Installing a pergola at your restaurant isn’t just about shade or aesthetics—it’s a smart investment with measurable return. With expanded outdoor dining space and protection from weather disruptions, the pergola ROI for restaurants can be surprisingly high. In this post, we’ll walk you through how to calculate it and why it makes financial sense.
What Is ROI—and Why It Matters When Evaluating Pergola ROI for Restaurants
ROI (Return on Investment) shows how much profit you gain compared to what you spend. In the context of pergola ROI for restaurants, it helps quantify how much additional revenue your outdoor seating area brings in versus the cost of installation.
ROI Formula:
ROI = [(Gain from Investment – Cost of Investment) / Cost of Investment] × 100
Step-by-Step: How to Calculate Pergola ROI for Restaurants
Here’s a simplified breakdown of how restaurant owners can calculate ROI from their pergola investment.
1. Estimate Additional Seating to Measure Pergola ROI for Restaurants
Start by calculating how many extra tables your pergola adds. More seating means more guests served per day—especially during peak hours.
Example:
Your new pergola allows for 6 extra tables seating 4 guests each. That’s 24 additional guests per seating.
2. Calculate Revenue per Table
Multiply your average table spend by the number of seatings per day.
Example:
Average table = $60
Two seatings per day = $60 × 6 tables × 2 turns = $720/day
3. Account for Weather Protection
Without a pergola, rain or intense sun may force you to close the patio 30% of the time. With weather protection, you reclaim those days.
That’s 30% more uptime—boosting revenue consistency and improving your pergola ROI for restaurants.
4. Factor in Monthly and Annual Impact
If you’re open 25 days/month:
- $720/day × 25 = $18,000/month
- Annually = $216,000/year
Even at 50% seating usage, you’re still bringing in over $100,000/year from your pergola-covered area.
5. Subtract Installation Costs to Finalize Pergola ROI
Let’s say your pergola project cost $50,000.
ROI = [($100,000 – $50,000) / $50,000] × 100 = 100%
That means your investment pays for itself within a year—and everything after is profit.
Other Factors That Enhance ROI
- Private Event Bookings
Rent out the space for parties or pop-ups—new income with low overhead. - Improved Customer Experience
Comfortable outdoor dining increases stay time and average ticket size. - Marketing Value
A well-designed pergola becomes a visual asset for social media and local exposure. - Operational Stability
A pergola helps avoid unpredictable closures—smoothing your revenue flow year-round.
When thoughtfully planned, a pergola can quickly pay for itself—sometimes in just one season. It’s not just a cover; it’s a reliable way to increase revenue, boost brand perception, and improve the overall customer experience.
👉 Ready to explore your own pergola ROI for restaurants?