Consumer Behaviour in Hospitality Sector

This project focuses on consumer behaviour in the hospitality sector, specifically in the context of Premier Inn. It examines the stages of consumer decision making journey, the importance of mapping a path to purchase, and the differences between B2C and B2B decision making processes. It also evaluates different market research approaches and methods used to understand the decision making process. Finally, it explores how marketers can influence hospitality decision making process using specific examples.

HOSPITALITY
CONSUMER
BEHAVIOUR AND
INSIGHT

Table of Contents
INTRODUCTION...........................................................................................................................1
LO1..................................................................................................................................................1
COVERED IN PPT.....................................................................................................................1
LO2..................................................................................................................................................1
P3 Examine stages of consumer decision making journey and map a path to purchase for
given hospitality service..............................................................................................................1
P4 Explore why its important for marketers to map a path to purchase and understand
consumer decision making in hospitality sector.........................................................................2
LO3..................................................................................................................................................3
P5 Compare and contrast key differences of hospitality decision making process in context of
B2C and B2B..............................................................................................................................3
P6 Evaluate different approaches to market research and methods of research used for
understanding decision making process......................................................................................4
LO4..................................................................................................................................................5
P7 Evaluate how marketers can influence different hospitality decsion making process giving
specific hospitality examples .....................................................................................................5
CONCLUSION ...............................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Consumer behaviour related to hospitality sector defines as the process that reflects
activities which is used by the consumers in their buying or disposal of goods and services. This
project is based on the study of the consumer behaviour in which individual and group of
individuals are purchase the goods and services for satisfying their needs and wants so that they
can fulfils their desired in effective way. As behaviour of consumers emphasis major impact on
the purchase decision related to the hospitality sector because it is run only by customers
satisfaction only. Consumer behaviour defines as an approach which helps in identifying the
insight and features that are possessed by the consumers in demographics, geographical and
behavioural, psychological aspects. This project report is based on the Premier Inn for
understanding the different concepts of the consumer buying behaviour. Premier Inn is one of the
best British hotel chain that have 72000 rooms in their 800 hotels. This hotel is established in
1987 in Dunstable, UK. This hotel offers the best services by providing the excellent room with
super-comfy bathrooms or beds and their attractive decoration(Tung, and Law, 2017).
LO1
COVERED IN PPT
LO2
P3 Examine stages of consumer decision making journey and map a path to purchase for given
hospitality service
Consumer journey map is like a visual map that assist marketers in outlining the
experiences of the customers for developing the long term relationship. It involves several stages
on the basis of which organisation can effectively analyse the consumer psychological feature
and take decisions by understanding the feelings related to goods and firm so that marketers can
easily influence buying decisions of the consumers(Gallarza and et. al., 2015). The stages can
includes different steps:
 Need recognition- This is one of the primary stage of consumer buying decision making
process in which no purchase can be done. In this consumers are not examine their needs
and requirements. In case of Premier Inn, marketers can work on creating awareness
related to products and services so that it meets the success criteria of the company.
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 Information search- In this stage variety of information is searched by the several
sources to consumers. Like if a person want to book a room in hotel like Premier Inn than
he/she will search the information of various others hotels too, so that they can select
according to their budget and quality of services. It reflects outer application in which
various aspects are judged by customers at the time of making purchase(Ivanov and
Webster, 2019).
 Evaluation search- It represents as a third stage in consumer decision making process in
which different hotels can be evaluated by the customers according to their features and
attributes for completing the needs. As it is very crucial for the Premier Inn because in
this consumer can compare the hotel services with their competitors that can affect their
profits. It also complex for consumers to compare brands that are best fits to their
needs(Chen and et. al., 2017).
 Purchase decision- In this fourth stage purchase is done by the consumers as per their
needs and requirements in prominent manner. In this customers already examine the
various options, so that taking purchase decision would be easy to them. In this Premier
Inn, focus on evaluating that customers enjoy the hotel services and happy with that also.
 Post-purchase decision- It is last stage in consumer buying decision process where
customers can give their reviews after using the goods or services. In this customers can
show their good or bad gestures as per their satisfaction level. This will impact on their
repeat purchase. For example- A customer take the services of Premier Inn after that they
give their reviews that helps the company to improvised it as per the requirements so that
customers visit again and again(Romero, 2017).
