MENU COSTING SAMPLE

MENU COSTING SAMPLE

Note: Before you start the menu costing you must have completed information on all products generated on the menu like: measurement for every spirits/alcoholic beverages /wines/ sodas/juices/beers etc.

MARGARITA

45           ml           Tequila Silver                 0.50

20           ml           Triple Sec Liqueur         0.25

45           ml           Lemon Juice                  0.15

Miscellaneous                                             0.10

Total menu in cost price                            1,00

Preparing menu or selling price:

Beverage Menu in cost price                       1.00

Beverage Markup                                           20%

Marketing flow                                                25%

Given Percentage                                        100%

$1.00 X 20 X 25 / 100 = Selling Price

Formulas:          

$1.00 X 20 = 20 

20 X 25      = 500

500 / 100   = $5.00           

Selling Price  is $5.00     

Bar Cost Sample Tips;   

Cocktail Cost / Selling Price = Bar Cost

$1.00 / $5.00 = 20%        

Bar Cost is 20%

Note:   

a) When you making cocktails menus you have to study the location then you can adjust your beverage mark up and your marketing flow. Marketing flow is designing for low and high price of the product in the market.

b) The Standard Markup of Beverage is 19% to 25%, and marketing flow are defending against the feasibility study of your business, The Given % of 100 percent is designed to get your selling price in the right direction. This technique was always used in the five star hotels

c) You can use the formulas for actual bar operations; just adjust what is the best for your business selling prices.

d) In actual bar operations, i am not agreeing to use direct percentages of the selling price likes times 500% or more, because, you cannot control the marketing flow of the market.

e) By using formulas you can make menu planning for every 3 month or up to 6 months without losing business.