While you’re planning your strategy for 2026, you’re probably seeing the same themes everywhere: AI, sustainability, rising costs, changing guest expectations. We’ve reviewed some of the latest global hospitality predictions from leading publications to cut through the noise and identify what to expect in 2026.

The emotional consumer takes centre stage

We’ve all seen how customer habits have fundamentally changed. According to insights from Modern Restaurant Management, guests now seek control, comfort, and emotional fulfillment from their dining experiences. This shift means choices are about balance and agency rather than strict health rules. People want to feel good without guilt, and they’re drawn to brands that project trust, authenticity, and calm.

For operators, this translates to creating experiences that feel meaningful and intentional. As Lightspeed‘s 2026 hospitality trends report notes, guests are dining out less frequently but expecting higher quality when they do.

Technology as an operational essential

The hospitality industry has been gradually adopting AI and automation, but 2026 is when they become essential infrastructure rather than competitive advantages. Industry experts from MRM’s 2026 outlook series highlight that from AI-powered ordering and inventory management to predictive analytics for demand forecasting, technology is helping operators manage tighter margins and staff shortages more effectively.

The focus is on freeing up your team to focus on what matters most: delivering genuine hospitality. Smart scheduling, automated inventory tracking, and data-driven decision-making are becoming standard tools in the modern hospitality toolkit.

Rising costs drive precision and efficiency

According to Orbisk, with food and beverage costs continuing to climb, waste has never been more expensive.

This financial reality is pushing operators toward more accurate prep planning, smarter purchasing decisions, and better waste management. Small inefficiencies repeated daily add up quickly—addressing them is no longer optional.

Sustainability moves from nice-to-have to must-have

Customer expectations around environmental responsibility are higher than ever. According to research highlighted by Orbisk, nearly three-quarters of diners care about how restaurants handle food waste, and almost half are willing to pay more for establishments that demonstrate genuine commitment to sustainability.

For many hospitality businesses, this means it’s time for sustainability efforts to be taken up a level, woven into operations, from sourcing to waste management.

Experience-driven dining

Your customers aren’t just seeking memorable experiences—in many cases they’re expecting them as standard. As noted in Modern Restaurant Management’s industry outlook, multi-sensory dining, immersive environments, experiential activations, and venue programming that creates community are all gaining traction. Lightspeed‘s research emphasises that ‘feeling-first’ dining (“This experience made me feel transported/comforted/amazed/connected…”) is beginning to replace traditional fine dining approaches.

This trend extends beyond fine dining. Even casual venues are finding success by hosting events, creating shareable moments, and turning dining into social experiences that go beyond just the food.

The value equation evolves

With economic pressures continuing, customers are redefining what “value” means to them. Industry analysts note it’s not about price—it’s about the complete experience relative to cost. Diners expect elevated ingredients, transparent sourcing, thoughtful service, and memorable moments.

Smaller, more curated menus focused on quality over quantity are resonating with guests. As Lightspeed describes it, premium simplification—delivering exceptional experiences without excess—is the approach that’s working.

Last-minute decision making

Spontaneous dining is on the rise. According to UK market research, over 40 per cent of diners now make last-minute decisions about where to eat. This shift is tied to hybrid work schedules, the desire for convenience, and a “treat yourself” mindset.

Hospitality businesses that make spontaneity easy through visible online booking systems, real-time table availability, and active social media presence are capturing this growing market.

Looking ahead

The trends shaping 2026 reflect a hospitality industry that’s becoming more intentional, more technology-enabled, and more focused on creating genuine value for guests. For businesses to thrive focus on balancing innovation with authenticity, efficiency with hospitality, and sustainability with profitability.

Understanding these shifts and adapting strategically will be key to success in the year ahead.

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Sources

This article draws insights from the following industry publications:

• Modern Restaurant Management: The Future Table – Food and Consumer Trends for 2026
• Modern Restaurant Management: 2026 Outlook – Expert Discussion Series
• Lightspeed: Hospitality Trends 2026 – The Year of Intentional Dining
• Orbisk: Top 5 Hospitality Trends for 2026

Access the RA Emergency Information Hub here  

We’re thinking of all our members and teams as severe weather continues to impact many parts of the country on Wednesday 21 January. While conditions are evolving nationwide, at this stage a State of local emergency has been declared for Whangārei, Thames Coromandel and Hauraki Districts and for Bay of Plenty due to severe weather in the North Island. Disruptions are widely expected everywhere.

