This section is under construction. Check back soon for detailed and comprehensive up-to-date information.
Be sure to maximize the profit potential of the beef category.
The most effective way to realize profit potential is to perform a cutting test on each primal or sub primal cut specification being using. A cutting test can also be used to determine which level of merchandising within a primal will return the highest possible profit margin.
Cutting tests deal only with the arithmetic of cutting a primal based on its cost per kg/lb and selling price per kg/lb. Various trim specifications of the same primal will yield varying results, so the cost price per kg/lb may be deceiving.
Example:
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Pre-trimmed top sirloin butts will have a higher cost per kg/lb than untrimmed top sirloin butts, however they will yield more saleable meat. Therefore, the actual cost may not be more expensive at all due to the reduced labour cost and trim loss.
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A cutting test will also help you determine what wholesale format best suits your business (rail vs. block ready boxed beef or case ready product).
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