Diner The Brothers Diner has been serving in Danbury, Connecticut for the past 50 years. The family-run business, managed by Stanley Kallivrousis, has previously driven amid economic uncertainty, including the 2008 recession and COVID-19-19.
But now, the decline in consumer sentiment that plagues Danbury hotspots.
“People are not as happy as they used to be,” Kalifros said, noting that over the past few months, there have been fewer traffic and changes in eating habits.
“People share much more than they used to be. No one leftovers left. People are taking everything home.
Consumer confidence fell 7.9 points to 86 points in April, a level that has not been seen since the Covid Pandemic attack, according to the conference committee’s consumer confidence index.
According to the National Restaurant Association, 57% of restaurant operators said traffic in March was lower than 66% in February.
As customers decreased, Kallivrousis stopped expanding, including adding employees, while uncertainty around the business made it difficult for him to retain his employees.
"Some of the best chefs I know now," said Kallivrousis, who saw workers leave restaurant employees with the flexibility of the gig economy.
According to the National Federation of Independent Businesses, 34% of small business owners reported job openings that they could not fill in April.
John Samuels is a partner and managing director of Alixpartners, a business consulting group that helps companies respond to changing consumer behavior. According to Samuels, “companies are scrambling to come first” because “shaping into a mature crisis” and many people have to use “imperfect information” to make decisions. For some companies, this could mean canceling orders or increasing prices.
A recent survey by Alixpartners showed that 70% of company executives expect to raise prices. This change follows as companies plan to absorb a large amount of fees for their commodity tariffs. Samuels said that in addition to retreating, the company also "retreats capital investment and infrastructure investment."
There is a highlight. Food prices have remained relatively stable since January.
The restaurant’s staples, including tomatoes, bread and chicken, have flat or reduced prices, while twelve eggs have increased by 26%.
Despite all the uncertainty, Kallivrousis said the Diner running the three brothers was more than just food and profit. This is where the community comes together.
"I know the vast majority of all my clients," Kalivros said. "They are still constantly showing up and supporting. We are part of the routine. I think it's the best part of the whole business. Sometimes it's the whole business."