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Hotel & Resort Sustainability – Principle IV

Capitalism meets Saving the Earth

inˈsentiv| (noun) – a thing that motivates or encourages one to do something, or a payment or concession to stimulate greater output or investment

Incentives are a basis in a capitalistic system. It gives it inertia. In this reward based world, incentives are even expected. So how do they into the game of sustainable development? Well, without them, a project can lose the “interest” of potential investors or partners and ultimately the project’s prospective customers and cash flow. For a successful sustainable development project to work, therefore, incentives must be considered.

So if incentivizing sustainable development is important to your investors and stakeholders, are they too arduous to consider? Not at all! Especially to the “right” investors. Incentives just have to be predictable, measurable and attainable – long term, sustainable, return on investment with negative environmental impact.

Incentive programs for your guests can simply mean happy, contented and comfortable guests. What do happy and comfortable guests give you – a return on YOUR investment; that is, returning customers. Happy customers give referrals, return their business, and typically continue to bring in revenue – for years to come.

Happy investors are, well, happy investors. Why? Because if they are happy they keep their support and money in your projects and maybe even future projects. That is vital to your long-term success. So here is the “sustainable” formula:

Investment = Partnering = A “game changing project” = Profits = Re-investment

Simply stated, Investors want to know that the long term value of their investment has been considered. They want to know you have considered the costs associated with sustainability and these will be controlled. The incentives you provide your investors are simply a well-planned out project with a projected return on investment they will be happy with in the long run. Obviously each project or investor/partner will have varying deal terms/thresholds that investors want to achieve (IRRs most notably) but the basis of a sustainable deal will start and end with the core difference of a project’s ability to “give back” to society in some key way, while still maximizing profit potential.   Applying the above formula is how incentive-based projects work.

Guests are actually easier to incentivize. They want a hotel they are happy with, can tell their friends, colleagues and TripAdvisor about and (importantly) they can return repeatedly. One that provides them the amenities and comforts they want for the best investment of their money. Importantly, they want the most bang for their buck. Therefore, planning your hotel project with the key target market in mind can ensure you are anticipating the wants and needs of the guests that will be attracted to your hotel. Providing incentive programs that target these guests will help guarantee your guests will be happy and returning in the future. Return guests are what will keep you in business. With great projects funded by and with contented investors.


Until Next Time,


Robert Colin Bryant - Founder, TBG Innovative Ltd.

TBG Innovative specializes in the planning & development of international 5 star hotels, blending real estate, branding, master planning, and construction to create “great destinations”.  To learn more about TBG Innovative visit us at