Hospitality Consumer Behaviour and Insight (L5) (Distinction Criteria)

This report analyses the factors influencing consumer behaviour in the hospitality industry, the impact of digital technology, decision-making journey, and path to purchase. It provides insights on Whitbread Plc, a UK-based multinational hotel. The report also evaluates the emerging trends and the importance of mapping the path to purchase for understanding the decision-making process of customers.

Consumer Behaviour and
Insight (Distinction
Criteria)
1

Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................4
TASK 1............................................................................................................................................4
P1: Investigation the different cultural, social, personal and psychological factors which
influence consumer behaviour as well as attitudes......................................................................4
P2: Exploration of how consumer trends are improvising due to influence of digital
technology....................................................................................................................................5
M1: Analysing how social, cultural, personal and psychological factors impact consumer
decisions with changing trends of hospitality..............................................................................6
D1: Critical evaluation of emerging trends in relation with consumer behaviour and attitudes
with specific examples.................................................................................................................6
TASK 2............................................................................................................................................7
P3: Examination of the stages in relation to consumer decision-making journey as well as map
to path their purchase...................................................................................................................7
P4: Exploring the importance for marketers to map a path to purchase for understanding
decision-making process of customers........................................................................................8
M2: Evaluating how marketers respond towards decision-making process................................8
TASK 3............................................................................................................................................9
P5: Comparing and contrasting key differences in relation to decision –making process
regarding B2B and B2C context..................................................................................................9
P6: Analysing differential approaches and methods for researching market regarding decision-
making process..........................................................................................................................10
M3: Providing a coherent justification regarding how differential factors has impact decision-
making process of consumers....................................................................................................10
TASK 4..........................................................................................................................................11
P7: Evaluating how marketers can influence decision-making process at different stages.......11
M4: Critical evaluation of how marketers influence each stage of decision-making process...12
D2: Critical evaluation of appropriate theories and concepts which have their influence on
decision-making process of customers......................................................................................12
CONCLUSION..............................................................................................................................12
2

REFERENCES..............................................................................................................................13
3

INTRODUCTION
Consumer insights can be understood as an interpretation which is used by business
organisations foe gaining insights regarding the behaviour and thought process of their customers
(Altinay and Taheri, 2018). It is significant for business organisations to understand as well as
acknowledge behaviour of their customers as it aids them in indulging with them on an
emotional basis. Analysing customer behaviour is essential for establishments not only to attract
prospective customers but also retain new one. In order to better understand about consumer
insights and behaviour, Whitbread Plc have been taken into consideration. Whitbread Plc is an
UK based multinational hotel which was established in 1742 and has its headquarters at England,
United Kingdom.
This project highlights an understanding regarding varied factors which can influence consumer
behaviour and attitudes in a hospitality organisation. It also demonstrates an ability to develop a
path which impact consumers in their decision-making in relation to purchase. This project
report also evaluates varied forms in order to understand consumer behaviour and insights. It
also depicts an understanding of influences of marketers regarding differential stages in relation
to decision-making process of consumers.
TASK 1
P1: Investigation the different cultural, social, personal and psychological factors which
influence consumer behaviour as well as attitudes
Consumer behaviour in relation to hospitality and tourism industry have dependent on
varied forces such as cultural, social, personal and psychological. It is imperative for marketing
executive to analyse each related force in a significant manner (Dinis and Et. Al., 2019).
Cultural factors
These factors are concerned with underlying beliefs, values and principle of persons which have
a significant impact on their behaviours. These factors in relevance with Whitbread Plc are as
follows:
Culture- It is a set of basic values and perceptions which can be learnt by people through
their surroundings (Dixit, Lee and Loo, 2019). In context with Whitbread Plc, this factor
influence the visitors as they grown up in a well-to-do family and has stayed at luxury hotels
with all amenities.
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Sub culture- It is considered as a part of culture which essentially comprise of religion,
caste etc. For instance, people of UK are fond of enjoying their leisure time in travelling and
residing in hotels.
Social factors
There are varied social factors which impact consumer behaviour which are explained here
under:
Family- It is considered as vital impact on decision-making process of consumers as they
book Whitbread Plc by getting insights regarding choices of their members.
Reference groups – These groups are concerned with the peers who have similar buying
patterns and behaviours. In relevance with Whitbread Plc, this factor has influence on consumers
as they want to visit the same place which their peers have visited.
