Helpful resources to increase volume, velocity, & revenue with Reformation products.
Where you set your price per pour is the biggest factor to increasing volume, velocity, and revenue. The $6 pour has proven to be a basis for what most craft beer drinkers are willing to pay in Georgia. Adjusting your pour size to match the beer style is key to enhancing the customer experience and your bottom line.
1/4 BBL Keg earns you more profit per square foot in the cooler vs a 1/6 BBL Keg.
Assuming a $6 Pint to Consumer, a single 16oz pour of Cadence results in $3.98 profit per pour. Which equates to a 197% Markup and a 66.33% Margin. Given that you get an Extra 20 Pours over a 1/6 BBL Keg, the bar makes an extra $79.60 for the same cooler footprint when using a Quarter Keg over a Sixtel.
1/2 BBL Keg earns you the most profit per square foot in the cooler.
Assuming a $6 Pint to Consumer, a single 16oz pour of Cadence results in $4.59 profit per pour. Which equates to a 326% Markup and a 76.50% Margin. Given that you get 2x the amount of beer and use only 35% more cooler floor space, 1/2 Kegs are typically the best value per ounce, per pour, and per cooler square footage.
12oz Pours are the secret to creating a bespoke experience with premium high-gravity craft beers.
Assuming a $6 Pint to Consumer, a single 12oz pour of Jude results in $4.19 profit per pour. Which equates to a 231% Markup and a 69.83% Margin. Given that you get an Extra 20 Pours over a 1/6 BBL Keg, the bar makes an extra $83.80 for the same cooler footprint when using a Quarter Keg over a Sixtel.
We can all agree that pouring beer requires the same amount of work, regardless of what’s in the keg. Investing in craft beer beer gives you a better return on your money & time. $195 more revenue per keg is 50% MORE PROFIT for the same amount of work.
$115 1/2 Keg Price
$4.00 Price to Consumer
$0.93 Cost of Pour (16oz)
$3.01 Profit Per Pour
x 124 Pours
= $373.24 Profit per Keg
$175 1/2 Keg Price
$6.00 Price to Consumer
$1.41 Cost of Pour (16oz)
$4.59 Profit Per Pour
x 124 Pours
= $569.16 Profit per Keg
Because they have more beer in them! Seriously, read above, as our Quarter Kegs have 992 Ounces (62 Pours) of beer and typical craft Sixtel Kegs have 661 Ounces (41 Pours) of beer. While our kegs take up almost the exact same cooler space, they hold 50% more beer.
Although craft beer consumers think of cost per pour, we’ve done the per ounce math for you as well.
Anchor Series
1/4 Keg: 992 Ounces @ $125 = $0.12/oz
1/2 Keg: 1,984 Ounces @ $175 = $0.09/oz
Liberated Series
1/4 Keg: 992 Ounces @ $150 = $0.15/oz
1/2 Keg: 1,984 Ounces @ $225 = $0.11/oz
Many craft breweries offer a 1/6 BBL Keg (Sixtel) instead of a 1/4 BBL Keg (Quarter). Assuming an average price of $79 for a Sixtel of craft beer, here is how our Quarter Kegs compare…
Typical Sixtel (1/6)
$79 = 661 Ounces @ $0.12/oz
Reformation Quarter (1/4)
$125 = 992 Ounces @ $0.12/oz
Our quarter kegs average the same cost per ounce as similar quality sixtel kegs, yet we offer more volume & revenue per cooler footprint by providing more beer per square foot.
In the old days all bars were managed based on cost percentage. It made for easy math, plus all beer was basically the same. The craft beer movement has changed everything and bars need to start thinking about generating more revenue for the same amount of work. Connecting kegs, pouring beers, and cleaning glasses is the same work, regardless what’s on tap.
Revenue or Profit per Keg should be the standard for increasing your bottom line. Think of it like this, would you prefer to spend $115 to make $373 or would you rather invest $175 to make $569? This is the difference between the old way and the smart way to analyze draft beer.