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Drinks 80% to 90%. Wonderful if you have the traffic. Low traffic locations can not survive on drink volume alone because the sales are only $1.50 to $3.50 per item. You must have volume if you depend on drinks alone. This is great stuff and stuff of fortunes. Food 75% and volume sensitive. Great margins, but you have to sell a lot of salads and sandwiches. Also great stuff and the stuff of fortunes. A good cafe will make your life easier. Beans By pound: 55%, by 1/2 pound 65%, by 1/4 pound 75%. Giftware Mugs and the like typically are "keystoned", meaning doubled.
We always used 2.2 as the basis of doubling (2.2 times the wholesale
cost = retail selling price) because it accounted for the shipping and
handling costs.
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