Cost-of-living crisis: Sassafras of Paddington and other businesses pivoting cafe to dinner to survive

Brisbane cafes feeling the pinch of the current cost of living crisis have been forced to add dinner to their menus in a bid to meet the changing demands of financially stressed customers.

Brisbane cafes feeling the pinch of the current cost of living crisis have been forced to add dinner to their menus in a bid to survive.

Cafes experiencing a drop-off in their regular morning customer base as they face rising energy, rent and produce costs are adapting to get the best use out of their spaces and appeal to customers.

 Chris Zirbel, who owns Sassafras of Paddington, says he has noticed fewer customers buying breakfast on weekdays in recent months so he is preparing to offer a dinner option on Friday and Saturday nights.

“Our weekday breakfast and lunch trade has dropped right off, to the point we’ve closed on Tuesdays,” he said.

Sassafras Owner Chris Zirbel Photography David Kelly

“We may look at closing other days during the week if things don’t improve.

“We’ve noticed it on decline for the past six months, since about September last year.

“That was when the interest rate hikes … we had two or three by then and it started to hit home a little bit.”

Mr Zirbel said he had seen a 50 per cent drop-off in customers for breakfast.

“Out of that 50 per cent, I would say half of those are spending less than previously,” he said.

“We’ve gone from 1000 transactions a week to about 550.”

But after observing the habits of people in the area, Mr Zirbel said he saw that the dinner trade had actually increased.

“We sort of dabbled in it over the years. We noticed people seem to be happy to spend at dinner at the moment; I think they are foregoing their breakfast,” he said.

“We’ve been here for 26 years and we want to keep being here.

“We are trying to move with the times and keep offering a product people want.”

Restaurant and Catering Industry Association chief executive Suresh Manickam said Sassafras of Paddington was just one of a number of hospitality businesses that were adapting to the latest challenges amid the cost of living crisis.

Sassafras of Paddington will soon open at nights. Photography David Kelly

“Small businesses that are already paying substantial rents are exploring every possible avenue to maximise the space that they have,” Mr Manickam said.

“This includes attempting to trade at more hours of the day, but this is a challenge when staff shortages already impact existing trading hours.

“The alternative is to expand takeaway options after hours, which is more reliant on back of house staff.”

Sassafras of Paddington plans to open for Friday and Saturday night dinners from after Easter following a trial including theme nights over the past six to eight weeks.

“We’ve now settled on a Mexican-style smoke out menu, smoked brisket, tacos,” Mr Zirbel said.

The new menu will also be entirely gluten free.