Expert Advice on Hospitality Topics

The Secrets of Being a Successful Bar Manager

Posted by Nick Kaoukis on Tue, Mar, 05, 2024 @ 14:03 PM

Discover the key strategies and skills needed to excel as a bar manager and ensure the success of your establishment.

Bar ManagerBuilding a Strong Team

Building a strong team is crucial for the success of any bar business. A cohesive and efficient team can greatly contribute to the overall atmosphere and customer experience. As a bar manager, it is important to hire the right individuals who not only possess the necessary skills but also have a passion for the industry. Conduct thorough interviews and carefully select candidates who align with the values and goals of your establishment.

Once you have assembled your team, it is essential to provide them with proper training and ongoing support. This includes teaching them about your bar's unique offerings, such as signature cocktails or craft beers, and ensuring they have the knowledge to provide exceptional customer service. Foster a positive work environment where teamwork is encouraged, and recognize and reward your employees for their hard work and dedication.

Effective Inventory Management

Effective inventory management is vital for running a profitable bar business. It involves keeping track of all the products and supplies you have on hand, as well as monitoring their usage and ordering more when necessary. Implementing a reliable inventory management system can help you streamline the process and minimize waste.

Start by conducting regular inventory counts to accurately assess your stock levels. This will help you identify any discrepancies and prevent theft or loss. Additionally, categorize your inventory based on type and popularity to prioritize reordering. Consider using technology, such as bar management software, to automate the inventory tracking process and generate reports that provide valuable insights into your bar's performance.

By effectively managing your inventory, you can reduce costs, minimize stockouts, and ensure you always have the necessary ingredients and supplies to meet customer demand.

Creating a Unique Bar Experience

In order to stand out in a competitive industry, it is crucial to create a unique bar experience that sets your establishment apart from others. Start by defining your bar's concept and theme. This could be based on a specific cuisine, a particular type of drink, or a certain atmosphere. Consider what makes your bar special and find ways to highlight those features.

Pay attention to the ambiance of your bar by carefully selecting the decor, lighting, and music. Create a welcoming and comfortable environment that appeals to your target audience. Additionally, focus on providing exceptional customer service by training your staff to be knowledgeable, friendly, and attentive.

Offering a variety of innovative and creative drink options can also contribute to a unique bar experience. Consider crafting signature cocktails or partnering with local breweries to offer a selection of unique and exclusive beers. Regularly update your menu to keep things fresh and exciting for your customers.

Marketing and Promotions

Effective marketing and promotions are essential for attracting new customers and keeping your current patrons engaged. Develop a comprehensive marketing strategy that utilizes various channels, such as social media, email marketing, and local advertising.

Create a strong online presence by maintaining active social media accounts and regularly posting engaging content. This can include sharing updates about new drink specials, hosting events, or featuring customer testimonials. Consider partnering with influencers or local businesses to expand your reach and attract a wider audience.

In addition to digital marketing, explore opportunities for offline promotions. This can include hosting themed nights, offering happy hour specials, or partnering with local charities or organizations for fundraising events. Make sure to track the effectiveness of your marketing efforts by analyzing data and adjusting your strategies accordingly.

Adapting to Industry Trends

Staying up-to-date with industry trends is crucial for the success of your bar business. The preferences and expectations of customers are constantly evolving, and it is important to adapt and stay relevant. Keep an eye on emerging drink trends, such as craft cocktails or low-alcohol options, and incorporate them into your menu.

Additionally, consider the growing demand for sustainable practices and make efforts to reduce your bar's environmental impact. This can include using eco-friendly materials, implementing recycling programs, or sourcing ingredients from local and sustainable suppliers.

Stay informed about industry events and conferences to learn from industry experts and network with other bar managers. Join industry associations or online forums where you can exchange ideas and stay updated on the latest trends and best practices.

By continuously adapting to industry trends, you can ensure that your bar remains competitive and appealing to your target audience.

