I just got approached by the good people at LVMH, offering half bottles of Krug for a BTG placement. Though it's not perfect for my cost, I settled on $99 for two glasses, and I think that's pretty good for the higher-end steakhouse where I work. My boss, on the other hand, thought it was "obscenely expensive" and will only let me list it at $59, which hurts big time for my percentage. Ouchie.
What have you seen price-wise for Grande Cuvee? There's a little Italian place in Boulder that does $40 a glass, but I haven't seen it anywhere else. Help me.
***Warning...I live in Vancouver. Controlled monopoly, government run system. My cost for Krug 'Grande Cuvee' is $280/btl. (no shopping around. 1 price. Period. And "kick-backs" are 'illegal'. Well... sort of.
I sold it for $110/gl. I know when Sean Nelson was at Vij's they were selling it before me at a great deal (for our market) around $65/gl I think?
Taking a hit on your COGS is fine, if you truly understand your sales mix. An entire topic unto itself.
Also your relationship with owners and or GM's is key. You have to have a goal. Together. See numbers they right way. Blended COGS is the best way. But, you can use selling Krug to generate revenues. You can't put a % in the bank. You can put cash in the bank. Full stop.
I poured it BTG for the better part of this year. (now pouring the Cristal 2008, Michel Turgy and Billecart-Salmon Rose)
At $59 it only hurts your % IF you sell buckets of it.
ALSO very important, what preservation system do you use? Show your guests you invested to serve them the best quality possible. Perlage is "ok". I bought 2 top of the line Le verde du Vin systems-dual sparkling/still wine units. ($5K each). 1st year (2017), BTG - 40 cases of Cristal, 35 cases Ruinart rose, 25 Pierre Pierre Paillard, 15 Krug, 50 Ployez-Jacquemart; total waste roughly 6 glasses. Math does itself. ($65K revenue in the Cristal alone). I run my Prestige Cuvee's around 50% and my COGS are great.
My volume of regular wines BTG drive the success.
It all comes back to how much are you going to sell. As important as how much are you going to sell it for.
High end steak house....maybe do kick ass Champagne BTG, run features to test the water, get people salivating, but play around with your Red BTG program? Whats the range BTG for reds? do you use Coravin? Or equivalent?