Although this weather event is different, we recognise that the timing and nature of it may bring back difficult memories of Cyclone Gabrielle for many of you and your teams. We understand this can heighten anxiety and uncertainty, and we encourage you to check in on one another and prioritise wellbeing alongside safety – access our wellbeing tools here.  

The safety of you, your staff, and your whānau is the priority. If you or your business are affected, it’s important to act early and stay informed. Below you’ll find key guidance, including employment considerations during emergency situations.  

Our Emergency Information Hub brings together practical resources and links to external support and updates to help you navigate this period and support your people.

We’ll also continue to share important updates here as they become available. Please take care and look out for one another and if members need to access our Helpline support please contact us on 0800 737 827.  

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Overarching employment advice for businesses affected by an emergency situation  

• Clear communication is essential. Like all emergency situations, you are faced with an unusual situation, and some of it is probably not covered by employment agreements. Employers and employees need to talk openly and early about what is possible and what support is needed.
• Be flexible and practical where you are able. This is a time for understanding and common sense, with a shared focus on safety and getting through the disruption together.
• Safety comes first. If employees are concerned about travelling to work or about the work they are being asked to do, they should raise this with, you, their employer. Those concerns must be taken seriously and discussed. Employees have the right to refuse unsafe work. Ideally, concerns should be discussed before it reaches that point. If you believe work is safe, clearly explain why and share the steps taken to manage risks.
• Any change in duties must be agreed and safe. If staff are asked to do work outside their normal role (such as clean-up), both sides should be comfortable with this and appropriate safety measures must be in place.
• Work collaboratively. In some workplaces, health and safety representatives or union representatives can help support good decision-making and communication.
• Recognise the human impact. This is a significant event and people will respond differently: Some may need extra reassurance or flexibility. Others may find purpose and stability in helping keep the business running.
• Where possible, keep a simple record of decisions and safety measures taken, and stay aligned with advice from local authorities and emergency services.

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Employment FAQ’s  

Who decides if workers have to go to work if the business is open?
Employers and employees should talk openly about what is happening at the workplace and reach a mutually agreed plan. Safety must always be the first consideration.  

What if a staff member needs to stay home to care for family?
Flexibility is key. With school closures and other disruptions, employers should discuss staff needs and consider practical solutions such as alternative work, leave, or adjusted hours.  

Whose responsibility is it to ensure the workplace is safe?
Employers (PCBUs) are responsible under the Health and Safety at Work Act. In extreme circumstances, employers may need expert advice to ensure safety and reassure staff.  

What if the business is closed on a usual workday?
Whether employees are paid depends on their employment agreement. Employers should consult staff, consider alternative work or leave options, and document decisions. Any shift cancellations should respect agreed hours and employment agreements.  

Can employees be asked to help with clean-up or work outside their usual duties?
This should be discussed openly. Employers must ensure staff are capable, properly supervised, and provided with protective equipment. Individual safety is the priority, and some tasks may need to be completed by trained professionals.  

What if an employee feels unsafe or refuses work?
Employees have the right to refuse unsafe work. Concerns should be addressed early, with employers explaining why work is considered safe and the measures taken to protect staff.

As our industry continues to navigate rising costs, changing consumer expectations, and tighter margins, global menu trends can offer us valuable clues about where demand is heading next.

The National Restaurant Association’s (NRA) 2026 What’s Hot Culinary Forecast brings together insights from industry experts to highlight the food, beverage, and operational trends set to shape restaurant menus in the year ahead. While the research is US-based, many of the themes strongly align with what we’re already seeing — and can realistically apply — in our local market. Here’s what they predict is hot in 2026.

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Comfort, nostalgia and “flavour escapism”

NRA say one of the strongest signals for 2026 is the return of comfort food, but with a twist. Diners are looking for familiar formats that offer a sense of escape — flavours that transport them somewhere else without the cost of travel or fine dining.

Globally, this shows up in items like smashed burgers, elevated instant noodles, Caribbean curry bowls, and miso-glazed proteins. The common thread is recognisable, affordable food made exciting through flavour, texture, or global inspiration.

