Operations

KFC, Taco Bell franchisee deploys energy-savings platform to offset shrinking margins

Provided

June 10, 2021

By rolling out an energy-as-a-service model, Outlaw Enterprises, a Yum franchisee based in South Carolina, has reduced lighting costs and improved HVAC and refrigeration efficiency across its 13 KFC, Taco Bell and combination KFC/Taco Bell franchise restaurants.

"The (old) lighting and cooling equipment met our needs but it was not operating as efficiently as I wanted," Ashley Page, director of Operations of Outlaw Enterprises, said in a company press release. "Replacing the equipment with newer technology all at once was not an option due to high costs."

Page found his ideal solution with Budderfly's energy-as-a-service model and began a pilot program in May 2020 with four KFCs and one KFC/Taco Bell location. It included:

• Converting all exterior, interior and parking lot lighting to lower-power LEDs.
• Adding advanced walk-in refrigeration controls for improved visibility and efficiency.
• Installing variable frequency drives and react chips to improve HVAC operation.
• Installing smart thermostats to better regulate temperatures.
• Adding sub-metering IoT devices for advanced measurement and monitoring capabilities

"Other energy efficiency companies approached us in the past," Page said. "They identified our energy problems and asked us to pay for all of the technology cost upfront — with no guarantees it would save us what they quoted. To have Budderfly assume all the upgrade costs, keep their quoted promises, and immediately show cost-saving results was a very refreshing change to what I've seen from others..

Since the pilot program, Outlaw Enterprises has expanded its Budderfly relationship to include all remaining locations in the company's franchise, converting all restaurants to LED lighting and upgrading many HVAC units to match those enhancements in the pilot program. Budderfly will upgrade the remaining HVAC units at the end of their useful life with high-efficiency units at no additional cost, the release said.

"Many QSRs are struggling with rising costs due to increasing ingredient prices and supply chain issues," Al Subbloie, CEO of Budderfly said in the release. "Budderfly's ability to assume all physical upgrade costs and recoup investments over time via a percentage of the monthly energy savings, allows our customers to instantly reduce operational costs helping to offset escalating prices in other areas."