Restaurants NAICS 722511, 722513, 722514

Jun 14, 2026 - Weight Loss Drugs Roiling Restaurants

• Growing use of GLP-1 weight-loss drugs is creating new challenges for US restaurants as consumers eat less, order smaller portions, refrain from alcohol, and visit restaurants less frequently, The Wall Street Journal reports. Research shows households with at least one GLP-1 user reduce spending at fast-food, coffee, and quick-service restaurants, while many diners shift toward healthier, protein-rich meals and lower-calorie options. Fast-casual chains such as Chipotle, Sweetgreen, and Panera appear better positioned to benefit from the trend because they offer customizable meals, portion control, and nutrition-focused menus. In response, restaurant operators are promoting protein content, introducing lighter portions, and expanding healthier menu offerings. While the long-term impact remains uncertain, restaurant companies increasingly view GLP-1 adoption as a business risk that could reduce traffic and average order sizes, particularly for chains known for large portions, indulgent foods, and alcoholic beverages.
• Recent action by the Office of the Comptroller of the Currency (OCC) threatens to increase cost pressures on restaurants by blocking efforts to reduce credit card swipe fees, according to the National Restaurant Association, which strongly opposes the agency’s action and calls on the Trump Administration to retract the rules. The OCC in April moved to invalidate an Illinois law, known as the Illinois Interchange Fee Prohibition Act, that would have lowered swipe fees and proposed rules limiting states from enacting similar measures. Swipe fees, typically 2-4% per transaction, are among the highest operating costs for restaurants and have more than doubled over the past decade. With more than 42% of restaurants unprofitable in 2025, the inability to reduce these fees could further strain margins. Industry groups argue that the ruling strengthens the control of major card networks, limiting competition and keeping fees high nationwide.

• Profits are drying up as alcohol consumption drops, removing a key high-margin revenue stream for restaurants, The New York Times reports. Traditionally, alcohol has generated a large share of restaurant profits, but many operators are reporting a shift toward food-heavy sales, with some eateries experiencing sharp revenue declines or closures. Alcohol sales are down across all restaurant segments, driven by health concerns, generational changes, economic pressure, and the rise of GLP-1 drugs, according to NYT. Younger consumers, especially Gen Z, are drinking less, while older consumers are cutting back. As a result, nearly a third (31%) of operators report severe declines in alcohol sales. Teetotaling diners are creating significant challenges because alcohol is more profitable than food, which has higher labor and ingredient costs. While some restaurants are adding nonalcoholic options or premium, experience-driven drinks, these often do not fully replace lost margins.
• Total seasonally adjusted sales for food services and drinking places were $99.7 billion in January, a 3.75% change compared to a year ago but down slightly from the holiday month of December, according to the latest data from the Census Bureau. More recently, employment by restaurants grew 1.5% year over year in March, while the average industry wage increased 4% over the same period to a new high of $19.71, according to US Bureau of Labor Statistics data. Employment growth and wage inflation fueled by rising minimum wages in 19 states beginning in January are driving up payroll costs for restaurant operators.