EuropEan
Max Hamburger Restaurants
Feature
bun Inspiration in a
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Max Hamburger Restaurants
The Max Hamburger Restaurants chain is Europe’s oldest and Sweden’s most popular hamburger chain. It continues to inspire the world with evidence that sustainable business pays off. European Outlook catches up with President and owner Richard Bergfors. By Ian Armitage
M
ax is special in more ways than one. It was Sweden’s first
hamburger chain. It is Europe’s oldest. It is unusual. And with 3000 employees and about 150 million euro in revenue, Max is a huge success. It is also the perfect example of how a midsize company can carve out a profitable niche through a focus on sustainability — even in an unexpected sector. Max’s core business is hamburgers. The meat industry is one of the largest contributors of greenhouse gases worldwide, responsible for approximately 18 percent of global emissions. In 2006 the owners of Max, the Bergfors family, began to understand that they were part of the climate problem. In response, they decided to become part of the solution. “In 2008 Max became the first restaurant chain in the world to analyse its food’s climate impact all the way from the farmers land to the guest’s hand,” says Richard Bergfors, President and owner (and son of the founders). “We also carbon labelled our menus so that customers could choose climate smart alternatives and we have done things like implemented energy efficiency programmes in all our buildings and our restaurants are wind powered.” Max has made voluntary carbon offsets throughout its supply chain, from farmer to customer, supporting reforestation projects in Uganda and Mozambique. “We compensate for our carbon footprint,” says Bergfors. “We plant trees in Africa to offset its carbon footprint. New stores 3
Max HaMburger restaurants
also use solar panels for 15 to 20 percent of electric needs.” This work is internationally recognised and globally progressive. At the same time, Max is more profitable than ever. “Sustainable leadership has clearly distinguished Max from formidable competitors such as McDonalds and Burger King,” Bergfors says. It has allowed Max to use their business to make a positive impact on the planet. “It certainly has,” says Bergfors. Of all the measures Max has taken, perhaps the most surprising one is that the company actually tries to persuade customers to buy less meat. It makes absolutely no sense! The chain is called Max Hamburgers after all. 4
“What we do is add more non-meat items to the menu, prominently displaying climate footprint data in store, and suggesting customers buy chicken, fish, or veggie sandwiches periodically -- a là Meatless Mondays,” says Bergfors. “We don’t say ‘don’t buy meat’, but we do offer suggestions for alternatives for that perhaps once or twice out of ten visits consumers opt for something else.” There is more to the success at Max than sustainability. In 2000, it set a new strategy focused on the word “fresh” and looked closely at every ingredient and reduced fat, salt, and sugar, and eliminated items like trans fats. The menu got healthier, with multiple side options besides
“Sustainable leadership has clearly distinguished Max from formidable competitors such as McDonalds and Burger King”
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Max HaMburger restaurants
fries, 10 drinks with no added sugar, and a selection of darker, healthier breads. The company now sources 100 percent of its beef and chicken — and 90 percent of its entire product — locally. “That is very important to the consumer,” says Bergfors. “We’ve always done things a bit differently — the goal is greater than to just maximize profit.” Unsurprisingly business is booming – least not on the profit front; Max regularly tops customer satisfaction surveys, outperforming its competitors in industry customer satisfaction surveys.
Success is following overseas too. The first Max restaurant outside Sweden opened in Norway in May 2011, and the company is looking for further expansion in 2012. “We are performing well,” says Bergfors. “We are the most profitable, fastest growing chain in Sweden, expanding at 20 percent per year in a flat market, while our profit margins for each store are excellent. “Don’t be fooled, we re still a profit driven business and like to make a profit like everyone else. However, we don’t put profit first; we don’t have to maximize profit; and we can care for people and the planet we’re living on. 6
“Don’t be fooled, we’re still a profit driven business and like to make a profit like everyone else. However, we don’t put profit first; we don’t have to maximize profit; and we can care for people and the planet we’re living on”
Eco-labelled napkins the system of choice for environmentally friendly fast food chain Max Hamburgers Eco-labelled napkins help restaurants strengthen their environmental profile. Tork, a global brand from SCA, is continuing its efforts to produce products that help build a sustainable society. A dispenser system providing one napkin at a time helps minimise over consumption and waste. This means a guarantee of reduced consumption by 25%. In the restaurant industry there is today a growing understanding of what the industry itself can do to help create a sustainable environment. One example is that a growing number of restaurants are demanding products that have been environmentally certified. One of them is the fast food chain Max Hamburgers. “We try to generate as little waste as possible in all areas. With our old dispensers it was easy for the customer to take too many napkins whether they wanted them or not” says Richard Bergfors, CEO for Max Hamburgers.
SCA has been working determinedly for several years to obtain EU Ecolabel certification for its Tork products. The requirements for certification cover several areas, including e.g. how the raw material is produced, energy use during production, and how the product can be recycled. EU Eco-certified products from Tork help businesses take the step to obtain their own certification and thus reduce their impact on the environment. “Guests are becoming even more demanding today. They expect restaurants to take a serious approach to environmental and sustainability issues. We have been delighted to see a growing interest from restaurateurs to help build a better environment. They have understood that they too can make a difference, by such things as their choice of produce or the paper napkins and wiping materials they buy,” says Karin Carlsson, Head of Division at Ecolabelling Sweden, which is the competent body for labelling of Interfold napkins.
“The result is that we are growing,” he continues. “We are growing by opening new restaurants in Sweden and that we will continue until there is no room for expansion domestically. For that reason, we are also looking abroad and last year opened up our first restaurant in Norway. We will continue to grow in Norway.” In Sweden, the company owns all Max restaurants, except the two units at Arlanda airport. The Norwegian stores are franchises. “Our approach to franchising, like everything else we do, is a little bit different,” says Bergfors. “We want to create the same feeling among our franchise partners as that we have created among our employees, that is to say, you are to be a member of the Max family. We believe in a long-term, strong and profitable partnership between our franchise partner and ourselves.” Max is family owned. The founder, Curt Bergfors, is still active in the company as Chairman
of the Board, and the family still owns 100 percent of the company. Richard is the company’s President and his brother Christoffer Bergfors is the Vice President. “Consumers are becoming increasingly conscious,” Bergfors concludes. “They are concerned about health and sustainability and greater understanding. With the youth of today it is not enough to bring a good and cheap product to the market, you also have to do business in a responsible way and I think the companies that understand this will be the winners of the future.” To learn more about Max and franchise opportunities visit www.maxburgers.com. 7
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Max Hamburgerrestauranger AB Skeppsbrogatan 48D Box 814 971 25 Lule책 Sweden Tel: +46 (0)920-890 00 Fax: +46 (0)920-884 85 Email: info@max.se
www.maxburgers.com