Hospitality Consumer Behaviour and Insight - (Doc)

Hospitality consumer
behaviour
and
insight

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
LO 1.................................................................................................................................................3
Covered in ppt........................................................................................................................3
LO 2.................................................................................................................................................3
P3 Examine the stages of the consumer decision making......................................................3
P4 The importance for marketers to map a path for purchasing............................................6
LO 3.................................................................................................................................................7
P5 Compare B2C and B2B.....................................................................................................7
P6 Showing the different stages and approaches to market research.....................................9
LO 4...............................................................................................................................................10
P7 Evaluating marketers can influence the different stages.................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Consumer behaviour in hospitality industry plays an important and essential role because
they are king of market. Consumer have power to influence by the various or different factors
such as social, cultural and personal factors in negative manner (Bowie and et.al., 2016). The
present report is based on “Belmond hotel” which is establish at Bermuda, United Kingdom. The
company is operates luxury hotels, trains services and river cruises around the world. The report
will examine the stages of consumer decision making journey and map. It will explore, the
importance of marketers to map a path to purchase and understanding consumer decisions
making. The report will compare by B2C and B2B consumer purchase methods. This will
underpinning by the different approaches to market research and methods for understanding
decision making process. At the end of the report, it will evaluate marketers can influence
different stages of tourism process by giving example.
MAIN BODY
LO 1
Covered in ppt.
LO 2
P3 Examine the stages of the consumer decision making.
Consumer decision making is the process by which consumers make their purchasing
decision. Consumers are moving outside the marketing funnel by changing the different ways
they research and buy products and services. Here is includes steps of the consumer buying
decision process:
Activities Channels of
information
Evaluation of
options/pre-
purchase
Purchase /
booking
Receive Post purchase
Collect
information
for booking
hotel rooms
Official
websites,
Google,
social media
 Here is
collecti
on of
inform
 Custo
mers
take
decisio
 Custo
mer
receive
s
 At this
stage,
custom
er

ation is
comple
te,
custom
ers are
start
reflecti
ng on
their
learned
discov
ers
(Brunt,
Horner
and
Semley
,
2017).
 Custo
mers
are
compar
e
service
s as per
price,
feature
s and
review
s of
other
n for
purcha
se
those
faciliti
es and
service
s by
collecti
ng
inform
ation.
 They
are
book
their
hotel
room
in
Belmo
nd
hotel
as per
better
faciliti
es
provid
ers and
price
compar
ison.
bookin
g
tickets
and
confor
mation
ticket
of their
room
on the
email
address
.
Purchase
receives with
discount in the
season time.
journe
y of
decisio
n
making
is
comple
te but
journe
y not
comple
te.
 Here,
they
check
review
s and
analysi
s by
using
comput
er
system.

custom
ers.
Different levels of hospitality
 Consumer decision making is the level where customers are taking effective decision for
purchase product and services from Belmond hotel.
 Extensive problem solving is level where customers are solve their problem which are
related to bookings like reviews form google and different online sources.
 Limited problem solving, here is customers are taking place because all problems are not
solve by taking reviews from google and taking views from seniors (Buhalis and Sinarta,
2019).
 Routine response behaviour is provide a proper decisions and reviews where customers
are familiar with those products and services at market place. In that case, they are takes
and purchase again and again same product and services.
Views of hospitality customers decision making
 Economic view: This model is help to take rational person and takes rational decisions as
per economic. In that customer are compare products and services like its disadvantages
and benefits by collecting information.
Illustration 1: Consumer journey map
(Source: Customer journey map, 2018)

