The Role of Environmental Certification in the Hospitality Industry: Assessing Sustainability, Consumer Preferences, and the Economic Impact

Konstantinos Velaoras, Angeliki N. Menegaki (), Serafeim Polyzos and Katerina Gotzamani
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Konstantinos Velaoras: Department of Regional and Economic Development, Agricultural University of Athens, 33100 Amfissa, Greece
Angeliki N. Menegaki: Department of Business Administration and Tourism, Hellenic Mediterranean University, 71410 Heraklion, Crete, Greece
Serafeim Polyzos: Department of Planning and Regional Development, University of Thessaly, 38334 Volos, Greece
Katerina Gotzamani: Department of Business Administration, University of Macedonia, 54636 Thesaloniki, Greece

Sustainability, 2025, vol. 17, issue 2, 1-31

Abstract: Hotel certifications have become increasingly vital in promoting sustainability within the hospitality industry, providing frameworks that guide hotels toward reducing their environmental footprint, enhancing operational efficiency, and gaining a competitive edge in the marketplace. This review explores the development, types, and impact of hotel certifications, with a focus on prominent schemes, such as LEED, Green Key, and EarthCheck. Through an analysis of case studies from globally recognized hotels, we highlight how certifications contribute to significant reductions in energy and water use, improved waste management, and enhanced biodiversity protection, while also delivering economic benefits through cost savings and increased guest loyalty. Our paper also examines consumer perceptions of certifications and their willingness to pay (WTP) for certified hotels. The findings suggest that eco-conscious travelers, particularly younger generations, are willing to pay a premium for hotels that demonstrate a commitment to sustainability; however, consumer awareness of certification schemes remains limited. The barriers to adopting certifications, such as high initial costs, resource limitations, and management resistance, are also discussed, along with the challenges posed by greenwashing and the proliferation of certification schemes. Looking to the future, this review identifies key trends that will shape the evolution of hotel certifications, including increased transparency, the integration of smart technologies, the expanding role of social responsibility, and their alignment with global sustainability goals, such as the United Nations Sustainable Development Goals (SDGs). Hotel certifications are not only crucial for environmental sustainability, but also serve as a powerful tool for enhancing the economic viability of hotels in an increasingly competitive and sustainability-driven market.

Keywords: environmental certifications; sustainable tourism; hospitality industry; consumer behavior; willingness to pay (WTP); hotel sustainability (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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