Topics: Bar inventory, Lineup control, Bar Management, Liquor Inventory savings, Best Bar Inventory app, Best Liquor Inventory app, Cruise ship bar inventory

Loss Prevention: The Bar Manager's Key to Quick Profit Growth

Posted by Nick Kaoukis on Thu, Aug, 16, 2012 @ 13:08 PM

How Keeping Close Tabs On Your Liquor Supply Can Both Cut Costs & Generate Revenue

Inventory ControlIndustry studies have consistently shown that a full 25% to 30% of a bar's liquor inventory never converts into registered sales. That is the equivalent of about six to eight 1.25 oz portions per bottle (which should yield at least 25 portions.) This loss of liquor volume--due to unauthorized comps, over-pouring, spillage or theft--should be of great concern to any bar manager. 

While losing 25% of a $25 bottle may not seem like a very serious problem--an unavoidable cost of doing business--the true cost is much greater than that $6 or $7 per bottle. The question you need to ask yourself is: Where is this lost liquor going? And how is it affecting sales? For instance, if your bartender is not pouring 1.25 oz portions, but is instead pouring 2 oz portions (say, perhaps, to curry favor with clients and receive a bigger tip), you're not just losing liquor volume, you're also losing potential sales. Where the customer may have been disposed to buy three drinks (3.75 ounces), he may now be content to buy just two 2-ounce drinks. Your bartender's actions, in this case, haven't merely cost you a dollar's worth of liquor, they may well have cost you $6-$8 in lost sales revenue (depending on how you price your drinks). And that's just for one customer buying two drinks. How often is this occurring? What if your bartender also happens to be giving away free drinks without your knowledge or authorization? The point is: "shrinkage" does not only affect supply costs, it can also affect revenues in a big way. 

That's why loss prevention is so important. The profitability of your business depends on whole bunch of variables--the location of your establishment, the overall economy, ever-changing customer tastes.... Achieving profit growth can be difficult and can rarely be accomplished overnight. Increasing the price of your drinks is risky, and can prove more harmful than helpful as far as your bottom line is concerned. And growing your clientele usually takes time. The best way to increase profits in the short-term, therefore, is not to try to fiddle with pricing or to increase your client base. (Of course, this is something you should always be doing. But it is not easy to do in the short-term.) The quickest way to increase revenue is to make the most of the clients you're already serving. And one way to do this is to improve operations by getting tighter grip on your inventory. Loss of liquor supply at double-digit levels is not an "unavoidable cost of doing business". It is "bad business". And it is entirely avoidable. Put simply, loss prevention can pay big dividends. What's more, it can be achieved quite quickly through the implementation of a quality liquor inventory control system.

Topics: liquor inventory, Bar inventory, bar inventory levels, bar efficiency, bar profitability, Bar Management, Liquor cost, Liquor Inventory savings, alcohol cost, Increasing Profits, Reducing Liquor Costs, bar control, inventory control, managing liquor costs

Drink Selection: Optimizing Your Liquor Inventory

Posted by Nick Kaoukis on Mon, Sep, 19, 2011 @ 10:09 AM
By Elizabeth Godsmark
Atlantic PublishingLiquor costs
 

Part 4 of 4: Trim Liquor Costs

Liquor prices don't vary a great deal from one wholesaler to another. Packaging and size also tend to be fairly consistent. So, what can you do about reducing liquor costs in your operation? The answer is quite a lot! It's a misconception in the liquor trade that your options are limited when it comes to selling liquor. Consider the following opportunities:

  • Bulk buys. Purchase staple liquors, such as whiskey, gin, vodka, brandy, rum and other popular spirits (e.g., fruit brandies) in bulk. They have a long shelf life and you know you can sell them within a reasonable period of time.
  • Trends. Stay ahead of consumption trends. Respond quickly. For example, the current trend in the United States is toward "light" spirits such as 80-and 86-proof whiskies, instead of 100-proof (50 percent alcohol) bonded whiskies. Wholesalers, too, are keen to promote these alternatives.
  • Distilled spirits. Their shelf life is exceptionally long. Buy distilled whenever possible, and minimize wastage.
  • Well liquors. Which well liquors you choose can really make a difference in reducing costs. But don't buy at any price and compromise on quality.Your reputation is at stake. Customers often judge an establishment by the quality of its well liquor.
  • Call liquors. Increase margins on call liquors (brand names). Guests who ask for Gordon's gin or Jack Daniel's whiskey, for example, are loyal to the brand and will probably not question the price.

