An Analysis of Consumer Behaviour in the Hospitality Industry (Report)

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This report provides a comprehensive analysis of consumer behavior within the hospitality industry, focusing on factors influencing consumer decisions and attitudes towards the sector. It examines the impact of cultural, social, and psychological factors, alongside the changing consumer trends driven by digital technology. The report further explores the consumer decision-making journey, mapping the path to purchase for hospitality services and highlighting the importance of understanding this process for marketers. It contrasts decision-making processes in B2C and B2B contexts, evaluates market research approaches, and assesses how marketers can influence the various stages of consumer decision-making. The analysis uses Center Parcs UK as a case study, providing specific examples and insights relevant to the hospitality sector. The report concludes with a synthesis of key findings and recommendations for effective marketing strategies.
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Hospitality Consumer
Behaviour Insight
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Table of Contents
INTRODUCTION...........................................................................................................................3
P1 Examine the various cultural, social and psychological factor which influence consumer
behaviour and attitudes towards the hospitality sector ..............................................................4
P2 Explore how consumer trends are changing due to the impact of digital technology...........5
TASK 2............................................................................................................................................6
P3 Examine the stages of the consumer decision making journey and map a path to the
purchasing for a given hospitality sector....................................................................................6
P4 Explore why it is important for marketers to map a path to purchase and understand
consumer decision-making in the hospitality sector...................................................................7
TASK 3 ...........................................................................................................................................8
P5 Compare and contrast key differences of hospitality decision-making process in context of
B2C and B2B..............................................................................................................................8
P6 Evaluate the different approaches to market research and methods of research used for
understanding the decision making process................................................................................9
TASK 4..........................................................................................................................................10
P7 Evaluate how marketers can influence the different stages of hospitality decision making
process giving specific examples..............................................................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
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INTRODUCTION
Consumer behaviour insight is process of interpreting the human behaviour which help in
providing the efficiency of the product and services for the customers in a well define manner. In
other words this this is the method of analysing the market and the current trends ad which help
in building healthy relationship with the customers (Altinay and Taheri 2019). Beside this
consumer insight is essentials as it allows business to acquire larger market share and also help in
retaining the customers. This report is based upon the main Center parcs UK which is an short
break holiday company operating in United kingdom and Ireland. The company was founded in
the year 1987 and its headquarter is located New Ollerton UK. This report is based upon
different cultural and social as well as personal factor which influence the consumer behaviour as
well as attitude in the selected organisation. Trends are essential to examine and impact of digital
technology in hospitality industry. For expansion and growth it is important to develop the
consumer behaviour insight to create a map for the hospitality service. Alt last this report covers
about the various stages which is essential for making profit.
P1 Examine the various cultural, social and psychological factor which influence consumer
behaviour and attitudes towards the hospitality sector
Consumer behaviour insight is the interpretation used by the business to get a deeper
understanding of the customer and how they feel and behave during the purchase decision
making. Analysing the human behaviour allows companies to really understand what are the
consumer needs and wants. Here are some of cultural factor which are briefly explained down
below:
Cultural factor influencing customers behaviour
Cultural factor are comprises of set of values and ideologies of the particular community
or the group of peoples. The cultural factor have the significant effect on the individual buying
decision making process . So it is essentials for the hospitality sector to maintain cultural
environment because there are different kinds of customers present so company must respect
each and every culture for making goodwill in the market. Here are some cultural factor which
are explained down below:
The culture include religion and cast which define the individual personality which are
important for the company to understand in order to provide better services to the
consumers.
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Along with this culture refers to the gender as well as social class of the people as this
have the huge impact on the minds of the customers. For the organisation like Center
Parcs the management should have proper culture as different kinds of people are the
customers of the company.
Social factor:
These are the factor which are divided into different groups , roles as well as status. Here
the references can be the major impact on the consumer buying behaviour (Möhring and Schmidt
2019). So leaders plays an vital role an vital role in managing and controlling the services
offered by the company . In the context of Center Parcs the manager should provide better
services and develop the strategies for having effective social culture in organisation.
