Pricing

[lynne]

Anyone have any good guide lines for pricing for over a year ahead??? ie October 2003? how much would you adjust up? Everything I've done so far has been fairly immediate (nothing scheduled for further than 4 months ahead...

Thanks-

lynne

[Pete]

I would bump up about 5% across the board as a starting point. But it is also important to make sure the client understands (put it in the contract also) that due to the unrealiability of the market, prices may increase before the final bill is signed. Though vegetables can and do vary considerably, you can really get stuck with meats and fish. If you are not careful, you could see all of your profit disappear if you don't protect yourself.

[lynne]

Thanks Pete!

That's what I did -- she's not quite sure that she thinks it's kosher, but...

whatever!

[Pete]

If she has a problem with it, then tell her you will take a deposit on the date, but will not finalize a menu until 3-4 months away. That solves that problem. She can check around but these are standard operating practices for most places. Yes, you are in the service industry, but you still have to be able to make a profit.

[Peachcreek]

How I explain to people when they want prices for events farther out than say 3-4 months is that I will quote them the current price with the understanding that market prices vary and their price may change. And if the price changes I will notify them. I usually lock in the price when I get a guest confirmation and deposit. Sorry, but I won't make a promise if it doesn't make business sense.