 

This article is an excerpt from the Food Service Professional Guide to Controlling Liquor Wine & Beverage Costs, authored by Elizabeth Godsmark, published by Atlantic Publishing Company. This excerpt has been reprinted with permission of the publisher. To purchase this book go to:

Atlantic Publishing Company
Amazon.com

Topics: Hotel Inventory, Liquor Inventory savings, alcohol cost

Establishing Effective Purchasing & Receiving Strategies

Posted by Nick Kaoukis on Mon, Feb, 14, 2011 @ 10:02 AM
By Elizabeth Godsmark
Atlantic Publishing

Part 7 of 7: Reduce Purchase Costs

reduce purchase costsThe purchasing department is the linchpin when it comes to reducing costs. It is much easier to control costs in this area than anywhere else in the operation. The bottom line is that astute buying techniques offer the best opportunity for a business to increase its overall profits.

  • Monitor market trends. An upsurge in popularity of a certain beverage can lead to increased competition amongst vendors. Play them off against each other occasionally. Negotiate. You have nothing to lose!
  • Welcome new ideas. Purchasers should always be on the lookout for new ideas and new ways of reducing costs. Don't close your door to sales rep­resentatives. They may genuinely have something of interest to your establishment. Consider their promotional discounts.
  • "Opportunity buys." Don't rule them out. Take a look at items that may soon be discontinued or overstocked merchandise where a supplier has simply miscalculated demand. You could make big savings.
  • Cooperative purchasing. Consider "pool" purchasing with other enterprises. It can give you added purchasing power.
  • Change purchase unit size. Buy drinks in larger volumes. This can trim costs considerably, particu­larly in the case of liquor purchases where sell-by dates tend to be more generous.
  • Place multiple orders. Consider buying your full range of drinks from one wholesaler. It may offer you amazing reductions, especially if it's keen to do business with you on a repeat basis.

Topics: liquor inventory, inventory managers, Bar inventory, liquor purchasing, managing liquor inventory cost, bar business, Bar Management, Liquor Inventory savings, inventory control, managing liquor costs

Establishing Effective Purchasing & Receiving Strategies

Posted by Nick Kaoukis on Mon, Jan, 31, 2011 @ 11:01 AM
By Elizabeth Godsmark
Atlantic Publishing

Part 3 of 7: Securing Purchasing Procedures

A Good Purchasing Security System Can Save You Big BucksLocking down bar costs

Build security into your purchasing procedures. The choiceof security system, however, depends a lot upon the size of your operation. If you are the "head cook and bottle washer" of a small establishment, security is a much simpler issue. If, however, you are part of a larger enterprise where a number of personnel are involved in purchasing, then security becomes a major concern. If this is your lot, give the following issues serious consideration:

  • Set up a reliable purchasing control system. Whether your chosen system is manually operated or computerized, it must be free from loopholes. 
  • Beware of bogus documentation. Make sure that routine purchasing procedures are accurately documented from start to finish. Attention to detail in this area will help alert you to breaches of security. Be constantly on the lookout for
    calculation "errors," deliberate duplication, "incorrect" invoices and bogus credit requests. These are all common ploys used by unscrupulous purchasers and vendors.
  • Beware of the possibility of kickbacks. Some buyers have been known to "work" with suppliers in return for benefits such as money or gifts. Unfortunately, it happens all too often. Such "practiced" buyers and sellers are often masters of disguise, so don't be green, be keen!
  • Beware of purchaser theft. This can take several forms. Purchasers may order merchandise for their own personal use or they may buy wholesale with the intent to "selling on." A carefully designed purchasing system will take care of most of these problems.

Topics: liquor purchasing, Liquor Inventory savings, purchasing, managing liquor costs

All posts