For us in New Zealand, this reinforces the value of:

• Updating classics rather than reinventing menus
• Using global flavour profiles to refresh familiar dishes
• Leaning into nostalgia while keeping pricing accessible

Value still drives decision-making

Even as diners seek indulgence and experience, value remains the single most important factor influencing where and how often people eat out. The report highlights how successful trends often balance comfort with operational efficiency.

The smashed burger is a prime example: lower meat ratios, faster cook times, and reduced waste make it attractive for operators, while still delivering what customers want.

This is particularly relevant in New Zealand’s current cost environment, where menu engineering, portion control, and waste reduction are essential for profitability.

Protein, health and flexible eating

Health and wellness continue to shape menus — but not at the expense of flavour. Protein-rich options are now being added across the menu, from main dishes to snacks and even beverages.

Key takeaways for operators include:

• Protein as an add-on rather than a centre-of-plate requirement
• Growing demand for plant-based and alternative proteins
• Strong interest in bold, spicy flavours like gochujang, chili-lime, and miso

This reflects a broader consumer desire to balance indulgence with intention — something many of our local diners already expect.

Beverages: less alcohol, more purpose

The beverage category is evolving quickly. According to the forecast, low- and no-alcohol drinks are now mainstream, particularly among Gen Z and Millennials. Fermented and gut-friendly drinks, personalised hydration, and mood-focused beverages are also gaining traction.

At the same time, when consumers do drink alcohol, they’re increasingly drawn to locally produced spirits, driven by sustainability, community connection, and authenticity — a trend that strongly aligns with our own craft beverage scene.

Desserts with a twist

Desserts remain popular, but consumers are looking for something beyond traditional sweetness. Global trends point to:

• Reinvented comfort desserts like s’mores and salted caramel
• Date-based and freeze-dried ingredients for flavour and shelf-life
• Visually distinctive, social-media-friendly formats

For operators, freeze-dried fruits in particular offer practical advantages: long shelf life, minimal waste, and versatility across multiple menu items.

Macro trends that matter

Beyond individual menu items, the report highlights several broader shifts that will continue shaping the industry:

• Increased focus on local sourcing
• Clear menu labelling and allergen transparency
• Value-driven menu structures
• Sustainable practices, including packaging and waste reduction

These are no longer “nice to have” features — they are becoming baseline expectations for many diners.

What This Means for New Zealand Operators

The key lesson from the 2026 forecast is not about chasing trends, but about making smart, adaptable choices. Operators who succeed will be those who:

• Balance comfort with creativity
• Deliver value without sacrificing experience
• Use global inspiration in locally relevant ways
• Design menus that support both customer demand and operational efficiency

As the industry continues to evolve, these insights provide a useful lens for reviewing menus, concepts, and investment decisions heading into 2026.

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The 2026 What’s Hot Culinary Forecast is published by the National Restaurant Association (USA). The original report is based on insights from industry professionals and culinary leaders and remains the intellectual property of the National Restaurant Association. Check out the report here.

12 September 2025

Hon. Simon Watts
Minister for Local Government
Parliament Buildings
Wellington

Tēnā koe Minister Watts,

Commercial property vacancies impacting business viability

I am writing to you on behalf of the Restaurant Association of New Zealand (the Restaurant Association), the largest representative body for restaurants and cafés in New Zealand. An increasing number of our members have raised concerns about the number of empty shopfronts in their communities, and they are concerned about the impact this is having on commercial rent prices as well as on our once-vibrant communities.

Members have raised with us their experiences of commercial landlords increasing rents to the point where it forces long-standing businesses to vacate premises, only for that shopfront to remain empty. The landlords are then able to avoid maintenance and upkeep costs, paying lower rates on property with a diminished value.

These empty shopfronts also negatively impact the wider community. Our cafés, restaurants, and small retailers aren’t just commercial tenants—they are the heartbeat of our streets. They attract people to interact in the community, keep areas busy, increase foot traffic, and are essential to a thriving local economy.

Adjacent properties also become harder to lease and, in some cases, there is increased criminal activity.
There is currently little that territorial authorities can do to incentivise the letting or maintenance of vacant commercial properties. However, we have heard some suggestions from our members that Councils could be given the powers to set special rates on vacant properties, to incentivise the leasing of shopfronts rather than allowing what is essentially landbanking to continue while also providing additional funding for local services which are already under extreme pressure.

