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March Madness drives up chicken wing prices 63%

Restaurant operators are paying higher prices this year during March Madness for bone-in wings, spending 63 percent more than in 2014.

March 25, 2015

Restaurant operators are paying higher prices this year during March Madness for bone-in wings, spending 63 percent more than in 2014, according to DeWayne Dove, vice president of risk management for SpenDifference, a restaurant supply chain co-op.

The cost of bone-in chicken wings is $1.91 a pound this year, compared with $1.17 in 2014 based on a year-over-year comparison, SpenDifference said. The company attributes the lower cost in the previous year in part to an increase in supply that held down the price. Other meat commodity purchases rise slightly, but restaurants that cater to the tournament crowd are paying the biggest price. March Madness has the greatest effect on the cost of bone-in wings, the company said.

SpenDifference suggests restaurants take action to increase their profit margins:

• Expand the menu with lower-cost boneless wings, which are made from chicken breasts. The current wholesale price of chicken breasts is $1.63 a pound, a substantial savings over the bone-in product. “Operators who buy more boneless products and less bone-in wings can grow the category and increase their margins,” Dove said.
• Plan ahead and buy frozen wings to lock in prices. Frozen wings can be stored far longer than the fresh product, and operators who buy fresh wings “are at the mercy of the market,” he said.

"This is make-or-break time for restaurants that emphasize chicken wings on their menus," Dove said.