While some restaurants offer guests a wine menu to showcase their many drink options, others allow guests to bring their own bottle of wine (also known as BYOB). Corkage fees are typically found in casual dining and fine dining restaurants, encouraging guests to select a bottle from the restaurant, instead of bringing their own.
Corkage fees could be tricky for both guests and restaurants. Given the etiquette when bringing a cheap or expensive wine, nobody wants to cause a snafu over bringing their wine bottle without notifying a restaurant. Let's look at how restaurants can navigate corkage fees, coordinate with wine enthusiasts itching to bring their own bottle.
What is a corkage fee?
A corkage fee is a charge placed on a bill when guests bring their own bottle of wine into a restaurant. It can range from a few dollars to a much higher price at certain high-end restaurants. Restaurants determine their standardized corkage fee that remains the same price no matter the quality or price of the wine. Check the restaurant's wine list or dinner menu if there's some curiosity about corkage fees while dining out. And yes, a corkage fee should still be applied even if a guest brings a canned cocktail or mocktail, mixed drink beverage, or bottle without a cork.
Many restaurants specifically state their corkage fee policy with prices and BYOB practices. If you're a restaurant, double-check the language in your state's liquor license for any language surrounding guests bringing their bottles. Local laws may enforce limitations on restaurants charging corkage fees and BYOB policies. Some states, such as Arizona and Colorado, do not allow restaurants to BYOB unless they have the proper liquor license.
What is the average corkage fee?
Most restaurants charge between $10 and $40 per bottle of wine (including other outside drinks) a guest brings in. Of course, the corkage fee primarily depends on the type of restaurant itself. Fine dining restaurants generally charge a higher corkage fee than casual dining restaurants. The prices of wine on the restaurant’s wine list can be a good indicator of corkage fee costs. If a restaurant features a range of wines with different prices and quality, they would generally charge a lower corkage fee than a restaurant with a wine list with expensive wines.
Here are some common ways to check for a corkage fee at a restaurant:
- Check the restaurant menu and wine list. They will typically feature the corkage fee somewhere around the bottom of the page.
- Explore the restaurant’s website, review pages, and social media like Facebook. Some guest reviews may even mention corkage fee policies as well.
- Call the restaurant directly and ask. This method is probably the most accurate, and easiest for both the restaurant and guest.
How to determine corkage fee in a restaurant
Even though restaurants need a liquor license to sell alcohol of any kind, there isn't exactly a beverage program board regulating the cost of corkage fees. That leaves a restaurant to decide its corkage fee policy. While it isn't an exact science, each restaurant should explore the following factors to determine their corkage fee:
- Wine service and expertise illustrate how much effort a restaurant places into creating a certain drinking experience. If there’s a fine selection of wine hand-picked by a sommelier, then it makes complete sense to charge a higher corkage fee, compared to a drink list with a varied range of qualities and costs.
- Restaurant quality and service type set the expectations for the dining experience, meaning a lower or higher corkage fee should align with the restaurant’s overall standards. Some restaurants prefer a down-to-earth bistro vibe, where guests can casually drink and dine at their leisure, while others prefer to maintain a higher-scale dining experience. A restaurant can look at the corkage fee of other restaurants to determine if they’re offering a fair price on bringing a bottle of wine.
- Overall costs of running the restaurant are perhaps the most important factor in determining a corkage fee. As a restaurant, you need to be aware of how much wine glasses cost, staff labor costs, and how much money is saved or lost from offering a lower corkage fee. It’s highly recommended restaurants use their point-of-sale system reporting features to help manage these costs alongside corkage fees.
Why do restaurants charge corkage fees?
While it may seem like the restaurant is doing less work by letting guests bring their own wine, a corkage fee helps balance out the potential loss of revenue. Since guests aren't exactly ordering off the wine list or other types of alcoholic beverages, restaurants charge a corkage fee to ensure profitability with the rest of their menu. However, the menu profitability relies on a variety of factors as well, such as item popularity and cost of ingredients.
There are, however, certain exceptions to the usual corkage fee policies. Some restaurants may offer a $0 corkage night to bring in new guests. Other restaurants may charge a higher corkage fee for special occasions and holidays to offset the cost of labor involved for their typical wine service. As always, check their corkage policy to see if there's a higher charge when diners bring their own bottle. As we mentioned above, guests should call the restaurant to learn more about their corkage fee policy.
Should you leave a tip for corkage fees?
Yes, guests bringing their own bottle of wine should leave a tip at a restaurant. Even if a corkage fee was the only charge on a check, the restaurant staff still provided service to the guest by opening and pouring the wine into a glass.
There's a certain appeal to bringing a bottle of wine to a restaurant. While it's not the same as bringing your own food to eat at the table, it makes sense when certain guests might hesitate to bring one or two bottles of white wine. Obviously, some customers enjoy their alcohol as a way to save money. Other guests simply want to enjoy their favorite wine whenever they go out for a meal.
For restaurants, establishing a clear and fair corkage fee policy is key to maintaining profitability while offering an elevated dining experience for guests. Whether you're determining the corkage fee right price, tracking wine service costs, or managing special promotions like a $0 corkage night, every detail matters. SpotOn's robust point-of-sale system can simplify the process. With built-in reporting tools, menu management, and seamless staff management, SpotOn is here to empower restaurants of all types.
