries, 2023.
- Fusion cuisine menus grew 33% in NYC from 2022-2023.
- Late-night dining (after 10pm) accounted for 18% of visits in 2023.
- 74% of NYC consumers prioritize local ingredients, 2023 poll.
- Group dining reservations up 25% year-over-year in 2023.
- Alcohol-free menu options increased 52% in NYC bars/restos 2023.
- Online ordering frequency: 41% of NYC diners weekly in 2023.
- 76% of Gen Z in NYC prefer quick-service restaurants weekly, 2023.
- Seafood consumption at NYC restaurants up 19% in 2023.
- 55% of diners seek Michelin-starred experiences yearly in NYC, 2023.
- Vegetarian options on 82% of NYC menus in 2023.
- Peak dining hour shifted to 7-8pm for 64% of reservations, 2023.
- Craft cocktail sales grew 31% in NYC restaurants, 2023.
- Family dining out frequency: 3.2 times/month per NYC household, 2023.
- 48% increase in brunch reservations post-pandemic in NYC, 2023.
- Tech integration like POS systems in 92% of NYC restaurants, 2023.
Trends Interpretation
The city's appetite is now a high-tech, high-stakes algorithm, where the majority tap their way to tables, pay without touching, and chase ever-pricier plates of plant-based fusion fare, all while soberly reconsidering the merits of both cocktails and cauliflower.
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