Chris Saul's Blog

Tuesday May 20, 2008

Up and up

We went to a couple of old haunts of ours over the last couple of weeks, both places we used to go to a lot but haven't for a while, for one reason or another.

Both had new menus, always an ominous sign...

One place we'd occasionally go for breakfast had increased its price for its English breakfast from 28Dhs to 48Dhs. The other, a Japanese restaurant, had upped its delicious terriyaki steak from about 55Dhs to 120Dhs. A 750ml bottle of sparkling water is now 28Dhs from 18Dhs.

A place I go to once a year in summer, when Mrs Saul is away, did its brunch for 50Dhs two years ago, 65Dhs last year and is now advertising it for 79Dhs.

We've been lucky in Dubai over the past few years. Back in London we'd rarely eat out. Even when we did, I would usually find the price you paid was rarely worth it for the food or the ambience, in my humble peasant's opinion. Whilst Dubai's never been cheap, it was always good value, for us, at least. We've had the chance to enjoy going to places that were well priced with good food and which we'd never go to back home. They'd simply be way out of our price bracket.

Now local prices are going up at the rates mentioned above, we simply won't be going out to eat nearly as much as before. I don't think that what's being charged is worth what you get, rather like back home.

By my reckoning, the average 'pricey' restaurant reviewed in Time Out used to quote average prices of between 200 to 300Dhs for two. We'd go and use a voucher to get one meal for free - we like our vouchers. Now I regular read reviews where the price is 500-600Dhs. Not something I'm going to pay for the odd meal out, even with a voucher lowering the cost. It'd be pushing it for a special occasion as well.

I presume what's driving these prices is general inflation , rising rents and living costs affecting business as much as they affect individuals. What interests me is what portion of these increases is simply what the market will bear. If you can sell X number of English breakfasts for 48Dhs instead of 28Dhs, why not? It makes perfect business sense to charge what people will pay. I wonder how much the market will bear though? There are plenty of people with lots of money in Dubai, but if the 'average Western expat', which is what I would presume myself more or less to be, is going to stop going to half these places, I wonder if profit margins are being maintained? Or are tourists with strong Pounds and Euros discovering the 'good value' we used to benefit from?

It'd be fascinating to see some real data from a few local restaurants.

Fortunately two of our faves have either remained good value, or haven't changed their menu (yet). Chicken Tikka Inn, a fantastic Indian grill on Jumeirah Beach Road, has increased its prices - but that means it's gone from ridiculously good value to very good value. Blue Elephant at the Al Bustan Rotana is still well priced and we get an incredible 50% of food and 15% off drinks with our 'Rotana' card. What with the card and various other vouchers they do, they seem to pay us to eat there half the time. Long may that last.

(I'm sure people reading this blog are weeping for me. Poor Chris can't stuff his face at as many restaurants as before! Luckily for me, Mrs Saul is an excellent cook, so staying in is often far tastier than going out.)