1. What is Pour Cost?

Pour cost is a key metric in the bar and restaurant industry that represents the percentage of a drink's selling price that goes toward the cost of the alcohol. It helps establishments monitor profitability and control inventory costs.

2. How Does the Calculator Work?

The calculator uses the pour cost formula:

Where:

• Bottle Cost — Total cost of the liquor bottle ($)
• Selling Price per Drink — Price charged to customers for one drink ($)

Explanation: The formula calculates what percentage of your drink price is consumed by the cost of the alcohol itself.

3. Importance of Pour Cost Calculation

Details: Monitoring pour cost is essential for bar profitability. Ideal pour costs typically range between 18-24%. Higher percentages indicate lower profit margins, while lower percentages may suggest overpricing.

4. Using the Calculator

Tips: Enter the total cost of the liquor bottle and the price you charge customers for one drink. Both values must be positive numbers. The calculator will instantly show your pour cost percentage.

5. Frequently Asked Questions (FAQ)

Q1: What is a good pour cost percentage?
A: Most bars aim for 18-24% pour cost. This provides a good balance between profitability and competitive pricing.

Q2: Should I include other costs in this calculation?
A: This calculation only considers the alcohol cost. For a complete profitability analysis, you should also factor in labor, glassware, mixers, and other expenses.

Q3: How often should I calculate pour cost?
A: Regularly monitor pour costs - ideally weekly or monthly - to track trends and identify potential issues with inventory or pricing.

Q4: What if my pour cost is too high?
A: High pour costs may indicate theft, overpouring, need for price adjustments, or inefficient inventory management.

Q5: Does this work for all types of drinks?
A: This formula works best for straight liquor pours. For cocktails with multiple ingredients, you'll need to calculate the total cost of all components.