In response to my last posting Peter May of the Pinotage Club posed the question: 'Why does Backsberg mark up wines sold at the winery restaurant?'.
Our restaurant sells wine at 10-15% more than you would buy it on the estate. This is basically to cover the operational costs of the restaurant, for example, staff costs, cleaning, breakages of glass ect. We have kept the markups as low as possible to enable our customers to try quality wines at great value. Put in context the restaurant wine prices are similar to what you would expect to find in a retail outlet.
In comparison, in Cape Town (where I am based), 100 to 300% markups in restaurants are the norm – some more justifiably (e.g. those with extensive wine lists and proper storage facilities) and some less justifiably (e.g. with minimal listings who restock from a retail outlet next to them everyday!).
In the restaurant setting: here's to minor markups and great value!
SB
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