COVID-19 Pandemic's Influence on Business Strategies and Consumer Behaviour at Hilton Hotel UK

To what extent has the COVID-19
Pandemic Influenced the Business
Strategies and Consumer Behaviour at
Hilton Hotel UK? – A case Study.
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Table of Contents
Introduction......................................................................................................................................3
Aim: “To critically analyse the extent to which COVID-19 pandemic has influenced Hilton
Hotels business strategies and consumer behaviour”......................................................................4
Overview of the report:....................................................................................................................4
Research rationale:...........................................................................................................................5
Chapter 2: Literature review............................................................................................................5
Chapter 3: Research methodology.................................................................................................11
Research methods.................................................................................................................11
Chapter 4: Research findings.........................................................................................................14
Introduction..........................................................................................................................14
Chapter 5:.......................................................................................................................................25
Analysis of findings.......................................................................................................................25
Discussion......................................................................................................................................27
Conclusion.....................................................................................................................................28
Recommendation...........................................................................................................................28
Reflection.......................................................................................................................................29
References......................................................................................................................................31
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Introduction
In the last year, businesses, including hotels’ operations have been disrupted with the
emergence of COVID-19 pandemic and it is still ongoing. The event has also led to formulation
of strategies that are enabling businesses to weather the pandemic storm. The COVID-19
pandemic effect has forced many businesses to take some drastic actions including making some
staff redundant so as to reduce the cost of doing their businesses (Borrion, Black and Mwabonje,
2021). The impact of COVID-19 is being stroked by all productions around the world. Leaders
are navigating a comprehensive range of unified issues that span after keeping their staffs and
customer safe, shoring-up cash and liquidness, reorienting processes and navigating difficult
government support agendas. On this note, it is reasonable to argue that the strategies put in
place by businesses are geared towards the achievement of vibrant operations and the desire to
continue to provide services that meet and enhance customer satisfaction in the hospitality
business sector. To this extent, this study focuses on the extent to which the COVID-19
Pandemic has influenced the Business Strategies and Consumer Behaviour at Hilton Hotel UK.
Contextual Information
Hilton Hotel has been operating in the UK for 101 years. The hotel remains one of the most
competitive businesses in the UK’s hospitality sector in terms of the business performance and
market share (McIlroy and Stanton, 2017). It is important to note that the hotel has more than
2406 hotels globally with approximately 408,000 rooms. In spite of the pandemic episode of the
recent time, in 2020, Hilton hotels management devised effective innovative strategies to
maintain the quality of their services to guests. This research aims to present a critical analysis of
the changes that Hilton Hotels has made in response to COVID-19 pandemic. The hotel make a
brand is beleaguered at both business and freedom travellers with sites in major city centres, near
airports, agreement centres, and popular holiday destinations about the globe.
Statement of Problem
The Covid 19 pandemic is affectation impact on the way client behaviour is affected because of
the altering nature of external working setting. The hospitality travel and travel subdivisions are
hard hit because of the varying condition of Covid 19. The patrons spending and customer
behaviour will affect the present condition & working of friendliness brands. It is very important
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to analyse systematic growth for managing the problem and considered the effective changes and
achieve wider range of problems in an effective way.
Limitation of the study
In the present research work there is limited available of information collected from identified
primary and secondary sources. The report consists of limited accessibility to the information
that is internal information associated with Hilton because of some privacy and confidentiality
issues. So there is overall limited accessibility to information which may affect the overall
quality of research work in long run. It is further provide different limitation to limited
accessibility to complete make information for gain more manage confidentiality about the data
and manage systematic growth in achieve objectives.
Aim: “To critically analyse the extent to which COVID-19 pandemic has influenced Hilton
Hotels business strategies and consumer behaviour”.
Objectives of the study:
 To analyse the different marketing strategies implemented by Hilton Hotel during the
COVID 19 pandemic.
 To determine the impact of COVID 19 on consumer buying behaviour.
 To investigate how Hilton hotel maintained a strong competitive advantage during the
pandemic.
