Beer and Alcohol prices up up up

[starcandle]

I have been told that the Thai Government have increased the duty payable on ALL alcohol.

Several of the Bars local to me have increased there Bottles of Beer by 10 baht, yet the price has only gone up between 5-7 baht to them, per bottle.

Why do they always round figures UP and not down ?

I get it that no one want's to pay 87 baht but why not round it down to 85 and not up to 90 ?

Yet another nail in Thailands cheep travel coffin.

[cooked]

Increased to discourage alcoholism. If they really want to do that they would double the price, but that will never do. For the last two weeks I have been unable to find my Beer Chang Classic in BigC ot Makro (Buriram, not Koh Samui). This morning I got some difficult to understand excuse about 'waiting for the price rise'.

I really must get home brewing going.

[premiersportsbar]

Premier Sports Bar have NOT increased their prices.

At this present time we are "swallowing" the loss for as long as possible.

Thank you for your custom.

Edited September 15, 2013 by Rooo

[PoorSucker]

Not raised my prices for 8 years, have to increase now.

[Nana Cowboy]

Beer/alchohol prices go up yearly once or twice. this has been going on for probably 50 or more years. You know its going to happen so best is not be surprised anymore. as a retailer in the USA for over 30 years I saw it happen with tobacco and beer. It was taxes 90% of the time. the price of this stuff is way out of hand (of couurse Thailand had to follow the US lead as did every other country). I quit 2 years ago. Just got tired of the increases. Life is better now and a whole lot cheaper. cheers drink up.

[Gulfsailor]

I have been told that the Thai Government have increased the duty payable on ALL alcohol.

Several of the Bars local to me have increased there Bottles of Beer by 10 baht, yet the price has only gone up between 5-7 baht to them, per bottle.

Why do they always round figures UP and not down ?

I get it that no one want's to pay 87 baht but why not round it down to 85 and not up to 90 ?

Yet another nail in Thailands cheep travel coffin.

It's about a profit margin being a percentage, not an absolute amount.

Assume buying price is 40 and selling price is 80 dan the margin is 100% on purchase. If the buying price is raised to 47, then we can expect the selling price to be 94, to keep same margin. So actually raising selling price by only 10 baht is eating into bar's margin.

[pokerspiv]

Governments all over the world are addicted to the tax revenue from liquor and tobacco. Be thankful you don't live in Australia.

[onthemoon]

Yet another nail in Thailands cheep travel coffin.

ROFL When was the last time you had a beer in Europe?

Sent from my I-405 using Thaivisa Connect Thailand mobile app

[darrendsd]

I have been told that the Thai Government have increased the duty payable on ALL alcohol.

Several of the Bars local to me have increased there Bottles of Beer by 10 baht, yet the price has only gone up between 5-7 baht to them, per bottle.

Why do they always round figures UP and not down ?

I get it that no one want's to pay 87 baht but why not round it down to 85 and not up to 90 ?

Yet another nail in Thailands cheep travel coffin.

It's about a profit margin being a percentage, not an absolute amount.

Assume buying price is 40 and selling price is 80 dan the margin is 100% on purchase. If the buying price is raised to 47, then we can expect the selling price to be 94, to keep same margin. So actually raising selling price by only 10 baht is eating into bar's margin.

Strangest maths I have seen, if beer has gone up by 7 Baht a bottle and they raise it up by 10, then they are making 3 Baht more on a bottle than they were before, I understand the profit margin but they are still making more per bottle

Edited September 15, 2013 by darrendsd

[kurnell]

I vote the "nail in the coffin" comment as the most overused cliche on Thai Visa.

[Rooo]

Yet another nail in Thailands cheep travel coffin.

ROFL When was the last time you had a beer in Europe?

Sent from my I-405 using Thaivisa Connect Thailand mobile app

What are your wages in Europe?

[Briggsy]

May I suggest you purchase a carton of beer from Tesco Lotus. It works out cheaper.

Actually, living on a tourist island will always be expensive due to freight cost, land prices, tourism effect, monopolies and overcharging of foreigners. (There's 5 separate points there! )

So, if the costs are too high, I have a further suggestion. Why not move to the province of Chachoengsao? Beer is cheaper and you will spend less on accommodation and transport and so have more to spend on beer.

Chachoengsao.

[Gulfsailor]

I have been told that the Thai Government have increased the duty payable on ALL alcohol.

Several of the Bars local to me have increased there Bottles of Beer by 10 baht, yet the price has only gone up between 5-7 baht to them, per bottle.

