Sustainability exists in a world where the horizon is always receding. It is a continuüm, not a recipe. But the idealism associated with sustainable practices does not make it unquantifiable. And those who practice sustainability have demonstrated that it is a sound business model.
So why isn’t every shop sustainable?
It’s perceived as costly and inconvenient. Many significant changes are not easily apparent to customers who then don’t appreciate or reward the effort. Confronted with overwhelming options many shop owners often decide to take no action. CoffeeTalk dispels these objections in this series and outlines the first steps toward a sustainable shop.
“It’s all about the little ways to be more sustainable,” says Bret “Buzz” Chandler, President of Asean Corp. in Portland, Ore., makers of StalkMarket Earth Friendly Products. “I can tell you that those who make it part of their business plan find that sustainable practices pay back over and over,” says Chandler. “The switch to green, even though it requires additional effort, becomes so popular that your own employees won’t let you switch back,” he says. Chandler identified three “first steps” discussed at length below. None require large capital investment or constructing a LEED Platinum certified building from scratch.
Reduce & Recycle Expendables
Bottom Line: A shop using five cases (5,000) hot cups can expect to pay about $95 a case. Switching to compostable paper hot cups will cost $105, a premium of 10 percent at most. Research by the Natural Marketing Institute has consistently shown customers are willing to pay up to 20 percent for products offered by firms that embrace sustainability.
“The first step is to hand them a cup,” says Wendell Simonson, Marketing Director for Boulder, Colo.-based Eco-Products. “The product that you put in people’s hand is a visible testament to the commitment of the shop’s owners. That is the foot in the door, the point of entry to sustainable practices,” he says. The price differential for sustainable products is not as great as you might think, he says. A 1000 cup case of 12 ounce conventional paper hot drink cups sells for $99.50. The same compostable cup runs $105.45, a difference of about $6.
Simonson points out that cups offer a terrific opportunity to mention that commitment. “There is a lot of room to drive home a message to the customer,” says Simonson. But, he cautions, once the decision is made “it’s a mixed message if you don’t follow through with your entire inventory of expendables. Investing in compostable green hot cups and Styrofoam take-out containers is not going to work.”
Kurt Anderson is Vice President of Sales at Repurpose Compostables located in Los Angeles. His contribution to sustainability is a plant-based plastic from renewable resources that emits fewer green house gases and composts in 90 days. Anderson dispels the notion that sustainable hot cups are inferior.
“No condensation, no sleeve, these cups are available in multiple colors, the lid makes a good seal and it’s good to 200-degrees,” says Anderson. The cost? Repurpose sells 12 oz. hot cups for 9– to 11-cents, in quantity.
Tom Martin, Executive Vice President and COO at Pod Pack International, Ltd. says that high-volume coffee vendors, fast food and convenience outlets can make a big contribution to sustainability because of their market presence. The Baton Rouge, La.-based manufacturer praises the fast growth of single-serve coffee machines as a big improvement over a glass pot in delivering a fresh cup of coffee. “Pod machines don’t require a hot plate or burner and the paper we use is compostable, takes up less space and disappears in the landfill,” says Martin.
Outside the Box Packaging President Ron Hill remains a corrugated cardboard fan. The Toledo, Ohio-based firm manufactures the Barista Box, a to-go container that is 80 percent compostable. A metalized polyester bag inside each box is easily removed. “Every landfill accepts corrugated paper and there is a well-established aftermarket for recycling cardboard,” he says. It’s a commodity that brings $150 to $160 a ton,” says Hill.
Conserve Energy & Resources
Bottom Line: A small retail business paying approximately $24,000 per year in energy costs, with a few efficiency upgrades and by changing some operations can reduce consumption by up to 30 percent. That’s almost $7,200 in energy savings year after year.
Digital makes all the difference, says Kevin Curtis, Executive Vice President at Wilbur Curtis Co. The Montebello, Calif.-based firm manufactures a broad selection of brewers, boilers and beverage equipment. “The first consideration is good quality digital equipment. Over time a sleep mode alone will save significant energy but it also cuts down maintenance expense and reduces scaling,” says Curtis. “Our equipment sleeps at 140 degrees at night but reaches serving temperature in 10 minutes. Digital technology also keeps you from overshooting temperatures,” he says. “To consistently get 200-degree water you used to have to shoot for 204 degrees which wastes energy and speeds up lime build up on heating elements and thermostats,” he says. As a result heating coils are less efficient and temperature readings were never precise. Curtis says brewing equipment with IntelliFresh technology and 1.5 gallon satellite containers use precisely controlled heating blankets to extend the serving period up to three hours without damaging the flavor. “The secret is to never vary the temperature,” says Curtis. “When the coffee inside is no longer optimum a blinking light tells you to throw it out.”