 Passive view: This model is help to assume that customers are takes decision as per
promotional; efforts of marketers and respond directly to the sales and advertisement
appeals which are offered by the marketers (Dolega and et.al., 2019).
 Emotional views: Emotional factors considers a states that consumers are emotional and
act upon their emotions in order to making purchase decision.
P4 The importance for marketers to map a path for purchasing.
The success of customer journey map which can be measured by how customers are help
to the team in order to identify pain points as well as opportunities for improvement as it traces
the customers path form the start to finish. The successful map provides an honest assessment of
the company and in the hospitality sectors. The present design and development of team as well
as stakeholders.
The influence of heuristics on decision making
The heuristics on the decision making is the type of mental shortcut in which people
makes decision which are heavily influenced by their current emotions. This is the general
decision making strategy people use this taking general decision and reduce cognitive burden in
decision making process (Fyall and et.al., 2019). It is effective and important for customers
journey as well as marketers, because through that customers are taking decisions in normal
context. For example: most of the time customers are taking general decision without analysing
processes. That is important for decision making process of customers in effective manner.
Element of marketing mix influence decision-making
There are different elements of marketing mix which is influence decision making
process of customers. Those elements are product, price, place and promotions as well as
process.
 Product and services: in the hospitality sector services are more important because
customers are satisfied by those in effective manner. This plays an important role in
hospitality sector.
 Price: The prices of product and services are influence decision-making process of
customers like higher prices of product/services, customers are not able to payi8ng for its
(Gibson and Parkman, 2018). This can affect consumer decision making.
 Place: The place is like the distribution of services and product at place. This affect needs
of customer. Like tourist is come in the country for spending holidays, in that case they

want best services as per their requirements which affect. On the other side it is highly
important for marketers for improve their services as per customer requirements.
 Promotion: there are different promotional channels which are influence customers
decision making process but it is important for marketers in order to knowing customer
journey map (Higgins-Desbiolles, Moskwa and Wijesinghe, 2019). In the hospitality
sector customers are influence by using different social media apps and official sites
pictures of product and services. Like by seeing adds on social media customers are
attract towards others.
New technologies influences
 Online transaction and purchasing: Now a days online transaction is influence
decision making because the trend is plastic money which is use by customer. Like:
customer is book their room at hotel through online and done the payment also but it can
affect in cases of online transactions because which is not done on time.
 Media platform for rating and review: Most of the clients are update their reviews and
post their feedback for hotel on the media platform. By this customers are influence. Like
customers check the review of particular hotel and in the review it is negative than
customers is move toward another product and hotel (Hobman and et.al., 2016).
LO 3
P5 Compare B2C and B2B.
Decision making is the process of making choices with identifying a decision, gathering
information and assessing alternative resolutions. The step by step decision making process is
help to make more effective and valuable decision making process.
Step1: Identify decision: Here, customer review and realise the needs to make decision.
Step2: Gather relevant information: At this stage, customers search relevant information as per
their requirements.
Step3: Identify alternative: After collect information, customer find substitute product and
services and compare that (Huang and Miao, 2016).
Step4: Weigh evidence: Here, customer compare all information and alternatives as per rate,
facilities and services.
Step5: Choose alternative: After draw evidence, here customer select one best option.

Step6: Take action: At this stage, customer realize and select one or take positive decision action
by beginning to implement alternatives.
Step7: Review decision: After considering all the stages, customer take review of their decision
and find one best ways.
Those are the steps of customers decision-making process but business to consumer and
business to business decision making process influence. Both are different from each other at
market place. The comparison between B2C and B2B are as follows:
Basis Business to consumer (B2C) Business to business (B2B)
Definition Business to consumer refers
the transaction which is exist
between business and the final
consumers which is known as
B2C decision making.
Business to business is
considers a commercial
transaction which takes place
between two business
organisation that known a
business to business like
manufacturer to wholesaler,
wholesaler to retailer.
Marketing This activities which focus on
getting people to buy quickly
by market (Ji and King, 2018).
For example: the goal of email
is to get customer to buy
products immediately of
Belmond hotel.
Here, marketing is built around
the strong content of marketing
strategy. In this needs need to
provide proper and right
information to customer to the
depending on buyer's journey.
For example: manager of
Belmond is provide proper
information to their customers
about their services which is
help to attract more customers.
Customer services This helps to build customer
loyalty where customers will
able to pay a slightly higher
This customer service comes
into play prior to ever making
that first scale and beings with

