Sustainable travel is a growing category as more travel consumers are becoming reflective of the environmental impact they create.The market was valued at $3.15 trillion and is expected to more than double to $7.74 trillion by 203 (XXX). The potential for the market is much higher as the trend faces ‘trust’ issues from consumers. A Booking.com’s survey from 2023 indicated that nearly 40% of consumers don’t believe or trust sustainability claims made by travel providers and online travel agencies. There is no denying the negative impact that travel has on the environment. From burning fossil fuels to creating vast amounts of waste on land and at sea, the travel business has a significant hand in the climate woes of the planet and it is up to the industry and businesses to reduce that impact. But two important factors in the success of the category are getting the traveling consumer on board with sustainability, changing their mindset to embrace Eco-friendly travel and building belief in the product and confidence in their purchase.
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Reducing Impact From the Backend
The sheer nature of the travel business puts it at the top of the list of global polluters. Air and land transportation providers, hotels and resorts and of course, cruise ships, still rely heavily on fossil fuels and create vast amounts of waste which increase carbon footprints and negatively impact the environment. Operational technologies can help reduce those effects by analyzing and managing consumption of energy resources. Airlines, specifically, can utilize innovations to maximize resource use by optimizing asset positioning and scheduling. Automated technologies at the facility level can help manage hydro and energy usage while inventory management technologies can help reduce waste by optimizing purchasing and need forecasting processes. Cruise ships themselves are floating test beds for new, environmentally positive technologies as cruise lines look to reduce or eliminate negative climate impacts caused by their business. Initiatives undertaken by travel companies will eventually have a trickle down effect, slowly closing the trust gap that exists with traveling consumers.
Shifting Traveler Mindset on Sustainability
Travel is a preference based market and travel business depends on specific mindsets from consumers that will influence the purchasing decision in their favor. With almost half of travel consumers having a lack of belief when it comes to sustainable travel, the travel industry has an uphill climb to get consumers onboard with Eco-friendly travel products and services. Consumer facing technology can be used to highlight and educate travel consumers on the benefits of sustainable travel and overtime, can shift the mindset in favor of Eco-friendly travel options. Some avenues of communication to consider:
- Guest facing displays and boards at the facility level that communicate sustainable message
- Highlighting sustainable initiatives on websites and OTA listings
- Offering sustainable education and ‘hacks’ through brand mobile apps or in room displays
Shifting consumer preferences takes time but brands can build followings and stronger reputations by communicating and marketing sustainability initiatives during travel research, purchasing process and while guests are on site.
Globalizing Sustainability Standards
Setting standards for sustainability in travel is essential for consistency and effectiveness across the entire industry. The vast amount of travel businesses means technology is crucial to implement, maintain and monitor any set standards for efficiency. With advanced networking infrastructure and evolving mobile technology, the travel industry can create sustainability initiatives across different categories of business with real positive effect on the environment and carbon footprints.
Resonating With Eco Friendly Travelers
The Eco-conscious consumer demographic is growing and those preferences are slowly making their way into the travel market. While the category continues to grow at an impressive clip, the two big challenges facing sustainable travel are consumer belief and perception of cost. With approximately 40% of traveling consumers questioning the merits of sustainable travel, the industry has some work ahead of itself to overcome those obstacles and change the consumer mindset. Using technology, travel providers can shift traveler thinking and position sustainable travel as a practical choice when making travel purchases. Optimizing operations with technology to realize actual benefits to the environment is a big first step for travel businesses to close the trust gap with consumers. The second major undertaking is educating consumers with well positioned marketing messages and engagement. Technology can also help deliver those messages and engagement in real time and with effectiveness. There is no questioning the negative impacts travel has on the climate and essentially, it is up to the industry to ‘clean up’ the business and more importantly, get traveling consumers believing in, embracing and eventually purchasing, sustainable travel options.