Wagyu, A5 and Kobe, explained
These three words appear on menus at three very different prices, and they do not mean the same thing. Here is the short version, before you order.
What is wagyu?
Wagyu simply means Japanese cattle. Four breeds qualify, and the famous one — Japanese Black — stores fat inside the muscle rather than around it. That is why a wagyu steak looks almost pink with fine white webbing instead of having a fat rim. That fat melts at a lower temperature than ordinary beef fat, which is where the buttery texture comes from.
What does A5 mean?
Japanese beef gets a letter and a number. The letter (A, B or C) is about how much usable meat the carcass yields. The number, 1 to 5, scores marbling, colour, firmness and the quality of the fat. A5 is the top of both scales. It is spectacular, and it is also very rich — most people are happy with a small portion.
Is Kobe beef just wagyu?
Kobe is a protected regional name, like Champagne. It has to be Tajima-strain cattle raised and processed in Hyogo prefecture in Japan and hit strict grading marks. Genuine Kobe is rare outside Japan, so a moderately priced "Kobe burger" is almost never Kobe.
What about American or Australian wagyu?
These are usually wagyu cattle crossed with Angus. You get noticeably more marbling than standard beef and a fuller, beefier flavour than Japanese wagyu, at a fraction of the price. For most people ordering a full-sized steak, this is the sweet spot.
Is it worth it?
If you love rich, fatty steak, yes — once. If you want a steak you can finish, a well-marbled ribeye gets you most of the way there. If you dislike visible fat, wagyu is the wrong direction entirely and a filet mignon will make you happier.