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

Author

Listed:
  • 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)

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.

Suggested Citation

  • Konstantinos Velaoras & Angeliki N. Menegaki & Serafeim Polyzos & Katerina Gotzamani, 2025. "The Role of Environmental Certification in the Hospitality Industry: Assessing Sustainability, Consumer Preferences, and the Economic Impact," Sustainability, MDPI, vol. 17(2), pages 1-31, January.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:2:p:650-:d:1567989
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    References listed on IDEAS

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    Cited by:

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    2. Yunfeng Ma & Danny Soetanto & Zeng Lian, 2026. "Future in Words, Future in Action: How Language Shapes Firms' Environmental Management Practices," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 33(4), pages 5527-5550, July.
    3. Dimitrios TSIOTAS & Serafeim POLYZOS, 2025. "Spatial Patterns Of Development In The European Union: A Review," Theoretical and Empirical Researches in Urban Management, Research Centre in Public Administration and Public Services, Bucharest, Romania, vol. 20(2), pages 5-31, May.
    4. Silvia Iodice & Filipe Batista e Silva & Gustavo Romanillos & Borja Moya-Gómez & Anne-Marie Morrissey & Kirsti Ala-Mutka & Daria Konitz-Budzowska, 2025. "The Place and Role of Environmental Labels for Tourist Accommodations: A Survey-Based Characterisation for the European Union," Tourism and Hospitality, MDPI, vol. 6(1), pages 1-24, February.

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