This is an opinion piece by Agnes Pierce, director, global head of sustainability, hospitality, Amadeus.
“In recent years, sustainability has taken center stage in the hospitality industry. Our Travel Technology Investment Trends research (1) shows that 87 per cent of hoteliers feel that sustainability objectives are either ‘important’ (40 per cent) or ‘very important’ (47 per cent). Rightfully so, the travel industry accounts for 8 per cent of global carbon emissions, and over-tourism is a growing issue worldwide.
Fortunately, our research also found that 88 per cent of respondents were confident they can demonstrate progress in environmental sustainability, with 80 per cent claiming the same vis-à-vis social sustainability. This progress is part of a wider pattern that has created new opportunities in the industry, from eco-conscious jobs and tourism initiatives to innovative sustainability-focused projects. Today, continued investment promises to drive both industry growth and socio-environmental progress.
So, with sustainability at the top of the investment agenda, what technologies will hoteliers leverage to decrease travel’s environmental and social impact, and how will this transform the industry?
What’s catalysing sustainable change?
In recent years, we’ve seen how prioritising more responsible practices has actively contributed to the industry. We’ve seen how continued investment in more sustainable practices, technologies, and infrastructure has created new jobs and opportunities for development. These investments have also fostered positive relationships between hotels and their local communities.
From a commercial perspective, we’ve also observed how booking behaviours are increasingly influenced by travellers seeking more sustainable options. Hoteliers who can highlight their sustainable practices have gained access to a growing audience. Such hoteliers are rewarded, with 43 per cent (2) of travellers in a recent survey saying they are also willing to pay a premium for these options. For hoteliers, this is compounded by the savings associated with more efficient daily operations.
Beyond the opportunities associated with more responsible hospitality, hotel success is intrinsically bound to the condition of the local environment, be it socially or ecologically. Hotels need to nurture the environment in which they reside to ensure their longevity.
Key areas of investment: the technologies of tomorrow
Technology can support hoteliers, and our recent research (3) affirms its importance: 87 per cent of hoteliers plan to invest in technology to help realise their ambitions of running more socially responsible and environmentally friendly hotels.
We found that a top priority for hotels is to empower their guests to make more responsible decisions. Our report shows that a significant 85 per cent of hoteliers plan to invest in technology that provides travellers with information about the environmental impact of their choices. This practice is mirrored across the industry, with mobility providers also displaying information (like carbon emissions) on various modes of transport. In response to the growing issue of over-tourism, beyond informing, the industry is also investing in technology that shapes decision-making. Tools like generative artificial intelligence (Gen AI) can guide travellers towards alternative destinations, reducing overcrowding while supporting local communities and smaller hotels in secondary cities.
Day-to-day hoteliers also plan to invest in internal management and operating systems that enhance efficiency. According to our research, over a quarter of hoteliers are investing in technology that reduces energy usage. Implementing energy-efficient solutions, like standardised temperature control across rooms, motion-detection lighting, and reducing waste, have become increasingly popular as they streamline operations while reducing costs and environmental impact. Hotels have also invested in technology to reduce food waste by converting left over food into green energy, or leveraging operations software to ensure the kitchen orders and prepares a suitable amount of food.
To promote meaningful, industry-wide improvements, 87 per cent of hoteliers also recognise the importance of investing in systems that manage transparent data reporting. The recognition of industry benchmarks and tracking has also been echoed at a wider level, with consortiums such as Travalyst informing travellers about sustainability and the World Sustainable Hospitality Alliance inviting hospitality stakeholders to mould and establish industry-wide standards and reporting mechanisms.
Top of the agenda
Sustainability is at the top of the agenda, and rightly so. Fortunately for hotels, the industry has never been better equipped to rise to the challenge.
Across the traveller journey, technological interventions promise to promote responsible choices and reduce impact. Emerging technologies like Gen AI have the potential to decrease the environmental impact of travel by improving suggestions to travellers, while solutions used throughout hotels can reduce resources used in daily operations. To support hoteliers, we should work towards creating industry standards and benchmarks to track progress, set targets, and, ultimately, work together to create a more sustainable future. “
(1) Amadeus Travel Technology and Investment Trends 2024 (2) Booking.com 2023 Sustainable Travel Report (3) Amadeus Travel Technology and Investment Trends 2024.
Amadeus joined the World Sustainable Hospitality Alliance in January this year.