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re: Five of the Most Overpriced Foods on Restaurant Menus

Posted on 5/12/15 at 11:30 am to
Posted by Dandy Lion
Member since Feb 2010
50253 posts
Posted on 5/12/15 at 11:30 am to
quote:

2 things i will never pay a lot for- mexican and italian food

its so dirt cheap to make, especially italian

This is why they have a stranglehold on the US restaurant landscape.

Mexican is the new Italian.
Posted by CBandits82
Lurker since May 2008
Member since May 2012
54094 posts
Posted on 5/12/15 at 11:33 am to
Restaurants make a shite load of money off of soft drinks.

Also fried fish.

Posted by dallastiger55
Jennings, LA
Member since Jan 2010
27723 posts
Posted on 5/12/15 at 11:49 am to
Not only the health benefits but imagine eating out 3-4 times a week and saving $12-15 on drinks per meal

Also my kids split a kids plate.
Posted by notiger1997
Metairie
Member since May 2009
58132 posts
Posted on 5/12/15 at 12:09 pm to
quote:

2 things i will never pay a lot for- mexican and italian food its so dirt cheap to make


Generally I agree about the Mexican food, but quality Mexican restaurants using good ingrediates to exist and can reasonably be expected to be "expensive".
Not all places are the grease and cheese dumps like 90% of the ones found in this state.
Posted by ksayetiger
Centenary Gents
Member since Jul 2007
68313 posts
Posted on 5/12/15 at 12:24 pm to
If i remember right- steak is near worst in terms of profit margain
Posted by ruzil
Baton Rouge
Member since Feb 2012
16915 posts
Posted on 5/12/15 at 1:47 pm to
quote:

Barcadia charges $10 for like 25 fried pickle spheres.


How do they manage that? It sounds labor intensive carving the pickles into round balls and frying them.
Posted by LouisianaLady
Member since Mar 2009
81209 posts
Posted on 5/12/15 at 1:51 pm to
quote:

How do they manage that? It sounds labor intensive carving the pickles into round balls and frying them.



Pickle medallions?
Posted by Oenophile Brah
The Edge of Sanity
Member since Jan 2013
7540 posts
Posted on 5/12/15 at 1:53 pm to
quote:

If i remember right- steak is near worst in terms of profit margain

That's probably correct on the individual item, however they can save money by hiring jacklegs in the kitchen.
Posted by iheartlsu
Nashville
Member since Sep 2005
27725 posts
Posted on 5/12/15 at 1:57 pm to
quote:

Chimes charges $9.50 for cheese sticks
I know those are handmade/breaded and they are huge.
Posted by LSUAfro
Baton Rouge
Member since Aug 2005
12775 posts
Posted on 5/12/15 at 2:06 pm to
quote:

Wheres alcohol? The mark up on that is ridiculous.

Not necessarily across the board. There is a negative correlation between prices/margins in restaurants on most bottles.
Restaurants make money on booze sells not necessarily because of high margins(even though some are really high), but because they already have your butt in the door and they're making $3-$5 per drink rather than a super high margin item like coke where they're only making $1.25.

quote:

Isn't this percentage the norm for food costs for restaurants?
20% is great. 35% is usually the high mark.

quote:

Pizza
Restaurant food cost: Between 20% and 32%

"Gourmet" pizza can easily sit around 10% if you aren't importing your water from Italy.
This post was edited on 5/12/15 at 2:11 pm
Posted by dallastiger55
Jennings, LA
Member since Jan 2010
27723 posts
Posted on 5/12/15 at 2:20 pm to
The trend is the high end gourmet pizzas. They are always packed and on an hour wait and they charge $15-18 per pizza plus $2 per topping

It's gotta cost them no more than $3 to make one
Posted by Oenophile Brah
The Edge of Sanity
Member since Jan 2013
7540 posts
Posted on 5/12/15 at 2:42 pm to
quote:

The trend is the high end gourmet pizzas. They are always packed and on an hour wait and they charge $15-18 per pizza plus $2 per topping

Not sure if you're alluding to a specific place, but that's not been my experience. Ah, perhaps in Dallas(just saw your handle).