Psychological factors
Various psychological factors in relation with Whitbread Plc are as follows:
Motivation- It can be described as the desire of people which impact their behaviours and
attitudes (Gretzel, 2017). In regards with Whitbread Plc, marketers can motivate prospective
customers to visit their hotel by formulating effective strategies.
Perception- It can be understood as how people view, select and organise information in
order to form a meaningful picture of their surroundings (Gursoy, 2018). In relevance with
Whitbread Plc, marketers can influence their customers through making them think regarding
their luxury amenities.
Personal factors
These factors in context to Whitbread Plc are as follows:
Age- It is considered as a vital aspect which impact on consumer behaviours. In relevance
with Whitbread Plc, marketers can formulate their campaign on the basis of different age factors.
Lifestyle- It is concerned with the way in which individuals carry themselves in a
sophisticated manner (Hu and Et. Al., 2019). In respect to Whitbread Plc, people who tends to
enjoy their leisure time can book its amenities in a strategic manner.
P2: Exploration of how consumer trends are improvising due to influence of digital technology
Digital technology is considered as a crucial aspect which impact the changing trends of
consumers in a strategic manner (King, 2017). Various ways of digital technology in relevance
with Whitbread Plc which impact their consumer behaviour are mentioned below:
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Contactless payments- Digital technologies have impacted consumer behaviour with the
adoption of contactless payments which has made check-outs at Whitbread Plc efficient.
Artificial intelligence- Through artificial intelligence, managers of Whitbread Plc have
managed to provide online bookings to their customers which impact consumer behaviour to
revisit them. Managers of Whitbread Plc have created their website which aid visitors to book
easily.
Voice search and control systems – Through this function, visitors can easily find specific
accommodation in a convenient manner. Managers of Whitbread Plc have made their location
visible when visitors find it on internet.
Social media engagement- With the help of digital technology, marketers of Whitbread
Plc can retain engagement of their visitors through social media sites. As this is considered as a
vital platform whereby people search of the place they want to visit.
Chatbots- With the help of this tool, visitors can easily register their complaints,
suggestions and reviews in an effective manner on the website of Whitbread Plc.
M1: Analysing how social, cultural, personal and psychological factors impact consumer
decisions with changing trends of hospitality
It has been analysed that social factors like family and reference groups impact the
consumer behaviour with the changing trends of digital technology (Kustos and Et. Al., 2019).
People come in contact with reference groups through social media and also give references to
their choices before making their plans. Changed lifestyle makes people very active which make
them want fast and easy services like contactless payments as well as pre-booking through online
websites. Cultural practices have made people to plan for vacations on a constant basis which led
more revenues for hotels. People have a perception that it is imperative for them to plan their
visits which led them to use voice control for discovering new places.
D1: Critical evaluation of emerging trends in relation with consumer behaviour and attitudes
with specific examples
It has been critically evaluated that emerging trends influence consumer behaviour as well as
attitudes in a significant manner. It has made people life simple and quick for example, they can
easily book their rooms before visiting through online channels of Whitbread Plc. However, it
has also poses threats related to security concern. For example, online bookings can lead their
personal data to be steal and create varied issues for them.
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TASK 2
P3: Examination of the stages in relation to consumer decision-making journey as well as map to
path their purchase
It is imperative for organisations to understand and access influence on consumers
regarding their purchase making decisions (Lee and Et. Al., 2019). In order to better understand
about consumer influences in relation to Whitbread Plc, decision-making journey of customers
have been used. Specific hospitality service which is provided by managers of Whitbread Plc is
their technological and customised room services. It is considered as significant as it aids
marketers in mapping and analysing their sales avenues. Varied features of consumer decision-
making journey are as follows:
Need recognition – It is the first stage of consumer decision-making journey whereby
marketers recognise the need of a particular product in order to attract consumers in an effective
manner (Mariani, Borghi and Okumus, 2020). Managers of Whitbread Plc have recognised the
need of people of UK to provide them luxury amenities which provide them smart room
experience with affordable prices.
Information gathering- At this stage, consumers search for varied alternatives as per their
convenience in an effective manner (Nusair, Butt and Nikhashemi., 2019). In context to
Whitbread Plc, marketers have to formulate varied marketing strategies such as use social media
and online channels in order to be viable in customer search. Through this, information about
their room services can be given to people by analysing their needs.
Evaluation of alternatives- Under this stage, consumers evaluate varied alternatives that
are discovered at the above phase. It is imperative for marketers of Whitbread Plc to provide
those packages that are differentiate from their competitors and are able to attract their
prospective visitors. They can provide special discount offers apart from their competitors in
order to make their smart room services more viable.
