The “S” factor: Why social sustainability matters in student living

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Our industry is engaged in an important dialogue to improve the efficiency and resilience of real assets through transparency and industry collaboration. This article is a contribution to this larger conversation and does not necessarily reflect GRESB’s position.

The sustainability conversation in student accommodation has long focused on technology and infrastructure. But this misses something fundamental: lasting change happens through community, not equipment. In student accommodation, where students live in proximity and social influence is strongest, the biggest untapped opportunity lies in community.

Real-time data becomes powerful when it creates social context; and students are far more likely to engage with sustainability when it feels like a shared social mission rather than an individual obligation. Gamified challenges that encourage team participation, and recognition within peer groups tap into social norms and create positive peer pressure. In a student accommodation environment, where community life is central, social dynamics intensify change, turning energy efficiency into a collective achievement.

ESG can, and should, become woven into the social fabric of student life, not just tracked in annual statements.

Data & building community

While research on social nudges shows that energy use comparison to neighbors can lead to reductions in consumption, the effect is magnified in shared environments like student halls. Floors competing against each other, and rewards for low-consumption streaks turn sustainability into game. It taps into fundamental human motivations about belonging, status, and peer influence.

And, unlike residential neighborhoods, student accommodation concentrates young people who already interact daily and share common spaces. The density and social dynamics of student communities create ideal conditions for competitive engagement strategies, leveraging the social nature of the environment to make sustainable behavior the norm, not the exception.

Encouraging energy conservation behavior often brings difficulties due to a lack of alignment with consumers existing values, interests, and cognitive biases.

Instant, individualized feedback changes the dynamic vastly. A student adjusting their thermostat can witness the effect within moments, making energy consumption feel real and controllable. The cycle becomes self-reinforcing: observation prompts adjustment, adjustment provides results, and results encourage sustained change.

 

Changing behaviors & behavioral economics

A behavioral program using home energy reports found that nudges in the form of comparison of electricity use with neighbors resulted in 1.4%-3.3% energy savings. Behavior-based energy efficiency programs have been found to be as cost-effective and, in most cases, cheaper than technology-oriented measures. The key insight: technology alone is necessary but not enough. Maximum energy savings require combining technology with socially aligned behavior-changing approaches.

The evidence base for behavioral interventions in energy consumption is substantial and growing. A systematic review of 44 international studies analyzed nudge-like interventions including social comparison, commitment devices, goal setting, and labelling. It was demonstrated that these relatively inexpensive non-price interventions can be powerful tools for shaping energy behaviors without removing students’ freedom.

To maximize engagement, gamified energy-saving programs must consider social inclusivity. Diverse student populations have varying motivations and cultural perspectives on sustainability. Designing challenges that appeal to different social groups and ensuring equal access to participation fosters a more cohesive community. Inclusivity not only enhances the effectiveness of behavioral interventions but also reinforces the student accommodation’s role as a socially responsible living environment.

The gamification strategy

Gamification literature provides compelling evidence for why competition and social feedback work so effectively in sustainability contexts. Gamification can increase engagement and motivation for green consumption behavior, creating a sense of community and social connection while fostering a sense of competition and achievement.

A review of gamification in energy systems reported energy savings from gamified solutions ranging from 4% to 42%, demonstrating their significant potential to transform energy consumption behavior. The results consistently show that gamified approaches can deliver meaningful financial and environmental outcomes simultaneously. This evidence base is precisely the value proposition that Student Accommodation operators require—measurable energy reductions that translate into lower operating costs and improved social performance.

The E, S, G and financial performance link

This isn’t just about environmental credentials either. When both sides benefit—when students feel a stronger sense of community and operators see better asset performance—ESG stops being a cost center and starts generating value. Lower energy consumption means lower operating costs. Better building performance means higher valuations. More engaged communities mean better retention and reputation.

It has, however, been found that while these interventions increase social welfare, traditional evaluation approaches often exaggerate gains because they ignore costs incurred by recipients. The importance of designing student engagement programs that minimize friction and maximize genuine value for participants remains paramount.

The data infrastructure required for this approach—sensors, dashboards, engagement platforms—represents an investment, but one that pays dividends across multiple dimensions: operational efficiency, tenant satisfaction, carbon reduction, and ultimately, asset value.

What’s ahead for student communities?

The shift from viewing ESG and sustainability as a technological lever to recognizing social engagement as a key component to success represents a maturation of the student accommodation sector’s approach.

Students are not passive occupants to be managed; they are active participants who, when equipped with the right data and embedded within motivating frameworks, can drive substantial improvements in building performance. The key lies in fostering genuine community engagement and peer-to-peer influence, where sustainability becomes a shared endeavor rather than an imposed directive.

Connecting the physical asset and integrated technology with the daily life of students is where lasting behaviors will begin, and where community and collective identity will drive change. The most sustainable student accommodation is one where every resident feels valued, supported, and connected.

Sources

  1. Household energy use: Applying behavioural economics to understand consumer decision-making and behaviour; Elisha R. Frederiks, Karen Stenner, Elizabeth V. Hobman; https://www.sciencedirect.com/science/article/pii/S1364032114007990
  2. Social Nudging for Sustainable Electricity Use: Behavioral Interventions in Energy Conservation Policy; Pratik Mochi, Kartik Pandya, Karen Byskov Lindberg, Magnus Korpås; https://www.mdpi.com/2071-1050/17/15/6932
  3. Behavioral Economics and Energy Conservation – A Systematic Review of Non-price Interventions and Their Causal Effects; Mark A. Andor, Katja M. Fels; https://www.sciencedirect.com/science/article/abs/pii/S092180091731039X
  4. The behavioural effect of electronic home energy reports: Evidence from a randomised field trial in the United States; Marisa L. Henry, Paul J. Ferraro, Andreas Kontoleon; https://www.sciencedirect.com/science/article/abs/pii/S0301421519304094#:~:text=In%20the%20energy%20sector%2C%20the,market%20(Allcott%2C%202011) 
  5. Enhancing energy efficiency through user engagement and behaviour change: A review on gamification approaches and serious games in energy systems; Nermina Abdurahmanovic, Anna Cadenbach; https://www.sciencedirect.com/science/article/pii/S036054422503138X 
  6. The Welfare Effects of Nudges: A Case Study of Energy Use Social Comparisons; Hunt Allcott, Judd B. Kessler; https://www.aeaweb.org/articles?id=10.1257/app.20170328 

This article was written by Ben Roberts, Director, CMO and Co-Founder at Utopi Ltd. Learn more about Utopi Ltd here.

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