Cafes are continuing to see their profits squeezed.

Sales in the hospitality sector have increased 1.4% in the past year according to just-released figures from the Restaurant Association.

But sales for cafes and restaurants only rose 0.3%.

Coffee Club Director Brad Jacobs told Ryan Bridge they're having to absorb rising costs to remain competitive.

He says the minimum wage has gone up much faster than the price of coffee over the past decade.

LISTEN ABOVE

Cafes are continuing to see their profits squeezed.
Sales in the hospitality sector have increased 1.4% in the past year according to just-released figures from the Restaurant Association.
But sales for cafes and restaurants only rose 0.3%.
Coffee Club Director Brad Jacobs told Ryan Bridge they're having to absorb rising costs to remain competitive.
He says the minimum wage has gone up much faster than the price of coffee over the past decade.
LISTEN ABOVE

A fresh and intelligent start to your day - catch the very latest international and domestic news developments, sport, entertainment and business on Early Edition with Ryan Bridge, on Newstalk ZB.

A fresh and intelligent start to your day - catch the very latest international and domestic news developments, sport, entertainment and business on Early Edition with Ryan Bridge, on Newstalk ZB.

Early Edition with Ryan Bridge

Brad Jacobs: Coffee Club Director on cafes continuing to see the profits squeezed

https://api.omny.fm/orgs/7784f840-c291-422a-924b-ad9000bbad71/clips/d829aac0-b447-4501-b62b-b376011ee9f5/transcript