Retail and restaurants are absorbing a huge financial squeeze even as consumers keep spending. In 2023, labor costs climbed to 32.5% of restaurant operating expenses while utilities and energy costs jumped 12% YoY to $2.5 billion industry-wide. If you think the pressure stops at staffing, the rest of the cost chain is more surprising, from rent and food inputs to payments, packaging, and marketing.
Key Takeaways
- Labor costs accounted for 32.5% of restaurant operating expenses in 2023, up from 30.1% in 2022
- U.S. retail rent expenses averaged $45 per square foot in prime locations in 2023
- Food costs for restaurants rose to 30.8% of sales in 2023 due to supply chain issues
- U.S. consumers dined out 5.6 times per week on average in 2023, up from 4.9 in 2022
- 68% of U.S. consumers prefer quick-service over full-service restaurants in 2023
- Online ordering accounted for 37% of restaurant sales in 2023, driven by millennials
- U.S. retail employment stood at 15.7 million jobs in 2023, accounting for 10% of private sector employment
- Restaurant industry employed 15.9 million people in 2023, representing one in 10 U.S. jobs
- Retail trade sector added 214,000 jobs in 2023, with average hourly wage at $21.50
- U.S. retail industry expected to grow 2.5-3.5% in sales to $7.3 trillion in 2024
- Restaurant sales projected to reach $1.5 trillion by 2030, CAGR 4.2% from 2023
- Global retail e-commerce sales to hit $8.1 trillion by 2026, 22% of total retail
- In 2023, U.S. retail sales totaled $7.04 trillion, representing a 3.6% increase from 2022 and accounting for approximately 25% of the U.S. GDP
- The restaurant industry contributed $1.1 trillion to the U.S. GDP in 2023, with total sales reaching $1.03 trillion, up 8.5% from 2022
- E-commerce sales in the U.S. retail sector hit $1.1 trillion in 2023, comprising 15.6% of total retail sales
Restaurants faced rising costs in 2023, with labor and food pressures reshaping operating margins.
Related reading
01 · Category
Costs and Expenses18 stats
01
Labor costs accounted for 32.5% of restaurant operating expenses in 2023, up from 30.1% in 2022
02
U.S. retail rent expenses averaged $45per square foot in prime locations in 2023
03
Food costs for restaurants rose to 30.8% of sales in 2023 due to supply chain issues
04
Retail utilities and energy costs increased 12% YoY to $2.5 billion industry-wide in 2023
05
Restaurant beverage costs averaged 25% of sales for alcohol in 2023
06
Credit card processing fees for retail hit 2.4% of sales volume in 2023, totaling $170 billion
07
Inventory carrying costs for retailers were 25% of inventory value in 2023
08
Restaurant marketing expenses rose to 3.2% of revenue in 2023, focused on digital ads
09
Property taxes for retail properties averaged $1.2 million per store in 2023
10
Supply chain logistics costs for grocery retail: 5.1% of sales in 2023, up 15%
11
Insurance premiums for restaurants increased 18% to $15,000 average annual per location in 2023
12
Retail technology investments (POS, AI) totaled $14 billion in 2023, 2.1% of sales
13
Waste management costs for restaurants: $1,200per month average in 2023
14
Employee benefits costs (healthcare) 8.5% of payroll in retail 2023
15
Packaging costs for takeout rose 22% to 4% of restaurant sales in 2023
16
Maintenance and repairs for retail stores: $450,000average per large chain store in 2023
17
Franchise royalty fees averaged 5.5% of gross sales for restaurants in 2023
18
Digital advertising costs per click for retail: $1.20average in 2023
Interpretation
Costs and Expenses Interpretation
Running this financial gauntlet, where labor bites a bigger chunk, rent demands its prime pound of flesh, and every crumb from packaging to credit cards takes its cut, feels less like doing business and more like trying to keep a beach ball made of hundred-dollar bills submerged with one hand.