Questions:
 What are the different marketing strategies implemented by Hilton Hotel during the
COVID 19 pandemic?
 What is the impact of COVID 19 on consumer buying behaviour?
 Analyse the way Hilton hotel maintained a strong competitive advantage during the
pandemic.
Overview of the report:
Present report is based on analysing the different types of marketing strategies which are
implemented by Hilton hotel in the covid 19 pandemic situations, there is analysis of the way
covid 19 is affecting the process of customer buying behaviour. Apart from this it is also help
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Hilton hotel in the process of maintaining of strong competitive advantage during the scenario of
this pandemic situation. Present report is based on understanding of the different marketing
strategies implemented by Hilton Hotel during the COVID 19 pandemic, evaluating the impact
of COVID 19 on consumer buying behaviour and analysing the way Hilton hotel maintained a
strong competitive advantage during the pandemic.
Research rationale:
Present research report is going to assist in the process of developing the required researching
and communication skills. In professional context present report will help in understanding of the
way research is conducted. It will help in the process of developing a detailed overview of the
way research work is conducted by using of both primary and secondary sources of information.
Further it will set basis of the different marketing strategies implemented by Hilton Hotel during
the COVID 19 pandemic. This information is gather through personal and professional
knowledge for gain wide range of opportunities and gain skills in an effective manner.
Organisation of the study
The study will have five chapters:
Chapter 1 will be an introduction to the subject of enquiry
Chapter 2 will be a literature review on business strategies and consumer behaviours
Chapter 3 will present research methodology and design
Chapter 4 will focus on research findings
Chapter 5 will focus on analysis of findings, discussion, conclusion, recommendation and
reflection.
Chapter 2: Literature review
What marketing strategies were implemented by Hilton hotel during the Covid-19 Pandemic?
There are some of the marketing campaigns that have been started by Hilton presently for
the purpose of improving their brand image. Hilton has announced new memories as the global
marketing campaign (Ampountolas, Shaw and James, 2019). In these initiatives is driven
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initiative reflecting the customer desired to reconnect with the people and places which
customers have developed preferences. This campaign is focused on a covering the travel and
happiest memories of customers so that they are able to experience a travel memory deficit. The
results revealed the optimism and are our customers have for travelling and this is reflected in a
new campaign that is started by Hilton. There are new packages and promotion techniques which
are also used by Hilton for the purpose of attracting the customers as part of their global
marketing effort (Lai. and Wong, 2020). Main focus of Hilton is to launch the campaign in
China, Germany and United Kingdom. Hilton has developed campaigns to inspire customers to
move from the dream dreaming process to further planning of their next to create some new
memories. With the covid-19 outbreak everything in the customer preferences has changed
people on offering connections and seeking for more friendly experiences (Şanlıöz-Özgen and
Kozak, 2020). Hilton is helping their target segment of customers in making new memories by
using some emotional techniques to transform the customer behaviour. For this purpose Hilton is
focussing on use of some loyalty programs on social media applications. There is a new survey
commission by Hilton that reflects that there is nearly nine out of ten travellers who are willing
to associate with the travel memories are some of the happiest moment of their life. 95% of the
respondents from the survey had review that they are missing travel and 90% of respondents
believed that they are presently experiences or travel memory deficient. 91% of the people who
were surveyed believe that hotel experiences are one of the most important memories in their
whole travel experiences. The survey also resulted in two outcomes that nearly all the American
travels are surveyed to plan for the travel again once covid-19 restrictions are lifted (Chang, Ku
and Chen, 2019).
It can be argued that businesses in the UK have been having tremendous challenges in the last
year due to COVID-19 pandemic. Many businesses have shot down and many are still struggling
to recover from the impact of the pandemic (Balckburn and Wright 2021). It is associated with
the way there is adaptive nature from the view point of organisation. The emergence of the
pandemic compelled many organisations to adopt a virtual working approach. This has proved to
be popular within the UK hospitality business.