Selection stage- Till this stage, consumers are aware of their needs, have made an
extensive search, evaluate varied options, now it’s time to make a purchasing decision (Parvin,
Wang and Uddin, 2017). At this phase, hard work of marketing professionals of Whitbread Plc
have come into light as they get to know about the chosen alternative of customers. At this stage,
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offered room services, touchscreen control panels are provided to guests in order to make their
selection strategic for them.
Post-purchase evaluation- It is considered as a significant phase whereby consumers will
assess if they have taken a proper investment decision or not. If visitors like the services of
Whitbread Plc, then they will perform mouth publicity which aid managers in increasing more
revenue. This stage is concerned with taking feedbacks for provided customised room services
from their guests in an effective manner.
Through having insights regarding consumer decision-making process, managers of
Whitbread Plc can make improvements in their strategies in order to attract massive number of
customers.
Path to purchase
Path to purchase can be understood as a process which is used for reflecting consumer
journey through varied touchpoints which has influence on purchasing decision of customers.
Specific hospitality service provided by Whitbread Plc is smart room services comprises of
touchscreen control panels, Wi-Fi and relaxing hypnos bed (Whitbread Plc, 2022). In accordance
with Whitbread Plc, path to purchase is as follows:
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Source: Self
Awareness- Marketing professionals of Whitbread Plc are providing to a solution to the
problems of their customers that is providing a place with excellent ambience, comfortable
environment and customised room services.
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Repeat purchase
Awareness Consideration Purchase Post-purchase
Content
marketing
Post on
Instagra
m
regularly
Providing
recommen
dations
Online
advertisement
s
Provide
excellent
smart room
services
Ask for
feedback
s
Use of
review sites
Word-of-
mouth
strategy
Loyalty
programmes

Consideration- At this stage, marketers of Whitbread Plc led their customers to consider
and evaluate multiple options through promoting their services with the help of social media and
creating content in regards with record their room services and ambience.
Purchase- At this phase, marketing professionals of Whitbread Plc encourage their
customers for choosing their services through review sites. At this stage, offered services in
regards with Wi-Fi, hypnos beds are to be fulfilled by managers of Whitbread Plc.
Post-purchase- After making purchase, marketers of Whitbread Plc analyse post-
purchase behaviour of their customers. This will help them in promoting their brand through
word-of-mouth and other related techniques. After catering the needs of guests, after sales
services should also be provided in regards with any questionnaire and consulatation.
Repeat purchase- At this stage, marketing professionals of Whitbread Plc promote their
services in order to attract prospective customer as well as retain existing one through marketing
strategies in regards with blogs and influencer promotions.
P4: Exploring the importance for marketers to map a path to purchase for understanding
decision-making process of customers
Mapping of purchasing path can be described as an action or procedure which is used by
organisations for attracting their customers in a fast manner as compared to their competitors
(Santos and Et. Al., 2021). It essentially encompasses of steps that are being taken by customers
for making their purchase decision effective so that marketing professionals can interact with
segmented customers for increasing viability of their brand. Varied factors which are considered
as significant for influencing decision-making process for marketers of Whitbread Plc are as
follows:
Influence of heuristics- It can be understood as mental shortcut which permits people to
solve their varied problems as well as make judgements in a quick manner (Strandberg and Et.
Al, 2018). It aids in making the decision time short as well as allow people to perform efficiently
without stopping in a constant manner for thinking about next course of action. This principally
impact on emotions, sentiments and feelings of customers while making a decision regarding
purchase. In context to Whitbread Plc, marketing strategies can aid managers in influencing
decision-making process of their visitors. With the aid of mapping perspectives in relation to
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purchasing path, marketers of Whitbread Plc can formulate varied strategies for improvising
their customised room services in a strategic manner.
Influence of technology- Digital technology aid marketers in attracting customers through
advanced tools and techniques which has direct influence on their behaviour and changing trends
(Tung and Law, 2017). Through using this in an effective manner, managers of Whitbread Plc
can formulate strategies in order to attract their prospective visitors by their touch points which
essentially includes social media sites and digital channels. With the help of technology,
managers of Whitbread Plc can provide better customised room services to their guests in an
effective manner.