Why do they always round figures UP and not down ?

I get it that no one want's to pay 87 baht but why not round it down to 85 and not up to 90 ?

Yet another nail in Thailands cheep travel coffin.

It's about a profit margin being a percentage, not an absolute amount.

Assume buying price is 40 and selling price is 80 dan the margin is 100% on purchase. If the buying price is raised to 47, then we can expect the selling price to be 94, to keep same margin. So actually raising selling price by only 10 baht is eating into bar's margin.

Strangest maths I have seen, if beer has gone up by 7 Baht a bottle and they raise it up by 10, then they are making 3 Baht more on a bottle than they were before, I understand the profit margin but they are still making more per bottle

Yes they are making more per bottle, but that's normal. Assume in above example the new beer buying price would be 400 baht. (Or another new exotic drink enters the market at that price) would you then think a bar shouldnt sell it for more than 440 baht? It's the same 40 baht margin.

[darrendsd]

No of course not, they should be looking to sell it for 800, however later if the new drink then costs them 407 Baht to make/buy and they then charge 810 they are still making a extra 3 baht after the price increase, they are not making 100% same as before but they are still making a extra 3 baht

Before buy for 400 and sell for 800 = 400 Baht profit

After 407 to buy and sell for 810 = 403 Baht profit

It's the same as the price per bottle of beer going up discussed before

[onthemoon]

Yet another nail in Thailands cheep travel coffin.

ROFL When was the last time you had a beer in Europe?

Sent from my I-405 using Thaivisa Connect Thailand mobile app

What are your wages in Europe?

When I travel to Europe, my wage (or salary, rather) doesn't change; it remains the same, regardless of whether I'm here in Thailand or anywhere else. I don't get a per diem depending on the country's cost of living either.

Starcandle was referring to the traveller to Thailand, which certainly includes Europeans and admittedly other nationalities. I have to admit that I don't know the price of beer in Russia, but I would hardly think that an increase of THB 10/bottle would make any dent in the tourist arrivals whatsoever.

"Honey, the price of beer in Thailand has gone up by € 0.25/bottle, let's go to Cuba instead!" - I don't think so.

[starcandle]

Yet another nail in Thailands cheep travel coffin.

ROFL When was the last time you had a beer in Europe?

Sent from my I-405 using Thaivisa Connect Thailand mobile app

What are your wages in Europe?

When I travel to Europe, my wage (or salary, rather) doesn't change; it remains the same, regardless of whether I'm here in Thailand or anywhere else. I don't get a per diem depending on the country's cost of living either.

Starcandle was referring to the traveller to Thailand, which certainly includes Europeans and admittedly other nationalities. I have to admit that I don't know the price of beer in Russia, but I would hardly think that an increase of THB 10/bottle would make any dent in the tourist arrivals whatsoever.

"Honey, the price of beer in Thailand has gone up by € 0.25/bottle, let's go to Cuba instead!" - I don't think so.

I was in Benidorm 3 weeks ago.. a Bottle of Budweiser was only 2 euros...local beer estrella dorado was 1.5 euro a pint.....thats a tourist destination and not a backwater... think about that !

[Sydebolle]

I have been told that the Thai Government have increased the duty payable on ALL alcohol.

Several of the Bars local to me have increased there Bottles of Beer by 10 baht, yet the price has only gone up between 5-7 baht to them, per bottle.

Why do they always round figures UP and not down ?

I get it that no one want's to pay 87 baht but why not round it down to 85 and not up to 90 ?

Yet another nail in Thailands cheep travel coffin.

It's about a profit margin being a percentage, not an absolute amount.

Assume buying price is 40 and selling price is 80 dan the margin is 100% on purchase. If the buying price is raised to 47, then we can expect the selling price to be 94, to keep same margin. So actually raising selling price by only 10 baht is eating into bar's margin.

I have been told that the Thai Government have increased the duty payable on ALL alcohol.

Several of the Bars local to me have increased there Bottles of Beer by 10 baht, yet the price has only gone up between 5-7 baht to them, per bottle.

Why do they always round figures UP and not down ?

I get it that no one want's to pay 87 baht but why not round it down to 85 and not up to 90 ?

Yet another nail in Thailands cheep travel coffin.

It's about a profit margin being a percentage, not an absolute amount.

Assume buying price is 40 and selling price is 80 dan the margin is 100% on purchase. If the buying price is raised to 47, then we can expect the selling price to be 94, to keep same margin. So actually raising selling price by only 10 baht is eating into bar's margin.

