how much profit on a 300 thb pizza in Thailand ? kebab more profitable ?

[NaDu]

12 minutes ago, Confuscious said:

I go eat regularly a VERY GOOD and VERY TASY pizza at a very well know pizzeria in Korat (Near SUT).
They sell an 11" pizza Marguerita for 85 Baht.
I guess they make profit on this.
Why pay 300 Baht for a pizza?
They also have other items on their menu for a very cometitive price.
I can give you the link to their Facebook if you send me a PM.

 

Thank you, maybe the only smart and useful reply. I am quite sure that most people selling a 300 thb pizza makes a 200 thb profit on it. But hard to understand for most people here it seems...

 

 

[Nyezhov]

6 minutes ago, NaDu said:

 

Cheapest ingredients of course ! what else do you think that they use in Thailand ?

Thank you for the reply.

 

 

Well you just lost a customer

[puukao]

2 hours ago, NaDu said:

so many replies for so many people who have nothing useful and interesting to say.

care to read the title ?

how much profit on a 300 thb pizza in Thailand ? 

 

 

'in Thailand'

 

Yes, every 300 thb pizza has exactly the same profit; every store, every city, every time.

 

well, except once.  

 

once the profit was 81.42 baht

for all others, the profit is 81.43 baths like getting a bath.  lol

 

but that was in the mooban 112 years ago and only once, but does that help you?

 

ask me anything

 

i know everything

 

oh wait, another 300 baht pizza made.  81.43

 

that was close

[atyclb]

Consider the ingredients -- flour, yeast, water, sauce, cheese and toppings. None of these are expensive, particularly when purchased wholesale. To build a small cheese pizza the cheese is the most expensive ingredient at $0.60, with the dough adding about $0.24 and the sauce $0.05. That adds up to $0.89 for a basic cheese pizza that could be sold for many times that amount. There are, of course, other expenses to be factored into the cost. Rent, labor, utilities and franchise fees must be prorated to each pizza, and that will depend on how many are sold. One estimate of the cost of a meat pizza with pepperoni and sausage is $1.90 for food costs and an average retail cost of $14.00, which translates to a 636 percent markup.

https://smallbusiness.chron.com/much-profit-margin-pizza-62139.html

[owenm]

How much profit on a 300bht Thai Pizza? Profit is never a fixed constant. You want good sales then you need a good location. Good locations cost more in rent. Cost of set-up infrastructure, pizza oven, furniture and ambience, if available as dine in. Power, wages and taxes. Then you need a business plan with break even cost analysis. Cost of raw ingredients x expected sales per month in Bht, then all your costs. You may have a 300bht pizza costing you 100bht, but what qty do you need to sell per month to break even? Doable? Double that figure (minimum) to make a reasonable profit.. 

 

[robblok]

49 minutes ago, NaDu said:

 

Thank you, maybe the only smart and useful reply. I am quite sure that most people selling a 300 thb pizza makes a 200 thb profit on it. But hard to understand for most people here it seems...

 

 

No your question is just not specific enough. I am accountant and how much profit they make per pizza depends on the ingredients. Then you got the raw profit per pizza. But you also have to pay your fixed costs (housing employees depreciation of appliances). So its just really hard to say how much profit is made. 

 

Sounds a bit like those people get all crazy when a t-shirt has a 100% profit margin and forget that from that money advertisement, wages and building rent must be paid leaving not much at all when all is said and done. 

[scottiejohn]

53 minutes ago, NaDu said:

how some of you can be so stupid to think that I  would ask to a team of grumpy old man retired labors if I wanted to run business !?

I am simply curious, but maybe too much already for most of you !

 

Read your own headline/title to the OP.

It states "How much profit on a 300 thb pizza".

By implication you are selling something (pizza) to make a profit, therefore you are asking about the business model for selling Pizza. Ergo - a business!!!

If you are thinking of going into business, anywhere in the world, I would suggest you need an attitude adjustment" before you do so, if the above comment by you is your standard response to requests for help/info.

Go and bait/troll somewhere else please.  .

