In transitioning German tourism SMEs towards greener practices, we encounter several challenges and gaps. Firstly, there’s still a prevalent lack of understanding regarding sustainability concepts and certification schemes among SMEs in the tourism sector. The abundance of sustainability certification schemes poses a challenge for SMEs, necessitating assistance in selecting the most suitable option. This hinders them from implementing comprehensive sustainability initiatives and attain recognized certifications, critical for credibility and competitiveness. Challenges are further related to paperwork burdens, limited capacity (money and people), and time constraints, amplified by the need for external expertise and specialized knowledge. Additionally, SMEs often face difficulties in getting the right information about newly introduced EU or national legislation related to the green transition, leading to uncertainty and non-compliance. As legislation is often not applicable to such a small company, the interest is low.

Many lack a concrete sustainability strategy, particularly micro-businesses, focusing instead on economically driven decisions and re-acting instead of anticipating. In addition, measurement of sustainability impact remains a challenge due to limited capacity and knowledge about suitable KPIs.

Interestingly, also communicating sustainable initiatives to clients proves challenging, as they may perceive responsible options as offering less quality for (more) money, and therefore are often unwilling to pay extra. (Financial) Support from public authorities is essential, while collaborations with municipalities and tourism associations also require further expansion. Ultimately, the interviews highlighted the following gap: certifications and sustainable practices are predominantly driven by market demand rather than intrinsic motivation.