For the hospitality sector in Hungary, the summer started with a shortened schedule, weekends and carefully planned work capacities, as these divisions have seen a decrease in solvent demand, which is felt, first of all, in the first days of the week. , writes the local press.

Favorite places are still packed on weekends. At the same time, prices in Hungarian hospitality establishments are still 30-50 percent lower than the European average, although their cost is almost the same.

Shortening the working day in restaurant kitchens has become a habit

Hospitality establishments in Hungary are experiencing a decrease in paying demand due to reduced traffic at the beginning of the week, where for this reason the first or first two days of the week will be free to save on the biggest costs, namely salaries and required manpower, said the president of the Hungarian Hospitality Federation, László Kovacs for the Hungarian newspaper “Világgdaság”.

Many establishments, where even Sunday evening is not one of the busy periods, do not open, and there are shops that protect themselves from unnecessary costs not only by closing for several days, but also by reducing the hours of operation on weekdays.

It has become a habit to reduce working hours in restaurant kitchens, so that, for example, food orders are accepted only until nine in the evening, in an attempt to reduce the working hours of cooks.

According to the president of the federation, there are still many hospitality establishments where you can get a place only with a reservation during the peak period, but their number has decreased.

Since the beginning of the pandemic, four thousand hospitals out of 51 thousand have been closed. Most of the permanently closed units were liquor stores and entertainment establishments that could not do without foreign tourists.

Restaurants cannot impose a justified increase in costs because they are afraid of losing guests

Confectioneries and cafes were previously the most crisis-resistant units. According to him, last year, those hospitality establishments that successfully passed the period of the pandemic, the problems caused by the war and the increase in energy prices, were persistent, had patience and financial reserves to continue business. László Kovács, who added: In difficult times, it was not necessarily the best units that survived, but often those whose owners had sufficient financial support or were able to redistribute funds from other sectors, such as the construction industry or IT.

People crave social experiences, we see their intent and willingness to spend, and we know the hospitality sector is at the top of the list to ditch. With the opening of the terraces, traffic has increased, and with the arrival of the peak season, so has the demand for labor, but entrepreneurs are planning more carefully than ever.

In addition, restaurants cannot impose a justified increase in costs, because they are afraid of losing guests. Prices in the hospitality sector in Hungary are still 30-50 percent lower than the European average, while raw materials are sometimes cheaper abroad. Only wage costs are lower in Hungary than in Western Europe – which is becoming less common – and energy prices have already stabilized. Meanwhile, the restaurant-going habit in Hungary involves at most one meal a week or month, compared to two or three visits a week in the West.

The domestic hospitality industry is currently fighting for a cap on energy prices, as it would be a huge relief for many players in the market if they could ditch their expensive contracts. The start of the summer season has been mixed: the weather on Lake Balaton is not favorable for the season, many guests have abandoned restaurants around the lake, said Laszlo Kovacs, adding: stable, old, reliable, popular places are expected to feel good again this year.

The article was created with the support of RADOR