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From Vision to Action: Embracing Sustainability in Hospitality

Transforming hospitality to advance sustainable strategies elevates brand equity and bottom-line impact.
Article

Despite a 2022 Booking.com report that found 4 out of 5 global travelers prioritized sustainability, there remains a disparity between intentions and actions. Though consumer interest in sustainable travel products doesn’t match consumer spend, hospitality organizations can still take steps to ensure their sustainability practices mitigate energy costs and positively enhance the bottom lines through brand equity, customer loyalty, lower energy expenses and adherence to ESG principles.

According to a recent Forbes article, nearly 90% of consumers say they’ll stay loyal to a brand that shares values similar to their own, and sustainable principles are a part of these values for 65% of millennials and 49% of Baby Boomer purchasers. When hospitality organizations introduce meaningful, sustainable offerings they have a much higher capability of capitalizing on the higher conversion rates of loyal customers.

Every organization should prioritize sustainable strategies, particularly the travel and tourism sectors, which produce 11% of global emissions (World Economic Forum). Within hospitality, taking actions like utilizing clean energy and efficient fuels, reducing water consumption and scrutinizing supply chains for energy-saving opportunities should be top of mind. We’ve seen our clients thrive by setting renewable energy and water reduction goals and adopting renewable sourcing—a proven formula as part of a sustainability focus.

At frog, we recommend hospitality entities proactively embrace sustainability practices now. Mandates like ESG reporting are on the horizon. Although US regulations are in the pipeline, non-EU firms operating in the EU could face reporting obligations as soon as FY 2025 (reporting in 2026). Larger organizations with intricate review processes must act swiftly to meet these requirements and embed sustainable principles before compliance becomes challenging.

Initiating sustainability efforts begins with establishing a solid organizational vision, a step many organizations have already taken. For instance, Wynn aims for net-zero emissions across Scopes 1, 2 and 3 by 2050. Disney targets net zero for Scopes 1 and 2 by 2030, while Marriott adapts its procurement strategy for 30% renewable electricity use by 2025.

Translating vision into action
To evolve with the changing sustainability landscape, companies should address three key priorities:
1Design and activate sustainable experiences:

Beyond offering just a sustainable nohousekeeping choice, frog collaborates with enterprises to reimagine experience offerings deeply ingrained in sustainability. Our aim is to reshape the discourse on sustainability and identify avenues for businesses to embrace meaningful change.

2Measure sustainability impact:

Implementing ESG reporting and enabling data platforms allows hospitality organizations to take data-driven actions, report on progress and ensure compliance with recognized standards such as ISO 14001, Green Globe, Earth Check, CDP Climate and the Change Score.

3Assess sustainable procurement practices:

Evaluate the end-to-end supply chain of products that may be impacting an organization’s 3rd Scope Impact, ensuring visibility and transparency.

Differentiating through sustainability

Sustainability in the hospitality sector is hardly a passing trend. It’s the avenue for organizations to distinguish themselves, enhance profitability and contribute positively to the planet. At frog, we specialize in guiding you toward sustainable success, aligning with your hospitality objectives and beyond. Initiate your sustainability journey by connecting with us.

Authors
Jordan Doak
Senior Consultant, frog SF
Jordan Doak
Jordan Doak
Senior Consultant, frog SF

Jordan Doak is a Senior Consultant at frog San Francisco. She’s passionate about the services and hospitality industry and brings additional experience across the life sciences and technology industries. Her expertise is in digital product definition and strategy.

Clément Lacroix
Senior Director, frog
Clément Lacroix
Clément Lacroix
Senior Director, frog

Clement Lacroix is a Senior Director from frog, part of Capgemini Invent. He is the lead in North America for the Services and Hospitality industry. His expertise is in end-to-end digital transformation, from new products definition, to customer experience reinvention to market launch.

Chand Patel
Consultant, frog NY
Chand Patel
Chand Patel
Consultant, frog NY

Chand Patel is a Consultant at frog New York. With a strong focus on the hospitality industry, she’s passionate about partnering with organizations to accelerate sustainable, customer experiencefocused transformations. 

Anne Schwappach
Senior Consultant, Capgemini Invent
Anne Schwappach
Anne Schwappach
Senior Consultant, Capgemini Invent

Anne Schwappach is a Senior Consultant at Capgemini Invent. She brings a focus on consumer products, retail and hospitality, bridging creativity, technology and empathy to create meaningful experiences.  

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