Psychological Factors:
These are the factor which include motivation, perception as well as attitude of the
individual . This help in analysing the consumer attitudes towards buying decision of the
company. For example if the customers is happy with the service of Center Parcs then they will
plan and the next trip with the similar company and they will recommend to other people for this
particular company.
P2 Explore how consumer trends are changing due to the impact of digital technology
In the recent years the technology have played a vital role in changing the needs and
wants of the consumers. The digital technology have change the face of doing business as it help
in reaching the goals and objective effectively. So in the case of hospitality industry the digital
technology gives immense opportunities to the organisation to expand the business effectively.
Here are some of the digital technology which impact the consumer insight in the well define
manner.
Brand trust and likeability: Technological advancement have made easier for the
company to attract more and more and customers. Now a days with the help of technology
the firm can promote at the larger scale which help to build trust and likeability in the minds of
customers. This influence customer behaviour and help in improving the sales to become more
trustworthy. It is achieved by making the content marketing which help in improving the online
presence in the market. Along with this it help in providing better services and the past
experience, reviews and training which help the company to make quality decision.
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Fulfilment solution drive seamless customers experience: Digital transformation has
pushed the company into the mainstream. Now digital shopping have become trend so the
company have to optimize the supply chain in order to provide superior shopping experience.
For the company like Center parcs the company should adopt new technology in order to provide
better services in the limited time period (Nusair and Nikhashemi 2019). The past years the
expectation of seamless shipping, delivering have increase. So company are focusing on
providing high quality service as the customer have become more demanding due to various
competitors present in the market. So the company should provide satisfactory services to the
consumers.
Digital technology provide convenience in offering: With the advancement in the
technology the company have changed the way of doing business. Hence now a days company
offer 24/7 services in order to make better create goodwill and brand image in the minds of the
customers. Beside this, it help in providing better services which help in fulfilling the aim and
objective of the company. As per the report it has been concluded that there each and every
individual is using smartphone. For the company like Center Parcs, is emphasizing on
developing online information which help in providing the buying behaviour of the people which
provide insight in order to offer better services to the consumers.
TASK 2
P3 Examine the stages of the consumer decision making journey and map a path to the
purchasing for a given hospitality sector
Consumer decision making is the journey is process of describing how the consumer are
making the purchase decision. This is consider as the perspective which help organisation to
figure out the decision process which are made by the consumer before buying any product. This
also known as the economic activities which provide the satisfaction to the end user. This is
crucial factor for the company to provide high quality services as there are many rivals present
in the market. This is consider as the complex procedure which involves everything from the
problem recognition to the final decision in purchasing of the product. The consumer buying
decision process consist of five different stages which are explained down below:
Need recognition: Need recognition occur when the consumer specifically determine the
needs. They feel like they are missing something which are required to be fulfilled in certain
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amount of time. So it is essential for the company to determine the target and start to develop the
needs for the buyers in order to make revenue as well as capture larger market share. For the
company Center parcs the marketing team is responsible for creating the needs in the minds of
the customer with the help of aggressive marketing . Along with this, firm can take help of
various promotional tools such social media as this is one of the cheapest mode of promoting
there product and services effectively.
Information search: This is known as the second stage in buying decision making
process where buyer tends to change continually as consumer require to have more and more
information regarding the product which can satisfy the needs and wants. In this case the
customers take help internal as well as external information search. The information can also be
gathered through the recommendation from the people having previous experiences with the
product and services. At this level, consumer tend to have list in order to avoid the risk and
uncertainty present in the market.
Evaluation of alternative: This step involve figure out the different alternative which
are available in the market while considering product life cycle. There are various option present
in the market as so customer search for the similar product which include different elements such
as price, features and durability. So it is essential for the company to provide quality services in
order to avoid alternative search.
Purchase decision: In this stage, the customer finally decide to purchase the product. At
this level the consumer evaluate all the facts which are arrived at the final conclusion that which
is either based upon the influence from the marketing campaign or have a emotional connection
with the company.
Post purchase decision: The post purchase of the product is followed by the post
purchase evaluation as which help in analysing whether the product are useful for the company.
If the product is matched with the expectation of the customers effectively. This is similar for the
negative experience if the services are not up to the mark.