You can't discount the extreme price of the ovens that many gourmet pizza places incur.
Posted by LSUAfro
Baton Rouge
Member since Aug 2005
12775 posts
Posted on 5/12/15 at 2:50 pm to
quote:

You can't discount the extreme price of the ovens that many gourmet pizza places incur.

Sure you can. That's irrelevant when discussing food costs which is the premise of the article.
quote:

You can't discount the extreme price of the ovens that many gourmet pizza places incur.
I wouldn't call most of them extreme especially considering they might be responsible for cooking >80% of your menu. Some of the extreme costs come when you import a brick oven or they are a difficult install and fit in a certain space that require renovations.

Deck ovens can vary greatly in prices as well.
This post was edited on 5/12/15 at 2:51 pm
Posted by J Murdah
Member since Jun 2008
39784 posts
Posted on 5/12/15 at 2:51 pm to
Do you even geometry????
Posted by Oenophile Brah
The Edge of Sanity
Member since Jan 2013
7540 posts
Posted on 5/12/15 at 3:02 pm to
quote:

I wouldn't call most of them extreme especially considering they might be responsible for cooking >80% of your menu. Some of the extreme costs come when you import a brick oven or they are a difficult install and fit in a certain space that require renovations.

I guess this discussion has lost it's way. The big brick ovens are exactly what I'm talking about.

So you think it's worthy of comparing food costs at a hamburger joint and a pizzeria when one has a fixed cost (kitchen equipment) that might be 10x more then the other?

The food cost argument is rendered moot at that point.
Posted by LSUAfro
Baton Rouge
Member since Aug 2005
12775 posts
Posted on 5/12/15 at 3:10 pm to
quote:

So you think it's worthy of comparing food costs at a hamburger joint and a pizzeria when one has a fixed cost (kitchen equipment) that might be 10x(or any amount) more then the other?

Too many variables to just say a pizzeria might have 10x more setup costs than a hamburger joint. A hamburger joint might need 20 feet of ventilation, sprinklers and hoods put in which can easily exceed the cost of a brick oven.
quote:

The food cost argument is rendered moot at that point.

Absolutely not. Variable costs are not rendered moot because of a fixed cost.
This post was edited on 5/12/15 at 3:12 pm
Posted by BayouBlitz
Member since Aug 2007
15843 posts
Posted on 5/12/15 at 3:14 pm to
quote:

Wheres alcohol? The mark up on that is ridiculous.


Well, let's see. A 750ml bottle has about 17 pours of 1 1/4 ozs.

Say a restaurant gets a bottle of Crown for $25.00 and they charge $8 for a shot, with no mixer. That's $136. That's .18.

A keg has about 165 pours at 12 oz. Overpours and spills considered, let's say 145.

Say a restaurant gets a Bud Light keg for $75 and they charge $3.50. That's $507. That's about .15.

Not too shabby. (Yes, I know that these are rough numbers.)


I'd be curious to see how much the margins are on salads.
Posted by LSUAfro
Baton Rouge
Member since Aug 2005
12775 posts
Posted on 5/12/15 at 3:21 pm to
quote:

Overpours and spills considered
You forgot theft and freebies.
quote:

A 750ml bottle has about 17 pours of 1 1/4 ozs.
If you can get 17 pours out of a bottle of crown...you're doing pretty good and I'm not drinking at your place .
quote:

I'd be curious to see how much the margins are on salads.
Dinner salads are money makers. Entree salads not so much.
This post was edited on 5/12/15 at 3:25 pm
Posted by jembeurt
Raceland
Member since Apr 2008
8804 posts
Posted on 5/12/15 at 3:34 pm to
When I worked at Outback, the Bloomin Onion was marked up incredibly high. I believe it was something like $.59 to make and they sold it for $6.49!
Posted by Bear Is Dead
Monroe
Member since Nov 2007
4696 posts
Posted on 5/12/15 at 3:39 pm to
quote:

Seems legit. I knew someone who owned a McDonald's franchise and said the drinks were where the real money was at.

The book "Fast Food Nation" has a blurb about this. When the super size option came out, it was about a $0.33 upcharge, yet they only added less than $0.02 worth of product. Goldmine.
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