M2: Evaluating how marketers respond towards decision-making process
It has been evaluated that marketers have their influence on decision-making process of
consumers in a significant manner. For example, at the stage of need recognition, marketing
professionals of Whitbread Plc analyse their research materials for evaluating need of their
prospective customers. Another example is at the stage of post-purchase decisions, marketers of
Whitbread Plc ask feedbacks from their visitors for improvising their services for future.
Decision-making process is considered as important for marketers of Whitbread Plc for
evaluating specific need of their guests that is customised room services.
TASK 3
P5: Comparing and contrasting key differences in relation to decision –making process regarding
B2B and B2C context
B2C refers to a procedure which sells products or services to direct consumers in order to
increase their revenue. As contradictory to this, B2B is concerned with offering goods and
services to business houses by making collaborations with them in order to improve their
performance. For example, Whitbread Plc operated in B2C context by providing their services to
their customers. Comparison in decision-making process in context to B2B and B2C are as
follows:
Basis B2B B2C
Nature It is concerned with
commercial transactions
which offers products to
This is concerned with framing
strategies for engaging as well
as retaining the end consumers
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varied organisations. through viability of their
products or services.
Decision –making process Under this decisions are based
on varied functions such as
improving distribution
channel, request for approval,
making payment and many
more.
Under this, organisations
majorly focuses on path of
purchase regarding customers.
Marketing strategy This type of organisations
does not indulge in promoting
their products as they have
direct contacts with their
customer establishments.
B2B companies majorly
concentrates on formulating
strategies regarding their
promotional and advertising
campaign.
Similarities among B2B and B2C companies are that they both try to maintain long lasting
and strong relationships with their suppliers. They both concentrate the ways through which their
revenue generation can be increased in a strategic manner.
P6: Analysing differential approaches and methods for researching market regarding decision-
making process
Market research can be described as a practice which is used by organisations to evaluate
changing dynamics and trends in relation to their targeted customers (Ulker-Demirel and Ciftci,
2020). Varied methods and approaches which can be undertaken by managers of Whitbread Plc
are mentioned below:
Interviews- These are considered as a vital source for collecting qualitative information.
These are helpful in having in-depth insights regarding targeted audience. Managers of
Whitbread Plc use this technique through interacting with their existing customers by telephone
regarding their services.
Surveys- This are considered as crucial for generate insights regarding brand awareness as
well as loyalty analysis. This allows organisations to test a large collected sample in a strategic
manner. Managers of Whitbread Plc use this approach for gaining insights regarding choices of
their prospective customers. They perform these surveys with the aid of digital technology.
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Focus groups- These approach is considered as beneficial for price testing as well as
advertising concepts. This focus group is a specific targeted audience which assist organisations
interacting with them through an open channel. Managers of Whitbread Plc use this technique
for ensuring their viability in market in a strategic manner.
Competitor benchmarks- This technique is considered as significant for organisations as it
help them to measure growth metrics as well as key performance indicators as compared to their
competitors (Varkaris and Neuhofer, 2017). It is an informative market research method which
help to gain insights regarding formulation of strategies. Managers of Whitbread Plc have used
this approach in order to gain knowledge in relation to competitors.
M3: Providing a coherent justification regarding how differential factors has impact decision-
making process of consumers
It is imperative for marketers to evaluate each stage of consumer decision-making process in
a sizeable manner. For example, marketing strategies and approaches affect consumer behaviour
of Whitbread Plc. Their content which shows their services and quoted prices have impact on
consumer behaviour while they gather information regarding varied alternatives.
TASK 4
P7: Evaluating how marketers can influence decision-making process at different stages
Marketing professionals of an establishment adopt varied actions as well as tactics for
influencing customers at differential stages of their decision-making process regarding purchase.
Different stages of decision-making process of customers in relation to purchase which are
influenced by marketers of Whitbread Plc are as follows:
Problem recognition- Under this stage, marketing team of Whitbread Plc aid their
prospective visitors through recognising their need for the hotel. They can formulate effective
marketing strategies as well can focus on internal stimulus of people through presenting their
brand on social media channels. For example, managers of Whitbread Plc can present their
offered services through creating content and post it on their social media accounts.
Information gathering- At this phase, marketing team of Whitbread Plc can use cognitive
theory whereby decision-making process of consumers can be understood through their thought
process. Under this, marketers tries to be on top of the list of customers in order to influence
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their decision. For instance, managers of Whitbread Plc repeatedly shows their advertisement on
television as well as digital channels.