Dont get me wrong but I own a restaurant myself. It is not only about percentage; suppliers and staff is getting paid in physical Thai Baht and not percentage. I - for one - will pass on the increase accordingly in THB and it will be rounded accordingly. THB 86 will go down to THB 85, THB 84 will go up to THB 85.

Last not least; anyone having a problem with this? Then vote better next time or drink less 8-)

[notmyself]

Large Chang in my local Mom and Pop store has gone up from 45 to 50 Baht a bottle since I left end of June and returned a couple of days ago. Sangsom and coke is still 60 Baht at a friend's bar and still 50 Baht at another friend's bar.

[NHJ]

I was in Benidorm 3 weeks ago.. a Bottle of Budweiser was only 2 euros...local beer estrella dorado was 1.5 euro a pint.....thats a tourist destination and not a backwater... think about that !

in belgium a draft beer is between 1.8 to 2.2 euro in a bar, thailand is way too expensive nowadays.

[Billmont]

When any government increases duty on alcohol bar owners use this increase to 'catch up'. Bar owners have ongoing increases, power, transport, rent for example and these are normally absorbed as any increase will most definitely be frowned upon by customers. However when alcohol duty is increased the opportunity is taken to round up to return to the status quo and cover other increases that have be absorbed and not passed on. Also any increase in duty is then subject to vat, either on the selling price but in any case on the purchase price. Also as previous mentioned any such increase if not passed on will reduce the profit percentage and this can only be absorbed for so long. I have not owned a bar in Thailand but in general the theory is the same everywhere. all increases are soon accepted and then forgotten so Cheers, enjoy! :-)

[pokerspiv]

Luckily there is an easy option to move to the low tax countries to the immediate east and west of Thailand if beer prices are your #1 priority. And I'm not even being facetious. Cambodian bars charge about 50c for a pint and it's a pretty good option if you want to spend your retirement getting hammered every day.

[mooris7]

Bad news! Oh no! Must move to Cambodia now!

[mooris7]

Luckily there is an easy option to move to the low tax countries to the immediate east and west of Thailand if beer prices are your #1 priority. And I'm not even being facetious. Cambodian bars charge about 50c for a pint and it's a pretty good option if you want to spend your retirement getting hammered every day.

Are you serious? Move to Cambodia because prices of beer go up?

[TheOggMonster]

If anyone wants a cheap beer then go to 7/11!

[pokerspiv]

Luckily there is an easy option to move to the low tax countries to the immediate east and west of Thailand if beer prices are your #1 priority. And I'm not even being facetious. Cambodian bars charge about 50c for a pint and it's a pretty good option if you want to spend your retirement getting hammered every day.

Are you serious? Move to Cambodia because prices of beer go up?

Not just beer prices. Like some have stated in this thread already, Thailand is getting more expensive every year. Some people are being priced out. I suggested Cambodia as a decent option for those people.

[yorkie100]

I was in Benidorm 3 weeks ago.. a Bottle of Budweiser was only 2 euros...local beer estrella dorado was 1.5 euro a pint.....thats a tourist destination and not a backwater... think about that !

in belgium a draft beer is between 1.8 to 2.2 euro in a bar, thailand is way too expensive nowadays.

Thailand is expensive now, yes, but this is due to the weakness of the Euro (£, $ etc.) against the Baht. Try converting at the 2005 exchange rates e.g. 75 baht to the £ and there's the difference.

I'm no expert but believe if the West got their economies in order (some hope!) we might see an increase the value of western currencies.

Why should we complain when the Thai government puts up taxes, it happens everywhere.

[PoorSucker]

Why should we complain when the Thai government puts up taxes, it happens everywhere.

Agreed, they complain about raised taxes everywhere.

[RHerberth]

is the price already increased in the bars ?

[codestu]

I spend 3 week in cambodia and vietnam most beers less than 50c a mug and the cheapest is 3-4000 dong a glass of fresh beers (bia hoi) in hanoi, saigon and most cites, mean work out around 50c apint happy days. DRINK UP LADS IT ALL OVER in thailand.

[codestu]

Also i come across a bar resturant offering BIG bottles tiger beer in hanoi 10,000 dong = around 50c of a dollor and in saigon drink saigon green beer half big bottle 10,000 dong, cambodia most drinks are less than 50c, wake up lads and drink up in thailand, dont understand why most people trying compares beer prices V europe and uk which is thousands miles away from thailand.