Why is non alcoholic beer as expensive as regular?

tayto lover

L1011 wrote: »

In Portugal, there's a pub or two in every hamlet and it costs equivalent of ~2.50 a pint outside of tourist traps even in the big cities.. Licencing laws being the big difference there.

I go to an event in Portugal every year and the usual place I stay is ~5km outside a medium sized town - there's two "villages" on the way that have lost their shops to falling trade and both still have pubs; in Ireland the last pub often goes before the last shop.

Beautiful pints of local beer (can’t remember the name of it) for 1.80 euro in Lisbon last summer.

jasper100

spurshero wrote: »

You have to laugh the way people seem to think every euro a publican takes goes into there own pocket . I guarantee most people giving out on these type of threads are in a job where they get paid weekly and are not the ones paying others . Running any kind of business now espicially pubs and resteraunts the costs are gone massive . Rates insurance tv costs food staff costs are all gone through the roof . A lot more pins closed then opened over the last 10 years and that will continue . Ok you have some pubs in Dublin cork Galway etc that are doing very well but that’s the exception rather then the rule

+1

Here is a fine pub for €110K. Nothing to stop any of these dreamers taking the plunge and making their fortune.


https://www.daft.ie/cavan/commercial-property-for-sale/restaurant-hotel-bar-for-sale/the-duckin-stool-main-street-belturbet-cavan-847193/

Wheety

The Barge charge €4 for Heineken alcohol free

JustJoe7240

jasper100 wrote: »

Selling at €2.75 gives about 60% profit. That does not include the barmans wages, ice, slice of lemon, clean toilets, insurance, rates, heat, maintenance etc. etc.

To suggest its 400% is just ridiculous.

Poster you quote was clearly talking about price to buy v price to sell. No need to be so pedantic

Pub I work In sells bottles of Heineken 0.0 at 4.20 and regulars at 6.00

n97 mini

the beer revolu wrote: »

That's a really dumb comment.

Publicans generally make a better margin on keg beer. If there was a big enough demand for na beer, it would be on tap.
It's not on tap because there is low demand for na beer.

Would you be happier drinking keg na beer knowing that the ripoff merchant is making a better margin???

Kinda contradictory. Publicans are trying to match their bottle margins with their draught margins, which makes bottles expensive in pubs. Bottles cost more to produce, hence the higher wholesale price.

n97 mini

granturismo wrote: »

Non alcoholic beer costs more to produce than regular. There is the cost of any additional processes to reduce the alcohol content. I've no idea what % this adds to the production cost, compared to any duty cost forgone.

This is not true with the latest practices. A low gravity (less malt, so cheaper) beer is brewed and is fermented with a yeast that barely ferments at all, but produces esters etc, which contribute to flavour.

Pure Brew from Guinness is produced this way (it's not the only one) and the reduced excise and production costs are reflected by the cost of a pint in the Open Gate, ie significantly cheaper.

Adyx

Deleted User wrote: »

That's practically brand new and has been the subject of a widespread advertising campaign in recent months. Not surprised it's similarly priced to regular Heineken in the off licence and supermarket.

What about a more established n/a beer like, say, Erdinger? Would you be surprised to find out its twice as expensive, per litre, as the alcohol version?

https://m.tesco.ie/mt/www.tesco.ie/groceries/product/search/default.aspx?searchBox=Erdinger&un_jtt_redirect

Show me a pub that sells it for half price, so.

That's €7 for 6 bottles vs €3.19 for 1 bottle. Litre prices are n/a 3.54/l vs regular 6.38/l.

jasper100

jasper100 wrote: »

Selling at €2.75 gives about 60% profit. That does not include the barmans wages, ice, slice of lemon, clean toilets, insurance, rates, heat, maintenance etc. etc.

To suggest its 400% is just ridiculous.

The "400%" in my post is a link to an article where I got the figure from, though I did use "profit" instead of "markup", so apologies for the mistake.

Adyx

Adyx wrote: »

That's €7 for 6 bottles vs €3.19 for 1 bottle. Litre prices are n/a 3.54/l vs regular 6.38/l.

Yes, I was using the price per litre, which is 85% of an increase.....almost double the price, no?

jasper100

Deleted User wrote: »

The "400%" in my post is a link to an article where I got the figure from, though I did use "profit" instead of "markup", so apologies for the mistake.

Big difference between 60% and 400% profit.

Do you consider 60% gross profit excessive, before all costs are taken out, heat, light, insurance, wages, security, ice, sky sports, cleaners, income tax, accountant, maintenance, advertising, musicians etc.?

What gross profit do you think the pub should make?

BrokenArrows

The Specialist wrote: »

you don't drink beer for the taste do you?

Yes, i think most people do.
On occasion Ill buy non alcoholic beer and drink a few cans because it tastes nice.
If im wandering around town i might just stop in for a single beer for the taste.

If you're only reason for drinking is to get smashed then you might need to consider what you're doing.

Id say 95% of the time I drink I don't get drunk.

jasper100

jasper100 wrote: »

Big difference between 60% and 400% profit.

