Climate change has become one of the biggest concerns in the world today. Business leaders around the world are concerned about how to cope with the growing public and political pressure and align their systems and operations with the goals of the Paris Climate Agreement. The agreement is designed to keep global temperature rise below 2 degrees Celsius, and as much as possible to 1.5 degrees Celsius. The challenge is even greater for the hotel industry as they must reduce their carbon emissions by 90 percent by 2050.
Sustainability is no longer an option for the hospitality industry, but rather an essential business strategy. Buildings account for about 1 percent of global carbon emissions, and hotels emit much more carbon than other buildings due to their energy use. This is why the demand for environmentally friendly practices in the hospitality industry is growing rapidly. For example, according to Booking.com, 83 percent of travelers believe that sustainable travel is very important.
In this article, we’ll explore why sustainability is important in the hospitality industry, and the ways and strategies hotels can reduce their environmental impact. We’ll also look at some examples of where hotels are already taking steps to protect the environment.
The Importance of Sustainability and Corporate Social Responsibility (CSR) for Businesses
Sustainability is vital to the success and longevity of any business. It’s not just for the environment, but also for a good company image, employee satisfaction, and customer loyalty. When a company adopts sustainable practices, it reduces waste, saves costs, and fulfills its responsibility to society.
For example, Just Capital found that U.S. companies that perform better from an environmental perspective have a return on investment that’s about three percentage points higher than other companies. This means that sustainable management is not only good for the environment, it’s also beneficial for the company.
Why is Sustainability Important in Hospitality?
The hotel, transportation and food service industries are the biggest sources of environmental pollution and carbon emissions. Therefore, it has become important for hotel managers to be mindful of sustainability. It is not just a moral responsibility, but also good business. Today’s customers and employees support companies that are environmentally responsible.
Millennials and younger generations in particular are increasingly aware of environmental issues. According to a survey, 40 percent of millennials choose their employer based on their environmental performance. Also, 70 percent of millennials are more likely to stay long-term with companies that have strong environmental policies.
Hotels, whether large or small, can take many cheap and easy measures, such as improving building design, recycling, reducing food wastage, to reduce their environmental impact and contribute to the goals of the Paris Agreement.
Sustainability Strategies for Hotels and Hospitality
Hotels have the biggest environmental impact from water, waste, and energy use. Improving these three areas can take a big step towards sustainability. Here are some key strategies that are being adopted in the hospitality industry.
Energy Saving
Energy consumption is one of the biggest problems hotels face. There are many small and big steps that can be taken to save energy. For example, replacing mini-fridges or coffee machines in rooms with shared facilities can be used. Technologies such as LED lighting, motion sensors, and automated energy management systems can significantly reduce energy consumption.
Larger investments such as better insulation, smart HVAC systems, and renewable energy sources (solar panels) also lead to energy savings and cost reductions in the long run. These upgrades recoup their cost within 3 years and reduce energy consumption by 5 to 15 percent.
Water Conservation
There are many simple measures that can be taken to save water. Low-drain faucets, reduced shower pressure, and leak detection technology help save water. Harvesting rainwater to irrigate gardens and adopting smart irrigation technology are also important.
Improvements to laundry services are also important, such as towel reuse programs, and the use of high-efficiency machines. These measures can save up to 15 percent of water.
Reducing Food Waste
Food waste is a huge threat to the environment. Globally, more food is thrown away than could be consumed to feed people. Hotels can make a positive difference. They can reduce waste by growing their food locally, buying from local sources, serving less food on the plate, and promoting vegetarian options.
Some companies, such as British firm Olecco, collect and convert food waste into biofuel. Food service providers, businesses, non-profit organizations, and institutions are working together to reduce food waste in the hotel industry. Doing so can help meet the goal of reducing food waste by half by 2030.
Encouraging Guests to Adopt Environmentally Friendly Habits
Encouraging guests to adopt environmentally friendly habits is only successful if the hotel has facilities that make this easier. For example, replacing single-use plastic with efficient and sustainable alternatives, placing recycling bins in the room, and clearly communicating the reuse policy for towels or bed linen.
Such measures not only protect the environment but are also convenient for guests.
Use of Technology
The COVID pandemic led to the rapid adoption of digital technologies in the hospitality industry. Contactless check-in, keyless room entry, and guest messaging platforms are now commonplace. Guests can easily order services, book spas, and contact concierges through online apps.
Technology can reduce the use of paper and plastic. For example, the use of digital guest room tablets makes menus, flyers, and directories available in digital form, saving paper. Large hotel groups such as Hilton have adopted ‘connected room’ systems that allow guests to control their room temperature, lighting, and TV from their smartphone. This saves electricity when rooms are unoccupied.
Measurement and Management
Measuring and managing the success of sustainability efforts is important. Data tracking provides information on energy, water, and waste use so gaps can be identified and improvements can be made.
Mobile technology can help staff engage guests in sustainability initiatives. For example, real-time monitoring allows guests to see their water usage and make savings.
Companies such as Flutterflutter and Con-Serve are helping hotels understand and manage energy use through digital platforms. As the saying goes, “what gets measured can be managed.”
Examples of Sustainable Hotel Management
Some major hospitality brands have already made sustainability part of their business. These examples show that greenery and luxury experiences are possible together.
- Melia Hotels International: This Spanish hotel chain has ranked top in climate action, transparency, and human rights. It offsets its carbon footprint using environmental blockchain technology.
- 1 Hotels: This US-based boutique chain is known for sustainable design, locally sourced food, and eco-friendly practices. They encourage both employees and guests to practice environmental responsibility.
- Hotel Hermitage Monaco: This luxury hotel has adopted smart projects, LED lighting, grey water treatment, and biodiversity conservation to save energy.
- 1893 Restaurant: This restaurant is known for practices such as local production, reducing food waste with AI technology, and energy conservation.
A Call for Hospitality Leaders
The hospitality industry can take the lead in tackling environmental challenges. By incorporating sustainability into their core principles, these businesses can reduce costs, increase guest loyalty, and build a long-term positive image.