P4 Explore why its important for marketers to map a path to purchase and understand consumer
decision making in hospitality sector
It is easy to analyse the journey of customers within goods and services are to be offered
by firm to their customers. It is significant for marketer of Premier Inn to map a path of
consumer journey so that they can easily understood the consumer buying behaviour in effective
manner.
Importance to map a path for purchase
 Understand the level of interaction between consumer and business- By mapping a
path of consumer purchasing, interaction between both consumer and firm can effectively
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analysed. This also helps in understanding the complaints and grievances so that it can
solved easily. This mapping also helps in prominently identifying the nature of consumer
buying behaviour so that changes can be done effectively and this helps the marketers of
Premier Inn to build trust in customers mind regarding company(Kim and Law, 2015).
 Focus on customers needs- This refers to that aspect which marketers of Premier Inn can
focus on customer needs by mapping the consumer buying behaviour journey. This helps
in increasing the purchasing power of the customers regarding company.
 Examine development priorities- Developing the purchasing path is importance for
marketers to effectively utilising the resources so that proficient results can be taken out.
In case of Premier Inn that is one of the five star hotel in world so it is very essential to
them to use the resources appropriately that helps in generating higher profits.
 Helpful in gaining organisation insight- Mapping a path is very beneficial for
marketers because it helps in easily understand the trends that is followed by consumers.
In this regular customers can be prominently analysed in respect of their desires and
requirements so that Premier Inn can can gain higher satisfaction of consumers and
profits in their longer life(Rather and Hollebeek, 2019).
 Differentiate gap between desired and real experience of customers- Another
importance of mapping customer buying to the marketers is that it helps in identifying the
gap between actual and frame experience of buyers. It is very helpful to achieving the
goal of consumer satisfaction by understanding the perception of the people that are
buyers.
LO3
P5 Compare and contrast key differences of hospitality decision making process in context of
B2C and B2B
B2B concept is defines that transactions which is taken place between two or more than
two different businesses. Whereas B2C is taken place between customers and business. In case of
Premier Inn differentiation between B2B and B2C can elaborated below:
Basis B2B B2C
Customer Customers of B2B is other
businesses. For example-
In this customers are the end
users. For example- Premier
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Premier Inn can make a
business with other reputed
hotel i.e. Hilton than it will
shows as a B2B(Han, Lee and
Kim, 2018).
Inn can offers services to their
guests is known as B2C.
Criteria for focus In this B2B context firms are
focused on maintaining
relationship in order to expand
the business in different
market segments.
In B2C context marketers are
mainly focused on satisfying
the needs of customers. In this
Premier Inn can mainly focus
on fulfilling the needs of
customers.
Initiation of brand value This is developing for
increasing the relationship
between firms and also
enhance brand image in
market. For Instance- Premier
Inn perform the B2B services
so that trust and brand value is
to be increased.
In this to enhance the trust in
B2B context promotional tools
helping more to gain higher
profits(Moschis, 2017).
Sales drivers In B2B sales are driven by
social proofs because this can
be drive professional.
In B2C sales can be driven by
brand awareness that helps in
capturing loyal customers.
Buying decision making Buying Decision under the
B2B activities are based on
needs of the business that
shows status and profitability
of the business.
The buying decision of B2C
can based on emotions and
requirements that are short
term.
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P6 Evaluate different approaches to market research and methods of research used for
understanding decision making process
Market research for B2B
Under B2B context decision making process is very complex as it includes various
suppliers. B2B is used for achieve the competitive advantage in marketplace. In terms of Premier
Inn, B2B aspects can be adopted for researching the methods of markets so that taking decision
would be easy. Some aspects can be shown below:
 Competition analysis- As B2B is related to that activity which is done between the
organisations for longer sustainability within competitive marketplace. In this strength
and weaknesses of rival firm can examine for understanding implications within
organisations(Kaur and Singh, 2017).
 Qualitative study- In this marketer can collect the information with the help of
professional interview so that best marketing strategy is build to understand customers
need that is useful in business. In B2B context taking decision is very complex and in this
qualitative research is very helpful because it helps the marketers to understand
effectively the market.
Market research methods in B2C
In this organisation are mainly focused on primary resources under which company can
gathered information effectively. It involves more time and cost but getting the results
accurately.
 Questionnaire- In this list of questions are included that are filled by the regular
customers so that company can analyse the needs and preferences of customers
accordingly. In this marketer of Premier Inn can take appropriate decision after
understanding the results.
 Interviews- This helps the business in developing the strong communication with the
customers due to this firm will easily select out those areas which need rectifications and
it can be solved with effective decision making.