Do you consider 60% gross profit excessive, before all costs are taken out, heat, light, insurance, wages, security, ice, sky sports, cleaners, income tax, accountant, maintenance, advertising, musicians etc.?

What gross profit do you think the pub should make?

Pardon my ignorance, but I'm confused........where are you pulling 60% from? How does a 400% mark-up translate to 60% profit?

jasper100

Deleted User wrote: »

Pardon my ignorance, but I'm confused........where are you pulling 60% from? How does a 400% mark-up translate to 60% profit?

Nett cost €0.55

Nett sale price €2.23

Markup €1.68

Gross Profit = €1.68/€2.75 = 61.3%

a) that's a mark-up of 300%, not 400 and
b) I think your profit calculation is flawed based on a)

https://www.omnicalculator.com/finance/markup

Entering your cost of €0.55 and a markup of 407% into that link, you get a revenue of €2.79 and a profit of €2.24 (or 80%).

80% of each and every bottle of coke sold is pure profit. And yes, I do think that is excessive, especially given the 407% mark-up is an average figure.

jasper100

Deleted User wrote: »

a) that's a mark-up of 300%, not 400 and
b) I think your profit calculation is flawed based on a)

https://www.omnicalculator.com/finance/markup

Entering your cost of €0.55 and a markup of 407% into that link, you get a revenue of €2.79 and a profit of €2.24 (or 80%).

80% of each and every bottle of coke sold is pure profit. And yes, I do think that is excessive, especially given the 407% mark-up is an average figure.

Absolute nonsense. For starters the government takes 23% vat off the top, so the pub really sells it for €2.23, not €2.75.


Then there are all the costs involved, insurance, rates, heat, light, wages, security, accountant, musicians, wages, IMRO, cleaners, maintenance, advertising, theft, rent, waste etc. etc.


Its obvious you have never run a business if you think all 407% markups and "80% pure profit"

Gavin "shels"

Article today in the Indo on the topic... obviosuly they read Boards :pac:

https://www.independent.ie/life/food-drink/sobering-thought-why-are-boozefree-drinks-so-expensive-38116266.html

jasper100

jasper100 wrote: »

Absolute nonsense. For starters the government takes 23% vat off the top, so the pub really sells it for €2.23, not €2.75.

I'm using your figures, pal, which were all net?

Nobody is denying that the Govt. take a huge slice out of the price paid for a pint. It is absolutely galling that you are defending somebody charging 4 times the price they initially paid for a product, saying they need to do so to pay the bills.

As an aside, IMRO are an absolute joke and anybody who willingly pays them anything deserves to go out of business.

jasper100

Deleted User wrote: »

I'm using your figures, pal, which were all net?

Nobody is denying that the Govt. take a huge slice out of the price paid for a pint. It is absolutely galling that you are defending somebody charging 4 times the price they initially paid for a product, saying they need to do so to pay the bills.

As an aside, IMRO are an absolute joke and anybody who willingly pays them anything deserves to go out of business.

The best thing you can do is open your own business and make your fortune.

I recommend you sell tea. You can buy the teabags for €0.01 and sell it for €1, markup 9900%!!!!

Get Real

tayto lover wrote: »

Beautiful pints of local beer (can’t remember the name of it) for 1.80 euro in Lisbon last summer.

Was it Superbock? We were in Lisbon recently and in the supermarket, 10 bottles were 8euro.

Yet in a local bar (small cafe run by a husband and wife) they were a euro a go. They were ice cold too and I imagined if living there, it's apmost as cheap to drink in your local as it is in your sitting room.

It had a real "cheers" vibe. People popping down from their apartments from upstairs, a bottle or two, read of the paper, chat about the football, and back upstairs.

It almost felt like the cafe was part of this couple's home, and you were merely contributing to the cost of some supermarket bottles in their gaf, while they sat at your table and had a coffee or beer with you.

In a capital city in Europe, that type of set up is dead.

jasper100

jasper100 wrote: »

The best thing you can do is open your own business and make your fortune.

I recommend you sell tea. You can buy the teabags for €0.01 and sell it for €1, markup 9900%!!!!

You jest, but if i had the startup cash (and a licence) a pub would be my first choice. A tea/coffee station would be number two on the list, followed by a pizza parlour.

Adyx

Deleted User wrote: »

Yes, I was using the price per litre, which is 85% of an increase.....almost double the price, no?

Sorry, I thought you were saying the n/a was twice as expensive as the regular. Honestly, I can only speak for where I work (on trade). We don't stock regular Erdinger but we charge €4.20 for the n/a which I think is a fair price for a pub. If we did stock the regular, I'd price at €6.00 but you can't compare on trade and off trade prices.

irish_goat

Forrest Little Golf Club currently pouring non-alc beer on tap.
https://twitter.com/radicaldrink/status/1129321479764697090

Tombo2001

Kind of a silly question.

Beer is like CDs in the old days.

Costs 20c to make; costs 6 euros to buy.

Why
Marketing and distribution costs.