Hospitality Consumer Behaviour & Insight : Doc

Hospitality Consumer Behaviour and Insight

Table of Contents
INTRODUCTION...........................................................................................................................1
LO 1.................................................................................................................................................1
P1 Factors influencing consumer behaviour and attitudes:.........................................................1
P2 Change in consumer Trends due to change in technology.....................................................2
LO 2 ................................................................................................................................................3
P4 Path to purchase and understand customers: .........................................................................4
LO 3.................................................................................................................................................5
P5 Different approaches to market research and methods of research used:...............................5
LO 4.................................................................................................................................................7
P7 Market influencing the hospitality decision:..........................................................................7
CONCLUSION................................................................................................................................7
REFERENCS...................................................................................................................................9

INTRODUCTION
Consumer behaviour refers to the study carried out by the individual or the group which aims to
create the strategy associated with the sales and purchase of the organization. Use of its goods
and services which can help in the generation of the change in the strategic formulation to bring
out the customers to achieve the outcomes in the organizational context.
Hotel Hilton is established in UK which was founded by Conrad Hilton. Hotel Hilton is
widespread in across 85 countries which consist of 119594 rooms in total. It has a net worth of
25 billion. It is widespread across various continents.
This consists of various factors influencing the consumer behaviour, analysis of change
in trends which can affect the consumers, various decision making processes, approaches to
market researches and research methods used in hospitality industry and analysing the market
research which influences in hospitality management using various critic examples.
LO 1
P1 Factors influencing consumer behaviour and attitudes:
Factors which influence consumer behaviour and attitudes which help in driving trends on Hotel
Hilton are:
Cultural: Cultural factors like following the marketing trends which can devastate the cultural
effect improving the source and ways to compete with the different marketing trends which help
in flourishing the business opportunities ways through which cultural diversity reflects like
appointing members of various cultures which can reflect cultural diversity and aims for better
working of Hotel Hilton. Marketing campaign carried out must reflect cultural diversity which
can help in reflecting the consumer behaviour(Van Nes, 2016). Group influence of the various
sectors can improve the stability of the firm which helps in the consumer behaviour and change
in attitude of the consumers which helps in improving the consumer base for Hotel Hilton.
Social: Social factors which influence the marketing trends of Hotel Hilton can be the the change
in the trends which can reflect form the social platform like the trends which is followed by the
family or the person who takes the decision reflects the social thinking. Social ideology is
generated by the reviews of the particular firm which must be considered which can influence
the customers.
Personal: Personal factors depend on the likings and disliking of the individual which can be
considered the way they treat them can vary which can easily attract the customers which can
1

increase the brand value of the Hotel Hilton which can help,in increasing the brand value of the
Hotel. Personal needs and wants depends upon the behaviour in various circumstances.
Psychological: This depends on the personal behaviour beliefs and learning which can affect the
marketing strategy of Hotel Hilton. The purchasing decisions are upto the customers which needs
to be fulfilled by the Hotel. Psychology needs to be addressed which can increase the customer
base. Hotel Hilton must focus on the needs and wants of the customers which help in the
strategic development of the Hotel. These factors may affect the consumer behaviour of the
Hotel Hilton(Strassheim, Jung and Korinek, 2015).
P2 Change in consumer Trends due to change in technology
Technology has changed the scenario of the various Hospitality Organisations which has
affected in the development of the technology in the Hotel Industry. As the technology has
advanced there arises various changes in the thinking of the customers which can either generate
a benefit or can be a loss to the firm. Customer attraction can be hindered as there are many
bloggers which can write a false reviews which can affect Hotel Hilton as per the views of the
bloggers. Everyday advertisement and pricing technology can affect the Hotel as the customers
will deviate by the actions of the bloggers and the rivals of the industry. Hotel Hilton needs
technical advancement with the change in technology which can affect the work culture of the
hotel. Hotel Hilton needs to personalize their websites to attract more of customers which can
help attracting more customers, various offers must be provided in order to generate a customer
base which aims in the strategic improvement of Hotel Hilton. Marketing strategy needs to be
developed in order to create a customer base which can help in the development of the Hotel. A
strategic analysis must be done in order to improve the technological skills to develop the
strategy and increase the market value of the Hotel. Good customer experience needs to be
considered as a market research to meet the need of the customers which can help in the strategic
formulation increasing cost benefits. Customers usually change with the change in the market
behaviour which must be considered as per the technological changes. As the technology
changes there is a change in the consumer's behaviour which can be a profitability to the firm as
technological advancement with offers can bring about more of customers which help in the
changing behaviour of the customers. As technology is advancing there is an impact of social
media on the customers of the Hotel Hilton as this can easily shift the customer base which
affects the customer service. Hilton Hotel can strategies to bring up the technological
2

