Start An Eco Hotels Business - Business Ideas

Updated: September 15th, 2022
Start An Eco Hotels Business

Please note that the data provided in this article are estimates and may vary depending on various factors, and should not be considered as perfect or definitive.

An eco-friendly hotel employs sustainable practices to reduce its impact on the environment. Some measures include energy and water consumption, zero waste generation, and eco-friendly products in its maintenance, services, and supply chain.

According to statistics, a third of consumers prefer sustainable brands. In addition, tours and travel brands like Tripadvisor have developed a Green Leaders program.

Starting an eco-friendly hotel brand is profitable and a way of supporting environmental conservation efforts. If you are starting an eco-friendly hotel, sensitize your staff on the importance of ecological conservation. Some eco-friendly ideas to consider for your hotel include:

  • Cutting down on the use of plastic water bottles by adding a water filling station in the lobby
  • Offering guests a reusable branded water bottle
  • Installing towel racks in bathrooms to make it easier for guests to reuse the towels
  • Making recycling options easy to spot

Starting an eco-friendly hotel may sound. However, with more people becoming sensitive to environmental preservation, an eco-friendly hotel could be more profitable than you expect.

Starting an eco hotels business requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell eco hotels services, or selling eco hotels services online, you can use this page as a guide for everything you'll need to know.

Key Stats

market size
$285B
starting costs
$18.9K
gross margin
43%
time to build
270 days

Startup Costs

Min Startup Costs Max Startup Costs

Equipment & Supply Expenses

$66

$1,200

Retail Business Expenses

$1,250

$11,650

Inventory Expenses

$350

$14,750

Advertising & Marketing Costs

$75

$9,636

Software Expenses

$0

$425

Website Costs

$13

$215

Total Startup Costs

$1,754

$37,876

Successful Businesses

Business URL Rank

Ecobank

ecobank.com

41,668

CN Traveller

cntraveller.com

50,614

Hotel Scoop

hotel-scoop.com

122,765

Welcome to Antec

antec.com

165,206

Soneva

soneva.com

268,052

The Fern Hotels & Resorts, India

fernhotels.com

276,360

Ecofriend

ecofriend.com

281,426

Ecobnb: Find your sustainable accommodation

ecobnb.com

327,366

Xel-Há Park in Tulum

xelha.com

337,971

Koh

koh.com

349,344

Eco-Age

eco-age.com

513,211

Pros & Cons

Pros Description

Rewarding work

Starting a eco hotels business can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.

Meaningful business connections

You never know who you will meet as a eco hotels business. This could be the start of an incredible business opportunity!

Daily physical activity

Eco Hotels Business's typically involve a much greater degree of movement than other lines of work. Most days, you will spend your day walking, running errands for your business, and performing a multitude of tasks. This can have a positive impact on energy levels and your overall health.

Amazing perks and discounts

Working in the eco hotels business comes with its perks! As a seller for these products/services, you typically also get to enjoy industry perks and discounts.

You are your own boss!

With starting an eco hotels business, you are the one to make decisions for almost all of the operations. Calling the shots can be empowering and liberating!

Local Community

One of the best parts of starting an eco hotels business is that you can develop a local following by selling your products at craft shows, farmers' markets, or even local storefront businesses! This gives you access to additional revenue streams and loyal customers.

Cons Description

Crowded Space

Competition is high when it comes to your eco hotels business, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.

Finding The Right Supplier

Most businesses in this space go the supplier/manufacturer route, which isn't a bad thing! However, finding the right supplier can take a lot of time, energy and trial/error. If done properly, this process can save you months (if not years) of time and energy. More on this below in the "finding a supplier" section.

Motivation of employees

If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.

Low margins

The gross margins for your eco hotels business are typically around 43%, which can make it more challenging to incur new expenses and maintain profitability.

High employee turnover

In the eco hotels business, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.

Taxes

As a eco hotels business, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.