Statistics show that the stakes are high for the hospitality industry when it comes to embracing sustainability.
Studies show that customers are turning away from environmentally unfriendly brands and are choosing environmentally sustainable businesses instead.
73% of consumers say they would definitely change their consumption habits to reduce their environment impact.
81% of global respondents feel strongly that companies should help improve the environment.
If your venue isn’t helping your consumers improve their environmental and social footprint, then you’re in danger of disappointing 88% of them.
- When making a purchase, 68% of respondents said sustainability was important to them.
- 83% of consumers believe it’s important or extremely important for companies to design products that are meant to be reused or recycled.
BUSINESS PRICING POWER
Serving visibly environmentally friendly drinks will allow your business to charge higher prices that your customers are happy to pay.
Buyers want sustainable products; and over one-third will pay 25% more for them.
38% of consumers say they would pay higher-than-average prices for sustainable products as sustainability can represent premium indicators such as quality, superior function and uniqueness.
More than Half of Consumers Would Pay More for Sustainable Products Designed to Be Reused or Recycled.
60 percent of consumers are willing to pay extra for a socially or environmentally responsible products. On average, those consumers were willing to pay a 17.3 percent premium for these items.
NYU STERN Research
Customer retention is important because studies have shown that customers that return to a brand will spend 67% more than new customers, and attracting new customers costs a business 5 to 10 times more than selling to a current customer.
Customers are more likely to return to a bar or restaurant that has a high quality, environmentally sustainable offering.
The second highest reason consumers return to a brand is its sustainable/ethical business practices.
An analysis of purchasing data on sales of over 71,000 products found that sales of sustainability-marketed goods grew 5.6 times faster than other products from 2013-2018. Sustainability is where the growth in customer demand is, and it is the key to retaining loyal customers.
NYU CSB Research
Environmentally unfriendly choices will repel potential customers, compel customers to spend less and discourage customer loyalty so it is imperative that venues get this right.
Using disposable straws is damaging your business' reputation and losing you sales because straws have become the visible indication of a venue's sustainable and social consciousness.
Bar and restaurant customers notice the venue's straw choice and the data shows that this impacts both how much they spend and if they are inclined to ever return.
So, which plastic straw alternative will get you the most environmental credibility in the eyes of your customers? Read our analysis here.
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