Local Bevinco franchise audits alcohol distribution to help businesses increase revenue by Anna C. Forder
John Miller, owner of a Bevinco franchise in the Fenton area, demonstrates the alcohol auditing process at Tucker’s Place South. photo by James Durbin |
Everyone loves the bartender who is loose with his "on the house" drinks, or who is known to over-pour on those gin and tonics.
But few people know, or care, that this practice can cost a business thousands of dollars each year. This is where John Miller - a party-pooper in the eyes of those on the consumer side of the bar - steps in to ensure drink consistency and business stability.
Miller is the owner of a Bevinco franchise in the Fenton area. Bevinco is a service that audits the amount of alcohol a business sells to ensure it matches the amount distributed.
Miller said a business can lose up to $2,000 to $3,000 a week on alcohol served at no charge. Multiply that loss by 52 weeks per year, and that small loss can turn into a very big one - as high as 15 to 20 percent of business revenue.
Miller weighs and counts each individual bottle and keg in a bar. He enters those numbers into computer software that calculates the discrepancy between amount sold and amount distributed.
"The first few times I give owners the results, they're in disbelief," Miller said.
Alan Shelby is co-owner of Tucker's Place South, a bar and restaurant at 3939 Union Road in South St. Louis County. Tucker's has been using Bevinco for about five months. Miller audits the business weekly.
Shelby said his business is "more streamlined" since he started using Bevinco.
"The revenue potential was surprising - what you could be making that you weren't," Shelby said.
Shelby said his bartenders were generally receptive of the process because they didn't realize they weren't pouring accurately.
"They didn't know they weren't pouring the exact amount. They were surprised," Shelby said.
Miller said bartenders can over or under pour, causing drinks to taste too strong or not giving customers the alcohol they're paying for.
"Consistency is what consumers rate as important," Miller said.
Miller first audits a bar several times without the knowledge of employees. In this way he can accurately report to management and owners any discrepancies between alcohol sold and alcohol served.
Miller is then introduced to employees who are given pour tests, instructing bartenders on how to do an accurate pour.
"They're focusing on the pour," Miller said. "Now they're pouring correctly."
Miller said he doesn't necessarily recommend switching from a free-pour technique to using shot glasses or a counting system to measure volume. He tries to work with the management's current system, assisting the bartenders in accurate sight-pouring.
Employees are required to keep accurate records of all the drinks spilled, sold or given away, allowing Miller to keep track of alcohol almost to the drop.
Shelby said he hasn't been using Bevinco long enough to know how much the service will save him, but he said one of the most valuable services Miller offers is his knowledge of pricing.
With rising gas costs, transporting alcohol has become more expensive. Miller advises clients on drink pricing to better keep up with these increased costs. Miller said some alcohol vendors worry that Bevinco's services will result in decreased sales. But Miller said Bevinco assures the long-term success of bars and restaurants, something that is also good for vendors.
Depending on the size of the business, a Bevinco audit can cost anywhere between $175 and just over $200. Miller said businesses tend to retain his services for long periods of time because of the money he saves them.
Miller stumbled into his career with Bevinco while working in St. Louis as a restaurant manager. During research to prevent restaurant theft, he heard about Bevinco and started his own franchise in 2000. He now services many St. Louis-area businesses, including Tropicana Lanes, Harvest Place and Playoffs Sports Bar.
There are six St. Louis-area Bevinco franchises. Based in Toronto, Bevinco has been franchising its auditing services and software since the early 1990s.