advancement and shift the work culture according to the technology and help in the attaining a
valuable customer base. Hotel Hilton can change the strategy and develop a technological
advancement which can be liable to the Hotel Hilton(Calder, Isaac and Malthouse, 2016).
LO 2
P3 Decision making journey:
Decision making journey have 5 major steps: problem finding, information searching,
information analysis, decision making, post experience
Problem finding: Finding out the problem which needs to be addressed are evaluated. This
defines the nature of the problem this step is the basis of the key problem in finding the unique
approach to the problem and presenting a solution. Problem statement occurs when the context
of the solution rises. A problem arises when there is need to justify and a solution needs to be
delivered.
Information searching: Before decision making all the relevant information needs to be
gathered and the relevant information regarding the solution needs to be addressed all the
approaches including pros and corns needs to be delivered which can help in the management of
the approaches to the problems. Searching must be according to the relevant information which
are provided to the work under the problem which needs to be answered(Piscicelli, Cooper and
Fisher, 2015). Searching the solution must be done on self analysation of the problem statement
and by various means of books and articles through which a direct approach is given on the
problem which needs to be considered.
Information analysis: Information must be analysed by the information gathering. After
addressing all the approaches a best solution needs to be delivered and the approaches carried
out must be analysed to figure out the problem to the solution . This step includes internal and
external work approaches which needs to be carried out internal search involves the self
assessment of the approaches which can help in answering the problem statement. external
approach includes various references which can provide an answer to the problems.
Decision Making: Decision making is one of the important step which gives a key approach to
the problems which justifies the problem and gives a possible outcome to the solution which help
in the accessing the reverent problem and provides a best achievable solution to the problem.
Decision making must be in context to self satisfaction which can deliver the best results to the
3

problem. Various alternatives must be examined to compete the solution and the best result must
be figured out.
Post evaluation: Evaluation must be done on the basis of decisions in the past which can affect
the future decision making process and help in the better approach strategy which can help in the
evaluation of the further decision making approaches which help in evaluating and improving
decision making strategy(Stancu, Haugaard and Lähteenmäki, 2016).
P4 Path to purchase and understand customers:
Black Box Model:
Black Box model refers to the interaction of various aspects which refers to the interaction of
stimuli, consumers characteristics, decision process and consumer response which aims in the
development of defining the strategic approaches which provides a path in understanding the
customers other than just buying and selling which can help in the growth and awareness of the
consumer behaviour. It consist of interpersonal stimuli(between people) and intrapersonal
stimuli(within people). This model is based upon the behaviourism, where it does not focuses on
the processes within the customer but within the stimuli which gives an immediate answer to the
response of the customer(Sasmita and Mohd Suki, 2015). Marketing stimuli are planned by the
companies which can be set according to the strategies and environmental factors are the factors
which generate stimuli according to the nature and behaviour like economical, social,
environmental factors which changes the stimuli. Buyers characteristics consists of the mindset
and decision process which determines the response of the buyer, how they react as per the
situations put upon them which help in attaining the business and achievable outcomes of the
business. The buyers responses are considered as a result of various process which helps in
rationalising the decision processes in which it is considered as buyer has recognised the
problem, many of the decisions are not made in awareness of the problem form the consumers.
Once the consumer they search information on products and services which helps in problem
solution. Perception is process by which an individual is receives, selects, organises and
interprets the data to create a meaningful information which can be compiled to generate a
meaningful outcomes. Black box model helps in generation of the strategies which helps in the
development of the of purchase planning which can be help the firm in the description of
products and hep in attaining the consumer tendency which helps in the generation of strategic
approach which can give a respond to stimuli and to gain more of customers. Decision process
4

