Wholesale Cost x (2, 2.5, or 3) = Menu Price Simply round up the result to … Alternately, craft beers can be quite expensive to buy wholesale, so bars don't mark them up as high. If you find this article helpful, there's more where that came from. Most successful bar managers shoot for a liquor cost of 20% to 30% on their bottled and canned beer. The draft beer profit calculator compares profit levels of up to three unique products based on cost, your retail price, keg size, and glass size. Using this method, you'll sell a 12-oz bottle of craft beer that you bought for a wholesale cost of $1.27 for at least $3.50. Calculate Profit and Margin with Set Price, © 2020 Eagle Distributing. 10 of the 64 ounce (half gallon) growlers. If you manage a bar, restaurant or beer store, you likely deal with a wide variety in shape and size of packages and serving vessels for beer. Offering your customers a wide variety of options—craft and not—can be a huge win for your bar profitability. 38 of the half liter (16.9oz) bottles. From a consumer perspective, beer drinkers can save almost 80% on macrobrews like Budweiser if they buy a keg. That means if you're paying $1 wholesale for a beer bottle, it'll have a menu price of $3.35 to $5. For example, if you get $3.32, round it to either $3.35 or $3.50. Note: The draft beer profit calculator assumes that space left in every pour due to head foam exactly negates any spillage. But we recommend having higher overhead charges or markup numbers for draft beer. This app comes to you to keep your profits up and your costs down. It is more fun to do a mix. This is because installing and maintaining a draft system equipment can be quite costly, from weekly line cleaning to frequent keg changing and accurate beer keg tracking. The profit margin for bottle beer should be around 75%, while the profit margin for draft beer should be about 80%. And that goes for liquor pricing and wine by the glass pricing, too. The popularity of craft beer is rising. Liquor cost: $22 purchase cost / 25 oz. Use drink menu engineering to maximize your profits. This tool is designed to simplify profit calculations for you. In most cases, 2 is for higher-cost beers and more than 2 for lower-cost ones. Website Design and Development by VIEO Design, Website Design and Development by VIEO Design. Drink Cost Breakdown in Practice We’ll walk through the pricing breakdown of a basic drink to provide a visual of the calculation above. But the pricing strategy for draft beer is the same as canned and bottled beer: try to hit a liquor cost of 20% to 30%. Some bars have a higher overhead charge, and higher prices for their craft beer, because of their upper-scale locations. Not only that, but you will also need to purchase CO2 and Nitrogen regularly to best serve your beer. Draft Beer Profit Calculator The draft beer profit calculator compares profit levels of up to three unique products based on cost, your retail price, keg size, and glass size. 4 of the 5 liter mini kegs. In most cases, 2 is for higher-cost beers and more than 2 for lower-cost ones. Works for Corn Sugar (Dextrose), Table Sugar (Sucrose), Dry Malt Extract (DME), and variety of priming sugars. From a hands on bar and restaurant operator comes Draft Price Calculator. Sean has implemented this tool with all of his managers so they can keep the profits up and costs down at both of his Sacramento, CA locations - Der Biergarten and River City Saloon .He hopes it can help you too. To bottle 5 gallons of home brew beer: 54 of the standard 12 oz bottles. Those happen more often when serving draft beer than with canned and bottled ones. Over the years Sean had struggled to find a better and easier way to keep the profits up and the costs down all while trying to give the right price to charge for a draft beer.

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