[Ulic]

The formula for people I know who run restaurants in Canada is 1/3 of the cost of the dish needs to be spent on the ingredients, the remaining 2/3 covers the preparation (cooks/staff, venue, gas, electric, etc.) and your profit. If you spend less than a third on ingredients the quality is poor and you will lose customers. If you spend more it is hard to cover overhead and make a profit. As overhead (besides food costs) is generally fixed, you have to sell a substantial amount to pay that fixed overhead. Saying, someone spends 100 baht of a 300 baht pizza on ingredients and makes 200 baht profit is beyond simplistic. You may have to sell 300 pizzas a day to break even and on every pizza sold after that, you make 200 baht per pizza. Profit margins are very small in the food and beverage business unless you have volume on your side or very low fixed overhead. In Thailand, that means push carts/markets. You very much have to control your fixed overhead and drive sales. 80% of new restaurants close in 6 months, the next guy comes along and picks up the equipment and supplies at a 40% discount and has a better chance. It is usually the third guy who picks up the operation discounted once again who is finally successful. His fixed costs are the lowest. If you are looking to go into the food/beverage business my recommendation is don't. With the question you posted, you don't have the background.

[NCC1701A]

3 hours ago, NaDu said:

so many replies for so many people who have nothing useful and interesting to say.

care to read the title ?

how much profit on a 300 thb pizza in Thailand ? 

 

 

are you going to be taking orders at your pizza joint?

 

"OK Mac, what kind of pizza do you and your hooker girlfriend want? Make it snappy. I ain't got all day."

[NCC1701A]

1 hour ago, NaDu said:

how some of you can be so stupid to think that I  would ask to a team of grumpy old man retired labors if I wanted to run business !?

I am simply curious, but maybe too much already for most of you !

 

"i could buy you six times over mate."

 

 

[worgeordie]

2 hours ago, Just Weird said:

Villa.

Lap of lamb ,I don't think so,legs,Ribs,,anyway any type of lamb 

here would just be too expensive.

regards Worgeordie

[how241]

3 hours ago, NaDu said:

so many replies for so many people who have nothing useful and interesting to say.

care to read the title ?

how much profit on a 300 thb pizza in Thailand ? 

 

 

I am guessing around 200 profit.  In the USA,  a basic pizza used to cost around 1 dollar.  In Thailand with the higher cheese prices I think it might be 60-100 baht to make the pizza.  Lots of factors such as size and how much cheese you use. Pizza is a high profit item. 

[OneMoreFarang]

2 hours ago, NaDu said:

Thank you, maybe the only smart and useful reply. I am quite sure that most people selling a 300 thb pizza makes a 200 thb profit on it. But hard to understand for most people here it seems...

You are obviously the smartest of all. You know it already but you want to let us less smart people think and learn from you. I guess you are just too advanced, we won't be able to catch up with you.

 

In the meantime why don't you open a pizza place? You know how to make 200B profit a piece so sell 30 pizza per hour, do this 8 hours a day and you make about 50k profit per day. Soon you will have enough money to open branches all over the country and then you will be rich. Obviously a smart guy like you deserves to be rich. Do it!

But just in case your "calculation" was wrong somewhere don't come back here and cry that your wonderful business didn't work out.

[NiwPix]

1 hour ago, Ulic said:

The formula for people I know who run restaurants in Canada is 1/3 of the cost of the dish needs to be spent on the ingredients, the remaining 2/3 covers the preparation (cooks/staff, venue, gas, electric, etc.) and your profit. If you spend less than a third on ingredients the quality is poor and you will lose customers. If you spend more it is hard to cover overhead and make a profit. As overhead (besides food costs) is generally fixed, you have to sell a substantial amount to pay that fixed overhead. Saying, someone spends 100 baht of a 300 baht pizza on ingredients and makes 200 baht profit is beyond simplistic. You may have to sell 300 pizzas a day to break even and on every pizza sold after that, you make 200 baht per pizza. Profit margins are very small in the food and beverage business unless you have volume on your side or very low fixed overhead. In Thailand, that means push carts/markets. You very much have to control your fixed overhead and drive sales. 80% of new restaurants close in 6 months, the next guy comes along and picks up the equipment and supplies at a 40% discount and has a better chance. It is usually the third guy who picks up the operation discounted once again who is finally successful. His fixed costs are the lowest. If you are looking to go into the food/beverage business my recommendation is don't. With the question you posted, you don't have the background.