We have since looked into international examples of this being implemented, and found that San Francisco’s Commercial Vacancy Tax, passed in 2020 (and paused during the pandemic, being resumed in 2022), was implemented to encourage landlords to fill commercial spaces and set realistic rent prices for small businesses. Under the state policy, when a commercial property remains vacant for 182 days (or 6 months), landlords are taxed at a rate of 250 USD multiplied by the width of the shopfront in feet. The tax doubles after the second year a property remains vacant, and doubles once again after that.

While there has been some negative commentary about this tax, this is mostly due to other policy settings that should have been taken into account when the law was introduced. Landlords in the city face costly regulatory barriers, and enforcement of the law was inconsistent. There was also an exclusion for the central business district, which undermined the policy’s core intention. Overall, the tax has had positive impacts for neighbourhood commercial districts all over San Francisco, with many halving their vacancy rates. In May this year, the San Francisco Office of the Treasurer & Tax Collector said it had collected 5 million USD from this tax, with this money invested into a small business assistance fund.

I would appreciate a response that sets out your position on this issue. We recognise that there may also be other opportunities to better address long-term commercial property vacancies, and would encourage the Government to explore such solutions. In doing so, the Restaurant Association believes it is time for an approach that recognises the value of a thriving street life and the role that fair leasing practices play in making this possible.

I look forward to hearing from you about how we can support the small businesses that make our
communities worth visiting, because when they disappear, the soul of our cities goes with them. In the
meantime, please do not hesitate to contact me directly if I can be of any assistance.

Ngā mihi nui,
Marisa Bidois
Chief Executive
Restaurant Association of New Zealand

cc Hon Louise Upston, Minister for Tourism and Hospitality
cc Hon Chris Penk, Minister for Small Business and Manufacturing

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View more submissions and Minister correspondence here.

It’s a strange contradiction unique to our industry: the most important trading period of the year is also one of the most unpredictable. And that’s exactly why thoughtful planning, rather than sheer endurance, is what gets most businesses through in one piece.

Every year, hospitality operators head into December with equal parts excitement and grit. For some, the festive surge delivers the revenue lift they’ve been hanging out for; for others, especially in our urban centres, the rush evaporates almost overnight as soon as Christmas Day passes and customers head for the beach.

Many businesses are entering the holiday period after what has been one of the toughest years for revenue in recent memory. December and January need to work hard, not just to keep up, but in many cases to make up lost ground. But pushing at full tilt without a plan can create issues that cost far more than they save.

Get the basics right and protect yourself from surprises

Public holidays can be one of the biggest sources of confusion. Every year, questions come up around who qualifies for time and a half, who receives an alternative day, and what counts as an ‘otherwise working day.’ And when rosters shift week to week, these decisions aren’t always straightforward.

Looking back at genuine work patterns, even over a few months, can help you make fair calls and stay compliant without the stress. It doesn’t need to be complicated; it just needs to be considered.

Closedowns are another area where assumptions can trip operators up. Even if you shut the doors, staff who would normally work those days may still need to be paid. Giving clear notice and communicating early makes that process smoother for everyone.

End of year celebrations need attention too

Work Christmas parties can be a great way to celebrate the year, but they still sit under your health and safety responsibilities. Simple steps like ensuring food is available, limiting alcohol, and organising safe transport help protect your people and you as an employer. Most importantly, they set the tone that your team’s wellbeing matters, even in the busiest month of the year.

And then there’s the wellbeing piece, for your team, and for you

It’s no secret that the holiday rush takes a toll. Tiredness builds, tempers shorten, and the sheer pace of summer service can stretch even the most experienced teams. Many operators have normalised that strain over the years, but it doesn’t have to be the default.

Burnout signs like chronic fatigue, irritability, or slipping performance are not personal failings, they’re signals that the pressure is becoming unsustainable. And operators aren’t exempt. In many businesses, it’s the owners who pick up the extra shifts, push through exhaustion, and carry the emotional load of the season.

Sometimes the smartest decision you can make is to slow things for twenty minutes, catch your breath, and reset the team before the next wave hits. Customers will remember a calm, well-run service — not the fact that they waited a little longer to get in.

The holidays should be profitable, not punishing

Margins are tight. Wages have risen. Costs aren’t coming down. And customers expect a lot when they choose to spend with us. That’s the reality we’re all operating in. But the holiday period doesn’t need to feel like survival mode.