prices of product and services. a customers in very fast
manner (Kim, Lee and
Fairhurst, 2017).
Importance of brand This decision is strong and it
encourage customers to buy
product and service, remain
loyal and potentially pay a
higher prices. Belmond is
build strong brand image at
market place.
Here, brand is only help which
is considered, that is based on
Belmond reputation. This
brand is based on client
treatment by company and the
quality of work.
P6 Showing the different stages and approaches to market research.
There are two types of market research which are helps to done the work as per
requirements such as primary and secondary research. The primary research has considers a
several tools like direct question with customers, phone survey and market observation in the
proper manner. On the other side, secondary research in that information collect form books,
journals, online sources etc. there are different aspects and stages which influence decision
making process which are shows below:
Motivation:
Motivation is influence a needs of customers and their requirements. This can be describe
as goals and needs of the consumers. Motivation is direct need to customers towards a various
goals. Those needs like security, social needs and esteem needs (Lagos, Hall and Wong, 2016).
This affect the buying behaviour of customers. For example: if person is motivated by there
security which is provide by Belmond hotel then customers are motivated for buying its services.
Self concept and personality:
Each and every person have different needs and distinct as per personality. Their
personality is effects their buying decision. Hence, purchase of product and service defers form
person to person. For example: Belmond is provides only luxury services to customers but that
can be affordable by higher status people in that case lower status people are not attracted or

their charges of services are too high (Lee and et.al., 2018). But, their services are not quality
that will influence decision making power and process of customers.
Measures of consumer learning:
 Recall and recognition: recall and recognition is important for consumer learnings
because it is very important to know about hospitality services provide by Belmond in
proper manner. Through this, customers are learn about services time to time and uses its
in effective manner. For example: manager of Belmond company is recall to customers
about their services through phone or advertisement.
LO 4
P7 Evaluating marketers can influence the different stages.
There are different approaches of consumer learnings which are help to customers in
order to collect more information about product and services at marketplace. Approaches of
consumer learning are as follows:
Behavioural learning:
Behavioural learning is refers the stimulus response of theories. The behaviour of
customers is impact to Belmond hotel because of customer mood swings. For example: customer
want best quality of food from hotel but most of time their mood is swings and they want other
food against of their order. By this behaviour of people is influences marketer.
Cognitive learning:
The cognitive learning is based on mental activity is called cognitive learning. That holds
that kind of learning most characteristics of human beings is problem solving. For example: the
behaviour and think of people is affect to marketer and marketer think is affect to customers in
the case of different product and services (Lee and et.al., 2019). Manager of Belmond provides
luxury services to customers in that case customers are affected and influence their decision
making process in order to buy services.
Influence of culture and sub-culture
Culture is the quite significant for the hospitality sector, because they helps in satisfying
the requirements of customers as per their needs. This can affect and influence behaviour of the
customers and display the behavioural patterns of the customers. On the other side sub-culture is
includes a the values, customs. For example: tourist are come from outside the country and both
country culture are different form each other. In that case tourist are want same food and

facilities as per their culture because they are not adjusted in services which are provides by
Belmond.
CONCLUSION
From the above study it had been concluded that the consumer behaviour has affect t6o
hospitality sector and their growth factor. There has different aspects and factors which has
influence buying behaviour of customer such as cultural, social, personal and psychological
factors. The online media, digital technologies and social media can influence decision making
process of customers. Customers decision making journey map has important for marketer in
order to take reviews about needs and wants of customers in proper manner. Product, price, place
and promotion of product those has the elements of marketing mix which affect customers and
their behaviour. Business to business and business to customers decision making influence
customers and their purchasing power.

REFERENCES
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Online
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<https://www.toptal.com/designers/product-design/customer-journey-maps>
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