Consumer Behaviour in Hospitality Industry

This report discusses the consumer decision-making journey in the hospitality industry, focusing on The Ritz London. It explores the stages of the decision-making process and the significance of mapping a path to purchase. It also compares the differences between B2C and B2B decision-making processes in the hospitality sector. Additionally, it evaluates different approaches to market research and methods used to understand the decision-making process. Finally, it examines how marketers can influence the different stages of the hospitality decision-making process.

Hospitality
Consumer Behaviour
Insight

INTRODUCTION
Hospitality is the fastest growing industry that provide a range of products and services
to customer after analysing their requirements and need (Bowie and et.al., 2016). The
behaviour of consumers towards hospitality industry is based on services related to
accommodation, food and drink, spa, events, tourism and so many more. Prominently, the
hotel industry is illustrated to a great extent by customer service and customer experience that
directly influences the emotions, perceptions and purchasing intentions of customers. This
report is based on The Ritz London which is a symbol of high society and luxury hotel that
provides prestigious experience to its customers. The organisation was founded by Swiss
hotelier César Ritz in the year of 1906. This report is going to cover consumer decision
making journey, significance of mapping consumer decision making practices as well as their
different approach of market research. Furthermore, it includes how marketers can influence
the different stages of the hospitality decision making process.
TASK 1
(Covered in PPT)
TASK 2
P3 Examine the stages of the consumer decision- making journey and map a path to the
purchasing for a given hospitality service
The consumer decision process can be described as an operation involving the
management of the customer's decision so that the criteria and requirements can be fulfilled
appropriately (Lugosi, 2019). In the context of the Ritz hotel this includes a number of the
following stages:
 Problem Recognition: This is the first and foremost step in which individuals
identify the need to satisfy the obligation. These conditions are apply to the upper
level of goods and services that are independently consumable to meet these targets.
These specifications are relevant to products and services provided by the
organisation in the respect of a hospitality company.
 Search Process: During this process, a person must find different details required to
take and buy decisions in order to satisfy their needs in the previous phase. In this
consumer, reviews from mates, and several other functions can be used. In this case,
the entity should use functions that efficiently handle all these functions.

 Evaluating Alternatives: At this stage, there are a range of choices which are open to
consumers. In consumer partnerships, it must select one solution after considering the
other alternatives. In this step consumers can settle on all defined alternatives by
comparison. Here the solution must be chosen that is ideally suited to demand and can
be used for this in the future in context of Ritz hotel and other related hotels that offer
different features, characteristics, facilities and so on.
 Selection Stage: In this process, the client has agreed that the alternatives chosen can
be implemented and fulfilled by human requirements. These functions include all
functions including functions and consumer observation.
 Evaluation of Decision: This is the last step of this process in which consumers
assess their product after purchase. Under this consumer define different roles that
lead to the final decision. Many of these essential functions contribute to model
specification recognition and several others.
On the basis of above analysis it can be identified that the understanding of consumer
journey is useful for hospitality management to accomplish these business goals and to
handle different functions. This allows businesses to achieve strategic targets and to relate
their success to consumers' expectations and needs so that their hospitality services can be
handled accordingly.
P4 Explore why it is important for marketers to map a path to purchase and understand
consumer decision- making in the hospitality sector
There are a variety of roles that hospitality business have to serve as members. This
contribute to the appropriate attraction and retention of clients in company and management
roles (Jauhari, 2017). This makes management of the direction that lets business enterprises
achieve success important. Many reasons are tied to the importance of mapping in the
hospitality industry. Any of the following was discussed:
Significance of mapping a path to purchase
 Quicker sales cycles: The major benefit of customer journey mapping is to manage
and improve sales cycle. These kind of practices helps Ritz hotel to ensuring a
seamless experience across different channels. On the basis of this, each department
ensure to effective customer engagement for developing growth opportunities for a
business firm.

 Integrated consumer data & continuous engagement: This is vital for the proper
management of hospitality of this feature. This role allows the organisation to control
and use the actual actions of the employee, in compliance with the company
requirements. This role also supports the enterprise to handle and use data as
appropriately which are based on organisation’s requirements and needs.
Importance of consumer decision making
 Extensive problem solving: The system is associated with solving challenges in
organisation leading to employee decision-making (Ustrov, Valverdem and Ryan,
2016). This involves the feature that notes that customers take longer than planned
time to purchase every new product or service.
 Routine problem solving: This is often essential in the resolution of organisational
routine issues relevant to organisational efficiency and qualities. The research needs
of the structure under this organisation are strong.
 Limited problem solving: Manager seeks to evaluate function to solve problems.
This function manager uses skills that apply to the judgement of the client and relates
to the execution of a correct plan.
TASK3
P5 Compare and contrast the key differences of the hospitality decision- making process in
the context of B2C and B2B, using specific hospitality examples
B2B and B2C are the most effective marketing strategies which are used by most of the
organisations in order to enhance growth opportunities by expanding effective market share.
In context of Ritz hotel, these kind of practices take a place in maximising worldwide
presence of firm easily. The difference in the hospitality decision- making process in the
context of B2C and B2B are:
Customer relationship: In respects of B2B, organisations are highly focuses to develop
direct relationship with target businesses for a long run duration (Wood, 2017). On the other
hand, in respect of B2C practices, the decision making of business is based on target
customers who are seeking organisation’s website and drive sales.
Decision making process: In B2B marketing, firm need to cater to a single person or
small group of people inside the organization because these are decision maker of firm. B2C
firms will benefit from hitting the household decision-maker, particularly for big-ticket

