When your costs go up, you have just two choices — reduce your spending or raise your prices. Most restaurant owners are raising prices. Revenue Management Solutions found that full-service prices shot up 9% year-over-year between August 2021 and August 2022.
Customers have noticed. As a result, about 45% of diners say they’re eating out less, and when they do, they choose lower-cost restaurants and meal options. When restaurant prices increase by 10% or more, customers generally elect to eat elsewhere.
Price increases are becoming a problem for restaurant owners. Food and labor prices are going to keep going up, though, and owners can do little about that. Rising utility costs are another reason restaurants are raising prices, and that’s something owners can change.
Utility bill reduction is important for any restaurant. Tracking your restaurant’s utility costs and usage is the first step to understanding where you can reduce costs.
In fact, monitoring is the starting point for the type of big savings we can help you achieve.
Benefits of Tracking Restaurant Utility Bills
Tracking utility costs are necessary to establish a baseline that assists in forecasting and determining where you can make cost-cutting changes. Utility use is a controllable internal expense.
However, that’s only true if you thoroughly understand your usage. Trying to cut utility use costs without monitoring those costs is akin to flying blind.
Proper monitoring means understanding things such as when restaurant appliances are drawing unnecessary energy and what times of the year your bills are the highest. Seeing the energy use of each appliance will help you determine when it’s cost-effective to upgrade those appliances.
Specific Examples of Utility Cost Monitoring Benefits
Ask yourself: Are your heating and cooling costs high compared to similarly sized restaurants in your area? Does your walk-in freezer have a faulty door gasket or a dirty evaporator? Are you paying too much in water heating costs? Perhaps you need better piping insulation or a water heater flush. Is your water use over-the-top?
As stated by the EPA, “…water-efficient practices in commercial facilities can decrease operating costs by approximately 11 percent.” The importance of understanding exactly how much and where your water use is coming from is thus made clear.
These examples represent a small portion of the cost-cutting changes that emerge from utility bill monitoring.
GWT2Energy Makes Utility Monitoring Easy
We know restaurant owners and managers don’t often have an abundance of time to reap the rewards of precise utility use tracking. Fortunately, we’re here to help monitor your use in ways that help you reduce those costs.
Our reporting system will identify any energy use outliers so we can get to the bottom of the problem and then solve the problem. We help restaurants achieve up to 25 percent energy savings, and demand-side savings on utility bills start with proper monitoring.
We assist you in monitoring your restaurant’s utility costs and usage with our Energy Management System that is tailored to your restaurant(s). GWT2Energy takes restaurant energy conservation seriously. After all, it is our business.
Contact us to learn more about how we may partner with your restaurant(s) to get real utility cost savings.