INTRODUCTION TO HOSPITALITY

MANAGEMENT
Fifth Edition

CHAPTER 5
Beverages

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Introduction to Hospitality
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 Chapter Objectives

• After reading and studying this chapter,

the student should be able to do the
following:
1. List and describe the main grape
varieties.
2. Suggest appropriate pairings of wine
with food.
3. Identify the various types of beer.

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Introduction to Hospitality
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 Chapter Objectives

• After reading and studying this chapter,

the student should be able to do the
following:
4. List the types of spirits and their main
ingredients.
5. Explain a restaurant’s liability in terms
of serving alcoholic beverages.

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 Wines

• Wine is the fermented juice of freshly

gathered ripe grapes or sugar-
containing fruit such as blackberries,
cherries, etc.
• Wine may be classified by color (red,
white, or rose) or by type (light
beverage wines, sparkling wines,
fortified wines, and aromatic wines).

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 Light Beverage Wines

• These wines are also referred to as

“still” table wines (no CO2).
• In the United States, premium wines
are named after the grape variety
(Chardonnay and Cabernet Sauvignon).

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 Light Beverage Wines

• In Europe, they are primarily named

after the grape variety and their region
of origin (Pouilly Fuisse, Chablis);
however, some producers are
beginning to use the name of the grape
varietal.

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 Sparkling Wines

• Champagne, sparkling rose wine, and

sparkling white wine are called
sparkling wines.
• The wine gets its unique sparkling
quality because it contains CO2.
• Champagne became the drink of
fashion in France and England in the
17th century.

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 Sparkling Wines

• Originating in the Champagne region of

France, the wine owed its unique
sparkling quality to a second
fermentation; originally unintentional,
this process became known as methode
champenoise.
• Champagne may, by law, only come
from the Champagne region of France.

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 Sparkling Wines

• Sparkling wines from other countries

have methode champenoise written on
their labels to designate that a similar
method was used to make that
particular sparkling wine.

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 Fortified Wines

• Sherries, ports, madeiras, and marsalas

are fortified wines.
• This means that they have had brandy
or wine alcohol added.
• This increases the alcohol content to
about 20%.
• They are usually sweeter than regular
wines.

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 Aromatic Wines

• Vermouths and aperitifs are aromatic

wines.
• They have been flavored with herbs,
roots, flowers, and/or barks.
• The wines may be sweet or dry and are
reputed to serve as digestive
stimulants when sipped before a meal.

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 The History of Wine

• The first records of wine making date

back about 7,000 years.
• Because the wines were often young
and very acidic, they were often
flavored with spices and honey.

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 The History of Wine

• The ancient Egyptians and the

Babylonians were the first ones to
record the fermentation process.
• The quality of the wine depends upon
the quality of the grape variety, the
type of soil, the climate, the skill of the
wine-maker, the vineyard, and the
method of wine making.

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 Matching Wine with Food

• In general, the following traditions

apply:
– White wine is served with “white meat,”
whereas red wines are best with “red
meats.”
– The heavier the meal, the more robust
the wine should be.
– Champagne can be served throughout
the meal.
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 Matching Wine with Food

• In general, the following traditions

apply:
– Regional wines are best with food of the
region.
– Sweet wines should be served with
foods that are not too sweet.
– Port and red wines go well with cheese.

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 Matching Wine with Food

• In general, the following traditions

apply:
– Food and wine are described by texture
and flavor.
• However, the most important factors to
consider are the richness and lightness
of the meal and the wine.

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 Major Wine-Growing Regions

• Germany, Italy, Spain, Portugal, and

France are the main European wine-
producing countries.
• France is the most notable of the
European countries—not only for wine,
but also for Cognac and Champagne.

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 Major Wine-Growing Regions

• Wines are named for the village in

which the wine is produced and are an
important part of the French culture
and heritage.
• In the United States, California is the
major wine-producing region.

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 Major Wine-Growing Regions

• There are three principal regions in

which they produce wine in California:
north and central coastal region, great
central valley region, and southern
California region.
• The Napa and Sonoma Valleys are the
two major centers.

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 Major Wine-Growing Regions

• New York, Oregon, and Washington are

other major wine-producing states, as
well as some Canadian provinces.
• Australia, New Zealand, Chile,
Argentina, and South Africa are other
parts of the world that produce wines.

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 How to Read a Wine Label

• Labeling requirements vary from

country to country.
• In the United States wines are typically
labeled by their varietal grape and
include the name of their region.
• In Europe, wines tend to be labeled
regionally rather than by varietal.
• Wine labels are helpful in telling a lot
about what is in the bottle.
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 Wine and Health

• A glass of wine may be beneficial to

health.
• This perspective was featured in the
CBS news magazine program 60
Minutes, which focused on a
phenomenon called the French
paradox.