A little forward thinking including clear communication with staff, fair rostering, early conversations about availability, sensible boundaries at work functions, and a commitment to wellbeing goes a long way toward protecting your people and your reputation.

The Summer season will always be demanding. But with a bit more structure and a bit more care, operators can approach the season with confidence, safeguard their teams, and protect the momentum they need to carry  through the year.

The Holiday Survival Guide with detailed advice for the holiday season, is available here.

Everyone can use a little extra help when it comes to reaching their money goals.

Westpac’s Managing Your Money programme run throughout the year offers their engaging, practical and interactive financial wellbeing programme to help you feel more confident when it comes to making decisions about your money.

Below are all four recordings for the November 2025 series which are now available for viewing on demand. The theme for November was Housing!

• Understanding Debt held on Tuesday 4 November 2025 – Watch Here

• Buying Your First Home held on Thursday 6 November 2025 – Watch Here

• Managing Your Mortgage held on Tuesday 18 November 2025 – Watch Here

• MYM x Cotality – Housing Market Update (Special Topic) held on Thursday 20 November 2025 – Watch Here

Please view here a copy of Westpac Managing Your Money disclosure statement, the recordings will expire on Tuesday 31^st March 2026.

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The Managing Your Money team offer these classes as general information only and do not talk about Westpac products and services.  If you need personalised advice, email managingyourmoney@westpac.co.nz they’ll find the right person to help. 

View other Restaurant Association training – live and on demand recordings here.

Four recordings from Westpac Managing Your Money November 2025 financial wellbeing webinar series are now available for viewing. This series focused on housing-related financial topics.

Available Sessions:

• Understanding Debt – Tuesday, 4 November 2025
  Watch Recording
• Buying Your First Home – Thursday, 6 November 2025
  Watch Recording
• Managing Your Mortgage – Tuesday, 18 November 2025
  Watch Recording
• Housing Market Update (Special Topic in collaboration with Cotality) – Thursday, 20 November 2025
  Watch Recording

These recordings can be viewed by you but also uploaded to your intranet or included in employee newsletters, or shared through internal communications channels to support your team’s financial wellbeing.

Important Information:

Please note that recordings will expire on Tuesday, 31 March 2026. View the Westpac Managing Your Money disclosure statement for full details.

The Select Committee has reported back on the Employment Relations Amendment Bill, recommending that the Bill be passed. Their report includes fine tuning recommendations of a couple of the proposals.

Minister for Workplace Relations and Safety Brooke van Velden has indicated a desire to see the Bill progress through Parliament in early 2026.

For employers, many of the proposals in the Bill are favourable. They are intended to increase certainty, reduce procedural and litigation risk, and provide greater flexibility in managing employment relationships. However, there are also important watch-outs, and the Bill continues to attract significant opposition from unions and opposition parties.

Below is a practical summary of the key outcomes from the Select Committee report, together with the broader reforms contained in the Bill.

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Contractor classification – “gateway test”

One of the most significant proposals in the Bill is the introduction of a statutory set of criteria that must be met for a person to be treated as a contractor rather than an employee. This has been described as a “gateway test”.

The Select Committee recommended a number of refinements to this proposal, including amending the Bill so that the gateway test can be met where a written agreement specifies that a person is either an “independent contractor” or “not an employee”.

What this provides

• Greater certainty when engaging genuine contractors, particularly in areas such as catering services, specialist roles, or externally provided services.
• Flexibility for written agreements to state that a worker is “not an employee”, rather than requiring specific contractor terminology.
• Confirmation that:
  • Working close to full-time hours does not, by itself, prevent contractor status.
  • Contractors may subcontract work.
• Reduced risk of relationships being retrospectively reclassified as employment arrangements years later.

This represents a shift away from reliance solely on the subjective “real nature of the relationship” test developed by the courts.

Watch-outs

• All elements of the gateway test must be met. If they are not, the arrangement will fall back to the existing legal test for employment status.
• The Bill requires that the contractor had a reasonable opportunity to seek independent advice before entering into the arrangement.
• The changes are designed to support genuine contracting models and do not legitimise the use of contractors as a substitute for employees.

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High-income threshold for unjustified dismissal

The Select Committee also recommended lifting the income threshold above which employees cannot bring a personal grievance for unjustified dismissal from $180,000 to $200,000.

