How Environmentally Friendly Catering Drives Business Growth

Why Demand for Environmentally Friendly Catering Is Growing

Demand for sustainable catering has moved well beyond one-off client requests or niche events. According to industry research, the global sustainable catering services market was valued at $149 billion in 2024 and is expected to grow to $221 billion by 2033, with a compound annual growth rate of over 5%.

This growth isn’t driven by regulations alone. Businesses and institutions now view sustainable catering as a requirement—not a differentiator. Corporate clients are under increasing pressure to report on their emissions, show progress on ESG targets, and improve their overall environmental footprint. As a result, they're more likely to choose suppliers who can offer climate-smart services, including transparent carbon data and climate-labeled menus.

For caterers, this presents a significant business opportunity. Those who can demonstrate environmental performance gain access to premium contracts, repeat business, and increased pricing power.

Reduced Waste, Reduced Costs

Food waste is one of the most significant yet solvable challenges for the catering industry. Globally, food waste is responsible for approximately 6 percent of total greenhouse gas emissions—making it one of the largest contributors to climate change. The financial implications are just as stark. Every kilo of food wasted is a kilo paid for, prepared, and thrown away.

Sustainable catering focuses on reducing this waste, not just through better portion planning, but through data-informed sourcing and service models. In one case, AI-based kitchen technology helped reduce food waste by up to 76 percent across commercial kitchens, saving thousands of euros per year in ingredient costs alone.

With the right systems in place, reducing waste becomes more than a sustainability goal—it’s a clear way to improve operational margins.

Win More Catering Contracts With Verified Sustainability Data

Sustainability is increasingly becoming part of formal procurement criteria. Public institutions, multinational companies, and sustainability-focused clients now expect proof that suppliers are managing their environmental impact. This includes carbon data, emissions reporting, certifications, and ingredient traceability.

Caterers who can deliver this information not only position themselves as responsible partners but also gain access to new opportunities. In a competitive tender, being able to demonstrate how you are contributing to a client’s Scope 3 emissions reductions can be the deciding factor. Offering climate-labeled menus or integrating carbon footprint reporting into regular service reviews can elevate a standard catering proposal into a strategic partnership.

Build a Trusted Catering Brand With Sustainability

Clients are not the only ones paying attention to sustainability credentials. End customers—whether university students, employees at corporate canteens, or wedding guests—are increasingly conscious of where their food comes from and what impact it has on the environment. Research shows that 73 percent of consumers are willing to change consumption habits to reduce their environmental impact.

Caterers that invest in sustainability storytelling, such as menu labeling, supplier transparency, and emissions data, can create trust and engagement with guests. These practices not only strengthen the brand but can lead to increased client retention and word-of-mouth recommendations.

Sustainability also gives your business a narrative beyond price and convenience—both of which are volatile in the foodservice industry. It allows you to anchor your offer in long-term value, responsibility, and resilience.

Innovation that Drives Efficiency and Differentiation

Environmentally friendly catering pushes businesses to reimagine how they operate—from menu design and ingredient sourcing to service logistics and post-event reporting. This often leads to new efficiencies and innovations that wouldn’t have emerged from traditional business-as-usual thinking.

For example, switching to more plant-based options or using seasonal, local ingredients can reduce both environmental impact and food costs. Tools that track and visualize climate impact—like carbon calculators or life cycle assessments—can guide menu development that is both sustainable and scalable. Over time, these innovations build internal expertise, reduce dependency on volatile imports, and offer more room for upselling premium offerings.

When sustainability is integrated into operations—not siloed as a marketing exercise—it becomes a driver of long-term competitiveness.

Make Environmentally Friendly Catering Part of Your Growth Strategy

Environmentally friendly catering is not a passing trend. It is an industry-wide shift driven by regulation, reputation, and real financial return. Caterers who act early and integrate sustainability into their core operations will be better positioned to win business, increase profits, and build a brand that lasts.

If you’re ready to explore how your catering business can turn sustainability into growth, get in touch with Klimato or explore our carbon footprint calculator to get started.