Author(s): Pranav Aggarwal and Namita Kalra
This study examines guest willingness to pay for sustainable practices and creates a behavioural framework for understanding sustainable practice adoption in North Indian luxury hotels. We surveyed 405 guests at nine premium properties in Delhi NCR and used statistical analysis to identify demographic, communication, and behavioural factors affecting green premium acceptance and sustainable practice adoption in luxury hospitality. Our analysis used hierarchical regression, cluster analysis, and correlation analysis to find key predictors and build a quantitative framework for predicting guest behaviour. Results show that demographics, awareness, and communication effectiveness explain 45% of willingness to pay variance. Income is the strongest predictor (β = .28, p < .001), then age (β = .21, p < .001) and awareness (β = .26, p < .001). Four behavioural segments emerged: Eco-Conscious Advocates (28%) with the highest willingness to pay, Price-Sensitive Supporters (35%) - the largest segment with conditional premium acceptance, Convenience-Focused Guests (23%) prioritising service over environment, and Sustainability Sceptics (14%) showing minimal environmental engagement. Multi-channel communication combining staff explanations with digital dashboards was 18% more effective than single-channel approaches.