The Committee further recommended that the threshold be assessed on the basis of total remuneration, rather than base salary alone. This means bonuses, incentive payments, and similar remuneration may be included when determining whether the threshold is met.

Practical reality for hospitality

• This change is expected to affect only a very small number of roles in the hospitality sector.
• Transitional provisions mean the threshold will not apply immediately to existing employees unless and until the relevant conditions are met.

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Other key changes in the Bill (unchanged by the Select Committee)

While the Select Committee focused on refining specific proposals, it did not materially alter a number of other significant reforms already contained in the Bill, including:

Removal of the 30-day rule

The Bill removes the rule that can require new employees to become bound by a collective agreement after 30 days if they are not union members. This represents a substantial change to current collective bargaining settings.

Collective bargaining and good-faith framework

The Bill makes broader changes to the collective bargaining framework, including adjustments to good-faith obligations and how bargaining outcomes are applied. These changes remain controversial and were not reversed by the Committee.

Personal grievance risk allocation

Beyond the high-income threshold, the Bill continues the Government’s broader approach to reallocating personal grievance risk, particularly in relation to contracting arrangements and high-earning employees.

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Political context and submissions

The Select Committee received several thousand submissions on the Bill, reflecting the level of interest and concern across the employment relations landscape.

While employer and business groups generally supported the direction of the reforms, unions and opposition parties strongly opposed many aspects of the Bill, arguing that it weakens employee protections and collective bargaining rights. Minority views were expressed by non-Government members of the Committee.

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What happens next

It is important to emphasise that this is a Select Committee report, not the final legislation. The Bill must still progress through the remaining parliamentary stages, including:

• Second Reading
• Committee of the Whole House
• Third Reading

Further amendments remain possible.

This process provides time for:

• Further consultation
• Sector-specific feedback
• Clarification of how the proposals will operate in practice

We will continue to monitor developments closely and keep members informed as the Bill progresses.

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Important note – This summary is for general information only and does not constitute legal advice. The final legal position will depend on the wording of the legislation as enacted. Employers should review the final Act and seek professional advice before making changes to employment arrangements.

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Further information

• Minister van Velden’s press release about the Select Committee Report
• Read the Select Committee Report

Lebanese Grocer, founded by chef and owner Elie Assaf, has become a beloved cultural hub in Auckland, blending a specialty grocer with casual dining and celebrating Lebanese heritage.   

American Express is proud to support five standout Auckland restaurants, including RA members, Lebanese Grocer, Pici, and Annabelles Restaurant, each receiving a $25,000 NZD grant through the Amex Backing International Small Restaurants programme. Delivered in partnership with the International Downtown Association (IDA) Foundation, and supported by Mainstreet Australia, the global initiative champions independent eateries that are making a meaningful impact in their neighbourhoods. 
  
Elie is using the grant to build a commercial kitchen and develop the first production runs of dips, sauces and spice blends based on recipes passed down from Elie’s parents, whose Wellington takeaway shop first inspired his craft.  Elie says this project will strengthen the long-term viability of the Lebanese Grocer and help him to continue sharing his family’s culture. 
   
By backing these restaurants, Amex is reinforcing its commitment to small business owners and the communities they support. 

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Find out more about the programme and grant winners.

Read the press release announcing the Australian and New Zealand winners here.

The holiday period is both an exciting and challenging time in hospitality. You’re juggling packed venues, managing rosters around public holidays, keeping your team motivated, and trying to stay on top of which staff member is entitled to what. That’s where the 2025 Hospo Holiday Survival Guide can help – your complete toolkit for navigating everything the festive season throws at you.

Get your copy of the 2025 Hospo Holiday Survival Guide at restaurantnz.co.nz/hospo-holiday-survival-guide.

Whether you’re staying open through Christmas and New Year or planning a well-earned closedown, we’ve got your back with practical answers to the questions that keep you up at night.

The guide is organised into six essential sections that address the challenges you face during the festive season.

Employment questions answered

Does Christmas Day count as an otherwise working day for your part-time staff? What do you do if someone resigns right before your busiest week? How should you pay staff working on Boxing Day? Find the answers – detailed FAQ’s and ready-to-use templates that take the stress out of holiday employment compliance.

