Take a look at the data below (yes it's a little dated at 2022, but still useful). Milwaukee WI is coming in at $7.89 and let's remember these are not craft numbers. So much of the discussion I hear is about how much should I charge for a pint or 4-pak or 6-pak.
So many factors go into this decision. Your market, your customer base, what you are making, what the person down the street might be charging, and of course, what it cost me to make. Make sure you are collecting the right data, for example, some of the data below can be helpful if you apply percentages to the different markets but don't use this as1 to 1 comparison because it's not craft sales data
It's always hard to raise prices...but with increases in costs for raw materials, inflation, and staff - it's something that all small businesses need to consider. In many cases, it's not if you have to raise prices, but by how much and when. I've seen the two schools of thought where prices are raised.
1) A little bit and then typically raised again either because that was the plan or the owner realized it was not enough.
2) The other approach is one raise that is significant but ensures there won't need to be another raise anytime soon.
As part of this discussion, there should be an extensive review of the supply chain to see where costs might be leaned out. Raising prices might still need to happen, but you could maintain profit levels or perhaps even increase them if you uncover a few line items of production cost reduction.
Reach out with any questions or if we can help. dan@beveragefederation.com
