Hotel bar stock control: pour cost and variance.
Pour cost with a worked example, variance by bottle, the controls that work behind a hotel bar and the common ways drinks go missing.
By the Tivuzo team · Updated
Pour cost (beverage cost percentage) = cost of drinks used ÷ bar revenue × 100, where cost of drinks used = opening bar stock + issues to the bar − closing bar stock. Control it with standard measures, a recipe for each cocktail, par stock in the bar, regular counts that compare what left the shelf with what the till sold, and a variance report by bottle.
The formula
Cost of drinks used = opening bar stock + issues to the bar − closing bar stock
Pour cost % = cost of drinks used ÷ bar revenue (excluding VAT) × 100
| Item | KSh |
|---|---|
| Opening bar stock | 220,000 |
| Issues from main store | 410,000 |
| Closing bar stock | (205,000) |
| Cost of drinks used | 425,000 |
| Bar revenue | 1,520,000 |
| Pour cost | 28.0% |
Beer and soft drinks usually run at a higher cost percentage than spirits and cocktails. Track categories separately so a shift in the mix doesn't hide a problem.
Variance by bottle
The overall percentage tells you there is a problem; variance by bottle tells you where. For each item: expected use = quantity sold at the till × measure; actual use = opening + issues − closing. The difference, valued at cost, is the variance.
| Item | Sold (tots) | Expected use | Actual use | Variance |
|---|---|---|---|---|
| Whisky 750 ml (25 ml tots) | 180 | 6.0 bottles | 7.0 bottles | −1.0 bottle |
| Gin 750 ml (25 ml tots) | 150 | 5.0 bottles | 5.1 bottles | −0.1 bottle |
| Beer 500 ml | 420 | 420 bottles | 432 bottles | −12 bottles |
A missing bottle of whisky is the 30 tots someone didn't ring up. Twelve beers may be breakage, staff drinks or free pours.
Controls
- Standard measuresUse measures (jiggers or optics), not free pouring.
- RecipesEach cocktail has a written recipe with its measures and cost.
- Par stockThe bar holds a fixed stock and is topped up from the main store on requisition.
- Empty for fullSpirits are issued only against the empty bottle.
- Everything through the tillIncluding complimentary drinks and staff drinks, rung as such.
- CountWeekly for the bar, daily for spirits if variance is high; measure open bottles in tenths.
Common leaks
- Drinks served but not rung up, or rung as a cheaper drink
- Free pouring and over-generous measures
- Bottles brought in by staff and sold through the bar
- Breakage and spillage not recorded
- Room charges not posted, so the drink is never paid for
In Tivuzo
The bar is its own store, stocked by issues from the main store. Every sale at the bar till takes stock out, bills can be charged to the room so nothing goes unpaid, and the weekly count shows the variance item by item before you post it. See the hotel POS, inventory and stores and hotel stores control.
Bar stock questions
What is a good pour cost for a hotel bar?
It varies with the mix: spirits and cocktails often run in the high teens to low twenties, beer and wine higher. Many bars land somewhere around 20–30% overall. Track your trend by category.
How often should a bar be counted?
Weekly at least; daily for spirits when variance is a concern.
How do I measure an open bottle?
In tenths of a bottle by eye, or by weighing it. Be consistent.
Should complimentary drinks go through the till?
Yes, rung as complimentary, so the stock and the cost are explained.
Last updated by the Tivuzo team.