Keep your operations running smoothly

The last thing you need is to be scrambling for information when something goes wrong. From unexpected equipment failures to managing gift voucher redemptions, we’ve covered the operational essentials you need. You’ll find guidance on everything from handling health and safety incidents to what to do if a Labour Inspector shows up during your holiday rush.

Handle customer situations with confidence

The holiday season brings out the best in most customers – but occasionally the worst in a few. Our guide gives you practical strategies for dealing with complaints, managing difficult situations, and ensuring everyone has a great experience. You’ll also find tips on building customer relationships that keep people coming back.

Stay on top of host responsibility

With Christmas parties in full swing and celebrations everywhere, host responsibility is key. We’ve included comprehensive host responsibility guidelines, intoxication prevention tools, and alcohol promotion guidance as refreshers to help your team serve responsibly while still creating that festive atmosphere your customers love.

Looking after yourself and your team

Hospitality is demanding at all times but the holiday season can sometimes push people to their limits. The Hospo Holiday Survival guide includes wellbeing resources for you and your staff. From mental health helplines to practical tips on managing stress, getting enough sleep, and staying healthy during the busiest weeks of the year.

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This holiday season let us take care of giving you the information and confidence you need to handle whatever comes your way. Here’s to a successful, stress-free (as much as possible!) festive season.

Get your copy now at restaurantnz.co.nz/hospo-holiday-survival-guide.

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Please note that the Association office will be closed from 19 December 2025, reopening 5 January 2026. While our Helpline won’t be operating during this wellness break, you’re not without support with everything you’ll need in the Hospo Holiday Guide.

Update on proposed card payment surcharge ban. The Restaurant Association is continuing to work with a coalition of national industry groups over the Government’s proposed ban on retail payment surcharges. Developments across the Tasman have reinforced the need for a rethink.

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What’s happening in Australia?

The Reserve Bank of Australia (RBA) has signalled it may back away from a full ban on payment surcharges, following strong backlash from small businesses, banks, and industry experts. The RBA is now considering a more nuanced approach, potentially allowing surcharging on higher-cost credit and corporate cards, and reassessing proposed cuts to interchange fees.

This shift has raised further concerns as New Zealand seems poised to rush ahead with legislation that even Australian regulators now recognise is too blunt and disruptive for small businesses.

The impact on hospitality businesses

As the RA has highlighted before, for hospitality operators across New Zealand the proposed surcharge ban represents another financial pressure at a challenging time. Payment processing costs are genuine business expenses. We do not agree that under the proposed ban, hospitality operators will be forced to absorb these costs rather than transparently passing them on to customers who choose higher-cost payment methods.

A coalition for practical alternatives

Since the Government’s announcement in July of their intention to introduce a ban on surcharges for card payments, the Restaurant Association has has been working with other business organisations, including the Auckland Business Chamber, Retail NZ, New Zealand Chambers of Commerce Network, Bed & Breakfast Association New Zealand, Booksellers Aotearoa New Zealand, Hospice New Zealand, Hospitality New Zealand, and Retail Meat New Zealand to advocate for a more balanced approach.

Australia’s shift should ring alarm bells in Wellington. The business organisation coalition continues to support a practical alternative: capping debit surcharges at 0.5% and credit surcharges at 1% on personal domestic cards in the Visa and Mastercard schemes.

The Restaurant Association’s view

We understand and support making payments simpler and more affordable for consumers. However, card payment surcharges represent genuine costs that businesses must pay. Without the ability to recover these fees, businesses will need to absorb them, further impacting already tight margins.

The Restaurant Association believes any changes to payment surcharging should:

• Recognise the genuine costs small businesses face
• Avoid simply shifting costs onto small business owners
• Allow transparent pricing that gives customers choice

We’re urging the Government to:

1. Pause the proposed blanket surcharge ban
2. Consider the lessons from Australia’s experience
3. Engage meaningfully with small businesses who will be most affected
4. Explore the coalition’s proposed cap model as a fairer alternative

Next steps

The Restaurant Association will continue working with coalition partners as we talk to Government to ensure hospitality operators’ voices are heard in this process. We’ll continue to keep members updated.

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Related articles:

Government to Ban Card Payment Surcharges

Surcharge Ban Proposal Update

Restaurant Association Responds to Government Announcement

The Restaurant Association third quarter sales snapshot reports shows that Q3 2025 finally delivered encouraging signs of growth, with national hospitality sales growing 5.9 per cent year-on-year to reach $4.05 billion—the strongest quarterly performance we’ve seen in some time.

