The cost of catering industry refers to the sum of expenses incurred in the production and operation of catering enterprises in a certain period, that is, the total cost of catering turnover MINUS profits, which is the monetary form of all materialized labor and living labor consumed by enterprises in the production and operation process. It includes operating costs, operating expenses and enterprise management expenses. To sum up, the cost of the catering industry mainly includes the following items;

Raw materials (including catering products and materials);

Employee salary expenses (including basic salary, additional salary, bonus and allowance);

Public utilities;

:: Fuel costs;

Materials and supplies;

Amortization of low-value consumables;

Purchase price and circulation cost of commodities;

Rental fee;

Depreciation and amortization expenses;

Employee benefits;

Enterprise management fees (including license fees, reception fees, advertising fees, etc.). );

Maintenance cost;

Buy in bits and pieces;

Other expenses (including tableware breakage, cleaning and washing, office supplies, bank loan interest, telephone charges, travel expenses, etc.). ).

In any hotel, the main costs (such as raw material costs, labor costs, etc. ) accounts for a high proportion of catering costs. It can be said that the level of major costs largely determines whether catering management can achieve financial goals. Therefore, we should pay special attention to the management and control of major costs. Here is a brief introduction to these two expenses.

(A) the cost of raw materials

Raw material cost refers to the sales cost of catering products and beverage products in catering production and operation activities. The cost of raw materials accounts for the highest proportion in the catering cost and the largest proportion in the catering income, which is the main expenditure of the catering department. Generally speaking, the cost rate of catering raw materials is higher than that of beverage raw materials; The cost rate of ordinary catering is higher than that of banquet materials; The cost rate of raw materials in domestic restaurants is higher than that in foreign industries. According to estimates, the average cost rate of Chinese catering raw materials (catering products and beverages) is around 45%.

Labor cost

Labor cost refers to the monetary form of living labor consumed in catering production and operation activities, mainly including wages, welfare expenses, labor insurance expenses, clothing expenses and meals for employees. The labor cost rate is second only to the cost rate of catering products and beverages, so it is also an important expenditure in catering costs. At present, the labor cost accounts for about 20% of the turnover in the domestic catering industry.