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The restaurant is empty, the owner does not dare to increase the price

Complaining about the absence of guests

After increasing the price of goby hotpot by 100,000, the Western restaurant of Mr. Tu in the new urban area in Hoang Mai district (Hanoi) was completely empty. Opening a shop selling goby hotpot, Mr. Tu all imports fish and vegetables from the southern provinces, so food prices are greatly affected by transportation.

He said, after Tet, gasoline prices increased sharply, transportation costs also increased, not to mention the high price of input food. With no other way, he was forced to increase the price. Each hot pot increased from 250,000 VND to 350,000 VND. The menu of the restaurant is now increased in price.

“Extremely not that I had to increase the price. Although the price is up, it is very difficult to order raw materials, “said Mr. Tu.

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Many restaurants are empty (Photo: Ngoc Cuong)

After the price increase, the number of customers coming to eat also decreased. “In the past, the restaurant was often crowded on weekends, even without a place. Now the whole session only has a few guests, weekends are completely absent,” he said.

According to Mr. Tu, the reason for the absence of customers was due to high prices. In addition, consumers are also tightening their pockets because of the difficult economic situation.

Similar to her, Ms. Nguyen Bich Diep (owner of a restaurant in Dong Da) also complained because no guests despite having been in business for more than 5 years. Since the price of gasoline increased, the cost of input materials increased, so the restaurant had to adjust. Some dishes increased from 50,000-100,000 VND.

Specializing in importing goods from the countryside, she said, using the reason for the increase in gasoline prices, the garage has increased the fee. Currently, each box has increased from 70,000 VND to 120,000 VND.

Before the epidemic, Diep earned several million dollars every day. The number of customers buying online and taking home is also high. But, since reopening, the situation has been stagnant for a long time. “I thought the epidemic was over, but the price of gasoline increased, everything went up. People also limit eating out,” lamented Ms. Diep.Looking at the number of sales each day, she worries that the shop may have to close because the cost of space has not decreased.

According to Ms. Diep, the landlord only reduced the price during the closure because of the epidemic. After the epidemic was under control and business resumed, some places have moved to increase rental prices. If the landlord asked to increase the price, she would accept it, not knowing how to handle it.

The owner raises the price

While active catering business In difficulty, many people are sitting on the fire because the landlord increases the rental price of the premises. Affected by the epidemic, during the period of isolation, the landlord has supported tenants by reducing prices, or not charging cash. However, after the epidemic ended, they began to adjust.

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Food and beverage business is sluggish, many establishments have to close (Photo: Thu Ky)

Ms. Do Thu Hoai (food and beverage business in My Dinh, Hanoi) said that she is renting space on the first floor of the apartment building to sell food. Rent is 35 million VND/month. Before the epidemic, the landlord asked to increase the price by 10% after 2 years. Due to the impact of the epidemic, they temporarily did not raise prices. Recently, the landlord repeated this clause, making her worried.

“I have just sold again for a while, and the customers are not crowded. I have expressed many times that I want the landlord to support but they still do not agree. They even suspected that they were doing tricks, so they forced them to raise prices,” Hoai said.

According to Ms. Hoai, the catering business is facing difficulties from the cost of raw materials to the price of the premises. Meanwhile, the food cannot increase the price forever, customers will leave.

Savills report shows that in the first 3 months of the year, developers have increased the minimum rental period and applied an annual price increase policy of up to 10%.

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Many restaurants promote online sales to get more customers

To retain customers, many restaurant owners have no choice but to accept reduced profits.

Mr. Tuan Anh (owner of a pho restaurant in Linh Dam, Hanoi) said that before, he made a profit of 5,000-10,000 VND per bowl of pho, now he has to accept less profit to retain customers. Besides, Mr. Tuan seeks to make the most of the space. In addition to selling in the morning and lunch, in the evening he sells rice and drinks.

Nguyen Bich Diep and his wife (the restaurant owner in Dong Da) take turns serving tables for guests to cut staff and save costs.

She shared, in the past, her shop hired 3 staff to carry, clean and look after the car. This cost is more than 20 million VND including salary, accommodation. “Now both husband and wife have to work to reduce costs, if prices increase, they will only close the shop,” she said.

Thu Ky

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The restaurant is paralyzed and bankrupt, the owner of the alcohol company is miserable

The complicated developments of the Covid-19 pandemic across the country have paralyzed the tourism industry, canceled major festivals, and closed food services. This negatively affects beverage consumption, especially alcoholic beverages.

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