Coffee saves money

August 6, 2019 | Insta Barista
On-Site Beverage Service: Good for Employees, Better for Businesses 

How far would you go to keep a top-producing employee? How much would you spend to attract the brightest and best in your field? As we’ve discussed in previous posts, customizable on-site beverage service plays an indispensable role in retaining top-notch talent. According to many workplace decision-makers, the primary benefit of coffee and beverage service is an elevated level of employee satisfaction- but at what cost?

Ottawa businesses can save money -- without compromising their values.

The most recent statistics show that business bankruptcies in Ontario increased nearly 40% over the previous fiscal year. Additionally, with the regional adoption of the carbon tax, small-to- medium sized businesses are uncertain as to how this will effect their operating expenses. As a result, local companies  are faced with the growing pressure of reducing their expenses that they are able to maintain financial stability. In light of these challenges, how can businesses in Ottawa save money without compromising quality or value? 

There are many ways that businesses can leverage their overhead to reduce expenses. A store may consider reducing hours of operation, but this could drive shoppers to consider competitors who have more convenient hours of service. A manufacturer may decide to use less expensive supplies, but customers who have come to expect a certain level of quality might reconsider subsequent purchases. Sometimes, budgetary reductions ultimately result in a better value for the customer, but other times, a reduction in company spending can be counterproductive.

Subsequently, an employer might consider streamlining in other areas. Elimination of employee amenities could easily save thousands of dollars, but this can result in a mass exodus of productive workers. According to the Business Development Bank of Canada, nearly 40% of entrepreneurs are challenged to find skilled workers. Moreover, Ontario is among the three regions that are the hardest hit by this labour shortage. An otherwise obvious money-saving tactic could result in an unmanageable number of vacant positions, and ultimately destroy a successful business. 
In order to avoid a counterproductive allocation of resources, thriving businesses look beyond dollar amounts to consider other success factors such as efficiency, productivity and employee satisfaction. What can an employer do to help employees do more work in less time?  How can they elevate the quality of workplace culture so that employees feel valued, affirmed and invested in the quality of their output? 

On-site beverage service generates massive savings in the workplace

One innovative way that employers can simultaneously save money and boost morale is through a specialized office coffee and beverage service. In 2005, Survey Sampling International interviewed workplace decision-makers about their on-site beverage service program. The majority agreed that coffee increases workplace productivity and satisfaction. It was concluded that customizable on-site beverage service plays an intrinsic role in overall savings.

Without convenient access to their favourite beverage, 25 percent of employees leave the office at least once during the day for coffee, tea or hot chocolate. According to independent research by Worthlin Worldwide and Harris International, each of these trips lasts about 14 minutes. A company of 50 workers that offers an average salary of $40,000 suffers an annual loss of 105 workdays or nearly $16,666 to employees who go off-site for coffee.  Companies with 500 or more lose over $150,000 to the same phenomenon. 

The savings calculator offers detailed explanation of how Canadian companies, including businesses in Ottawa save money by offering on-site coffee, tea and hot-beverage service.

When an employer can offer an authentic coffee-bar experience without leaving the office, everyone wins.  Especially when it offers a variety of coffees, lattes and other specialty beverages. Workplace coffee service has the power to maximize productivity, drive employee satisfaction and ultimately allow for responsible allocation of financial resources. 

Most employees would agree that they appreciate having on-site beverage service, but smart business owners know that it is essential for the overall health of the company! 


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