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 Sustainable Wine Production

• “Organic” is a term given to

environmentally friendly methods that
use no chemicals or pesticides.
• “Sustainability” is defined as a holistic
approach to growing and food
production that respects the
environment, the ecosystem, and even
society.

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 Sustainable Wine Production

• The California Association of Wine

Grape Growers has prepared a “Code of
Sustainable Winegrowing Practices,”
covering everything from pest
management to wine quality to water
conservation to environmental
stewardship.

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 Beer

• Beer is a brewed and fermented

beverage made from malted barley and
other starchy cereals that is flavored
with hops.
• Beer is a generic term for a variety of
mash-based, yeast-fermented brewed
malt beverages that have an alcohol
content mostly between 3.8% and 8%.

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 Beer

• The term “beer” includes the following:

lager, ale, stout, and pilsner.
• Pilsner is not really a beer but named
after Pilsen, Czech Republic.

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 The Brewing Process

• Beer is brewed from water, malt, yeast,

and hops.
• The first ingredient is water. Water
accounts for up to 85% to 89% of the
finished beer.
• Next, grain is added in the form of
malt, which is barley that has been
ground to a coarse grit.

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 The Brewing Process

• The grain is germinated, producing an

enzyme that converts starch into
fermentable sugar.
• Breweries typically have their own
cultured yeasts, which to a large extent
determine the type and taste of the
beer.
• “Mashing” is the term for grinding the
malt and screening out any bits of dirt.
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 The Brewing Process

• The malt then goes through a hopper

into a mash tub, which is a large
stainless steel or copper container.
• Here the water and grains are mixed
and heated.
• The liquid is now called wort and is
filtered through a mash filter or lauter
tub.

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 The Brewing Process

• This liquid then flows into a brewing

kettle, where hops are added and the
mixture is boiled for several hours.
• After filtering, yeast is added, and the
liquid undergoes fermentation.
• After lagering, it is bottled.

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 Organic and Craft Beers,
Microbreweries, and Brewpubs
• The USDA established the National
Organic Program in 1997, opening the
door for organic beer.
• Brewers’ methods for reducing their
ecological footprint are: building
efficient brewhouses, providing water
treatment, reducing water usage,
recycling all paper products, and many
other sustainable practices.

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 Sustainable Brewing

• Brewers are reducing their carbon

footprints in a variety of ways,
including energy efficient lighting and
equipment, adding waste-water
treatment facilities, using recycled
paper products, using wind and solar
power, and using renewable energy
wherever possible.

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 Spirits

• A spirit or liquor is made from liquid

that has been fermented and distilled
and has a high level of alcohol.
• The level of alcohol is gauged by the
proof.
• The proof is equal to twice the
percentage of alcohol in the beverage.

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 Spirits

• Spirits are usually consumed before or

after the meal rather than with the
meal.
• They are served straight or neat, or
mixed with water, soda water, juice, or
cocktail mixes.

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 Spirits

• Fermentation of spirits takes place by

the action of yeast on sugar-containing
substances, such as grain or fruit.
• Distilled drinks are made from a
fermented liquid that has been put
through a distillation process.

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 Whiskies

• Whisky is a generic name for the spirit

that was originally brewed in Scotland
and Ireland.
• It is made from a fermented mash of
grain to which malt (barley) is added.
• Whiskies are naturally white or pale in
color.
• Whisky’s color comes from the charred
oak barrel in which it is stored.
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 Whiskies

• Many whiskies are aged only 3 to 5

years, with some as long as 12 to 15
years.
• To achieve a quality and distinctive
taste, whiskies are blended according
to the “secret recipe” of the distillery.

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 Scotch Whisky

• Scotch Whisky is also referred to as

“Scotch.”
• It became popular in the U.S. during
Prohibition (1919 to 1933), when it was
smuggled into the country via Canada.

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 Scotch Whisky

• It is produced like other whiskies,

except that the malt is dried in special
kilns that give it a smoky (peaty)
flavor.

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 Irish Whiskey

• Irish Whiskey is produced from malted

barley, unmalted barley, corn, rye, and
other grains.
• This whiskey is milder than Scotch.

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 Bourbon Whiskey

• Bourbon whiskey is produced mainly

from corn.
• Charred barrels provide bourbon with
its distinctive taste.
• Bourbon can only be made in the
United States.

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 Canadian Whisky

• Canadian Whisky is made mainly from

corn and is mostly blended.
• It must be at least 4 years old before it
can be bottled and marketed.
• It is characterized by a delicate flavor
that pleases the palate.

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 White Spirits

• Gin, vodka, rum, and tequila are the

most common types of white spirits.
• Gin’s primary flavor is from juniper
berries.
• It was widely produced in the United
States during Prohibition and forms the
base of many cocktails.
• Rum can be light or dark in color.

