Spike TV has a new reality TV show called Bar Rescue.  Bar Consultant Jon Taffer and his team take over bars on the verge of bankruptcy and turn them around.  In addition to remodeling the bar, he gets the management and staff on the right track to running a successful bar.  He covers everything such as managing your pour cost, menu engineering, up-selling, even why proper uniforms are important.  Of course, like any good reality TV show, Bar Rescue is built around the drama that comes from running a bar.

Check out this clip below.  John talks about the perfect one ounce pour, the power of suggestion, bar menu engineering, and why selling fruit drinks helps promote food sales.

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Bar Rescue airs on Spike on Sunday but they rerun episodes often.  Also, many clips and some full episodes are available on Spike’s website.  Check out this clip and meet John Taffer, the star of Bar Rescue.

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Links:

Spike’s Website for Bar Rescue

Dear Five Diamond Hospitality,

I can’t seem to get our liquor costs under budget.  What is the best control for measuring the bartender’s pours?

Good question!  There are a few different methods for pouring alcohol such as free pour, jigger, or measured spout.  Which one works best depends on your bar.

Typical lobby lounge – If your bar is typically slow, usually a measured jigger works best.  Just be sure to have plenty of jiggers on hand so the bartender always has one within reach.  We like the measured jigger because it is easy for your supervisors to monitor from across the bar.  Also, customers are accepting of a jigger in most cases.  Of course, the down side is that it is easy for the bartender to overpour using the jigger.  Most bartenders we see using a jigger like to run a tail with each pour.  Here is a good video on basic jigger techniques:

High volume bar – If your bar gets pretty busy and the bartenders need to crank out drinks fast, we like the measured spout.  The ball bearings in the spout automatically pour the exact amount and then stop.  The bartender would have to tilt the bottle back a second time to be able to overpour with these spouts.  Here is a good video of how the Precision Pours work:

Free Pouring Method – We really do not like any bars to use the free pour method.  It is both dangerous to your profits and to your customers.  Our mystery shoppers have reported time after time instances where they were poured a drink that had over 4 ounces of alcohol when a bartender free poured.  You can easily see how pouring 3 times the correct amount can be very dangerous.  But if you must free pour, at least have a good counting system in place and a system to test the bartender’s pouring skills.  Here is a good video:

Our new training video on Perpetual Beverage Inventory is now available for free.  You can also download the excel template as well as written instructions. 

To visit our new Perpetual Beverage Inventory How-To Video Page, click here.

Surprisingly, many people that are in food and beverage management positions and even general management positions do not know how to calculate beverage costs, one of the most important costs in every hotel’s budget.  Don’t worry, we won’t tell!  We will help you keep that secret by showing you how beverage cost is calculated.  It is really quite simple.

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Perpetual Beverage Inventory How-To Video

Training Video Goal: Successful implementation of perpetual beverage inventory by providing instructions and necessary tools

Training Video Length: Approximately 10 Minutes, Video can be paused and replayed at viewer’s chosen speed

Training Video Audience: All Food and Beverage Managers implementing a perpetual beverage inventory system

This video takes approximately 1 minute to load and will automatically play once loaded. For your convenience, all templates and instructions that are mentioned in the video are available free for download on this page below the video.

To download the Perpetual Beverage Inventory Template in Excel Format, click here.

To download the Perpetual Beverage Inventory Template instructions in PDF format, click here.

To read an article on Perpetual Beverage Inventory, click here.

To download the free Banquet Bar Requisition Template in Excel format, click here

To download the Banquet Bar Requisition Template instructions in PDF format, click here

Controlling your beverage cost is about much more than hiring the right bartenders and being hopeful that they are honest.  Whether your hotel just opened a brand new bar or have had one for many years, make sure that you have these 12 basic internal control standards in place to protect your bottom line.

