If I had a nickel for every time someone asked me how to lower their bar and food cost percentage, I could have purchased my bourbon Slushee machine by now, but since nobody gives me nickels for such questions, I’ll have to be content with mixing my bourbon up with ice in a blender.
Nevertheless, I have a new quick training video in which I’m going to give you seven ways right now you can start using immediately to lower your cost percentage and raise your bar and restaurant profits right away.
Let’s remember that the 2nd part of this formula is the most important: increasing your profits. I find that so many owners and managers get caught up in percentages and it can actually hurt their business.
For instance, if all you care about is low cost percentage, then you should just go ahead and buy and pour well liquor all the time, because it pours at about 5 – 6% on average. BAM! Problem solved.
Thank you, and goodnight…
Nope, hold your horses right there. Problem not solved at all. Even though you are making 95% profit, the actual money you make per shot is around $4.70 (assuming you charge $5 per shot).
On the other side, a shot of Grey Goose might run you 17% pour cost, making you 83% profit, but assuming you charge $8 for Grey Goose, you’re making around $6.50 per shot.
I will cover this concept more in an upcoming blog post so you can see how it works, but I hope for now you can understand that $1.80 more per shot is better than 12% better cost percentage. The extra money goes into your bank account, not your percentages.
Your goal here is to find the sweet spot, because lower cost percentage overall does mean more profits.
If the whole cost percentage thing is still a bit hazy for you, you can click here to watch my video on how to calculate your bar and restaurant cost percentage and why it’s important.
With that said, let’s get on with it. Click below to watch the video and how to lower your bar and food cost percentage immediately, and if you have any questions at all, make sure to email us at firstname.lastname@example.org and we’ll be happy to answer them.
7 WAYS TO LOWER YOUR BAR & FOOD
COST PERCENTAGE IMMEDIATELY
Cheers, until next time,
Tags: how to lower food cost percentage, restaurant cost percentage, how to lower pour cost percentage, increase restaurant profits, increase bar profits, how to calculate cost percentage, bar management, restaurant management