There has been a complete transformation in the overall customer buying behaviour because of
the covid-19 pandemic situation. It was slowly change the daily life for customers and this is
having an impact on the way customers are now engaged with their families, friends and
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communities. Customers are now focused more on online purchasing and digital aspects rather
than physical aspects for their purchasing. They are willing to download various applications to
fulfil their daily requirements. It is purpose across different industries where there is more focus
on digital versus traditional tools to enhance the customer engagement and improve their overall
present experiences. There is emerging behaviour that focuses more on contactless shopping to
be done because all the social distancing norms. Because of the shifting patterns and rising
unemployment there is decreasing personal disposable income it has also created a specific
requirement where customers are focusing more on daily necessity needs. After the pandemic
customers are more inclined to help the government in reviving the present country’s economy
and focused on ethnocentric behaviour. In this process customers are mainly focused on having
preferences for domestic products or the country origin products. This expresses the feeling of
economic nationalism where purchase is made to boost the nation’s economy post the covid-19
pandemic (Xiao, Hilton. and Mohammed, 2019).
Hilton hotel is a leader of the hospitality and travel industry. Hilton has launched many new
programs are new protocols for the purpose of supporting the customers across globe. The
specific measures that are offered by Hilton are mentioned below:
Contactless travel: Hilton is honouring applications and award-winning digital technologies your
members of the option for contactless arrival experiences. There are thousands of participating
hotels where guests can bypass the front desk by using the mobile phones to choose their rooms
for their second and unlock the doors and checkout. Hilton is offering honours program where
customers are free to download the application and take advantage of contactless arrival options.
Hilton cleans stay: Hilton working towards defining standard of hotel cleanliness and
disinfection that is created in collaboration with brands like that all and Mayo clinic.
Hilton event ready: Hilton has also developed a global meeting and event program that is
designed to create experiences that are flexible, clean, safe and socially responsible. Event
attendees and planners are expecting high standard of cleanliness that can help them in providing
creative solutions to meet and gather safely as well as comfortably.
Maximum flexibility: Hilton hotel is offering full flexible booking options with changes and
cancellation option also. The brand is offering options where individual reservation can be
booked and changed as per guest flexible requirements. Hilton is always supporting and
appreciating its loyal customers for this Hilton honours program is updated to provide greater
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flexibility to its members and for the help them in maintaining their status as well as points that a
reminder of 2020. In this scheme the expiry date of the weekend night rewards earned on eligible
Hilton cards will be extended till year 2021. It is a positive approach to attract customers and
help them in managing the loyal base.
Dream away: Hilton is having objective to make guess next memory closer and more attractive
so that they are able to understand the way covid-19 has transformed their experiences in a
positive manner. The main objective of Hilton dream away offer is to offer the guest with
flexibility to late second late check out early departure so that they are able to adjust their plans
and explore a new corner of the world by associating with Hilton(COVID-19: How consumer
behaviour will be changed, 2020).
For the purpose of the inspiring its customers Hilton is also planning the next travel memory
where they are offering a double rewards global promotion that was started on December 31
2020. In this all the eligible members are able to earn double Hilton honours bonus points per
stay and double night credits. It means that every night and members focus on earning the next
tier status plus they also earn points to use towards the future hotel stay. Members can register
themselves to Hilton honour and double rewards that can help them in getting the required
number of credits (Popov and et.al., 2017).
What is the impact of Covid-19 on consumer buying behaviour?
Evidence from Mastrogiacomo, (2021); there are some of the strategies that can be used
by Hilton hotels for the purpose of implementing the suitable changes after the post covid-19
scenario. Windows process state and requirement to make effective transformation of the
workforce by providing them respective training opportunities.
Updating digital usage: it is considered that in the hospitality industry it is very important to
make proper digital transformation (Baum, 2019). There is need to focus on achievement of
higher systematic growth it is required for focussing on digital assets which may help hospitality
organisation in growth. For this purpose various digital strategies are to be used as compared to
traditional marketing strategy.
Promoting cancelled reservation: Hilton hotel has to focus on promoting and offering a
flexibility services to their customers. It includes ensuring that there is managing of effective
growth and suitable changes. If customers are willing to change or modify their reservations last
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