- Thread starter No Place Like Home
- Start date
What profits are made on beer sales?
So as not to drag away from the OP, I created an Everything Beer thread. Feel free to stop in, pull up a chair, and have a cold one....of your choice. I'd like to hear more about the Belgian beer experience.
I am aware of the actual cost of presidente bought from the weekly company delivery in the campo five years back. My ex esposas cousin has a bar and at that time the pequeno was bought for 39rd and typically sold for 60rd. The grande was 50rd or k51rd and sold for 75rd or 80rd and the jumbo 70 something and sold for 90 to 100rd then. The bars win from beer sales in the campo. The margin from a bottle of rum with service....ice and sift ...is low. Bars in the campo struggle without food which makes money. Colmados work bars rarely do.
It is a well oiled machine that Presidente have. Guy comes around early week takes orders and cash. Wagon comes a few days later and delivers the goods. Deposits paid on cases and bottles too.
There are many different large size presidentes
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I'm not as active as I used to be but I'm a bar owner in Santiago.. Beer costs and margins are actually really interesting. Our bar only sells small presidentes (pequeñas) for 125 pesos with tax included, our cost is 53 pesos because of some specials that they offer based on volume. On Thursdays, we sell them for 60 pesos with tax included and it becomes a loss leader (considering ITBIS, overhead etc). The reason why the prices are interesting to me is that the large bottle Presidentes (Grande, not jumbo) only cost 58 pesos vs 53 pesos for the small, and have like 30% more beer inside. This indicates that the actual cost of the liquid inside is only a very small part of the cost of a beer. Cans of beer are also more expensive than bottles and have the same amount of liquid. Cans are 75 pesos from the distributor I believe. As someone already stated, I'd assume 80% of the cost of a beer is bottling, advertising, and distribution.
Another interesting off the topic thing that happens sometimes, we have received presidente bottles with stella artois caps, with stella artois inside instead of presidente.. which indicates that it's all manufactured in the same place!
