Restaurants going greener to save costs and attract customers, new study finds

Restaurants

Restaurant organizations of all sizes are hungry for greater efficiency in their operations, the survey found.

From Green Right Now Reports

Sustainability practices that minimize the impact of restaurant operations on the environment appear to be gaining momentum as the foodservice industry finds ways to measure the return on its investment in green systems and technologies, according the results of a new benchmark survey from RSR Research.

The study, “The Better-Run Restaurant: Environmental Sustainability in Restaurant Retail 2010,” finds restaurant organizations of all sizes hungry for greater efficiency in their operations, particularly those solutions which cut energy costs, reduce wasteful packaging, and can be leveraged to “tell a green story” to diners. While the industry is still struggling to correlate top line revenue with green investments, it does recognize the bottom line benefits of cost savings from energy and waste management.

Notably, 58 percent of respondents said sustainability is a strategic initiative in multiple departments of their companies, and 54 percent said they expect a return on their investments in sustainable technologies or practices within three years.

The findings are based on a survey of 124 restaurant retailers conducted in late 2009. The report was produced in partnership with Nation’s Restaurant News.

“There are three reasons for restaurants to enact environmentally sustainable practices, according to our report: to save cost, to reduce waste, and to build a greener brand,” Steve Rowen, managing partner at RSR and co-author of the report, said in a statement. “In fact, the best performing restaurateurs believe green-minded consumers care enough about a brand’s environmental positioning to factor it into ‘where to dine’ decisions. As momentum builds, this creates a genuine opportunity to gain new business.”

Among the report’s more significant findings: a majority of respondents said they have either already incorporated green initiatives and technologies at their business or have them budgeted for 2010. These sustainable practices for 2010 include:

  • 79% recycle raw materials
  • 68% regulate energy use in their stores or facilities
  • 67% promote eco-friendly items or ingredients in-store
  • 65% reduce take-out/send-home waste
  • 64% feature green processes such as ethically sourced products
  • 60% incorporate green construction practices into new facilities and stores

When asked where they thought their biggest cost-cutting opportunities lay, respondents cited the kitchen, food preparation and packaging as offering the best-case scenarios. In fact, the larger the operation, the greater the cost-cutting opportunity perceived. Approximately 50 percent of those operating 100 restaurants or more cited this area as having the most potential, versus about one-third of smaller operators. Among those operating three to 10 restaurants, the opportunity to reduce transportation and delivery costs was ranked as most important.