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 White Spirits

• It is distilled from the fermented juice

of sugarcane (light rum) or molasses
(dark rum).
• It comes primarily from the Caribbean
Islands of Barbados, Puerto Rico, and
Jamaica.
• Tequila is distilled from the agave
tequilana (a cactus).

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 White Spirits

• Mexican regulations require that tequila

be made in the area around the town of
Tequila, in Jalisco.
• Tequila may be white, silver, or gold in
color.

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 White Spirits

• Vodka can be made from many sources

including barley, corn, wheat, rye, or
potatoes.
• It lacks color, odor, and flavor and is
usually mixed with juices or other
mixes.

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 Other Spirits

• Brandy is distilled from wine.

• Cognac is considered to be the best
brandy in the world.
• It is made only in the Cognac region in
France.

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 Cocktails

• Cocktails were first developed in

England in the Victorian Era and
became popular during the 1920s and
1930s.
• Cocktails are intended to stimulate the
appetite or provide the perfect ending
to a meal.

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 Cocktails

• Cocktails are usually drinks made by

mixing two or more ingredients (wines,
liquors, and/or fruit juices).

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 Nonalcoholic Beverages

• Nonalcoholic beverages have increased

in popularity.
• Lifestyles have become more healthful,
and organizations like MADD (Mothers
Against Drunk Driving) have raised
awareness.

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 Nonalcoholic Beverages

• Guinness, Anheuser-Busch, and Miller,

along with many other brewers, have
developed beer products that have the
same appearance as regular beer, but
have lower calorie content and 95% to
99% alcohol removed.

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 Coffee

• Sales of specialty coffees exceed $4

billion with more than 17,400 coffee
houses nationwide.
• Coffee originally came from Ethiopia
and what is now the Yemen Republic.
• Eventually coffee became the social
beverage of Europe’s middle and upper
classes.

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 Coffee

• Brazil produces more than 30% of the

world’s coffee.
• Most people prefer medium roasts,
which are generally considered to be all
purpose.
• Specialty stores prefer full, high, or
Vienna roast.

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 Coffee

• Dark roasts have a rich flavor.

Espresso is the darkest of all roasts.
• Decaffeinated coffee has had the
caffeine removed by either water or
solvents.

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 Tea

• Steeping the leaves of the tea plant in

boiling water makes tea.
• It is consumed hot or cold and is
second to coffee in terms of commercial
importance.

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 Tea

• Tea leaves have more than twice the

caffeine of coffee beans.
• Popular types of tea are Oolong,
Darjeeling, Dooars, Orange Pekoe,
Sumatra, and Java.

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 Carbonated Soft Drinks and
Energy Drinks
• Coca-Cola and Pepsi are the dominant
brands in the soft drink market.
• In the early 1970s, diet colas were
introduced and soon took command of
10% of the market.

continued on next slide

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Introduction to Hospitality
ICD-10-CM/PCS Coding: A Management,
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 Carbonated Soft Drinks and
Energy Drinks
• Energy drinks are beverages that are
designed to give the consumer a burst
of energy by using a combination of
caffeine, B vitamins, and herbal
ingredients.

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Introduction to Hospitality
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 Juices

• Juice bars are a relatively new

development, specializing in quick,
healthful drinks.
• Some offer “smart drinks” that are
supposed to boost energy and
concentration.

continued on next slide

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Introduction to Hospitality
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 Juices

• Sports enthusiasts also find drinks that

professional athletes use and advertise
available in stores.
• These specially formulated isotonic
beverages are intended to help the
body regain the vital fluids and
minerals that are lost during heavy
physical exertion.

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Introduction to Hospitality
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 Bottled Water

• Bottled water was popular in Europe

when water was not safe to drink.
• It has gained popularity in the United
States and other developing countries.

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Introduction to Hospitality
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 Bar Setup

• The physical setup of a bar is critical to

its overall success.
• The area must be designed to be
pleasing to the customer as well as
efficient and smooth in operation.

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Introduction to Hospitality
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 Inventory Control

• A program of inventory control

accomplishes the following:
safeguarding the company’s assets,
providing reliable accounting records,
promoting operational efficiency, and
adhering to company policies.
• Training is an important element in
implementing inventory control.

continued on next slide

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John R. Walker
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 Inventory Control

• Theft may occur in many ways:

– Giving away drinks
– Over-pouring
– Mischarging for drinks, and
– Stealing of drinks by employees.
• A good control process will have
systems to detect these problems.

continued on next slide

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 Inventory Control

• All inventory control systems require an

actual physical count of the existing
inventory, which may be done on a
weekly or monthly basis, depending on
the needs of management.
• This physical count is based on units.

continued on next slide

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 Inventory Control

• For liquor and wine, the unit is a bottle,

either 0.750 or 1.0 liter; for bottled
beer, the unit is a case of twenty-four
bottles; for draft beer, the unit is one
keg.

continued on next slide

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Introduction to Hospitality
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 Inventory Control

• The results of the most current physical

count are then compared to the prior
period’s physical count to determine
the actual amount of beverage
inventory consumed during the period.