Best answer...by far. Spot on. I couldnt have written it any better and have nothing else to add to this.

[KittenKong]

The OP specifically mentioned only tomato and cheese as toppings.

 

The tomato probably isnt fresh; most places use tinned passata. The flour will be the sort sold in big wholesale bags which is cheaper per kg than the bread flour sold in small plastic bags for about 35B/kg. The mozzarella cheese will be frozen or shrink-wrapped. Either way it costs around 350B/kg. Some places will use pizza topping cheese which costs ~15% less.

 

You may think you are getting something better when you pay a lot here, but you probably aren't. You may get a splash of the cheapest olive oil if you are lucky, and that will make a lot of difference to the flavour. Some decent herbs will help too. If you can find somewhere that actually uses fresh mozzarella and imported organic flour then there may be more improvement but very few places in Thailand do that, at least not for 300B.

 

As mentioned, pizza mark-ups are often massive. That's why so many people want to sell them all over the world.

[bwpage3]

To The OP

 

Do you know how to make a pizza?

 

If you do, then you can figure out the entire cost yourself

 

Flour

Yeast

Tomato Sauce

Tomatoes

Cheese

 

Flour - Figure out how much flour you use in ounces. Now lets say a bag of flour, 128 ounces = 128 baht. Your pizza uses 4 ounces. Therefore the cost of the flour is 4 baht.

 

Yeast - One package 30 baht. Your pizza uses 1/2 package of yeast = 15 baht

 

Tomato Sauce - I can 35 baht. Your Pizza uses 1/2 can = 17.50 baht

 

Tomatoes - 10 baht each. Your pizza uses 1 = 10 baht

 

Cheese - Lets say 1 package is 100 baht and you use 1/4 package = 25 baht

 

Cost = 71.50 baht

 

Now your job is to go to the store and get the actual cost of these ingredients, weigh how how much you use to make 1 pizza, then do the math as shown above.

 

Very simple formula to determine the exact cost.

 

Now the cost to actually sell a pizza would have to include labor, electric over, or gas, rent, etc

 

 

 

[MikeN]

2 hours ago, atyclb said:

Consider the ingredients -- flour, yeast, water, sauce, cheese and toppings. None of these are expensive, particularly when purchased wholesale. To build a small cheese pizza the cheese is the most expensive ingredient at $0.60, with the dough adding about $0.24 and the sauce $0.05. That adds up to $0.89 for a basic cheese pizza that could be sold for many times that amount. There are, of course, other expenses to be factored into the cost. Rent, labor, utilities and franchise fees must be prorated to each pizza, and that will depend on how many are sold. One estimate of the cost of a meat pizza with pepperoni and sausage is $1.90 for food costs and an average retail cost of $14.00, which translates to a 636 percent markup.

https://smallbusiness.chron.com/much-profit-margin-pizza-62139.html

And those numbers are ridiculous in Thailand, as apart from not stating the size of pizza they refer to the price of ingredients here is totally different.

For an 11 inch pizza, you would use around 150g or 5 oz for a basic cheese pizza. A quick look at prices online show that 250g of ordinary pizza cheese at TOPS is 265 baht for 250g packet, so that is 159 baht already.

EDIT. a look online says Domino's use 7-8oz ( close to 200g) per 12 inch pizza !

About 20 baht's worth of flour per pizza, depending on if it is thick or thin crust (yet another variable !)

About another 15 baht for the sauce.

So even after allowing a bit for bulk discount prices, that is around 200 baht for a simple cheese pizza already, plus cost of wages, power, rent, etc etc.

 

I spent many years working in commercial kitchens, costing new recipes whenever we changed the menu. I can confidently say that many people are plucking costs out of thin air ....or their posterior.

[ukrules]

5 hours ago, VocalNeal said:

I have an acquaintance who runs a couple of restaurants. he was saying one time that if you don't make 800 % profit on a dish your restaurant won't make any money.

This guy is talking complete rubbish.

 

Chefs like to keep the food cost down to around 30%.