Conservation is an important and often overlooked aspect of sustainable operations. Increasing the shelf life of coffee by even a few days adds greatly to the profitability of private label coffee. Brooklyn Park, Minn.-based MOCON, maker of packaging industry instrumentation, booked record sales last year helping roasters extend the shelf life of fresh products by testing all aspects of the process from selecting the correct barrier, through modified atmosphere packaging to reducing headspace, leak and seal testing. “As you become more successful and your distribution increases, so does the time from roasting to consumption. If all of the coffee you roast will be consumed with a two week period. It’s unlikely that you need be concerned with extending shelf life,” MOCON advises. “However, in this competitive world where there is a coffee shop on every corner, can you afford to sell coffee that is not at its peak freshness?”
Here is a checklist of energy savers:
n Examine Your Equipment
Examine your brewing, espresso and refrigeration equipment as well as the facility’s water heater for washrooms and cleanup. Determine which equipment can be disconnected at certain times. Check that your equipment is energy rated. If older than 5 to 10 years, there is more efficient equipment on the market. Replacements typically have a very short payback. Installing humidity control systems in refrigerators lets you reduce temperatures by 2 to 4 degrees.
n Look at Your Lights
Replace your exit lights with upgraded energy efficient models. Replace T12 fluorescents and magnetic ballasts with T8 lamps and electronic ballasts and reduce energy use by 40 percent. If you use decorative lights for holidays, consider replacing them with LED lights that can result in an 85 percent reduction in energy costs. Replace any Exit signs with LED models.
n Turn Up the Thermostat
Implement a dress code for warm weather that encourages employees to dress comfortably for warmer temperatures and set the thermostat in your workspace 78 degrees during work hours. Raise it to 82 degrees when unoccupied. The energy savings are significant. Raising the thermostat a single degree can save 2 percent of your air conditioning costs. In winter, set the thermostat to 68 degrees during working hours and 62 degrees at night.
n Energy Efficient Ceiling Fans
Install an energy efficient attic fan or evaporative cooler. Attic fans or evaporative coolers help reduce or replace air conditioner use. Energy efficient ceiling fans create air movement that can cool a room by up to 4 degrees. Close window blinds to shade your space from direct sunlight and install window film, solar screens or awnings on south and west facing windows.
n Regular Maintenance
Perform regular maintenance to keep heating, ventilation and air conditioning (HVAC) systems running more efficiently. Maintenance activities can save up to 30% of fan energy and up to 10% of space conditioning energy use.
n Talk with Your Landlord
If you lease your space to a tenant or if you are a tenant, talk with your landlord or tenant about energy efficiency. Working together and even sharing costs to improve energy efficiency also improves the value of their property and cuts electricity bills.
Market the Message
Bottom Line: A LOHAS Consumer Trends study in 2008 found 70 percent of U.S. residents support causes and two-thirds work to build a sense of community where they live. Eleven percent volunteer to clean up parks and trails and neighborhoods. Sixty-eight percent say that even in a recession they would remain faithful to a brand if it supports a good cause (Edelman PR) and four out of five people say they are still buying green products and services today, even in the midst of the recession (Green Seal and EnviroMedia Social Marketing)
Simonson, with Eco-Products, says sustainable products add to the value of a shop’s offering. “Sustainable lines enhance the product offering. Packaging adds value, he says. A cup of coffee or a grab-and-go salad is worth more to the customer. It has value in itself and it offers a meaningful competitive advantage compared to the coffee house down the street, it is enough to convert someone because customers in this culture understand that green packaging makes us think,” says Simonson.
Kevin Bardsley, the principal at Green Nature Marketing in Morrow, Ohio, says the key for the business owner after introducing sustainable products and practices is to educate end users. “I have seen time after time a business changes from a petroleum based coffee cup to a compostable cup, but they do not “toot” their own horn,” he says. Although it may represent a very few cents these investments in sustainability herald a significant marketing opportunity for business owners, says Bardsley. Explaining the shops commitment through table tents, posters, and cut sheets explain to customers the advantages of green products. “These are vital marketing tools that all business owners should use to educate their customers.”