P4 Explore why it is important for marketers to map a path to purchase and understand consumer
decision-making in the hospitality sector
In in the developing modern world it has been identified that most of the customer have
different decision making process which include brand as well as product which is offered by the
company. The behaviour of the consumer is dynamic in nature so the firm have to identify the
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needs in order to offer better quality services effectively. For the sector like hospitality there is a
tuff competition so to avoid this rivalry the company have to offer better quality product as well
as services which leads towards expansion and growth. The Center Parcs management should
offer high quality services to create a better impression in the minds of users. Here are some
steps which are help in analysing the consumer behaviour in a well define manner:
Advancement in technology: The technology have played a vital role in understanding
the consumer buying behaviour. Along with this, it help in providing better services which
include internet , computer marketing. The improvement in the technology have reduce the cost
and enhance the work which help in providing better services to the consumers without wasting
time. In the context of Center Parcs it is essential to use advance technology such as serving with
robots to the customers and taking feedback in order to provide satisfactory services to the
consumers.
Benchmarking the band promise: The company is essential to do mapping as help
them in improving the quality which help them to setup the brand image in the minds of the
customers. Hence this help in providing the better services which leads towards expansion and
growth. So in the case of Center parcs the company should put emphasis on there offering rather
than just providing services.
Influence of Marketing Mix: The company must use marketing mix because it help in
making effective marketing strategies which help in reducing the risk of uncertainty present in
the market. For the consideration of the organisation like Center Parcs the company have to
develop mix plan which help in providing the better insight of the market so that company can
avail better services to the consumers.
Economic View Model: The economic view model is the company to represent the
economic process by the set values of variables and the set logic in order to develop the
quantitative relationships between them. For the company like Center this is essential to
implement this model in order to figure out the effective way to offer better services without
increasing the cost. This will help in assisting the company to provide better services which leads
towards making profit in a well define manner.
Cognitive view: The view help in help in understanding the needs as well as wants of the
customers to so provide premium value products through developing effective strategies. So
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Center parcs management should have cognitive view which help in maintaining the healthy
relationship with the customers for the long run.
TASK 3
P5 Compare and contrast key differences of hospitality decision-making process in context of
B2C and B2B
For the marketing function of the company it is essential for the company to understand
the B2C and B2B are regarded as form of commercial uses (Buhalis and Sinarta 2019). Hence
this is essential for the company to provide better services so is important to understand the
impact and the way of doing business of B2B and B2C. Here are some basic difference which
are explained down below:
Particulars B2C B2B
Finding the needs In this particular stage, the
company have the major
responsibilities in offering
high quality service also
identify the needs and wants of
the customers.
In the scenario of B2B the
company should maintain the
market as they do not interact
directly with the customers.
Purchasing decision In the case of B2C the
company consider the
customer as the important
factor and make sure about
offering better services to the
customer.
In the context of B2B the
company compares different
components which include
pricing strategies, nature of
consumers.
Decision related to market
size
In this management of the
company take feedback from
the customers and make
changes as per the
requirement.
For B2B, the organisation
perform differently as they
have to look after the various
factor such as income level,
age group and occupation to
understand the B2B business.
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P6 Evaluate the different approaches to market research and methods of research used for
understanding the decision making process
In this competitive world if the company have to survive the organisation have to proper
research and development in order to avoid the conflict and uncertainty present in the market
(Kustos and Bastian 2019). The company Center Parcs has used both business B2C and B2B
market research that are given below:
Approaches of market research in B2C
Market research is important for the company and the information is collected in the form
of primary method as it provide first hand as well genuine information of the related issues. Here
are some method which are explained down below:
Questionnaire- In this source, researcher design questionnaire in order to get information
that assist in improving value of organisation and effectiveness of assignment.
Personal Interview- In this source, researcher conduct face to face interview with people
to know about their perception and view regarding products and service of respective
organisation. With this consumer decision making process can be understood.
Market Research Approach in B2B
Under the business to business the company mainly focuses on market as well as
competitor which help in providing better services to the different organisation. Under this
company uses secondary method of data collection which such as websites, internet and external
sources. Here are some method which are explained down below:
Government agencies: Here government agencies plays an vital role in making polices
as well as which organisation have to follow respectively in order to provide better services to
the customers.
