A corkage fee is a fee that restaurants, bars or other hospitality venues charge when you bring your own wine or other alcohol to drink on the premises. This fee covers the cost of service, including opening and pouring the wine and providing the right glassware. The amount varies widely depending on the venue, location and type of event.
Corkage fees are big in the hospitality industry for several reasons. They help the venue make money as alcohol sales are a big part of a restaurant’s revenue. By charging a corkage fee they can offset some of the lost revenue from you not buying drinks from their menu. They can also discourage too much outside alcohol, keep the atmosphere balanced and ensure they comply with liquor licensing laws.
Let’s say you’re running a high-end restaurant in London. A regular customer calls to book a table for their anniversary dinner and mentions they want to bring a special bottle of wine they’ve been saving. You tell them you’re happy to accommodate their request but there’s a £20 corkage fee per bottle. During the dinner service you make sure your staff handle the wine professionally, pour and provide the right glasses. The customers enjoy their meal with their special wine and you’ve protected your restaurant’s standards and profitability with the corkage fee. This is how corkage fees can be a win-win, providing flexibility for the guest and protection for the business.