Brian Mullis
Nonprofit organization Sustainable Travel International in June announced a partnership with incentive consulting firm Margo Wendorf & Associates to provide corporate incentive and meeting planners "the tools and resources they need to manage carbon emissions, offer fair trade products, enhance cultural awareness and provide eco-certification ratings in the group travel industry." A 20-year veteran of the travel industry, STI president Brian Mullis discussed with The Transnationaltrends related to environmentally responsible corporate and incentive travel, and efforts toward "eco-labeling" for incentive planners. The incentive segment, he said, "wants some sort of eco-label to differentiate those that are engaging in responsible business practices. That is where we come into play. Our hope is to launch a standard for that sector within the next year." Excerpts of the conversation follow.
How can the leading sustainability practices of corporate travel translate specifically to group and incentive travel?
It's very transferable. It really boils down to: what are your policies and how do they support environmental conservation, fair trade, etc., and are you measuringand managing your impact? Do you know what your footprint is? That is usually the biggest challenge for a lot of businesses, no matter what sector they are in, inside or outside the travel industry: you can't manage what you can't measure. If you don't know what your carbon footprint is, how much waste you generate, electricity you are consuming, etc., then how can you reduce that, which in many cases would save you money? That is really the main idea that is transferable: a measurement and management framework supported by sustainability-oriented policies. If we take a look at any area--waste management, carbon management, etc.--those things apply to any sector. We are also seeing an interest in the incentive sector in fair trade, where they will, a lot of times, give away tchotchkes or gifts as part of the event. Why not source those locally from the destination and ensure they are fairly traded goods? In terms of the food, why not ensure that it is locally harvested, sustainably sourced, organic or some combination thereof? Those opportunities are readily available and now, more and more, travel managers and procurement experts are seeking out that information. They really need a go-to, one-stop shopping resource, and that is where the relationship between Margo Wendorf & Associates and Sustainable Travel International will add a lot of value.
There are a lot of efforts out there to standardize or certify green suppliers, green processes, etc. Some seem legitimate, while others may not. How do you overcome that and create a standard labeling system for the buyer side?
It boils down to one thing: first-, second- or third-party certified. Is it being certified in a way that really requires accountability and transparency as part of the process? Third-party certified really is the only methodology that does that, and it requires that there is some proof or verification--evidence and documentation--required of the group that wants to be certified. By in large, the standards that we develop--although they are third-party certified--also are set up to be educational tools, as well as measurement and management tools. So if you apply for the program, you are going to get a measurement and management framework that is built into that certification initiative. If you chose to be certified, then you are able to self-assess yourself and you also have information at your fingertips so you can ramp things up over time. What we find is that most businesses have not started on the path to sustainability, but once they understand the framework, how it works and the policies that need to be in place, the barriers to entry are eliminated. Typically they'll begin to take an incremental approach, because you can't do it all at once but can take advantage of the low-hanging fruit opportunities. That is how we are going to achieve some success. And once the incentive industry has its own eco-label, which they don't now, I think there will be certain competition that will arise out of that so a company will want to show how they are different than their competitors.
If that eco-labeling is on the buyer side, how difficult is it to get buy-in on the supplier side, including airlines, hotels, etc.? For example, we have heard some airline executives recently discuss how they cannot be distracted right now by sustainability and emission-capping efforts, given the financial difficulties they are having that outweigh all other concerns at this point in time.
I'll cite an example: We just launched a standard with Leading Quality Assurance, which is the certification body for the Leading Hotels of the World and also works with a variety of other luxury hoteliers. The luxury market definitely has been hit, just like all the other markets. But we have seen several dozen applications come in at the launch of this program. People interested in sustainability realize it is not going to go away. Certainly bigger businesses like airlines are not going to jump onboard as quickly as tour operators and hoteliers, but it is just a matter of time. We work with several of the largest airlines in the world, and they are doing a lot of great stuff in terms of sustainability. You are right, they are focused on making sure that their businesses stay afloat, first and foremost, but sustainability is a top agenda item because it has to be--because of these mandates that are occurring in the European Unionand probably shortly here in the United States. If frameworks exist that help them in their cause, then we will see some adoption there. We are trying to get at least one airline onboard to pilot our certification program, because we have not had any airlines go through it yet. Somebody has to be the first.
Back on the buyer side, we have seen some conflicting research as to whether corporate social responsibility generally, and perhaps green travel more specifically, have fallen off the agenda given the economy. Some research suggests companies feel they cannot focus on that right now, while other research says it remains an agenda item. From your perspective, based on the companies you work with, what are you seeing in that regard?
By in large, sustainability is not going anywhere. Some of our clients are backing down a little a bit on their sustainability commitments--they are not doing as much as they were last year or perhaps the year before--whereas others are really ramping up their initiatives. If you measure success on the number of clients we serve, and the donations and revenues we generate from that, we as an organization are growing. To me, that and that alone is indicative of the fact that it is here to stay. Yes, some folks might have a need to back up on their sustainability commitment or look at other means or other options that are low- or no-cost, but, all in all, I'd say the industry is embracing sustainability more now than ever. Perhaps businesses are focused on reductions where they can on the environmental side, but the environmental side of the equation typically requires investment considerations, so we are seeing a trend more toward the human side of the equation, where [companies] are making sure they benefit the destinations where they operate. We are seeing more companies--particularly tour operators and destination management organizations--creating philanthropic arms to give back, anything from building schools and sustainable agriculture to environmental conservation initiatives.
What group is the partnership with Margo Wendorf targeting?
It is really the group travel, incentive and meeting planners. That is the primary group we are targeting, and secondary would be destination management organizations that make the meetings happen on the destination level. The whole premise is: Let's green up that whole segment of the travel industry from the ground up, by starting with low-hanging fruit opportunities that are low- to no-cost for our target audience, and then work with them to ramp things up over time. Our goal is essentially to bring awareness of environmental and social best practices to the incentive and group travel industry, and to contribute measurable evaluation criteria to really provide an industry paradigm that is accountable and transparent. Based on our experience in all the other sectors, I imagine we are going to get companies of all sizes and all levels of experience in terms of sustainability: those that are new to sustainability, those that are engaging in some practices but want to refine their approach and those that have long-standing green commitments. What the travel industry has found over the course of the past three years is that green and responsible travel are not trends. They really have become part of corporate and consumer expectations and culture. Now that it is here to stay--while this sector has been late in coming to the table--they realize that there is need there and there certainly is an opportunity to differentiate themselves from their competitors, expand their market reach, attract new clients and those types of benefits.