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Beverage Management Technology

• Technology for beverage management

has improved with products from
companies such as Scannabar
(www.scannabar.com), which offer
beverage operators a system that
accounts for every ounce, with daily,
weekly, or monthly results.

continued on next slide

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Beverage Management Technology

• The ongoing real-time inventory allows

viewing results at any time and place,
with tamper-proof reliability, interfaced
with major point-of-sale (POS)
systems.

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Introduction to Hospitality
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 Personnel Procedures

• A key component of internal control is

having procedures in place for
screening and hiring bar personnel.
• Bar managers must implement several
other procedures to control inventory
and reduce the likelihood of employee
theft.

continued on next slide

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 Personnel Procedures

• “Spotters” is one method often used by

managers.
• “Spotters” are hired to act like normal
bar customers, but are actually
observing the bartender. Another
method is a “bank switch” in the middle
of a shift.

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 Restaurant and Hotel Bars

• The bar in restaurants is often used as

a holding area to manage the flow of
guests into the dining room.
• This prevents the kitchen from getting
backed up with too many orders at one
time and can generate substantial
profits.
• Beverages generally account for 25%
to 30% of total sales of the restaurant.
continued on next slide
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 Restaurant and Hotel Bars

• Bars carry a range of each spirit.

• The well package is the least expensive
pouring brand used at the bar.
• The call package is the group of spirits
that the bar offers to guests who ask
for a particular brand name and these
spirits are more expensive.
• The total sales mix should provide a
pour cost of 16% to 20%.
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 Nightclubs

• Several types of night clubs offer one

type of music, while others offer
several different types of music.
• Night clubs charge an entrance fee and
a higher fee for drinks than
restaurants.

continued on next slide

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 Nightclubs

• The nightclub business tends to

fluctuate with trends.
• What is in this year may be out next
year.

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 Brewpubs and Microbreweries

• Microbreweries brew their own beer on-

site to meet the tastes of local
customers.
• These craft breweries produce up to
15,000 barrels of beer a year.

continued on next slide

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 Brewpubs and Microbreweries

• One reason for their success is the wide

variety of styles and flavors of beer
they produce.
• Microbreweries can produce a wide
variety of ales, lagers, and other beers,
the quality of which depends largely on
the quality of the raw materials and the
skill of the brewer.

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Introduction to Hospitality
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 Sports Bars

• Sports bars have always been popular

and have become more so in recent
years.
• Satellite television coverage of top
sports events has helped to draw large
numbers of guests.

continued on next slide

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 Sports Bars

• Today’s sports bars are attracting a

much more diverse clientele.
• Now, more women and families are
frequenting these venues, which
provide a new prospect for revenue for
bar owners.

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 Coffee Shops

• Coffeehouses were originally based on

the Italian bars, which were deeply
rooted in the Italian espresso tradition.
• This concept was recreated in the
United States.
• The original concept, however, was
modified to include a wider variety of
beverages and styles of coffee to meet
customers’ tastes.
continued on next slide
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 Coffee Shops

• Cyber or wireless cafes, a new

coffeehouse trend, offer the use of
computers, with Internet capabilities,
for about $6 an hour.

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 Liquor Liability and the Law

• Owners, managers, bartenders, and

servers may be liable under the law if
they serve alcohol to minors and/or to
people who are intoxicated.
• Dram Shop Laws govern the sale of
alcoholic beverages.

continued on next slide

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 Liquor Liability and the Law

• These laws were enacted in the 1850s

and specify that owners and operators
of drinking establishments are liable for
injuries caused by intoxicated
customers.
• Other prevention programs include
“designated drivers” who drink non-
alcoholic beverages to make sure that
their friends get home safely.

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Introduction to Hospitality
ICD-10-CM/PCS Coding: A Management,
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Trends in the Beverage Industry

• Some trends include the comeback of

cocktails, designer bottled water,
microbreweries, more wine consumption,
an increase in coffeehouses and coffee
intake, and increased awareness and
action to avoid irresponsible alcoholic
beverage consumption, an increase in
beverages to attract more female
participation, and an increase in the
number and variety of “energy drinks.”
Copyright © 2017, 2013, 2009
Introduction to Hospitality
ICD-10-CM/PCS Coding: A Management,
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Fifth Edition
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John R. Walker
M. Papazian-Boyce
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