How To Overcome The Top 5 Sustainability Challenges For Hotel And Travel Businesses
It is no longer a secret that well-heeled Asian travelers seek out and stay at sustainability-focused hotels and destinations.
A 2022 Bain & Co report finds that Asian consumers of all age groups – whether under 34 or above 60 years old, and of all income levels express a similar level of consciousness for environmental, social, and health-related issues.
Nearly all surveyed Asian consumers said they would be willing to pay more for sustainable travel. In Southeast Asia, 51% of travelers would spend at least half of their monthly salary or more to travel more sustainably.
The question is whether and how many travel and hospitality businesses in Asia are ready to start their sustainability transition.
This requires that — while they run a profitable business, they also implement measures to neutralize the environmental impact of their operations, and uplift the well-being of their employees and their communities.
But before getting started, the first important step is to understand what are common challenges seen by those who have already begun to save time and energy.
In the past few months, we have gathered from numerous professionals working in the industry the top 5 challenges that they frequently face in their sustainability journey in Asia.
Navigating the ever-shifting sustainability narrative
Holding off the commercialization of sustainability to run a genuinely sustainable business
Ensuring consistent sustainable practices across properties and geographies
Persuading guests that being sustainable does not compromise comfort and convenience
Adopting the latest hospitality technology to strengthen a brand's sustainability initiatives
Now, let’s deep-dive into what are the possible solutions and practices of some of the industry players.
Challenge #1: Navigating the ever-shifting sustainability narrative that heightens confusion among Asia’s travel sector
These shifts have been prompted by changing goalposts by world leaders from the Paris Agreement to COP27 and compounded by the current volatile macroeconomic situations.
Solution: Keep your eyes on the prize with a dedicated team to inform, ideate, and implement.
To start and stay on your sustainability journey, it’s imperative to keep up-to-date on the new regulations and developments related to your business.
We live in an era of fast-moving news cycles. It’s no exception in Asia. The media moves on from one hot headline to the next overnight.
Sometimes the loudest voice may try to overpower the clearest voice. Do not let it distract and divert your attention from your objective.
After all, who knows better what is best for your business than you? To make a sound judgment, it’s essential to stay laser-focused.
So, go above reading just the attention-grabbing headlines and get into the details to stay informed to devise strategies that work.
Recommended news sources for clear analysis:
Global climate news: New York Times Climate Forward, Bloomberg Green, How to Save a Planet
Global travel industry news: WTTC, Travel Weekly,
Asia sustainability news: Eco Business, Nikkei Asia
Asia travel industry news: South East Asia Travel Show, Travel Asia Now, TTG Asia
Example:
Earth Lab serves as the sustainability hub at every Six Senses property. Additionally, the Director of Sustainability, a senior-level executive is responsible for keeping every Six Senses on track to achieving the brand’s overall sustainability goals, which include plastic free and zero waste operation, energy conservation, and carbon emission reduction. Read more about our analysis on How Six Senses has become synonymous with eco-luxury hospitality for Asian Travelers.
Challenge #2: Holding off the commercialization of sustainability to run a genuinely sustainable travel business
Global and Asian pop cultures often characterize sustainable living as purchasing expensive reusable water bottles and vegan leather shoes.
Each of these practices shares one thing in common: they require us to buy more products.
Hoteliers may wonder if they should buy and display more green products at their properties to appear sustainable to sway travelers.
Solution: Focus on providing services that are enjoyable for guests and also centered on circularity and cultural inclusivity.
Asia is home to numerous cultures that harbor innovation and craftsmanship. So look within and around local communities to identify opportunities. Asian consumers reward brands for their cultural authenticity and masterful ingenuity to meet modern travelers’ needs.
Many successful sustainability-focused travel and hotel brands introduce creative and meaningful ways to entertain their guests without chasing after the latest TikTok or Instagram trends.
Examples:
Maringi Sumba organizes cultural immersion activities to allow guests to participate like a local in festivals such as the Pasola Festival on the Indonesian island.
Slow Travel Hue connects passionate travel professionals, local cultural experts, and communities to offer inclusive and meaningful travel experiences to visitors to Central Vietnam such as slow food cooking classes, rural markets, and craft village tours to sustainability-minded travelers.
Banyan Tree Escape, is a new brand extension that embodies the Banyan Tree brand's commitment to creating immersive experiences combining deep nature and sustainable design, pioneering a "no walls, no doors" concept.
Challenge #3: Ensuring consistent sustainability practices across properties and regions
Solution: Streamline sustainability into every aspect of your business, from finance to marketing, from housekeeping to F&B services across all properties.
Larger brands with multiple properties in various countries in Asia and across the globe may face this challenge more than those independent properties.
However, every team member has a role to play in your brand’s successful adoption of sustainability, it’s critical to get all team members on board culturally and equip them with the required skill set.