depends upon the number of factors which can help in the recognition of the problem with
respect to the information gathered by the search engine. Post purchase behaviour depends upon
the response of the customer to the product and strategies developed to sell the product and
services. Buyers response are considered to the problems faced by the organisation which helps
in achieving the strategic approach to the market. Factors which are responsible for buyers
response are: choice of product, choice of brand, dealer choices that is discounts provided and
the amount which is put up in front of the customers(Hofacker, Malthouse and Sultan, 2016).
LO 3
P5 Different approaches to market research and methods of research used:
Business to business Business to consumers
The first stage comprises of low strategic
importance and low spend wherein the offering
provided by the company has low importance
and the business user generally does not focus
on price as the decision is taken by only one
employee. Hotel Hilton products and services
sometimes does not entice the their sponsors
and business users.
The first stage generally encompasses the need
recognition whether customers comes across
the need for buying the product. Consumers
feel the need of having a product when they
face certain situation.
Second stage comprises of low spend and high
importance wherein the offering is generally
not that expensive but becomes important for
the business operations of business users. Like
the safety certification provided by the Hilton
becomes important for their business users
during dealing in their products and provide
them with the assurance.
Second stage consists of Information search.
Once the consumers have recognized the need
of possessing the product, they tend to gather
as much information as possible regarding that
product which helps them in understanding its
uses and characteristics. Like while searching
for the wedding services, customers search on
the Hilton site thus the hotel can have an
effective website along with customized search
engine optimization so that customers can
gather numerous types of information on the
services(Mylan, 2015).
The third stage encompasses high spend and
low importance whereby the offering provided
by the company is not crucial for the business
operations however the clients remain
concerned of its price. The end users generally
bargain in order to minimize the expenses. For
example the utilities provided by Hilton are of
superior price but at the same time does not
becomes vital for the business user;'s
operations.
Third stage consist of Evaluation of alternative
in which the customers after gathering the
information compares the services with other
providers mostly their competitors. They
evaluate which provider is offering the best
services in reasonable price. Thus Hotel Hilton,
can have a great price quality combination
which will entice the customers to choose them
over other alternatives.
5

Last stage consists of high spend and high
importance within which product offered by
the company are of high value and is important
for the business operations of clients(Bian and
et.al.,2016).
Last stage comprises of Purchase decision
where the consumers after evaluating all the
alternatives decide whether to purchase the
products and services or not. This is generally
based on their degree of evaluation. Example
Hotel Hilton can use various and exceptional
offers and rewards to attract the customers and
convince them to buy their services.
P6 Approaches to market research and methods of research used:
Various research which are used to in the market research process are determined on the
basis of the research done, it consist of two research methodology which helps in the
development of the strategy which facilitates the market and generate a strategic output in the
organizational context. Primary and secondary research carried out to evaluate the market and
find out the best suited approach.
Primary researches: primary research consists of the researches which is done on the basis of the
surveys carried out by the Hotel Hilton. A field research must be done like asking customers for
feedbacks and reviewing their experience for generating the method for strategic approach. Field
research consists of the reviews generated by the research analyst to generate a strategic
approach helps in the development of the strategy. This can be carried out through face to face
interviews, field forms, web forms, telephonic interview which gives a direct approach to the
customers(Rödiger and Hamm, 2015).
Focus group: this comprises of focusing on the group of people and carrying out their opinions
and views which can give a direct approach to the problems and carry out the views which can
generate the results according to the views and opinion of the groups.
Interviews: this is a qualitative market research methods which are used to evaluate the opinion
of the topic, to simplify the thinking approach of the customers and a general topic which can be
done to generate the view of the public.
Experiment and field trails: experiment and approaches are carried out to witness the test
conducted in the development of the further strategies and development of the firm(Erevelles,
Fukawa and Swayne, 2016).
6