 

This can be hard to do without selling inferior products, especially when it comes to the more expensive cuts of meat like an imported steak for example.

 

800% ????

 

[balo]

In Pattaya a good big size margherita is 200 baht , in Italian pizzerias. If they charge you more than that it's tourist prices or scams. 

 

 

[pgrahmm]

26 minutes ago, ukrules said:

This guy is talking complete rubbish.

 

Chefs like to keep the food cost down to around 30%.

 

This can be hard to do without selling inferior products, especially when it comes to the more expensive cuts of meat like an imported steak for example.

 

800% 🙄

 

Knock off a zero of your choice & it becomes realistic....

[pgrahmm]

26 minutes ago, ukrules said:

This guy is talking complete rubbish.

 

Chefs like to keep the food cost down to around 30%.

 

This can be hard to do without selling inferior products, especially when it comes to the more expensive cuts of meat like an imported steak for example.

 

800% ????

 

Knock off a zero of your choice & it becomes realistic....

[ukrules]

Just read this page : https://www.restaurantowner.com/public/Restaurant-Rules-of-Thumb-Industry-Averages-Standards.cfm

 

It's interesting, especially this bit :

 

Food cost. Food cost as a percentage of food sales (costs/sales) is generally in the 28 percent to 32 percent range in many full-service and limited-service restaurants. Often, more upscale full-service concepts, particularly those that specialize in steaks and/or fresh seafood can have food cost of 38 percent, 40 percent and even higher. Conversely, I'm familiar with some gourmet pizza restaurants in upscale areas that are able to consistently achieve a food cost of 20 percent and sometimes even less.

 

[TPI]

To make a large pizza, with an adequate covering of "tastes" should not cost more than B100! The base and the filler can be sourced locally, the only expensive topping is the cheese which can now be sourced and delivered to anywhere in Thailand! 8 x slices at B30 should give you a reasonable profit...a word of advice...keep away from local farang, they're all experts at "something" and will actively rather tear you down than build you up!! Set up near a large school, the pupils are like a ravening pack of wolves at home time and lunch...good luck in your venture, remember trust nothing a Thai tells you about business! ???? 

[MyFriend You]

On 1/21/2019 at 8:54 AM, ChipButty said:

You cant beat the old Donner Kebab, Have you ever eaten a Kebab sober? God knows what was in them things

Haven't had a Kabab in Thailand since the Turk guy was evicted from the entrance of Nana Plaza.........we would get one on the way home, blame the diarreah on the cheap beer, but who knows if the meat was Lamb, Pork, Dog, or how many days it has been out in the sun turning around.

[MyFriend You]

1 hour ago, TPI said:

good luck in your venture, remember trust nothing a Thai tells you about business! 

Best business advice for Thailand I have heard in years!!!

[atyclb]

17 hours ago, MikeN said:

20 hours ago, atyclb said:

Consider the ingredients -- flour, yeast, water, sauce, cheese and toppings. None of these are expensive, particularly when purchased wholesale. To build a small cheese pizza the cheese is the most expensive ingredient at $0.60, with the dough adding about $0.24 and the sauce $0.05. That adds up to $0.89 for a basic cheese pizza that could be sold for many times that amount. There are, of course, other expenses to be factored into the cost. Rent, labor, utilities and franchise fees must be prorated to each pizza, and that will depend on how many are sold. One estimate of the cost of a meat pizza with pepperoni and sausage is $1.90 for food costs and an average retail cost of $14.00, which translates to a 636 percent markup.

https://smallbusiness.chron.com/much-profit-margin-pizza-62139.html

And those numbers are ridiculous in Thailand, as apart from not stating the size of pizza they refer to the price of ingredients here is totally different.

For an 11 inch pizza, you would use around 150g or 5 oz for a basic cheese pizza. A quick look at prices online show that 250g of ordinary pizza cheese at TOPS is 265 baht for 250g packet, so that is 159 baht already.

EDIT. a look online says Domino's use 7-8oz ( close to 200g) per 12 inch pizza !

About 20 baht's worth of flour per pizza, depending on if it is thick or thin crust (yet another variable !)

About another 15 baht for the sauce.

