A few years back, research by The British Academy (2019) made a strong case for change in the business world, stating general loss of trust among consumers and the shortcomings of the current capitalist business approach, as well as the damaging impact on People and Planet. Since then, the practise of purposeful business has seen a major upheaval, in which companies take responsibility and bring meaning to their existence beyond the mere purpose of making money. More recent studies found that 8 in 10 (82%) consumers said they took action to support a company when they believed in its Purpose (Zeno Group, 2020) and that brands recognised for high-commitment to Purpose have grown at more than twice the rate of others (Kantar Consulting, 2020).

What Purposeful Business means for your hotel:

• Having a strong Purpose (as in, knowing the reason for your hotel’s existence and its overarching WHY) has the promise to transform and pushes you to strive for something better - be that a better world, a better way to do business, a better employer or whatever you believe is important. Ultimately, purposeful business is about delivering more than Profit for your hotel.
• The Bain & Company (2023) calls purposeful business “the secret weapon in the new war for talent.”  And we’re not surprised.  Sure, your hotel employees want the basics (a fair salary, feeling safe in the workplace and more). But these are just “qualifiers” as to whether your employees are satisfied or dissatisfied with your hotel. But for them to stay at your hotel, employees need their jobs to have Purpose, too. They want to be part of completing a worthwhile mission (aka your hotel’s Purpose).

Take this ONE action:

Ask yourself, what is that one thing that you and your team really want to achieve, change, or serve in 2023? What is the reason for existence for your hotel? We know it’s difficult to get you started on thinking about these things, and that’s why we wrote a whole handbook about finding your hotel’s Purpose. Finding your Purpose, your WHY, will – as studies prove – not only increase your Profit, it will also increase the attractiveness of your hotel as an employer as well as increase team spirit. In the end, as human beings, we all want to do great and meaningful work.

In many areas of life, People are increasingly shedding familiar gender roles, and awareness of the value of diversity in business and politics is growing. The megatrend, Gender Shift (Zukunftsinstitut, 2023b), is essentially about the questions of identity, stereotyping and new relationship- and family models. The discussions and answers to these questions are changing social perceptions and communications. As a result, inclusiveness and diversity are gaining stronger importance in the workplace.

What Gender Shift means for your hotel:

• In a challenging job market, diverse and inclusive hiring can be your game-changer. Because when you think about it, diversity is simply an effort to accommodate the full range of the human experience (and what’s not to love about that?). So, gender shift in the hospitality industry is about building more inclusive and diverse teams. This means having a variety of races, genders, ethnicities, ages, backgrounds and more represented within your hotel staff – and celebrating those special differences.
• That said, equal opportunity employment should not be just a step to bolster your employer branding but rather a core of your hotel’s hiring practices and living culture.
• Using inclusive language means your People (guests, employees, partners and the local community) are more likely to feel like they belong and can be their authentic selves.
• We all know that speech isn’t always necessary to convey a very specific message. Thus, “silent” bias might still very well be found in your social media, photographs, videos or other visuals around your hotel.

Take this ONE action:

Take off the blurred glasses and start looking around your hotel with a fresh set of eyes: What is the make-up of your hotel staff? What message conveys the non-verbal communications in your hotel? Are there any situations that consistently show members of any group as superior or inferior? Make sure that your hotel, and especially its communications, welcomes ALL People. And take a special look at your hotel photography. As the Gisler Protocol (2023) so eloquently states: whenever you look at the female role in photos and you can replace her with a flower pot or a puppy, then it is definitely discriminatory.

In the past, discussion and debates about the ecological dimension of sustainability were characterised by the question of who to blame, renunciation and, of course, greenwashing. But now researchers (Zukunftstinstitut, 2023c) are certain that the megatrend, Neo-Ecology, will shape this century like no other.  Why Neo? The term ecology comes from biology and originally referred to the science of the interrelationships between living beings and their environment. However, the prefix Neo (ancient Greek for new) accentuates the advanced understanding of ecology, which is rather the totality of the interrelationships between living beings and their environment as well as the combination of the environment and the economy.

Today, environmental awareness and sustainability are increasingly advancing from an individual lifestyle and consumer trend to a social movement - and to a central economic factor that influences all entrepreneurial spheres. It is no longer about renunciation but about what we gain. In a sense, it describes the emergence of a new business ethic. Even more so, when we adopt sustainable and pragmatic approaches to solutions that involve the fusion of People and technology, we no longer see it as a problem, but as the key to a neo-ecological future.

What Neo-Ecology means for your hotel:

• Your People are increasingly becoming globally responsible, and this will not only transform society from the ground up but also alter the logic of hospitality brands and marketing.
• Stop explaining to your guests why you don’t change towels every day or why you banned plastic straws. To be honest, these trivial measures are already expected of you anyways and your guests know the importance of them. Instead, focus on HOW you communicate your sustainability actions - going beyond the expectations.
•  And yes, green tech is not only a buzzword. The growth markets of the green tech industry include energy efficiency as well as sustainable mobility concepts. As more technologies emerge, successful entrepreneurs (such as you are) should be encouraged to inform themselves regularly about new helpful tools and devices. What are innovations or technological advances that you can implement at your hotel that will be good for People and Planet (and eventually for your Profit too)?