products such as holidays or new vehicles, but in order to get results, they don't have to solely
cater to a single person in the unit. Even if that consumer is potentially not the consumer,
B2C promotions will attract any potential customer who may be interested in their product.
P6 Evaluate the different approaches to market research and methods of research used for
understanding the decision-making process
In the background of hospitality organisations, it can be found that demand for
management of their operation is organizationally mapped to fulfil the desires and needs of
companies. In respect of the Ritz hotel, this work is connected to the function of the business
and allows the organisation to operate with a variety of productive processes. This is helpful
for businesses to plan their jobs and accomplish priorities in a timely fashion. This includes
the use of secondary research tools, some of which are books, newspapers, papers, etc.
Below, some other services can be used in secondary studies by the Ritz hotel:
Security departments- This is still a reliable outlet for intelligence collection. Under
this all information pertaining to emerging developments and the management role is
obtained from government sources (Kenyon, Robinson and Musgrave, 2020). This statistics
are obtained by government offices, individuals, agencies, blogs, etc and can be used by
businesses as the most credible tools for meeting corporate goals. Furthermore the industry
and consumers can easily be inspired by this.
Interviews - This is a system used by the corporation to control its role and accomplish
operationally beneficial goals. This involves the gathering of data from an employee and the
correct achievement of company goals. This is helpful for businesses where altering or
improving the process is required.
Market analysis- This can be described as a mechanism related to management of
corporate operations to accomplish goals. This covers all the practises under the industry to
recognise and use patterns for corporate gains. This includes all these activities. This is an
important aspect that lets Premier Inn achieve its goals. There are some of the following
arguments:
Publications - This covers sorceresses that are secondary in existence, including blogs,
websites and newspapers. This involves need for intelligence gathering. Which is useful for
recognising consumer behaviour that may be punished by company with respect to customer
care. This helps to recognise current patterns that can be used to better meet market priorities
and activities.

Questionnaire - This is a means of gathering primary and raw data by the intelligence of
researcher. This is valuable method for the achievement of corporate priorities as it manages
a beneficial method to accomplish. This is also useful in handling feedback that helps to
satisfy consumer demand.
TASK4
P7 Evaluate how marketers can influence the different stages of the hospitality decision-
making process giving specific hospitality examples
There are various factors in the markets which can easily influence the decision of the
hospitality industry and also affect the growth of the industry (Nusair, 2020). When it comes
to the market factors than it will include the factors like location, social media, delivery of
their services, customers and price.
Location: Location is the factor in the market which can easily influence the decision of
the hospitality industry. As where you serve the customers by your services and how the
market conditions was there. As good location determine the profitability of the company.
For the tourism and restaurant sectors the location is important for the customer’s point of
view also. It must be nearby to the market area and also the transport is available for the
customers and travels who comes that place for the first time.
Social media: Being updated with social media is important for the industry as people
are using social media according to their convenience. In the hotel sectors people can easily
booked the tickets and make clear to the hotel team about the purpose of the visit before
reaching to hotel. For tourism sector again it is important the tourism companies can easily
reach to the higher customer’s audience in just simple steps and customers also make a
review of the company.
Service delivery: As it is clear that hospitality industry it is a service industry, which
serve the customers according to their need and demand. Customer’s satisfaction is important
as before serving the product or after serving the product to the customers. It will create the
customers loyalty towards the industry (Baggio and Baggio, 2020). And it will affect the
decision of the companies. If the company is already its brand image than the company is
needed to spend less on the customer’s attraction and they can spend more on quality.
Customers: Customers are the strength of the hospitality industry as the whole industry
is based on the customer’s choice and their preferences. If in the restaurant, they serve that

food which is not needed to their customers than it will leads a fall in the customer’s loyalty
and the company may lose their valuable customers. Customers depends on the different
pricing techniques such as market penetration, luxury pricing and demand based pricing.
CONCLUSION
From the above report it can be concluded that the consumer is valuable for the
hospitality industry. A consumer and their decisions are can easily influence the condition of
the hospitality industry. Hotels and event organisation are the most affected industries by the
consumer’s decision. Also the marketers must have to make the path for themselves in regard
to purchasing and customer’s decision behaviour. And hospitality industry are important for
the prospect of B2B and B2C market also. Hospitality industry are important for the
customers and market organisation also. Many of the researcher found that in the hospitality
industry focused on the consumer’s choice based on the selection process rather than decision
making process, and therefore is become difficult for the industry to make a position in the
market.

REFERENCES
Books & Journals
Baggio, J. A. and Baggio, R., 2020. Modelling and Simulations for Tourism and Hospitality:
An Introduction. Channel View Publications.
Bowie, D. and et.al., 2016. Hospitality marketing. Taylor & Francis.
Jauhari, V. ed., 2017. Hospitality marketing and consumer behavior: Creating memorable
experiences. CRC Press.
Kenyon, A., Robinson, P. and Musgrave, J. eds., 2020. Managing Hospitality Experiences.
CABI.
Lugosi, P., 2019. Deviance, deviant behaviour and hospitality management: Sources, forms
and drivers. Tourism Management. 74. pp.81-98.
Nusair, K., 2020. Developing a comprehensive life cycle framework for social media
research in hospitality and tourism. International Journal of Contemporary
Hospitality Management.
Ustrov, Y., Valverde, M. and Ryan, G., 2016. Insights into emotional contagion and its
effects at the hotel front desk. International Journal of Contemporary Hospitality
Management.
Wood, R.C., 2017. Reflecting on some realities of consumer behaviour in the hospitality
industry. The Routledge Handbook of Consumer Behaviour in Hospitality and
Tourism. 69.