Travel Industry Poised for Increased ESG Investment in 2024: Amadeus Survey

Industry Optimism on Carbon Emission Goals

A recent survey commissioned by Amadeus reveals a strong belief within the travel industry that it can meet the United Nations’ goals for carbon emissions by 2050. According to the survey, which included responses from 896 senior decision-makers across North America, Europe, and Asia Pacific, nearly half of the travel companies plan to ramp up their investment in environmental, social, and governance (ESG) initiatives in 2024.

Survey Insights and Commitments

The survey, encompassing various segments such as travel sellers, hotels, airports, airlines, and destination marketing organizations, found that 89% of participants believe the industry can achieve net zero in carbon emissions by mid-century. However, a substantial portion (53%) believes that immediate and accelerated actions are necessary to reach this goal. In contrast, 36% are confident that the goal can be achieved without any adjustments.

Technology’s Role in Sustainability

The role of technology in achieving environmental and social objectives was a significant focus of the survey. Over 90% of respondents agreed on the importance of technology, with 33% identifying generative artificial intelligence as having high potential in guiding travelers towards more sustainable options. This optimism around technology contrasts with a recent Phocuswright report, which indicates a gap between travelers’ stated intentions on sustainability and their actual behavior.

Challenges to Environmental Commitments

The survey also highlighted challenges facing the industry in its environmental commitments. The main barriers identified include cost (40%), a lack of technology and knowledge (30%), and insufficient senior executive buy-in (25%). Despite these challenges, an encouraging 90% of companies reported having a strategy in place or planning to implement one in 2024 to reach environmental sustainability objectives.

Amadeus’ ESG Focus

Jackson Pek, Amadeus’ Senior Vice President and Group General Counsel, emphasized the company’s commitment to embedding ESG at the core of its business operations. Pek expressed optimism about the industry’s commitments, from strategic planning to technological solutions, in making travel more sustainable.