A newly released white paper by hospitality experts Ben Lephilibert of LightBlue and Johanna Wagner of Agence HoPe reveals that food waste is not just an environmental issue but a major financial burden for hotel owners and investors. While most campaigns about reducing food waste have targeted hotel operators and kitchen teams, this study shifts the focus to owners and asset managers, demonstrating how addressing food waste could save hotels hundreds of thousands of dollars annually.
Drawing on 1.2 million data points collected over 13 years from hotels in 20 countries, the authors translate complex operational data into financial language and KPIs relevant to investors. Their findings expose a key structural problem: hotel owners bear the cost of wasted food, while operators — who manage daily kitchen activities — have no direct financial incentive to minimize it. As a result, 95% of operators lack food waste tracking systems, and most underestimate their waste volumes by up to threefold.
Hotels that implement comprehensive food waste reduction programs typically cut waste in half, improving profitability and adding 1–4 percentage points to Gross Operating Profit (GOP) margins. This uplift directly enhances asset value. For example, Constance Hotels Resorts & Golf saved 164,000 kg of food and USD 2.3 million across seven properties between May 2023 and October 2024.
The report outlines a three-step plan for asset managers: identify properties with large food operations, calculate potential savings using tailored templates, and invest in coaching and support for hotel teams. Beyond financial gains, the benefits extend to staff morale, guest satisfaction, and ESG performance — proving that tackling food waste isn’t just good for the planet, it’s good for business.