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LO4
P7 Evaluate how marketers can influence different hospitality decsion making process giving
specific hospitality examples
In this marketer of the company is affected by the decision making process because in
every step of mapping impact is to be required to inhaled. In this process of taking decision is
enumerated in context of hospitality sector.
 Need recognition- It is very essential to understand the need of customers because it
directly impact the sales and revenues of firm. In this marketers can easily analyse the
customers needs and focus on integrating this to the required services so that high profits
can be generate by company(Funk, Funk, Alexandris, K. and et. al., 2016).
 Evaluation of alternatives- In this marketer of a company can finds the various
alternatives that meet the demands of customers. In market various substitutes are
available that may impact negatively on profit margin. IN this marketers of the
organisation can impact in both positive and negative on overall operating profits and
revenges.
 Information search- After evaluating the needs of the customers now it the time to
identify and collect several information which is needed. In this different sources are
adopted by marketer of Premier Inn for evaluating relevant information such as
newspaper, magazines. Internet etc.
 Selection and Trial- In this step consumer adopts the use of services for their wish and to
a particular period of time to test the quality and performance. In this marketers can
communicate to their customers so that they provide the use and benefits of specific
services and products.
 Purchase decision- In this customer can purchase the products by recognising the
significance of products and services. IN this marketers can try to motivate customers via
different promotional tools.
 Post purchase behaviour- In this marketer of Premier Inn can collect the feedback of
customers so that modifications can be done accordingly.
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CONCLUSION
To the above discussion on the consumer behaviour related to hospitality sector it is very
significant for the hospitality industry to analyse the demands and needs of the consumers so that
their desires are to be fulfilled effectively. This project inculcates the several concepts of
consumer insights and behaviour that are effective for the organisation in attaining the targets
and maximising the profits and growth. With the help if making decisions by the consumers,
hospitality industry can frame the decisions so that they can attracts the large base of customers
and sustain for a longer period of time.
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REFERENCES
Books and Journals
Chen, J.S. and et. al., 2017. Business co-creation for service innovation in the hospitality and
tourism industry. International Journal of Contemporary Hospitality Management.
Funk, D.and et. al., 2016. Sport consumer behaviour: Marketing strategies. Routledge.
Gallarza, M.G. and et. al., 2015. Value dimensions in consumers’ experience: Combining the
intra-and inter-variable approaches in the hospitality sector. International Journal of
Hospitality Management. 47. pp.140-150.
Han, H., Lee, M.J. and Kim, W., 2018. Promoting towel reuse behaviour in guests: A water
conservation management and environmental policy in the hotel industry. Business
Strategy and the Environment. 27(8). pp.1302-1312.
Ivanov, S. and Webster, C. eds., 2019. Robots, artificial intelligence and service automation in
travel, tourism and hospitality. Emerald Publishing Limited.
Kaur, N. and Singh, D.P., 2017. RETRACTED: Deciphering the consumer behaviour facets of
functional foods: a literature review.
Kim, H.H. and Law, R., 2015. Smartphones in tourism and hospitality marketing: A literature
review. Journal of Travel & Tourism Marketing. 32(6). pp.692-711.
Kumar, P. and Ghodeswar, B.M., 2015. Factors affecting consumers’ green product purchase
decisions. Marketing Intelligence & Planning.
Moschis, G.P., 2017. Research frontiers on the dark side of consumer behaviour: The case of
materialism and compulsive buying. Journal of Marketing Management. 33(15-16).
pp.1384-1401.
Rather, R.A. and Hollebeek, L.D., 2019. Exploring and validating social identification and social
exchange-based drivers of hospitality customer loyalty. International Journal of
Contemporary Hospitality Management.
Romero, J., 2017. Customer engagement behaviors in hospitality: Customer-based
antecedents. Journal of Hospitality Marketing & Management. 26(6). pp.565-584.
Samoggia, A. and Riedel, B., 2018. Coffee consumption and purchasing behavior review:
Insights for further research. Appetite. 129. pp.70-81.
Sthapit, E. and Jiménez-Barreto, J., 2018. Exploring tourists' memorable hospitality experiences:
An Airbnb perspective. Tourism Management Perspectives. 28. pp.83-92.
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Tung, V.W.S. and Law, R., 2017. The potential for tourism and hospitality experience research in
human-robot interactions. International Journal of Contemporary Hospitality
Management.
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