1.  Position the POS terminal so that customers can see transactions rung up. Most bars have the POS screen positioned towards the bar so that the bartender must turn their backs to use the register. This helps on two fronts; first, all guests can see their transactions rung up and second, it is tougher for the bartender to see who is watching him or her ring up the transaction, making it less likely that they will risk using POS manipulation. If your bar design does not allow the terminal to be placed this way, consider installing a display arm that can be positioned to face the guest similar to ones in retail stores.

2.  Ensure that it is your bar’s standard to have alcohol poured first when preparing mixed beverages. Pouring the mixer into the glass before the alcohol can only mean one thing; your bartender is attempting to adjust the perceived alcoholic strength of the beverage. This is a good indicator that your bartender may be pouring less per drink to steal so that it will not throw inventory levels off.

3.  Require the bartender to give a receipt after each transaction. This is one of the simplest standards to use yet many bars obviously do not require the bartender to give one. Make sure that your bartender knows that if a guest pays cash, it is not some secret code for, “I do not want a receipt.” Even if most of the guests throw the receipts away, at least your bartender gave them one and hopefully rang up the transaction.  Check out our article on how bartenders split and re-present checks with the POS.

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This book, written by Robert Plotkin, has been around for quite a few years and is in its fourth or fifth printing.  The book does a very good job of covering internal theft in bars.  The chapters range from ‘Exploring the Causes of Theft’ to ‘Preventative Measures‘.  At 96 pages long, the book is an easy read and serves as a decent reference.  If you are new to beverage control, you will find yourself going back to the book time and time again as you try to improve the controls in your bar.  A more experienced Bar Manager will not find much of the book very useful.

While there is a lot of great advice on preventative measures, the book does feel a little outdated.  Also, many of the recommendations for beverage control seem very costly when it comes to supervision.  Hotels that do not have a F&B Manager on the floor at all times will have a very hard time with the recommendations.  In addition, many of the recommendations are just way too time consuming and small to midsized hotels will have a hard time finding the time and manpower to do them. 

Overall, we recommend the book for managers who are new to beverage control.  Veteran mangers can probably skip this book.

Click here to download our free Banquet Bar Requisition Template

To download these instructions in PDF format, click here

Instructions for using the Five Diamond Hospitality Banquet Bar Requisition Worksheet To set up the file:

1. Create a new file for each event. You can either create a new file for each month or add each month to a separate tab within this worksheet.

2. Input the details of the event at the top of the spreadsheet. Only fill in the cells that are in blue!

After you requisition the liquor to banquets:

1. Fill in the amount that you requisitioned in the column labeled ‘requisitioned’.

2. Again, only fill in the cells in blue.

3. Add additional rows for additional types of liquor not listed.

After the event and banquets returns the unused alcohol:

1. Fill in the amount that is returned in the column labeled ‘returned’

2. Again, only fill in the cells in blue.

To view your cost for the event:

1. Input the amount of revenue you collected for the event at the very top of the spreadsheet.

2. Your cost for the event will be displayed right below your revenues.

3. Send a copy of the worksheet to accounting so they can transfer the amount to banquets.

To download these instructions in PDF format, click here

Opinion Polls & Market Research

After you vote in our poll, be sure to tell us a little about your beverage pour cost.

-What was your budgeted percentage last year?
-What was your final cost last year?
-What is the best advice that you can give to someone who is over budget?

Who has read ‘Burning Down the House: The Infamous Waiter & Bartender’s Scam Bible’?

This book was actually written to teach bartenders and servers how to steal from their restaurants and bars. The tagline on the back reads ‘Diners and Managers, beware!  Waiters and bartenders, give yourself a raise!’ 

It was written by two servers who work on Bourbon Street.  It is a quick read, you could probably finish it on your lunch break.  It is a very dangerous book! It covers the simple scams like check representing and the more complicating scams like the wagon wheel. A couple of the scams are far fetched or out of date, but the book does a good job of describing all of the ways a server or bartender can steal from your hotel.  The book is also pretty entertaining.  It is written in an edgy fashion and includes chapters like ‘Suggestive Stealing’ and ‘The Buffet Scam’. 

Please add your comments about the book below… and if you buy the book, don’t leave it sitting around your office where your servers will see it!