A good beverage cost percentage depends on what the restaurant sells and how the program makes money. The number needs context before it becomes useful.

Pour cost shows how much of a beverage’s selling price is consumed by product cost. It is useful, but only when considered alongside sales and gross profit.

Beverage cost percentage is calculated by dividing beverage COGS by beverage sales and multiplying by 100. The harder question is understanding why the number changes.

Beverage cost percentage compares product cost against beverage sales. The formula is simple, but understanding what produces the number is what makes it useful.

Inventory turnover connects the value sitting in a wine cellar to the sales generated from it, helping operators understand whether capital is moving efficiently.