Waffle House adds 50 cents per egg surcharge amid shortages, rising prices

Waffle House’s Egg-cellent Dilemma

Waffle House is scrambling to deal with rising egg prices, but instead of hiking up costs across the board, they’re cracking a different strategy—adding a 50-cent surcharge per egg. The reason? Fueled by bird flu, a national egg shortage has caused prices to soar. While the chain hopes this price spike is temporary, there’s no telling how long the shortage will last.

The U.S. Department of Agriculture predicts egg prices will rise another 20% this year. That’s unsurprising, considering the bird flu outbreak has led to the slaughter of 17 million egg-laying hens in just two months. In January alone, the virus impacted 85 commercial flocks. With fewer hens producing eggs, supply is tight, and prices are climbing fast.

Eggs are the MVP of Waffle House’s menu, with the chain serving a whopping 272 million per year. That’s more than hash browns or even their famous waffles! Given the demand, the company has no choice but to adjust prices in a way that directly reflects the increased costs. Meanwhile, IHOP, a major competitor, claims that egg prices haven’t yet impacted their menu. Their “House Faves” meal deal still starts at $6—though some locations charge a dollar more……..[read more]

Rising Dough

When businesses face supply chain disruptions and rising costs, they must decide whether to pass those expenses to consumers, absorb them, or find creative solutions. How do pricing strategies like Waffle House’s surcharge impact customer loyalty and competition in the restaurant industry?