This growth reflects improved consumer confidence. However, beneath the headline figure lies a complex story of regional divergence, modest sequential growth over the year, and persistent cost pressures that continue to test margins.

Regional performance: strength in unexpected places, pressure in traditional centres

Our largest market, Auckland, recorded sales of $1.6 billion in the third quarter of 2025. While the region’s 7.1 per cent growth lagged behind standout performers like Nelson (+47.5 per cent), Tasman (+11.2 per cent) and Northland (+8.6 per cent), this marked a more positive turn after an extended period of flatline performance. Conversely, several regions experienced contraction in comparison to 2024—most notably the West Coast (-4.8 per cent), Manawatu-Wanganui (-4.2 per cent), and Gisborne (-6.9 per cent)—highlighting the uneven nature of recovery and the vulnerability of smaller markets to seasonal and economic shifts.

There’s also a marked difference between quarters.

While Q3 showed solid year-on-year growth, sequential growth from Q2 2025 (Winter to Spring quarters) was a modest 3.7 per cent, suggesting that momentum is building gradually rather than surging. This tempered pace aligns with broader economic headwinds, including ongoing food price inflation, which rose 4.1 per cent in the 12 months to September 2025 according to Stats NZ.

Annual food price inflation slowed to 4.1 per cent in September 2025. Although this was down from peaks above 8 per cent in 2022, key input costs like meat (up 6.4 per cent) and dairy products continue to pressure operator margins.

Cost pressures despite improved top-line results

Revenue growth has not translated into proportional margin improvement. Food and other operational costs remain elevated. While the Reserve Bank’s November OCR cut to 2.25 per cent signals potential relief, operators continue to face elevated rents and utilities that squeeze profitability. As we hear from many businesses, increased sales are simply covering higher operating costs, rather than generating sustainable returns.

Labour constraints also persist. While unemployment has edged higher, hospitality-specific skills shortages—particularly in kitchens and senior service roles—remain. This limits trading capacity and forces operators to compete for talent through wage increases that further compress margins.

Cafe and restaurant sales reached $1.98 billion in Q3, up 7.3 per cent, while beverage-led venues face headwinds—reflecting how customers are prioritising food experiences in a cost-conscious environment.

By sector cafes and restaurants lead, pubs lag

Cafe and restaurant sales were at $1.98 billion for Q3 2025 (up 7.3 per cent year-on-year), demonstrating strong consumer appetite for dining experiences. Catering services grew 5.5 per cent, reflecting corporate and event recovery. Takeaway food services expanded 6.4 per cent, maintaining their post-pandemic relevance as consumers continue to balance convenience with cost.
However, pubs, taverns, and bars declined 0.2 per cent compared to Q3 2024—a challenge for our venues that are reliant on beverage-led trade. This weakness may reflect shifting consumer spending patterns, with households prioritising food experiences over alcohol-centric socialising amid cost-of-living pressures.

Tourism investment and the path forward

The Association has welcomed the announcement that the Michelin Guide will be coming to New Zealand. This presents a genuine opportunity to elevate New Zealand’s hospitality proposition on the global stage. As international visitor numbers rebuild, initiatives like this help ensure our food and beverage offering is positioned as a core pillar of the destination experience—not an afterthought.
Our sector’s unique strengths—indigenous kai narratives, sustainable sourcing, regional culinary diversity, and award-winning producers—need to be actively promoted to high-value international markets. Regional dispersal of these visitors will be critical to smoothing seasonal volatility and supporting businesses beyond traditional gateway cities.

Future focus

Q3’s results are encouraging but not conclusive. While the sales figures are some of the most positive we’ve seen for some time, growth is still fragile and uneven. As we head into the critical Summer trading period, operators face a delicate balancing act and will still be managing costs tightly to protect viability.
However, falling interest rates, stabilising food prices, and growing international arrivals are creating better conditions for Q4 and beyond. What’s needed now is for economic conditions to keep improving so that performance converts to better profit.

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Restaurant Association members can download the full free electronic copy of the 2025 Q3 Hospitality Sales Snapshot here. 

If you are not a member of the Restaurant Association, the 2025 Q3 Report is available for purchase to the wider industry for $60.00 +gst. Let us know if you’d like to talk to one of our team about becoming a member, or click here for more information.