The Greenest of the Green…Reusable Stainless Steel Kegs as the Sustainable Beer Packaging Choice
Customers are becoming more critical of businesses that aren’t taking sustainability seriously. Showing your customers that you care about their well-being — as well as the planet’s — has become an essential aspect of doing business. There is no question that the topic of sustainability has become a lot more than a buzzword. The more you look into its meaning and necessity, the more compelling it is to look for ways to be kinder to our planet — and the beer industry is no exception. But how, exactly, are we looking for ways to achieve it?
An American History in Sustainable Beer Packaging
Our founding fathers' forward-thinking methodology of serving beer dates back to 1620, when they came over on the Mayflower. Departing from England in search of the New World for more than two months, the passengers and crew weathered storms, sickness, and starvation without taking to land—until they ran out of beer.
Even then, the draft beer keg had its rightful place as the ideal “on-premise” package serving and sustaining the 100-plus passengers aboard the ship. The famous ale shipped to India was also delivered in kegs and only transferred to bottles for the civilian middle class; the troops drank their beer the same way they drank it back home – dispensed right from the keg.
When you consider this history, you realize the value of the draft beer keg then and now. Even today, the stainless steel draft beer keg remains at the forefront of function and sustainability—it still has no equal! It's reusable, refillable, recyclable, and efficient. Additionally, when properly maintained and poured, draft beer can produce up to 80% profit margins. Furthermore, the price per ounce is up to 45% less than that of canned or bottled beer.
How Stainless Steel Kegs Help Reduce the Beverage Industry’s Environmental Impact
Circularity
Circularity refers to where a product ends once it has served its purpose. When it comes to cans and bottles, while they can certainly be recycled, the reality is that most consumers simply throw them away when they’re done drinking their beverage. Data from the U.S. Environmental Protection Agency (EPA) shows the low recycling rates for some key beverage containers, including glass beer and soft drink bottles (39.6 percent), glass wine and liquor bottles (39.8 percent), and aluminum beer and soft drink cans (50.4 percent). These low percentages prove there is ample need for change.
Stainless steel kegs, however, are reused for decades, exponentially reducing the amount of waste that reaches landfills. The draft beer keg has a service life of over 30 years. When you do the math, the average keg can serve 165 (12 ounce) bottles/cans; and turns five times per year; that means that over the life of a keg, about 25,000 glasses will be served from a single keg! Now multiply that by the number of kegs in a brewery, in a city, in a state, in the country, and worldwide – there is no question that the environmental impact is massive.
In fact, Dan Vorlage, Executive Director of the Steel Keg Association, states that “Kegs presently remove about half of all single-use beer containers from the bar/restaurant waste stream each year. That’s approximately 6 billion containers.” Check out the Steel Keg Association and its beer and sustainability mission here.
Consequently, the industry reduces CO2 emissions and carbon footprint compared to single-use packaging because kegs require fewer production and transportation resources. Studies suggest a keg used over 20 times boasts a lower environmental impact than single-use containers. And once they’ve reached the end of their lifespan, the materials are used to create new kegs.
There is a bill that further addresses sustainability in the beer segment. Introduced by Representatives Darrin LaHood (R-IL) and Steve Horsford (D-NV), the Creating Hospitality Economic Enhancement for Restaurants and Servers or the CHEERS Act is a proposed bipartisan bill that will support local bar and restaurant establishments by incentivizing the expansion of tap lines and keg equipment on commercial premises. This also will extend accelerated tax benefits for qualifying investments into energy-efficient systems. This bill will not only help expand on technology but also provide additional sustainability options for businesses. Learn more about the CHEERS Act.
Efficiency and Profitability
Draft beer profits play a significant role in the overall profitability of every bar and restaurant. Along with sustainable beer packaging’s environmental benefits, the stainless steel draft beer keg is the most profitable on-premises package available today; for retailers, draft beer's economic, high-margin profile ensures a maximum return on investment (check out our draft beer profitability calculator). They are among the best products to increase same-store sales and boost the average cost per check. And while this alone is enough to make the investment worth it, it’s also important to note that this storage method can be used for much more than beer. Kegs offer a practical solution whether you serve brews, wine, cocktails, kombucha, or nitro cold brews on tap.
An Improved Customer Experience
Kegs are designed to store beverages in a way that preserves optimal freshness, quality, and taste. As a starting point, this keeps customers happy. It also keeps them returning for more and bringing along their friends and families.
With the popularity of craft and microbrew beers, offering seasonal brews on tap provides differentiation and choice. Consider the number of operators promoting specialty beers to complement the demand for expanded food options. There is no doubt that today's consumers want choice, and with the variety of seasonal and craft draft beers on the market, specialty draft beers are the ideal fit to assist in raising sales and profitability.
Draft beer is the ideal sampling tool for the brewery to promote new products and increase brand awareness. With the numerous brand choices available today, each tap handle offers a unique opportunity to gain visibility and trial in the brewer’s quest to build brand recognition.
And if you’re concerned that storing beverages exclusively in kegs will limit your serving options, think again. Modern stainless steel options offer a wide variety of beverage alternatives.
AN ENVIRONMENTAL REVOLUTION
A growing number of bars and restaurants are focusing on sustainability due to customer preferences and because these businesses realize the benefits to the environment and their bottom line. This has become even more vital due to the evolving beer segment.
The average bar or restaurant in the 1960s served four draft beers—two domestic and two imports—from a simple refrigerated direct-draw draft beer system. Today, the number of beers on tap can reach 40+, with many outlets featuring regional beers to take advantage of the successful trend toward seasonal, craft, and microbrew beers.
As a result, the glycol-cooled long-draw system has become the industry's standard to satisfy the operators' need to serve a wide range of choices and the coldest and best beer in town. This is one of the most popular draft beer systems and is an excellent choice due to its ability to maintain the cooler temperature and deliver cold beer at long distances.
Integral to the glycol system's improved performance is the use of blended gas (CO2 and nitrogen) as the primary pressure source. Blended gas preserves draft beer quality and offers consistent pour quality from the first glass to the last glass, minimizing waste and maximizing keg yields for a more sustainable pour.
AN ENVIRONMENTAL REVOLUTION
Sustainable beer packaging offers several benefits, including maximizing profits, improving the customer experience, and reducing a company’s carbon footprint.
From a labor standpoint, draft beer programs provide efficiency, speed of service, and the ability to expand offerings and rotate menus as needed. With these systems, bars and restaurants can also easily expand sampling programs, which leads to increased revenues.
With thousands of macro and craft beers now available, not taking advantage of the draft beer potential means not capitalizing on a sustainable beer packaging opportunity that could take your business to the next level.
Find a Customized, Sustainable Dispensing Solution for Your Commercial Bar
For over 60 years, Micro Matic has been recognized as one of the world’s leading suppliers of draft beer equipment. Specializing in keg-to-glass technology, we offer a total solution for meeting your draft beer equipment needs. Our dedication to customer service is supported by four regional sales and distribution centers, the Micro Matic Dispense Institute for training and education, and a Certified Installer Network for draft beer installations. Want to speak with a “perfect pour” expert? Contact Micro Matic today.