Pay more and sacrifice more for environmental practices? The role of compensation in hotel booking intentions

Abstract

This paper aims to further understand willingness to sacrifice and willingness to pay a higher price for booking a hotel with environmental practices. We examine the acceptance of individual sacrifices (without compensation) versus shared sacrifices between hotel-client (with compensation), and we shed light on effective compensatory methods. The research comprises three studies: a questionnaire to potential hotel guests and two experiments. The findings suggest that both the willingness to sacrifice and to pay a higher price are primarily determined by consumers' sustainable attitudes and perceived behavioural control. Social norms appear to encourage individuals to make bookings when sacrifices are rewarded. When customers are presented with a shared sacrifice proposition, the type of compensation (economic vs. social) influences their intention to book a hotel, although this effect is moderated by the price level. This study advances the literature on sustainable consumer behaviour and provides insights for hoteliers to enhance operational sustainability.