Take this ONE action:

Look at how you communicate your sustainability activities. As our expert Martin Stockburger shared with us in our Profit handbook, it is important to communicate in a non-dogmatic way, in a conversational tone and in an easy-to-read and honest manner. It is completely okay to also mention what you have struggled with and what challenges you have faced as part of your sustainability journey.

A few decades (or even years) ago, we would not have believed that economy and friendliness could go hand-in-hand. After all, everything in economics is about growth, competition and Profit. But now there is much to suggest that the economy is entering a friendlier phase based on real human values, such as respect, understanding and care: a true "Kindness Economy". This new economy is nice - to ourselves and our People, to the Planet and to our Profit (in that order). The Corona pandemic already showed us that it’s possible in a radical but effective way, influenced by a growing awareness for the environment and the future quality of life.

What Kindness Economy means for your hotel:

• Failure and success will be determined by those hotels that (don't) give a f*ck. Because guests no longer only look at price, but also question the product’s origin, the hotel’s culture and many other intangible social factors. Thus, successful hotels take a very clear approach, which we coined at MAp one of our basic sustainability mantras: Purpose + People = Profit.                                              
• Many hotels have been individual players for decades, but the future belongs to those who understand the advantages and benefits of partnerships and community. Together, they can achieve so much more. Partnering will be a crucial success factor in a world where changes don’t happen overnight. Not for nothing, it is also the 17th SDG.

Take this ONE action:

Get in touch with your partners and your local community. Discuss how you can serve your (and their) Purpose and what you want to achieve together in 2023. This also includes to stop seeing yourself as an individual player in an ever more complex market. Find partners with similar values and goals and start to create synergies and a bigger impact.

Talking about Profit, we have one more extra advice and action to offer: over the last years, the rules of economy have changed. Re-investment in your business is still a basic economic rule. However, this year, we recommended to our boutique hotelier clients to shift their investment efforts from hotel hardware to hotel humans. In the end, hospitality is a People-for-People business, so reinvest in YOUR People (in salaries, raises, benefits, growth opportunities, etc.) and do not forget to reinvest in yourself as well. As the leader and manager of your boutique hotel, you have to understand where the economy is going and get up to speed ASAP.

The prosperity of tomorrow’s hotels is based on new values - having a Purpose, being inclusive and diverse, communicating authentically and partnering up and being kind in order to do better for People and Planet. These aren’t just passing trends - they’re here to stay, and every business, in hospitality and beyond, will need to adapt as a result. Therefore, as sustainability becomes increasingly important and a measure of a hotel’s worth and success, follow the action steps we outline herein to help move you forward on the path to impact.

To assist you further, we’ve created a series of practical sustainability handbooks for boutique hoteliers, titled The Sustainable Hotel Handbook – Collection, which you can find here.

SOURCES:

Bain & Company. (2023). Purposeful Work: The Secret Weapon in the New War for Talent. Retrieved from https://www.bain.com/insights/purposeful-work-the-secret-weapon-in-the-new-war-for-talent/

Gislerprotokoll. (2023). Abschnitt: Kein Mensch ist eine Topfplanze. Retrieved from https://www.gislerprotokoll.ch

Kantar Consulting. (2020). Purpose 2020. Purpose led-growth. https://www.kantar.com/Inspiration/Brands/The-Journey-Towards-Purpose-Led-Growth

Portas, M. (2021). How to thrive in the new Kindness Economy. Retrieved from https://www.penguin.co.uk/books/445415/rebuild-by-portas-mary/9781787635166

The British Academy. (2019). Principles for Purposeful Business. Retrieved from https://www.thebritishacademy.ac.uk/publications/future-of-the-corporation-principles-for-purposeful-business/

Zeno Group. (2020). 2020 Zeno Strenght of Purpose Study. Retrieved from https://www.zenogroup.com/insights/2020-zeno-strength-purpose

Zukunftsinstitut. (2023a). Die Megatrends. Retrieved from https://www.zukunftsinstitut.de/dossier/megatrends/

Zukunftsinstitut. (2023b). Der Megatrend Gender Shift. Retrieved from https://www.zukunftsinstitut.de/dossier/megatrend-gender-shift/

Zukunftsinstitut. (2023c). Der Megatrend Neo-Ökologie. Retrieved from https://www.zukunftsinstitut.de/dossier/megatrend-neo-oekologie/

Dear Pavlina, it is so great to talk to you – a real expert in the field of circular economy. First of all, could you let our readers know how you started on your own sustainability journey? What has been your biggest learning so far?