Evaluation of alternatives- Under this, marketers aid prospective customers to formulate a
criteria regarding their demands in relation to a product. Here, marketers can make use of
behavioural theory in order to evaluate different choices of their customers. For example,
marketers of Whitbread Plc can promote their services by providing them with quoted prices to
their customers for influencing them.
Purchasing decision- At this stage, consumers make a decision regarding their purchase.
Here, marketers can make their mind change although it is a difficult task to perform. For
instance, here marketing team of Whitbread Plc can influence their customer’s decision through
their marketing strategies.
Post-purchase- It is imperative for organisation to check on their customers and also reply
to their given reviews regarding their products or services. For instance, marketing team of
Whitbread Plc interact with their customers on a constant basis or getting their feedbacks.
M4: Critical evaluation of how marketers influence each stage of decision-making process
It has been critically evaluated that marketers of Whitbread Plc influence their customers at
every stage of their decision making regarding accepting their services. At need recognition
stage, they have impacted consumer decision through presenting their offered services through
digital channels. At identifying alternatives, they try to provide efficient services as compared to
their competitors for influencing their visitors. At post-purchase stage, they have influence
behaviour of their customers through having an interaction with them. As contradictory to this,
marketers of Whitbread Plc cannot use any of the technique at the stage of purchasing.
D2: Critical evaluation of appropriate theories and concepts which have their influence on
decision-making process of customers
It has been critically evaluated that cognitive theory is used by marketers of Whitbread Plc
in understanding the behaviour of their visitors in order to impact their decisions at the stage of
information gathering. Behavioural theory is also gets used by managers of Whitbread Plc at the
phase of evaluation of varied alternatives. For example, cognitive theory can be used in
hospitality organisations for understanding the choices of differential visitors in an effective
manner.
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CONCLUSION
From the above presented information, it has been assessed that it is imperative for
organisations to gain understanding about consumer insights and behaviour for influencing their
decisions. Methods that are used by organisations for performing market research in an effective
manner are surveys, focus groups, interviews and many more. Decision-making process of
consumers comprises of varied stages such as need recognition, collecting information,
evaluating chosen alternatives, making purchase decision and post-purchase phase. It is
imperative for marketers to analyse this stages in a strategic manner which aid them to influence
customer decisions.
REFERENCES
Books & Journals:
Altinay, L. and Taheri, B., 2018. Emerging themes and theories in the sharing economy: a critical
note for hospitality and tourism. International Journal of Contemporary Hospitality
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Dinis, G. and Et. Al., 2019. Google Trends in tourism and hospitality research: a systematic
literature review. Journal of Hospitality and Tourism Technology.
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tourism. Journal of Global Scholars of Marketing Science. 29(2). pp.151-161.
Gretzel, U., 2017. Advances in Social Media for Travel, Tourism and Hospitality. Oxon:
Routledge.
Gursoy, D., 2018. Future of hospitality marketing and management research. Tourism
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Hu, F. and Et. Al., 2019. Evolving customer expectations of hospitality services: Differences in
attribute effects on satisfaction and Re-Patronage. Tourism Management. 74. pp.345-357.
King, C., 2017. Brand management–standing out from the crowd: A review and research agenda
for hospitality management. International Journal of Contemporary Hospitality
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Kustos, M. and Et. Al., 2019. Using consumer opinion to define New World fine wine: Insights
for hospitality. International Journal of Hospitality Management. 83. pp.180-189.
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Lee, M. and Et. Al., 2019. Integrating technology to service innovation: Key issues and future
research directions in hospitality and tourism. Journal of Hospitality and Tourism
Technology.
Mariani, M. M., Borghi, M. and Okumus, F., 2020. Unravelling the effects of cultural differences
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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.
Parvin, S., Wang, P. Z. and Uddin, J., 2017. Assessing two consumer behavioural intention
models in a service environment. Asia Pacific Journal of Marketing and Logistics.
Santos, V. and Et. Al., 2021. Factors influencing touristic consumer behaviour. Journal of
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Strandberg, C. and Et. Al., 2018. Tourism research in the new millennium: A bibliometric
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Tung, V. W. S. and Law, R., 2017. The potential for tourism and hospitality experience research
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Ulker-Demirel, E. and Ciftci, G., 2020. A systematic literature review of the theory of planned
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Varkaris, E. and Neuhofer, B., 2017. The influence of social media on the consumers’ hotel
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Online:
Whitbread Plc, 2022. Whitbread is a leading hospitality business. [Online] Available through:
< https://www.whitbread.co.uk/>
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