Beverage Programs Demand as Much Care as Restaurant Menus

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Volume 48, Issue Three

By: Jennifer Febbraro

[dropcap size=big]I[/dropcap]t needs only a good bottle of wine for a roast chicken to be transformed into a banquet,” wrote Gerald Asher in his epic tome, The Pleasures of Wine. The veteran wine editor of the well-respected Gourmet magazine knew the savoury magic of an inspired food-and-drink pairing. Now more foodservice operators are investing in a strategic and rotating, seasonal beverage program, which deserves the spotlight as much as a culinary menu.

Evan Baulch, GM and sommelier at Toronto’s Auberge du Pommier, says an inspired beverage program remains a priority despite the fact that 70 per cent of his restaurant’s profits come from food sales. “It’s critical, especially for high-end restaurants,” he explains. “Right now, for example, we are introducing customers to interesting wines from south west of Bordeaux, France — the Madiran wines in particular.” A bottle of 2009 Madiran, Château Tour Bouscassé runs approximately $65 whereas a 1999 Madiran, Château Montus is listed at $175.

Baulch says customers are most responsive to new flavours if they are introduced to them by a knowledgeable server or by a special-offer tasting menu. In addition to these promotional tactics, Auberge du Pommier’s featured cocktail list changes every three months as favourites come and go.

Adrian Caravello, program coordinator of George Brown’s Centre for Hospitality and Culinary Arts in Toronto, sees value in an evolving wine menu. In fact, he often assigns students the task of designing a beverage program that complements a food menu. “It’s really important for operators to showcase a developed beverage program,” says Caravello. “To the guest, it’s magic that the food selection and accompanying drinks taste so amazing together, but the sommelier, server or beverage director’s job is to achieve that experience intentionally with every meal.”

Caravello sees great examples of pairings regularly at the Toronto-based Martini Club International where specialty dinners are frequently on offer. A classic pairing is its Ontario-raised beef tenderloin with roast jewel potatoes, cauliflower purée, King Oyster mushroom and red wine jus ($35) paired with a Belvedere Vodka shaken with fresh tomato water, red wine syrup and a hint of spice, garnished with a salted cherry tomato ($13). The wine echoes the flavours of the dish.

But, when it comes to calculating beverage list profit margins, it can be a complicated equation, which varies from venue to venue. Caravello advises operators to consider clientele (and what they are willing to pay for an alcoholic beverage), location, rent, operating costs, cost of linens — even the lighting. “These things drive up the price point of your beverages and guest expectations,” he explains.

On average, Caravello notes that beer is normally priced approximately 24 to 28 per cent higher than the retail price, wine should be approximately 29 to 32 per cent higher, while liquor should be priced approximately 14 to 18 per cent above retail.

That said, the profitability of a successful beverage program may not always be on par with the food program. “Some restaurants make 60 per cent of their business with food and only 40 per cent with alcohol sales, whereas some are the reverse,” says Caravello. “However, the target profit of any restaurant should be 10 per cent of total sales — after all expenses have been paid.”

Chris Hooper, manager and head bartender at New Brunswick’s award-winning Tide & Boar Gastropub, says it’s important for a beverage program to reflect alcohol trends (see “Listed” on p. 39). Consumers are also drawn to high-end restaurants, bars and pubs that produce homemade bitters or other ingredients. For example, rather than use chocolate-infused vodka for a recent chili chocolatini ($11) cocktail, Tide & Boar bartenders created in-house aromatics by reducing the oils directly from quality chocolate and combining them with jalapeño peppers. The gastropub’s bartenders squeeze their own juices and create their bitters, making cocktails a pricier but valuable option. “People gravitate to the beverage menu,” Hooper insists. “They appreciate that everything is home-made.”

“Customers are more open-minded than ever,” says Billy Woon, sommelier at Toronto’s Canoe Restaurant + Bar. “And preferences in wine especially have changed tremendously,” he says. “My bestseller at the moment is a Cabernet Sauvignon from Navarra, Spain.” The 2012 Bodegas Nekeas Vega Sindoa Cabernet Sauvignon from Navarra is listed at $20 per glass or $80 per bottle.

And, while that wine is popular at Canoe, a fine-dining gem, Caravello reiterates how important it is to avoid randomly selecting high-end, expensive wines, which don’t match the price point of complementary food menus. “If I’m running a tapas restaurant and dishes go for around seven or eight dollars, I can’t have the cheapest bottle of wine begin at $75,” he laughs. “Otherwise there’s a big disconnect for the customer.”

Restaurateurs also need to beware of information overload when it comes to presenting customers with new beverage items. “A wine list doesn’t need to be a booklet with hundreds and hundreds of choices,” insists Magdalena Kaiser-Smit, PR director of Marketing and Tourism for the Ontario Wine Council. “I recommend smaller restaurants list around 60 to 80 wines or [employ] a good by-the-glass program, which features new wines each night.”

However, experimenting with purchasing new wines or liquor can be tricky, especially given the cost. To begin, every operation should have a par stock (the amount of alcohol needed to operate successfully). “If I know I will go through four bottles of vodka on a Saturday night,” says Caravello, “then I should have five bottles of vodka in stock.”

Moreover, when launching a cocktail with a newly purchased bottle, begin with two bottles. “This is especially important if cash flow is low,” explains Caravello. “You don’t want to lock your cash into new bottles, which end up taking up space in your stock room if your cocktail isn’t as successful as you’d hoped.”
But that doesn’t mean it’s not worth taking the gamble on a new, maybe even risky, cocktail choice. Well-educated staff can help seduce the customer into trying something new, especially if they have tried it themselves. “Whenever I add a wine to the list, I’m always excited to open a bottle for the team during our staff briefing to get their opinion,” says Canoe’s Woon. “If they like it, they will experiment with it and encourage our guests to try it. It’s a win-win.”

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