How to balance drinks promotions with profit

Running drink promotions is a great way to bring people into your pub or restaurant, but it only works if the offers still leave you with a healthy profit. The goal is to create deals that get customers excited without discounting so heavily that you lose money. Getting that balance right means thinking carefully about what you promote, when you promote it and how you encourage customers to spend a little more.

A good place to start is choosing the right drinks. Some items naturally have better profit margins than others. Cocktails, house spirits, mocktails and certain draught beers usually provide a strong return, especially when ingredients and portions are controlled properly, and make ideal candidates for deals or bundles. On the other hand, expensive wines, premium spirits and bottled beers often have tighter margins, so discounting them too heavily can reduce your overall takings.

Timing also plays a major part in successful promotions. Instead of discounting constantly or during peak hours, use offers to boost quieter periods. Early evening happy hours, weekday cocktail deals or a Sunday-night pint special can fill the bar during slower stretches without cutting into the full-price sales you rely on at busier times. This approach helps shape customer habits and spreads trade more evenly throughout the week, making operations feel smoother and more predictable.

Another smart tactic is using bundles rather than simple price cuts. Deals such as two-for-one cocktails, pint-and-shot offers, beer buckets or pitcher specials feel like good value to customers, while still keeping margins safe, and people often buy more through bundling than they would with a straightforward discount. However, make sure you’re not encouraging excessive drinking with your promotional materials. 

Non-alcoholic options shouldn’t be overlooked either. Soft drinks, mocktails and alcohol-free beers generally have excellent margins and appeal to a wide range of guests, especially groups. Promotions such as free soft drink refills for designated drivers or alcohol-free bundles can boost sales without encouraging heavy discounting.

It’s also worth using the support your suppliers offer. Many brands provide free stock, branded glassware, decorations or promotional materials, which can help you run attractive deals without bearing the full cost yourself.

Promotions don’t always need to focus on discounts. Themed drinks nights, cocktail showcases, tasting boards and seasonal specials give customers an experience as well as a drink. Adding live music or even a good DJ can make an enormous difference too, as music creates atmosphere, draws in passers-by and encourages people to stay longer and order more. A lively environment often works as well as a discount for attracting customers.

Finally, well-trained staff can make a huge difference. Simple upsells – such as suggesting a premium mixer, offering a double measure with proper legal wording or recommending a cocktail – help boost spend per head, even when promotions are running.

Reviewing each promotion afterwards ensures you’re not just busier, but genuinely more profitable. When done correctly, drink promotions create a lively venue, attract new customers and keep margins healthy.

Kelly McCarthy is the owner of Ye Old Sun Inn in Tadcaster, North Yorkshire

Do you have a question for one of the Drinks Doctors? Send your query to drinks@thecaterer.com