Aperitif/How Should Menus and Wine Lists be Organized? 49
is being ordered by the guest. Second, if you happen to run out of a particular wine or want to promote
sales of another one, it may be easier to note and remember specific numbers rather than a list of names.
It is also easier to track for inventory purposes and reordering. Finally, guests and servers may be appre-
hensive to order (or suggest) a foreign bottle of wine for fear of mispronouncing the name of the wine,
producer, or village. It is safer to simply give the bin number to the guest, wine server, or sommelier.
Other issues to consider when creating a wine list include the region in which you are located. Does
the wine list feature regional wines? How much balance (or lack of balance) should you include among
regional wines, other domestic wines, and foreign wines? There is no easy answer here. My personal
preference is to always feature local and regional foods and wines. But, many people have specific favorites
or may want to try wines that are not something they can get locally, or they may be influenced by the
current wines that are in fashion. Therefore, knowing your customer base is an important deciding factor.
On average, U.S. consumers drink about 80 percent domestic wines and 20 percent imported wines. Im-
A successful wine-by-the-
glass program integrates
food-and-wine
recommendations with an
attractive pricing structure.ported wines that currently top the list are those from Australia and
Italy followed by France, Spain, Chile, and New Zealand. It is also true
that red wines currently outsell white wines at a rate of 60 percent (red)
to 40 percent (white).
Price is an important factor. This issue is tied to your mark-up
strategy as well as decisions you make concerning the range of wine
prices on the menu. The range of prices that you provide on the wine
list has huge implications on your total wine sales. About 60 percent of
the wines on any wine list should be in the moderately priced category
as these will be the largest sellers. Typically, mid-priced wines sell for
between $25–40 per bottle on a wine list. About 20 percent of sales
will be wines priced at less than $25 and about 20 percent will be priced
at $40 or more.
As a manager of this process, it is important for you to track wine
sales, particularly at a new establishment, to determine if you have the
correct inventory levels, mix of wine types, and an accurately priced
wine list. Specific items to track include the number of bottles sold per
customer, the percentage of white wine to red wine sold, the average
price of a bottle of wine sold, and the ten most popular wines on your
wine list. It is also valuable to have staff report any diner’s requests for
wines that are not currently on your wine list.^3
The price of an item is determined, in part, by the competitive analysis and customer
information gathered during the strategic business planning process. This process is not
stagnant but will continually adapt to changes in the environment. Many operators use a
cost percentage method to determine menu prices and wine prices. Others use a set mark-
up per bottle that can range from 100 percent to 300 percent of the cost of the bottle of
wine. Some operators have had great success marking up all bottles by a set amount. For instance, an
operation could add a set cost of $15 to each bottle of wine based on the estimated cost of storage, service,
and an acceptable profit. When a bottle costs the operator $5, the customer pays $20 for the bottle in the
restaurant. For a bottle that costs the operator $35, the customer would pay $50, which represents a good
value for the guest. Compare this to a 200 percent markup method. In this case, the $5 bottle would be
sold to the guest for $15 and the $50 bottle would be sold for $150. The former method provides a good
value for the customer at both wine price levels and encourages more wine sales with food. And, it may
be argued that the variable costs of serving the bottle of wine are the same (excluding the capital costs of
holding the more expensive wine in inventory). The latter mark-up method seems to discourage sales of
the wines in the mid-priced and higher end ranges of the wine list. Overall, prices are evaluated by the
consumer based on the uniqueness of the item, the level of service provided, product quantity, and overall
quality. So, all of these considerations will need to be reconciled before creating a final pricing strategy for
the overall wine list.