Records and social media: The company can take information for the records as well as
from social media which help Center Parcs to understand the needs and wants of the customers
and offer then high quality service in the future.
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TASK 4
P7 Evaluate how marketers can influence the different stages of hospitality decision making
process giving specific examples
The marketer plays an vital role in offering services and also influence the buying
behaviour of the product (Bhushan 2019). The company marketing team usually determine the
user and create the need which can be useful for the final users. In the context of Center parcs the
company marketing department indulge in making promotional activities in order to improve the
sales of the company effectively. Here are some strategies which are suggested for B2C and
B2B assist in influencing market through adopting various methods such as:
Promotional activities: There are different marketing campaign and promotional
activities which are important for attracting more and more customers. The company can use
social media as the promotional tool which help in capture the larger audience in the well define
manner. In the case of Center Parcs the company should hire creative marketing team which help
in creating brand image as well as goodwill in the minds of the customers.
Perception: This help in defining the how consumer behave while purchasing the
product. Hence this become essential for the company like Center parcs to understand the market
and with the help of proper research as this will help in offering better quality product and
services.
CONCLUSION
From the above mentioned report it has been figure out that consumer behaviour is
essential for any organisation in order to offer value for money product. Along with this it is
essential to understand the needs and wants of the customer as they have high expectation which
is important to fulfil by the company. The journey of consumer buying decision making process
starts with the need recognition from the post purchase decision. This is the major responsibility
of the organisation is to provide better services for increasing the market share. B2B and B2C are
important business which helps in increasing profits margins and productivity in an effective and
efficient manner for better outcomes.
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REFERENCES
Books and Journals
Altinay, L. and Taheri, B., 2019. Emerging themes and theories in the sharing economy: a
critical note for hospitality and tourism. International Journal of Contemporary
Hospitality Management, 31(1), pp.180-193.
Bhushan, S., 2019. Design thinking in hospitality education and research. Worldwide Hospitality
and Tourism Themes.
Buhalis, D. and Sinarta, Y., 2019. Real-time co-creation and nowness service: lessons from
tourism and hospitality. Journal of Travel & Tourism Marketing, 36(5), pp.563-582.
Creevey, D., Kidney, E. and Mehta, G., 2019. From dreaming to believing: a review of consumer
engagement behaviours with brands’ social media content across the holiday travel
process. Journal of Travel & Tourism Marketing, 36(6), pp.679-691.
Kustos, M., Goodman, S., Jeffery, D.W. and Bastian, S.E., 2019. Using consumer opinion to
define New World fine wine: Insights for hospitality. International Journal of
Hospitality Management, 83, pp.180-189.
Mariani, M.M., Borghi, M. and Kazakov, S., 2019. The role of language in the online evaluation
of hospitality service encounters: An empirical study. International Journal of
Hospitality Management, 78, pp.50-58.
Möhring, M., Keller, B. and Schmidt, R., 2019. Insights into Advanced Dynamic Pricing
Systems at Hotel Booking Platforms. In Information and Communication Technologies
in Tourism 2019 (pp. 265-277). Springer, Cham.
Nusair, K., Butt, I. and Nikhashemi, S.R., 2019. A bibliometric analysis of social media in
hospitality and tourism research. International Journal of Contemporary Hospitality
Management.
Olya, H.G., Bagheri, P. and Tümer, M., 2019. Decoding behavioural responses of green hotel
guests: A deeper insight into the application of the theory of planned
behaviour. International Journal of Contemporary Hospitality Management.
Prayag, G., Hassibi, S. and Nunkoo, R., 2019. A systematic review of consumer satisfaction
studies in hospitality journals: conceptual development, research approaches and future
prospects. Journal of Hospitality Marketing & Management, 28(1), pp.51-80.
Sahelices-Pinto, C., Lanero-Carrizo, A. and Vázquez-Burguete, J.L., 2019. Corporate social
responsibility and consumer behaviour in the hospitality sector: its effects on the
decision-making process. World Review of Entrepreneurship, Management and
Sustainable Development, 15(1-2), pp.132-150.
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