Chinese Buffets in Indiana Make Less Money Than You Think

Chinese buffets can be found all over Indiana, and they have a reputation for being very affordable. That said, how much money are these restaurants actually making?

In my early years of college, I lived off Domino’s Pizza, Ramen Noodles, and the $6 lunch buffet at the local Chinese restaurant. All three of those options had one thing in common—they were cheap and easily accessible for this broke and hungry college student. The Chinese buffet was perhaps my favorite most days, as it offered far more variety and protein sources.

Chinese Buffets Are Cheap and Delicious

My visits to the aforementioned Asian cuisine palace were so frequent that I was soon on a first-name basis with the staff and didn’t have to wait for a table. I would just go in, sit down, and get my food. They already knew what I wanted to drink (it was water because it didn’t cost anything). Sadly, that restaurant has since closed down, which got me wondering if those cheap eats were to blame.

The Evolution of Chinese Buffets in America

All-you-can-eat establishments go back far more than 100 years, but Chinese buffets specifically rose in popularity around the mid-20th century. Today, thousands of such restaurants exist across the United States and are a regular go-to spot for most Americans. While some are larger than others, most offer an assortment of items such as General Tso's chicken, fried rice, and crab rangoons.

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Are Chinese Buffets Profitable in Indiana?

It’s no secret that inflation has taken its toll on the food industry, which means Chinese buffets cost more than they did five years ago. According to Toast, most of these all-you-can-eat locales charge around $20 per person. In southern Indiana, however, I’ve seen prices range from $10–$12. All in all, I don't think that's terrible in today's day and age. You're likely to pay the same or more for a meal at McDonald's.

Toast adds that most of these restaurants operate on very thin margins. Typically, they earn around a 5% profit. So, with a price of $20 per customer, that's only about $1 profit on average per head. It’s worth noting, however, that there are a variety of factors that would influence the return on investment, such as operational, labor, and supply costs, along with available seating and foot traffic.