http://www.creditloan.com/blog/2010/11/15/airline-tickets-the-cost-of-first-class/
A glass of wine costs the airline eight dollars? Hmmm....
It just might. You can bet that a business analyst for dining and cabin has run the numbers and knows just how much each glass sold costs. A lot can go into getting that glass of wine into the hands of a passenger.
1. Wineries manufacture and bottle the product for sale (heavily regulated industry)
2. Distributors buy from the wineries and provide transportation and warehousing services for a fee (heavily regulated industry); liquids in glass containers are very expensive to transport
3. Taxes and fees may be required to transport alcohol from state to state (more regulations)
4. The airline has to apply for and maintain a liquor license depending on various federal and state regulations
4. A complex distribution network is required to on-board the bottle at the station
5. Inventory control and specific handling procedures are required for anyone who may touch the product from distribution to it's final stop in a beverage cart
6. Glasses, napkins, trash bags and sometimes corkscrews must be available for the FA to properly serve the glass of wine
7. FA training on proper procedures for serving, inventorying and accounting for glasses/bottles of wine served is required
8. Waste (half full bottle that gets dumped) and pilferage of inventory also adds to the cost of each glass of wine
9. Taxes must be included in the price of a glass of wine and because of each state wanting a share of the customer's money, it matters if the glass is served on the ground or in the air.
10. Reports on the sale and service of the glass of wine must be handed off to people in accounts receivable for the proper recording of the transactions
11. Tax accounting must calculate the amount owed to each taxing entity and prepare tax returns as required. The costs/risks of being audited by any one of those agencies must also be added in to the total cost of the glass
12. Liability insurance must be maintained to cover any claims that may arise out of the company engaging in the sale of alcohol
13. People in dining ad cabin services as well as purchasing must evaluate product and ensure that each bottle of wine selected meets with the expectations and standards set by the airline and that the wineries, distributors , and kitchen service personnel have the right product available for each flight
14. Accounts payable must process and pay distributor invoices for product delivered
15. Waste disposal services must be made available to haul away all of the empty bottles, glasses and napkins that are generated from the sale of wine on the airplane.
17. Each one of the process and systems requires enterprise-level (expensive) software and server hardware (expensive) in order for the whole process to work properly. That requires IT support personnel, data backup and recovery systems and a data infrastructure network to provide access for every one of those functions across a broad and complex airline route system.
There may be more than that, but you get the idea. It's not like driving to the grocery store and picking up a $15 bottle of wine for you and your three friends to have a glass from.
