Sustainability Matters to Hotel Guests

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by KnowESG
KnowESG_Sustainability Matters to Hotel Guests
Image courtesy of Freepik

A new study by Pace Dimensions and BVA BDRC found that consumers are increasingly concerned about sustainability but are not always willing to pay more for sustainable products.

The study that surveyed over 2,000 people in Germany found that the top environmental concerns for consumers were energy, water, waste, and plastic. Employee welfare and well-being were also major concerns.

The study also found that consumers are divided on who should take responsibility for sustainability. While 59% of respondents agreed that governments should do more, 58% agreed that large companies should do more.

Gen Y was the most vocal in expressing sustainable attitudes, both generally and when considering the hospitality sector.

In terms of action taken, 31% of respondents were travelling and driving less, 25% were avoiding buying from companies with poor environmental reputations, and 22% were avoiding buying from companies with poor staff welfare reputations.

The study also found that consumers are more likely to consider sustainability when booking a hotel stay in a five-star hotel than in a three-star hotel. The study found that a sustainable hotel option could charge more than a 25% premium and receive a fair market share among five-star travellers in Germany.

However, the study also found that awareness of sustainability accreditations is low. Almost half of respondents did not know about any sustainability certifications at all. Gen Y was more aware of sustainability certifications than Baby Boomers.

Within the corporate market, businesses are feeling the pressure to adhere to ESG requirements, not only from government bodies but also from their clients, teams, and the wider industry. This is particularly true when hosting large external events.

The study concluded that there is an opportunity for hotels to use their ESG credentials to set themselves apart from the competition. However, clear information and benchmarking in the sector are needed to help change consumer behaviour.

Recommendations for Hotels

The study provides several recommendations for hotels that want to improve their sustainability practices:

  • Increase awareness of sustainability accreditations among guests and employees.

  • Make sustainability a key part of the hotel's marketing and branding.

  • Set clear sustainability goals and track progress.

  • Communicate sustainability efforts to guests and employees.

  • Partner with local businesses and organisations to support sustainability initiatives.

  • By taking these steps, hotels can show their commitment to sustainability and attract guests who are increasingly concerned about the environment.

For more social and governance news

To view and compare company ESG Ratings and Sustainability Reports, visit our Company ESG Profiles page.

Source: Hospitality Net


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