Pavlina: Dear MAp team, thanks for the invitation – it’s a pleasure to be here. I started my journey learning about nature and wildlife from my mother, who was also a scientist. I have always been fascinated by living systems, and thus decided to study environmental sciences. I guess back then I imagined working in conservation, but later I realised the results from classical academic work are not tangible in the short-term, and thus decided to “get my hands dirty”, built a company myself and am supporting others on their sustainability journeys now. My biggest learning is to be true and opportunistic and follow my beliefs. No one would guess 10 years ago that today I would be codesigning products.

Please tell us: what is a circular economy? What are its core principles as well as some helpful examples?

Pavlina: There are many definitions for the circular economy, but I guess the most understandable is - this is a framework that designs out waste and keeps products and materials in use for as long as possible.

At MAp we are specialised in crafting sustainable hotel concepts and brands. What are your thoughts and observations on sustainability in the hospitality industry? What do you believe the future holds for the industry?

Pavlina: I feel that there is a movement around the topic of sustainability in every industry – customers are becoming more aware and are demanding solutions. The tourism industry and hospitality industry are also affected by the changing climate and social inequalities worldwide, and therefore hotel owners are looking for solutions in the space. Unfortunately, many of the solutions are still only marketing driven and not really tackling the root cause of the problems. I believe in the future, customers will become even more attuned and will be able to differentiate between green wishing and -washing and true sustainability, and those doing it only for marketing purposes will lose their popularity.

Do you have any recommendations for boutique hoteliers on how they can start and / or advance their sustainability journeys?

Pavlina: Start as soon as possible – you still have a competitive advantage as a first mover. Sustainability is here to stay and will be soon the new normal, and today’s niche market will take over conventional hospitality. It is an ongoing journey – be brave and improve constantly.

When we started working on The Sustainable Hotel, we were surprised to learn how many people still hold misconceptions about sustainability, e.g. that sustainability is expensive, complicated, only about the Planet, etc. What are the most common misconceptions you encounter while working with business owners?

Pavlina: The classical one – circular economy is just recycling. Another one that makes me laugh – this is not going to work, because it doesn’t work today.

What’s your biggest wish for the future?

Pavlina: That businesses shift from doing less (or no) harm to doing good for nature and society – the so-called regenerative economy.

As always, our final MAp meets question: what makes a hotel experience a truly outstanding one for you personally?

Pavlina: Personal attitude and of course visible sustainability efforts!

Your employees are key to your hotel’s long-term, sustainable success. After all, they’re the ones who ensure the smooth running of your hotel and who act as your brand ambassadors. That’s why you want to ensure you have the best ones working for you and that you keep them on for the long run.

But between the dried up labour market and “The Great Resignation,” in which employees are quitting at record numbers, we know all too well it’s hard to find employees - let alone hire those who are perfect for your hotel.

In a recent American Hotel & Lodging Association survey, 91% of hotels said they’re struggling to fill open positions (AHLA, 2022)

In the same survey, 87% of respondents said they’re experiencing a staffing shortage, with 36% describing their shortages as severe (AHLA, 2022)

One in five workers have quit or plan to quit their jobs by the end of 2022 (PwC, 2022)

Know who’s on your team first. Investigate the make-up of your current team in order to identify gaps where you can hire more diverse talent. Your goal = to hire 50% People representing diverse backgrounds (which should be reflective of your community’s demographics).

Have a Purpose. Having a Purpose in place will not only help your hotel to stick out, but attract those People who identify with that Purpose and want to contribute to its success.

Define your ideal candidate. Create an Ideal Candidate Profile that outlines your ideal candidate’s Behaviour/Attitude/Values, Skills/Experience, Goals, Needs (what they look for in a job) and Offerings (what your hotel can give them in return).

Use inclusive language in your job ad. Craft a job ad that uses inclusive language in order to appeal to a broader audience. To help you with this, download The Sustainable Hotel Insights: Job Ads HERE.

Cast a wide net. Market your job listings on different channels in order to reach more diverse candidates: set up an employee referral programme, reach out to hospitality schools, contact job programmes, post in groups where diverse candidates congregate, post on (local) job boards, hire a headhunter and promote on your online channels.

Assess the fit. In addition to the standard interview questions, ask the candidates the following questions to see if they meet the Ideal Candidate Profile you created: “What are your goals for the role?”, “What are your values?”, “Our Purpose is X – how can you contribute to it?”, “What matters most to you in a job?”

Make an offer. Ensure your job offer includes benefits and offerings that meet those needs outlined by your candidate, which will motivate them to want to work for you long-term.

Hotel Con Corazón (“Hotel with a Heart”) is a social impact hotel brand that invests its Profits (approximately 75%) in education and work. With two locations in the developing regions of Oaxaca, Mexico, and Granada, Nicaragua, guests who stay at Hotel Con Corazón support local communities to build a better future. Since 2008, the Profits of the hotels have enabled Hotel Con Corazón to support an average of 250 students per year through its education programmes.

Learn more about Hotel Con Corazón HERE.