User Name: Project Name: Copyright HanniCo LLC, Tim Hanni MW, all rights reserved WineBizSim© OWB Profit Calculator Winery Business Simulation, US Edition Copyright 2017, Tim Hanni MW, HanniCo LLC All rights reserved This work may be not be reproduced in part or in its entirety without written permission. For more information contact: Tim Hanni, tim@timhanni.com 707-337-0327
Retail Bottle Price Wine Production Costs Net Income Total case production Wine 1 Lot # % of blend Bulk cost per gallon cost/gal Bulk wine - gallons needed (2.38 gallons per case) Cost per case (2.38 gallon case equivalent) WINE 1 TOTAL COST Wine 2 Lot # % of blend Bulk cost per gallon cost/gal Bulk wine - gallons needed (2.38 gallons per case) Cost per case (2.38 gallon case equivalent) WINE 2 TOTAL COST Wine 3 Lot # % of blend Bulk cost per gallon cost/gal Bulk wine - gallons needed (2.38 gallons per case) Cost per case (2.38 gallon case equivalent) WINE 3 TOTAL COST Wine 4 Lot # % of blend Cost per gallon cost/gal Bulk wine - gallons needed (2.38 gallons per case) Cost per case (2.38 gallon case equivalent) WINE 4 TOTAL COST Wine 5 Lot # % of blend Cost per gallon cost/gal Bulk wine - gallons needed (2.38 gallons per case) Cost per case (2.38 gallon case equivalent) WINE 5 TOTAL COST Wine 6 Lot # % of blend Cost per gallon cost/gal Bulk wine - gallons needed (2.38 gallons per case) Cost per case (2.38 gallon case equivalent) WINE 6 TOTAL COST TOTAL COST This field must equal 100%! Total cost of bulk wine Total cost of bulk wine per case Transportation, additional aging and storage Transportation and storage Additional winemaking, analysis, cellaring and aging Cost per case: processing, aging and adjustments State and federal taxes per gallon (case) $1.27 Subtotal per case Total processing, aging and storage Total cost finished wine Cost per case
Retail Bottle Price Packaging and Bottling Costs Net Income Cost of wine: Packaging selections and decisions $/bottle $/case Label design and COLA (divided by # cases) Bottles (each) Closures per bottle Capsules, per bottle Labels including production and printing Boxes (may be included with cost of bottles) Other (wooden boxes, tissue wrap, etc.) Additional packaging expenses Bottling cost per case inc. additions OPTION: total packaging cost per bottle (leave all fields except Bottling Cost empty) Packaging/Labeling Costs per bottle / case Total cost of materials and bottling Total cost including wine Cost of Goods (COG) per case
Retail Bottle Price Payroll and Operations Net Income COG Executive Salaries and Benefits Total: Winemaking: production, operations and cellar payroll Total: Admin.: general, compliance, finance, HR and legal Total: Information Technology: equipment and expenses Total: Overhead: facilities, debt, utilities, taxes, insurance Total: Winery Payroll and Operations Total "0" Budgeted amount per case Cost of finished goods plus winery salaries and overhead
Retail Bottle Price Sales and Marketing Budget Net Income COG: Marketing Salaries Total: Sales Salaries Total: Broker fees Total: Distributor billbacks, depletion allowances Total: Promotions, incentives and discounts Total: Samples, breakage, returns Total: Sales and Marketing Budget Budgeted amount per case Fully allocated cost of goods
Retail Bottle Price Cost Per Case Recap Totals for This Wine Net Income Allocated COG : Total $ per Case % of total Wine Packaging Cost of finished goods ( wine + packaging) Winery operations and payroll (overhead) Marketing and sales expenses (SG&A)
Retail Bottle Price Sales Channel Allocations Net Income Allocated COG: Percentage Number of Cases Consumer direct via tasting room Consumer direct via internet & wine club Direct to account (licensed retail/restaurant) Domestic sales via wholesale distribution (3-tier) Export sales via importer Total
Retail Bottle Price FOB/Ex-cellars and Winery Transfer Pricing (price WINERY sells wine to distributor or internal transfers to Tasting Room, Wine Club, Events) Per bottle: Net Income Fully allocated cost of goods "-" "-" Internal transfers to DtC: tasting room, wine club COG, events 120.00 "-" Winery margin per case in $ "-" "-" Winery margin per case in % "0" Winery (not DtC) income "-" FOB/ex-cellars PER CASE PRICE (wholesale US) 100.00 "-" Winery margin per case in $ "-" "-" Winery margin per case in % "0" FOB/ex-cellars Export 100.00 "-" Winery margin per case in $ "-" "-" Winery margin per case in % "0"
Retail Bottle Price Direct Sales Pricing Worksheet Net Income Cost of wine via winery sale or transfer Tasting Room Retail Sales Bottle price tasting room retail Case price Discounts and samples for TR MARGIN PER CASE Channel net income Wine Club Bottle price to wine club/direct to consumer sales Case price Discounts and wine club incentives MARGIN PER CASE Channel net income TOTAL Consumer Direct Direct Sales to Retail and Restaurant Licensee Bottle price direct to licensee (set by 3-tier pricing) Case price Discounts and wine club incentives MARGIN PER CASE Channel net income Direct to Consumer and Account Net Revenue
Retail Bottle Price Income Statement Net Income $ by channel % by channel Domestic sales (3-tier) Consumer and account direct sales Consumer and account direct sales transfers Export sales Total Revenue/cases Total costs of goods sold NET PROFIT (LOSS)
Retail Bottle Price Distribution Pricing (US 3-tier system) Net Income Winery FOB "-" Consolidation, freight, insurance 8.00 Subtotal "-" Additional taxes or duties paid by wholesaler/distributor PUT % TAX RATE HERE 3.00% PUT FLAT TAX RATE Per Case HERE 2.00 Licensee (wholesale/distributor) taxes total per case "-" Distributor landed (or laid-in) cost of goods "-" Distributor markup (to create pricing to retailers and restaurants) Distributor margin per case (%) Distributor margin per case (dollars) "-" Distributor to licensee front line (undiscounted) case price "-" Distributor to licensee front line (undiscounted) bottle price "-"
Retail Bottle Price Export Pricing Net Income Winery FOB "-" Consolidation, freight, insurance 16.00 Subtotal "-" Additional taxes or duties paid by Importer/distributor PUT % TAX/DUTY RATE HERE 15.00% PUT FLAT TAX/DUTY RATE Per Case HERE 5.00 Import taxes and duties total per case "-" Importer/broker landed (or laid-in) cost of goods "-" Importer/broker markup Importer/broker margin per case (%) margin per case "-" Importer/broker price to distributor "-" Distributor markup (determines price to retailers and restaurants) Distributor margin per case (%) margin per case "-" Importer to licensee front line (undiscounted) case price "-" Importer to licensee front line (undiscounted) bottle price "-"
Retail Bottle Price Retail and Restaurant Pricing (selling price to consumer) Net Income Domestic Export Distributor front line (undiscounted) price Distributor front line bottle price Distributor average discount Net bottle cost from distributor Retail mark-up PUT MARK UP % HERE Retail margin Retail Shelf Price Per Bottle (price consumer pays in store) Restaurant mark-up PUT MARK UP % HERE Restaurant margin Restaurant Price Per Bottle