Consumer Trends

Making the business case for sustainability

Technomic consumer data reveals that the case for implementing more environmentally sustainable practices, while important, is not as black and white as it may seem.
Sustainable packaging
Making the business case for sustainability is not as clear cut as it may seem. | Photo: Shutterstock

A well-meaning restaurant chain revamps its to-go packaging or swaps out plastic straws in the name of doing good for the environment. 

Seems like those actions should be met with resounding applause by consumers, right?

But that is not always the case.

“There is a business case for sustainability efforts,” said Robert Byrne, senior director of consumer research and insights at Technomic. “There are also risks with going too far with sustainability.”

That doesn’t mean companies should forget about the environment—far from it. They just need to take a pause and be mindful before acting, according to the research. 

In surveying consumers, Technomic (the research arm owned by RB parent company Informa Connect), has found that sustainability is not a business driver in the way that craveability of food, order accuracy or overall cleanliness is, Byrne said. 

“A significant portion of the population doesn’t view sustainability as a worthwhile effort,” he said. “They’re more interested in the fundamentals … Sustainability has a place. But is it the type of thing that will change a consumer’s mind about the decision they make when they’re choosing a restaurant or choosing a convenience store? I’m not sure that it does.”

Smoothie chains, for instance, tend to get high marks from consumers for sustainability. But that’s also because they rank high up on the list of craveable concepts, with a menu that’s filled with fresh ingredients. 

“The value of sustainable, organic, natural ingredients, all these things, it’s much higher for [smoothie chains] because it’s a healthy snack or meal replacement that’s nutritionally dense,” Byrne said. “And we’re also talking about adding all of these ingredients on top of it that already have some health halo attached.”

Different demographic groups, too, have differing views around the importance of sustainability, Technomic has found. 

It’s worth noting the many ways a company can spread the message that it is following sustainable practices, whether that means paying staff fairly, using recyclable packaging, supporting community organizations, recycling oil and more. It’s not just about what’s on the menu. 

“What kind of mileage as a brand are we going to get if we talk about sustainability in terms of how we contribute to our communities in which we operate, how we treat our staff and our guests … how we have sustainability efforts going on in the back of house, all of those other things that we can do to show that we’re good community citizens,” he said. “From a sustainability standpoint, that’s probably something that’s going to resonate.”

But those caveats are more about a marketing message than actual practices. 

Brands need to be selective in their messaging, narrowing in on what their consumers are most interested in. If it’s value and convenience, for example, touting a cooking oil recycling program may muddy that overall messaging. 

“Do this for the right reasons, but be very selective about how much marketing effort you put behind it,” Byrne noted. 

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