S U S T A I N A B I L I T Y
10
Winter 2014 Issue
A 2014 National Restaurant Association
(NRA) report on sustainability revealed
this good news: Operator interest in
creating green and sustainable sourcing
and production practices within their
businesses is growing in America’s
990,000 restaurants.
Yet while awareness is there, the industry
has a way to go toward implementing
serious recycling and resource conservation
strategies, or purchasing and installing
energy-saving equipment. In non-scientific
terms, some do and some don’t, and
numbers on who’s-doing-what can vary
greatly within restaurant segments.
Doubtless the hyper-competitive market
and ever-increasing margin pressures
have operators hesitant to spend money
on non-essential purchases such as
tankless water heaters or compostable
food packaging. They know that even
without Energy Star-rated appliances and
roof-mounted solar panels, the business
of serving customers continues apace and
the bottom line stays black.
Overall, industry observers believe this
glacial shift toward green thinking will
accelerate over time as younger and more
environmentally conscious operators take
over. And perhaps more importantly,
customers are demonstrating a preference
for sustainably minded operations by
patronizing them—even when it costs
them a little more for their meals.
The industry’s brightest example is Chipotle
Mexican Grill, a chain whose crusade to
find sustainably raised proteins has raised
its food prices well above its competitors’.
Yet its comparable-store sales have grown
at blistering double-digit rates for years.
(As of December 2014, the burrito chain’s
stock remained the industry’s priciest
at $650 per share.) Chipotle’s fans are
sold on its sustainability message, which
extends even to the dining room, where
customers sit at arguably austere benches
and tables illuminated by LED bulbs. But,
of course, they like Chipotle’s food, so they
return in droves.
The best news for all restaurant operators
is that thinking and acting sustainably is
an increasingly big deal to a lot of people
whether they’re employees, owners or
customers. Applying those actions to real
world changes is another matter—a gradual
one, in all likelihood. Some are doing it,
however, and here’s what the NRA discovered
those operators have accomplished.
In January 2014, the NRA polled 1,000
quickservice and fine dining operators
about their energy conservation efforts, be it
through recycling, the purchase of energy- or
water-saving equipment and other directives:
• Only one-third of operators in both segments
are using tankless water heaters, while
48 percent are using low-flow toilets and
waterless urinals. Only 23 percent are using
motion-activated faucets and toilets.
• A mere 29 percent are using faucet aerators.
• A solid 61 percent are using products made
from recycled materials, while only 40 percent
are using compostable products.
• Just 37 percent are using Energy Star
rated appliances.
• More than half are using programmable
thermostats and 63 percent are
using compact florescent lighting.
• Surprisingly, only 39 percent recycle
glass and cans, though 66 percent
recycle paper and cardboard.
• Not surprisingly, 74 percent recycle used fryer oil.
• Perhaps the most impressive number is 75
percent of operators surveyed track food waste
regularly. From within that waste, 22 percent
find ways to donate to food banks.
• And while it may sound small, it’s inspiring
to note that 17 percent of operators surveyed
compost their food waste.
To view the full report,
visi
Additional NRA research revealed some
interesting facts about consumer interest in
restaurant sustainability. In the Association’s
2013 and 2014 Restaurant Industry
Forecast, along with its 2013 National
Household Survey, researchers found that:
• Fifty-five percent of consumers say it’s
likely they’ll choose a restaurant that offers
menu items grown or raised in an organic or
environmentally friendly way.
• Fifty-eight percent of consumers choose
restaurants based on eco-friendly practices.
• The research also revealed that a majority of
restaurateurs in all segments believe guests
are increasingly interested in environmentally
sustainable menu items.
Additionally, the NRA found that green
practices are particularly appealing to
Millennials, a demographic containing 77
million 18–34 year olds who spend $600
billion in the U.S. each year. Much of that
spending is done in restaurants, where
Millennials do much of their socializing.
The research found that:
• Forty-three percent of Millennials feel that
organic or environmentally friendly food is an
important factor in their restaurant decisions.
• Fifty-nine percent said a restaurant using eco-
friendly practices is likely to earn their loyalty.
• Sixty-seven percent said they are more likely to
visit a restaurant that offers locally produced
food items.
In theNRA’s2014Spotlight onSustainability
report, Hudson Riehle, its senior vice
president of research and knowledge, put it
this way regarding Millennials: “The research
is pretty clear. If an operator communicates
what he or she is doing—whether it’s using
recyclable materials or planting gardens
or something else—it can have a positive
retention factor.”
Apanel discussion featured in the Spotlight
concluded that when any sustainability
efforts underway in your restaurant are
communicated to guests, operators have
a greater chance of retaining customers.
So start that dialogue and share your
sustainability goals with them.
Picture this:
To view the report and see its multiple
graphic illustrations visit
Get them engaged:
To solicit help in your
conservation program, make your employees part of
the effort using these tips.
By Steve Coomes
Contributing Writer
NRA FACTS:
Why Green is Good for Making Green