Why sustainability matters more than ever

Sustainability in hospitality isn’t just a trend—it’s a business necessity. Guests care, corporate clients care, and, most importantly, the planet cares. Hotels and parks that embrace environmental and social responsibility aren’t just making ethical choices; they’re also improving efficiency, strengthening their brand, and future-proofing their business.

Discussions at industry events like ITB Berlin continue to reinforce this shift, highlighting how Environmental, Social, and Governance (ESG) commitments are shaping the future of hospitality. Meanwhile, technology is proving to be a game-changer, helping hotels implement sustainability measures in effective and profitable ways.

Beyond the recycling bin: what sustainability really means

Sustainability isn’t just about optics—it’s about making real, measurable changes impacting the environment and the bottom line.

• The environmental commitment

  Reducing energy waste, cutting water use, and minimising food waste are core components of sustainable operations. Smart systems, green energy sources, and thoughtful resource management can significantly lower a property's carbon footprint.

• Social responsibility matters, too
  Sustainability isn’t just about being green—it’s about being good. Hotels prioritising fair wages, ethical sourcing, and community engagement build strong reputations and long-term guest loyalty. Supporting local businesses, hiring responsibly, and fostering inclusivity are critical ways hotels can contribute positively to society.
• Why ESG is more than a buzzword
  A strong ESG framework doesn’t just set goals—it creates accountability. It’s a structured way for operators to measure, track, and communicate their sustainability progress.
• Transparency builds trust 
  Guests and corporate clients appreciate honesty. By openly sharing efforts in areas like carbon footprint reduction, waste management, and ethical labour practices, hotels can differentiate themselves in a competitive market.
• ESG as a business advantage
  Many companies now assess ESG credentials when choosing hotel partners. A strong sustainability record can influence major bookings and long-term contracts. Hotels that lead in ESG not only attract eco-conscious guests but also gain favour with investors and corporate travel programs.
  

The business case: can sustainability boost profits?

One of the biggest misconceptions is that sustainability is expensive. In reality, it often leads to cost savings and revenue growth.

Cutting costs with smart investments
Energy-efficient lighting, heating, and cooling systems can significantly lower operational costs. Automated energy management can reduce waste, while water-saving initiatives can cut utility bills. Over time, these investments pay for themselves.

The demand for green stays
Younger travellers, particularly Gen Z and millennials, actively seek eco-friendly accommodations and are willing to pay more for sustainable options. Properties that market their ESG efforts effectively can command higher room rates and foster guest loyalty.

Sustainability as a deciding factor
For many guests, sustainability is no longer a “nice-to-have” but a key deciding factor when choosing where to stay. Hotels promoting green initiatives—such as carbon offset programs, eco-friendly amenities, and responsible sourcing—appeal to travellers who want their stays to align with their values.

Eco-conscious travellers are looking for transparency
Today’s guests are savvy and do their research. A vague claim of being “eco-friendly” won’t cut it. Clear communication about sustainability practices—whether through a dedicated section on the website, real-time energy savings displays, or certification badges from trusted environmental organisations—builds credibility and attracts like-minded travellers.

Sustainable choices create shareable experiences
Social media has become a powerful hotel marketing tool, and sustainability plays a major role in shareable experiences. Guests are more likely to post about hotels that offer unique eco-friendly touches, such as refillable toiletries, sustainable dining options, or partnerships with local conservation efforts. This organic word-of-mouth marketing reinforces a hotel’s commitment to ESG.

Business travellers and corporate clients want greener options
Leisure travellers aren’t the only ones prioritising sustainability. Many corporate travel policies now require hotels to meet specific ESG criteria. Hotels that demonstrate a clear commitment to reducing their carbon footprint—through energy-efficient infrastructure, waste reduction programs, and ethical supply chains—are more likely to win contracts with businesses seeking responsible accommodation partners.

Green hotels enjoy stronger guest loyalty
Travellers who actively seek out sustainable hotels often become repeat customers. Once they find a property that aligns with their values, they are more likely to return and recommend it to others. Loyalty programs that reward guests for choosing eco-friendly options—such as opting out of daily housekeeping or using reusable water bottles—can further strengthen brand loyalty and encourage long-term engagement.

Getting started: a simple roadmap for hoteliers

For hotels unsure where to start, sustainability can feel overwhelming. The key is to take practical steps and build momentum over time.

• Step 1: assess your current impact
  Conduct an ESG audit to measure energy and water usage, waste levels, and overall carbon footprint. Identifying areas for improvement is the first step toward change.
• Step 2: engage your team
  Sustainability works best when it’s a team effort. Educate staff, encourage ideas, and create internal sustainability champions who drive change across departments.
• Step 3: implement smart tech solutions
  IoT sensors, AI-driven energy management, and automated reporting make sustainability initiatives more manageable and cost-effective.
• Step 4: set clear goals and track progress
  Define measurable sustainability KPIs. Share progress with stakeholders, guests, and corporate clients through reports, social media updates, or in-hotel displays.
• Step 5: partner for innovation
  Collaborate with sustainability experts, green suppliers, and tech innovators to discover new ways to enhance efficiency and lower environmental impact.

How tech is changing the game

Technology is turning sustainability from a challenge into an opportunity. The right tools can help hotels monitor, manage, and optimise their environmental impact in real time.

Smarter energy management: IoT sensors adjust lighting and climate control based on occupancy, cutting unnecessary energy use. AI-driven systems predict peak demand and automatically regulate heating and cooling to save costs.

Integrated property management systems: Modern property management systems (PMS) do more than just handle bookings—they integrate sustainability into daily operations. From tracking room occupancy for efficient energy use to automating sustainability reporting, these systems streamline eco-friendly initiatives.

Real-time reporting and guest communication: Transparency matters. Hotels can use technology to showcase sustainability efforts, whether through digital dashboards in the lobby, personalised eco-reports for guests, or social media updates highlighting green initiatives.

ESG and tech: maximum impact together

When ESG principles are embedded into a hotel’s strategy, technology acts as an accelerator, making sustainability easier to implement and more effective.

• Data-driven decisions
  By analysing energy, water, and waste data, hotels can pinpoint areas for improvement and continuously refine their approach to sustainability.
• Enhancing the guest experience
  Sustainability doesn’t have to be behind the scenes. Rewarding guests for eco-friendly behaviours—such as opting out of daily linen changes—creates engagement while reinforcing the hotel’s commitment to responsible hospitality.
• Collaborating for innovation
  Hotels leading in ESG often attract forward-thinking partners, from renewable energy providers to waste reduction startups. These collaborations fuel innovation and keep businesses ahead of evolving sustainability trends.

The future: why sustainability is here to stay

Sustainability isn’t a passing phase—it’s reshaping hospitality for the better. With evolving regulations and shifting guest expectations, hotels prioritising ESG and leveraging technology will be best positioned for long-term success.

• Future-proofing the business
  Regulations around sustainability are becoming stricter. Operators proactively adopting ESG practices will avoid compliance issues and gain a competitive edge.
• A win-win for the planet and profits
  By embedding sustainability into their core business strategy, hotels can attract eco-conscious guests, secure corporate partnerships, and reduce operational costs while contributing to a greener, more responsible hospitality industry.

The bottom line? Sustainability isn’t just good for the planet—it’s great for business. The sooner hoteliers embrace this shift, the better positioned they’ll be to lead the future of hospitality.

By Jamie McBride
Head of Marketing - EMEA