So even after allowing a bit for bulk discount prices, that is around 200 baht for a simple cheese pizza already, plus cost of wages, power, rent, etc etc.

 

I spent many years working in commercial kitchens, costing new recipes whenever we changed the menu. I can confidently say that many people are plucking costs out of thin air ....or their posterior.

 

who in the world operating a restaurant would buy ingredients at tops, a pricy retail supermarket?

 

u should visit makro and see the prices for 1 -3 kg packages of cheese. also imported cheese. theres also restaurant supply companies. a friend was buying embourg cheese at very good prices.

[Monkeyrobot]

On 1/21/2019 at 8:27 AM, puukao said:

i spend a lot on cheese, but save money by putting the pizzas in the road to be cooked by the sun.  tuk-tuk drivers deliver 100's for me, and i pay them 700 baht a day.  i sell 3 slices for 100, and it only costs me 15 baht.

 

i'm super rich

 

 

What do you do when it’s Cloudy with a chance off meat balls??

[NaDu]

On 1/21/2019 at 6:50 PM, KittenKong said:

The OP specifically mentioned only tomato and cheese as toppings.

 

The tomato probably isnt fresh; most places use tinned passata. The flour will be the sort sold in big wholesale bags which is cheaper per kg than the bread flour sold in small plastic bags for about 35B/kg. The mozzarella cheese will be frozen or shrink-wrapped. Either way it costs around 350B/kg. Some places will use pizza topping cheese which costs ~15% less.

 

You may think you are getting something better when you pay a lot here, but you probably aren't. You may get a splash of the cheapest olive oil if you are lucky, and that will make a lot of difference to the flavour. Some decent herbs will help too. If you can find somewhere that actually uses fresh mozzarella and imported organic flour then there may be more improvement but very few places in Thailand do that, at least not for 300B.

 

As mentioned, pizza mark-ups are often massive. That's why so many people want to sell them all over the world.

 

Thank you, at least some people here are not completely dumb.

 

To other champions: I never talked about rent price or anything, I am just talking about pure profit based on ingredients, and it is clearly around 200 thb for a 300 thb pizza, and you like it or not, pizza is crap food and even worst in Thailand, Thai knowing nothing and believed-know-all foreigners might be even worst.

 

 

 

 

 

 

[NaDu]

On 1/21/2019 at 7:07 PM, bwpage3 said:

To The OP

 

Do you know how to make a pizza?

 

If you do, then you can figure out the entire cost yourself

 

Flour

Yeast

Tomato Sauce

Tomatoes

Cheese

 

Flour - Figure out how much flour you use in ounces. Now lets say a bag of flour, 128 ounces = 128 baht. Your pizza uses 4 ounces. Therefore the cost of the flour is 4 baht.

 

Yeast - One package 30 baht. Your pizza uses 1/2 package of yeast = 15 baht

 

Tomato Sauce - I can 35 baht. Your Pizza uses 1/2 can = 17.50 baht

 

Tomatoes - 10 baht each. Your pizza uses 1 = 10 baht

 

Cheese - Lets say 1 package is 100 baht and you use 1/4 package = 25 baht

 

Cost = 71.50 baht

 

Now your job is to go to the store and get the actual cost of these ingredients, weigh how how much you use to make 1 pizza, then do the math as shown above.

 

Very simple formula to determine the exact cost.

 

Now the cost to actually sell a pizza would have to include labor, electric over, or gas, rent, etc

 

 

 

 

Thank you ! smart and useful also.

Maybe this forum would be better with the only 10 useful and smart members...

 

 

 

[robblok]

2 minutes ago, NaDu said:

 

Thank you, at least some people here are not completely dumb.

 

To other champions: I never talked about rent price or anything, I am just talking about pure profit based on ingredients, and it is clearly around 200 thb for a 300 thb pizza, and you like it or not, pizza is crap food and even worst in Thailand, Thai knowing nothing and believed-know-all foreigners might be even worst.

 

 

 

 

 

 

Pure profit.. wow you truly are not bright.

 

Pure profit from an accounting point of view and fiscal point of view is after cost. So after rent, employees machines. What your talking about is the markup on a pizza not pure profit.