02 · Category
Customer Demographics and Behavior20 stats
01
U.S. consumers dined out 5.6 times per week on average in 2023, up from 4.9 in 2022
02
68% of U.S. consumers prefer quick-service over full-service restaurants in 2023
03
Online ordering accounted for 37% of restaurant sales in 2023, driven by millennials
04
42% of Gen Z shoppers buy apparel online exclusively in 2023
05
Average restaurant check size rose to $22.50in 2023, up 6.8% YoY due to menu price hikes
06
75% of U.S. consumers aged 18-34 use mobile apps for retail purchases in 2023
07
Hispanic consumers represent 20% of restaurant patrons, spending 15% more per visit in 2023
08
56% of shoppers return to stores with good customer service in retail 2023
09
Delivery orders made up 22% of restaurant sales in 2023, preferred by urban millennials
10
Boomers (55+) account for 28% of grocery retail spending in 2023
11
64% of consumers cite convenience as top factor for restaurant choice in 2023
12
Female shoppers drive 52% of apparel retail purchases in 2023
13
Loyalty program members spend 18% more in retail annually in 2023
14
49% of parents with kids under 12 prefer family dining experiences in 2023
15
Mobile payments used by 77% of retail transactions under $25 in 2023
16
Health-conscious consumers (35% of population) boosted healthy menu sales 12% in restaurants 2023
17
61% of urban consumers shop omnichannel (online+store) in retail 2023
18
Average frequency of restaurant visits: 4.2 per month for households earning $100k+ in 2023
19
Vegan/plant-based options ordered by 15% of restaurant guests in 2023, up 28%
20
Retail food-at-home spending per household: $5,703annually in 2023
Interpretation
Customer Demographics and Behavior Interpretation
Despite rising prices and a relentless hunger for convenience, the American consumer in 2023 is a walking paradox, simultaneously ordering avocado toast on their phone from a quick-service joint while their online-only sneakers arrive at a door paid for by grocery-savvy Boomers.
03 · Category
Employment Statistics19 stats
01
U.S. retail employment stood at 15.7 million jobs in 2023, accounting for 10% of private sector employment
02
Restaurant industry employed 15.9 million people in 2023, representing one in 10 U.S. jobs
03
Retail trade sector added 214,000 jobs in 2023, with average hourly wage at $21.50
04
Food service workers numbered 12.4 million in 2023, with 1.2 million new jobs created post-pandemic
05
U.S. retail managers averaged 1.8 million employed in 2023, with median wage of $62,000 annually
06
Restaurant back-of-house staff (cooks, dishwashers) totaled 6.7 million in 2023, facing 4.2% turnover rate
07
Retail salespersons employment reached 3.9 million in 2023, down 1.1% from 2022 peak
08
Quick-service restaurant employment was 4.8 million in 2023, up 3.5% YoY
09
Supermarket employment stood at 2.6 million in 2023, with labor costs at 10.2% of sales
10
Full-service restaurant servers numbered 2.1 million in 2023, average wage $15.20/hour including tips
11
E-commerce retail jobs grew to 1.2 million in 2023, 12% higher than brick-and-mortar roles
12
U.S. retail workforce diversity: 55% female, 40% Hispanic/Latino in 2023
13
Restaurant industry projected 200,000 job openings monthly in 2023 due to turnover
14
Retail stockers and order fillers: 2.3 million employed, median wage $16.40/hour in 2023
15
Hotel and restaurant combined employment: 18.5 million in 2023
16
First-line retail supervisors: 1.4 million jobs in 2023, growth of 2.1%
17
Bartenders in restaurants: 450,000 employed in 2023, up 5.6%
18
Cashiers in retail: 3.2 million in 2023, declining 3.4% due to self-checkout
19
Chefs and head cooks: 250,000 in restaurants 2023, wage $58,000median
Interpretation
Employment Statistics Interpretation
America's economy runs on a high-turnover engine of service, where millions stitch together livelihoods from wages that barely keep pace with the relentless churn of orders and customers, proving that our collective comfort is built on a foundation of perpetually revolving doors.
