Article

The case for sustainability: 4 considerations for restaurants

All too often businesses, including restaurants, take an incomplete view of what sustainability entails and the investment necessary to generate a strong ROI. Restaurant owners and operators are increasingly looking at sustainability as a value proposition – and rightfully so.

July 4, 2016

By Ian Lifshitz, Sustainability Director for the Americas, Asia Pulp & Paper Group (APP)

All too often businesses, including restaurants, take an incomplete view of what sustainability entails and the investment necessary to generate a strong ROI. Restaurant owners and operators are increasingly looking at sustainability as a value proposition – and rightfully so.  As part of their desire to better differentiate themselves in a crowded and competitive market, restaurants feature "farm to table," "locally sourced," and "organic" food options to appeal to progressive, health-conscious customers.   

Yet many restaurant operators are limiting their sustainability efforts to these food specific efforts. To truly enhance and strengthen a sustainability value proposition, a holistic view must be taken. From lighting, packaging and napkins, to water consumption and transportation practices, there are many factors at play.

A common misconception is that investment in sustainable operations comes with a substantial cost.  While it does require an initial investment, sustainability can be a strong profit driver. 

Consumers are becoming more conscious and educated about sustainability and are demanding more.  According to a recent APP survey, 71 percent of respondents say their purchasing decisions are influenced by a brand's sustainable attributes. In addition, 42 percent are willing to pay more for earth-friendly/ deforestation- free products and services.

4  considerations

How do owners and operators take a more comprehensive view of sustainability and turn it into a real profit driver and point of differentiation? Owners and operators should take the following into consideration:

1.      Complexity kills: Present your sustainability philosophy in a manner that is easily understandable. Don’t use technical jargon that focuses exclusively on metrics, but rather help your customers connect the dots relative to how your restaurant's initiatives positively benefit them and the environment.

2.      Promote: There is no point in having a sustainability policy if nobody knows it. Find opportunities to showcase your commitments on menus, signs, through social media and other marketing channels.

3.      Don't break promises: Make it realistic and ensure all your policies are obtainable. Do not promise specific types of packaging or take-out materials if it can't keep heat, hold up to potential grease or maintain its structural integrity under different conditions.

4.      Make it measurable: Do not fixate on demonstrating your success with esoteric metrics that nobody understands. Make your success known by communicating it in terms that individuals can comprehend – e.g., these sustainable napkins help to save XX number of trees.

Taking a holistic view of sustainability is no longer just a "nice to have." Today, it should be an essential aspect of the way you do business and can provide long-term dividends relative to market differentiation, reputation and overall financial performance.