Pour Cost Formula:
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Pour cost is the percentage of a drink's selling price that goes towards the cost of the ingredients. It's a key metric in bar and restaurant management to measure profitability and control costs.
The calculator uses the pour cost formula:
Where:
Explanation: The formula calculates what percentage of the selling price is consumed by the cost of ingredients.
Details: Monitoring pour cost helps businesses maintain profitability, identify potential theft or waste, and make informed pricing decisions.
Tips: Enter the exact cost of ingredients for one drink and its selling price. Both values must be positive numbers in the same currency.
Q1: What is a good pour cost percentage?
A: Typically 18-24% for liquor, 20-25% for beer, and 14-20% for wine, though ideal targets vary by establishment.
Q2: How often should I calculate pour cost?
A: Monthly at minimum, but weekly or even daily for high-volume bars to quickly identify issues.
Q3: Should I include labor costs in drink cost?
A: No, pour cost typically only includes ingredient costs. Labor and overhead are separate calculations.
Q4: What if my pour cost is too high?
A: Consider raising prices, finding cheaper suppliers, reducing portion sizes, or investigating potential waste/theft.
Q5: Does this work for non-alcoholic drinks?
A: Yes, the same calculation applies to any drink where you want to measure ingredient cost percentage.