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.
Vij’s will always be some of my favorite Indian food and a highlight of our Vancouver trip.
Too bad I had Mangalore instead of Krug.
In response to #5. If you have halfies of Krug for $60, I will take a palate, and sell it to my members!!! I woudl also take 3cs for me!
Wally's in Beverly Hills does Grande Cuvee BTG for $39 and I've always thought it was perfectly priced. You're typically gonna get your own 375 if you order 2 glasses. Love that price point. For $45 a glass they've got DP or my other fav BTG sipper is Sigh up in Sonoma who does Grand Siecle all day long for $45/glass
Focus on your contributing margins. If you can still make $20 per glass who cares if your COGS is 50% or more, It's still really good money in the bank, I'm sure your other BTG choices don't bring in as much money per glass. You're still improving your ticket sales, everyone will make more money even if your margins are lower.
I currently charge $65 a glass and have received no push back at all from guests.
Never seen Krug lower than $45/gls in San Diego, $45-$55 seems to be the going rate.At that price,you're even competing with some retail,which gives you a competitive edge in the"perceived value" space.
honestly, ask your rep where else it's being poured in Denver,and check out their pricing. To match, but not necessarily beat. Any wine rep who wants to maintain relationships (and placements) will be honest about other placements in the market.
I sell it for 47 a glass at Michael Mina and it flies.
I would think about it in the context of the larger SKU portfolio. While it might be a bit lofty, I recommend checking out the 9 box analysis:
how many ounces?
I poured Krug BTG when I was at The St Regis in San Francisco. I charged $48.00 per glass this was about 4 years ago. I had no problem moving it. We poured both in the hotel bar as well as AME restaurant. I would even order a larger drop during certain conventions such as Salesforce. Having Krug BTG also opened the conversation for other Krug offerings such as Vintage Krug, Clos du Mesnil and Clos d' Ambonnay.
Like Jon, I have Krug half bottles listed with btg for $95, right after Suenen Oiry for $28/gls, so if a guest wants awesome bubbles they don’t feel pressured into the highest price point. I don’t make a high margin in the Krug, but I’ve found that often the guest that gets the Krug is likely to go on to get another bottle later in their meal, and they feel like the rest of the list is as generous as the Krug is.
Those who know the wine will appreciate the low markup, and those who don’t will choose something else, so make sure you have a great, more value-driven alternative.
And as an update, I'm pouring for $40 during the holidays.
I sell Dom vintage 2006 for 35$/glass. I have a Moet Imperial btg at 18$. I think if you want to sell Krug btg for 49.5$ btg you might have a bit of a problem. I would come down to 38$ or so for it... and since you are selling half bottles maybe you could print some literature and make a cool special and advertise it. Best of luck!
***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?
Dom 06 for $35/glass? I may have to travel down to NC just for a couple of glasses! What are you paying cost there?