Pricing your menu

To run a successful canteen you need to be savvy at pricing: make sure you charge enough for the items on your menu. We normally recommend a minimum mark up of 80% on menu items. Mark-up will vary according to your canteens’ situation. Mark-ups cover all expenses such as electricity and gas, wages and employment costs (if there are any), lease fee (if there is one), maintenance costs and profit, as well as the cost of the goods (goods and packaging).

The mark-up you use is influenced by numerous factors, including canteen running costs and operating model, desired profit and any policy that may encourage the sale of healthier items. See below for a specific example.

To mark up an item by 80%, multiply the cost of the item by 1.8.

How to cost a chicken wrap

When making a sandwich, Healthy Kids uses wholemeal bread and no margarine as a default recipe in sandwiches. We suggest putting a higher mark up on AMBER foods and pricing GREEN items more competitively so they are more appealing, which will help achieve your goal of running a healthy canteen.

CHICKEN WRAP

1 wholemeal tortilla (12”) $0.40

1 slice reduced fat cheese (20g) $0.25

Lettuce (3/4 cup) $0.10

Sliced chicken breast (100g) $0.90

Mayonnaise (1 tablespoon/ 20ml) $0.09

1 Piece of sandwich paper $0.02

Lunch Bag $0.01

TOTAL = $1.77

Cost of goods $1.77 x 1.8 (80% mark up) = $3.19 Minimum selling price