Primary research is done on a live platform to evaluate the strategic approach and in generation
of strategy.
Secondary research:
It is generally a review of the topic by the act of seeking out of the existing data which can used
to generate the strategies by the data already carried out by some other which can be used as a
basis of our analysis of research secondary research can be from the journal article, newspaper
etc. which can help in the generation of the basic data which can be used to analyse and interpret
to carry out the researches and give a result. Secondary data can be the research which can be
used to generate the research and bring the strategic changes.
LO 4
P7 Market influencing the hospitality decision:
It consists of consumer learning process which are behavioural and cognitive
behavioural: it is a connection between response and stimuli where stimuli is the object, which is
a sense of person along behavioural response of the person which they react in different
situational context. This generates relationship across situations which are having same
responses(Xiang, Magnini and Fesenmaier, 2015).
Cognitive theory is the theory which occurs through mental process this refers to encoding the
scenario, elaborating and analysing which creates a deeper learning process which help in the
self development of the individual. This defines the way through which information about the
consumer is absorbed, retained and processed to complete the self evaluation. Influence of
culture and sub culture which affect the decision making strategy of Hotel Hilton. This will
affect the behaviour of the buyer if their personal needs and cultural behaviour are not satisfied
which can lead to the influence of the strategic approach put up by the Hotel Hilton. Various
marketing approaches which are not fulfilled by the Hotel leads to the decline of the sales which
can lead to the decrease in sales which can affect in the loss of the company. Leadership
decisions can be hindered as the sales decreases a strategic analysation and involvement will be
necessary to generate the process and making the best marking strategy.
CONCLUSION
From the above study its is concluded that the changing trends among the consumer
directly affects the demand and supply of the product in the market. Nowadays consumers taste
and behaviour changes according to the trend so the Hospitality industry must change their
7

services and accommodations according to the consumer behaviour to be the first preference of
the consumers and satisfy their customer according to their present needs and demand. Consumer
can easily attracted towards the Hotel if they moving forward according to the consumer
behaviour it plays and major role in success and profit maximization of the Hospitality Industry.
8

REFERENCS
Books and Journals:
Bian, X and et.al.,2016. New insights into unethical counterfeit consumption. Journal of Business
Research.69(10). pp.4249-4258.
Calder, B.J., Isaac, M.S. and Malthouse, E.C., 2016. How to capture consumer experiences: A
context-specific approach to measuring engagement: Predicting consumer behavior
across qualitatively different experiences. Journal of Advertising Research.56(1). pp.39-
52.
Erevelles, S., Fukawa, N. and Swayne, L., 2016. Big Data consumer analytics and the
transformation of marketing.Journal of Business Research.69(2).pp.897-904.
Hofacker, C.F., Malthouse, E.C. and Sultan, F., 2016. Big data and consumer behavior: Imminent
opportunities. Journal of Consumer Marketing.33(2). pp.89-97.
Mylan, J., 2015. Understanding the diffusion of Sustainable Product-Service Systems: Insights
from the sociology of consumption and practice theory. Journal of Cleaner
Production.97. pp.13-20.
Piscicelli, L., Cooper, T. and Fisher, T., 2015. The role of values in collaborative consumption:
insights from a product-service system for lending and borrowing in the UK. Journal of
Cleaner Production.97. pp.21-29.
Rödiger, M. and Hamm, U., 2015. How are organic food prices affecting consumer behaviour? A
review. Food Quality and Preference.43. pp.10-20.
Sasmita, J. and Mohd Suki, N., 2015. Young consumers’ insights on brand equity: Effects of
brand association, brand loyalty, brand awareness, and brand image. International
Journal of Retail & Distribution Management.43(3). pp.276-292.
Stancu, V., Haugaard, P. and Lähteenmäki, L., 2016. Determinants of consumer food waste
behaviour: Two routes to food waste. Appetite.96. pp.7-17.
Strassheim, H., Jung, A. and Korinek, R.L., 2015. Reframing expertise: The rise of behavioural
insights and interventions in public policy. Moments of valuation. Exploring sites of
dissonance.pp.249-268.
Van Nes, N., 2016. Understanding replacement behaviour and exploring design solutions.
In Longer lasting products (pp. 133-158). Routledge.
Xiang, Z., Magnini, V.P. and Fesenmaier, D.R., 2015. Information technology and consumer
behavior in travel and tourism: Insights from travel planning using the internet.Journal
of Retailing and Consumer Services.22. pp.244-249.
9