Examples:
Soneva’s A-Z Sustainability serves as a great starting point for all Soneva team members to adopt the same set of vocabulary. The way we communicate sprouts and nurtures the culture we wish to see.
From hotel interior design to external community activities, each of the Shinta Mani Hotels reflects its natural and cultural environment, providing hospitality that supports the people, animals, and ecosystems.
Ascott CARES is a sustainability framework that aligns the hospitality group's growth strategy with environmental, social, and governance (ESG) considerations alongside the Global Sustainable Tourism Council (GSTC) Criteria. Centered around five pillars of Community, Alliance, Respect, Environment, and Supply Chain, this framework allows Ascott to ensure its values and goals are communicated and implemented consistently in all key areas of operation.
Challenge #4: Persuading guests that being sustainable does not compromise comfort and convenience
Solution: Tell your sustainability story from different angles and seize opportunities to turn key stakeholders into your brand advocates.
Attracting guests with sustainable practices can be tricky, especially when the term “sustainability” is often associated with a lack of comfort and convenience in the mind of Asian travelers.
Therefore, it is important to demonstrate the value and enjoyment that comes with being a sustainable hotel or destination.
With preconceived perceptions, for established and well-known travel brands, reinforce that you continue to provide a certain level of comfort and convenience even when you’re greenifying your services and products.
For those new and lesser-known players with low awareness, it is your task to make the potential guests believe that choosing you does not mean they are sacrificing - rather they’re gaining a new experience.
This can be done in multiple ways, such as through storytelling and video content, press releases, and social media posts to highlight your hotel’s unique features.
At every step, it’s key to show the benefits of sustainability. Importantly, don’t be afraid to ask for testimonials and reviews. Let your guests be your brand advocate. And consider getting the help of sustainability-focused travel influencers and media outlets to amplify your message.
Check out Sainha’s 4 actionable tips on promoting your sustainable hotel or travel business.
Examples:
At The Apurva Kempinski Bali, luxury, convenience, and sustainability come together to create the perfect wedding experience — an unforgettable moment for couples to have their dream celebration while being kind to the environment.
Cempedak Private Island and Nikoi Private Island in Indonesia redefine eco-luxury, where comfort, style, and sustainability all go hand in hand.
Small Luxury Hotels of the World’ Considerate Collection illustrates small, eco, and local accommodations are equally luxurious with its growing hotel membership across Asia, and the world.
Challenge #5: Adopting the latest hospitality technology and services to strengthen a brand's sustainability initiatives
Solution: Prioritize areas of your business that need a technological boost. Then compare and select the technological solutions that align with your sustainability goals and brand values.
Many hotels feel hesitant when it comes to adopting new technologies. This is especially true when it comes to choosing the right tech partner and navigating the nitty-gritty of the process.
However, it is important to focus on the task at hand, for example, energy management systems, water conservation technologies, and smart waste management technologies are just some examples of how to drastically reduce your company's carbon footprint.
Online check-in software such as Canary Technologies and Duve can provide immediate convenience for guests with less paper and electricity consumption. Food waste specialist Winnow helps hotels and restaurants run more productive, profitable, and sustainable kitchens by cutting food waste in half.
Keep an eye out also for innovative solutions such as Greenview Portal, a digital platform that helps hotels track their sustainability performance and goals so they can make data-driven decisions.
Examples:
Marriott International utilizes technology to reduce water leaks and enhance energy efficiency. The hotel group is also using on-demand cooling systems that reduce unnecessary water and energy consumption. This modern technology can detect corrosion efficiently and respond quickly using real-time data analysis.
InterContinental Hotels Group has teamed up with a technology company to equip their hotels with an automated system that can accurately track, measure, and minimize food waste. This helps achieve sustainability while making restaurant and bar operations more efficient.
Accor offers the convenience of early online check-in and fast check-out, allowing guests to check in online 48 hours prior to arrival and return keys upon departure without a prolonged wait at the front desk.
The bottom line:
“For sustainability to be authentic, it needs to be well-integrated within the business rather than an after-thought,”
— Ms. Beh Siew Kim, Chief Financial & Sustainability Officer, Lodging, CapitaLand Investment and Managing Director, Vietnam, Cambodia, Myanmar, Japan and Korea, The Ascott Limited.
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When you’re ready, there are 3 ways we can help you with your sustainability journey.
The Sustainability Certification Program: Increase your sustainability credibility by gaining a globally-recognized sustainability certification.
Decode Asia. From clueless to marketing your brand with confidence to your target Asian travelers. A consulting project to map out your Asia go-to market plan and unlock your growth opportunities today.
Asia Accelerator. Level up your Asia-focused marketing. A brand audit and future-planning project including one-day workshop with your marketing team to develop your next 3-month Asia marketing plan to accelerate your growth.
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