More related reading
04 · Category
Growth Projections21 stats
01
U.S. retail industry expected to grow 2.5-3.5% in sales to $7.3 trillion in 2024
02
Restaurant sales projected to reach $1.5 trillion by 2030, CAGR 4.2% from 2023
03
Global retail e-commerce sales to hit $8.1 trillion by 2026, 22% of total retail
04
U.S. quick-service restaurant market to grow at 5.8% CAGR to 2028
05
Grocery delivery market projected to $250 billion by 2027, 20% CAGR
06
Full-service restaurants expected 3.1% annual growth through 2030
07
U.S. retail employment to increase by 1.2 million jobs by 2032
08
Plant-based food retail sales to grow 10% annually to $25 billion by 2027
09
Off-premise restaurant sales to comprise 60% of total by 2025
10
Apparel e-commerce to reach 40% of total apparel sales by 2027
11
U.S. restaurant industry job growth: 1 million new jobs by 2028
12
Retail media networks revenue to $100 billion globally by 2028, 15% CAGR
13
Ghost kitchens market to $71 billion by 2027, 28% CAGR
14
U.S. convenience store sales projected $800 billion by 2025
15
Sustainable retail products sales to grow 9% annually to 2030
16
Drive-thru restaurant sales to increase 7% YoY through 2025
17
Omnichannel retail penetration to 75% of sales by 2027
18
Alcoholic beverage sales in restaurants to $120 billion by 2028
19
U.S. retail square footage to decline 1% annually to 2030 due to e-com
20
Food hall market to double to $2 billion by 2026
21
Retail AI adoption to save $40 billion in costs by 2025
Interpretation
Growth Projections Interpretation
While brick-and-mortar stores are learning to thrive with less physical space, the collective future of retail and restaurants is being built online, at the drive-thru, and by ghost kitchens, proving that how we get our goods and meals is evolving faster than our appetite for them.
05 · Category
Revenue and Sales20 stats
01
In 2023, U.S. retail sales totaled $7.04 trillion, representing a 3.6% increase from 2022 and accounting for approximately 25% of the U.S. GDP
02
The restaurant industry contributed $1.1 trillion to the U.S. GDP in 2023, with total sales reaching $1.03 trillion, up 8.5% from 2022
03
E-commerce sales in the U.S. retail sector hit $1.1 trillion in 2023, comprising 15.6% of total retail sales
04
Quick-service restaurants generated $404 billion in U.S. sales in 2023, representing 39% of total restaurant sales
05
U.S. grocery store sales reached $1.02 trillion in 2023, with a 2.1% year-over-year growth
06
Full-service restaurants in the U.S. saw sales of $366 billion in 2023, up 6.2% from the previous year
07
Apparel retail sales in the U.S. amounted to $369 billion in 2023, facing a 1.5% decline due to inventory overhang
08
U.S. foodservice sales (restaurants and bars) totaled $1.03 trillion in 2023, driven by a 9.2% increase in limited-service establishments
09
General merchandise stores generated $852 billion in U.S. sales in 2023, up 4.3% YoY
10
Bar and tavern sales in the U.S. reached $42 billion in 2023, with a 7.8% growth rate
11
Health and personal care retail sales hit $418 billion in 2023, growing 8.7% amid wellness trends
12
U.S. restaurant sales per capita were $3,038in 2023, reflecting strong consumer spending recovery
13
Online grocery sales surged to $105 billion in 2023, up 10.2% from 2022
14
U.S. retail holiday sales (Nov-Dec 2023) totaled $1.07 trillion, exceeding forecasts by 4%
15
Casual dining chain sales reached $128 billion in 2023, with a 5.4% increase
16
Building materials retail sales were $1.1 trillion in 2023, boosted by home improvement trends
17
U.S. restaurant industry sales growth averaged 7.1% annually from 2019-2023
18
Electronics and appliance store sales totaled $88 billion in 2023, down 2.3% YoY
19
Food and drinking place sales (NAICS 722) were $999 billion in 2023
20
Sporting goods retail sales hit $58 billion in 2023, up 6.5%
Interpretation
Revenue and Sales Interpretation
While Americans' online shopping carts overflowed and quick-service kitchens sizzled to the tune of trillions, the enduring, if slightly indecisive, love affair between eating out and stocking the pantry proved the economy is still fundamentally powered by our stomachs and streaming subscriptions.
Reference
Cite This Report
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APA
Alexander Schmidt. (2026, February 13). Retail And Restaurant Industry Statistics. Gitnux. https://gitnux.org/retail-and-restaurant-industry-statistics
MLA
Alexander Schmidt. "Retail And Restaurant Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/retail-and-restaurant-industry-statistics.
Chicago
Alexander Schmidt. 2026. "Retail And Restaurant Industry Statistics." Gitnux. https://gitnux.org/retail-and-restaurant-industry-statistics.
Sources & references
24 datasets cited across this report · attribution is report-level