Consumer Behaviour in Hospitality Industry

This report discusses consumer behaviour in the hospitality industry, focusing on the stages of the consumer decision making journey and mapping a path to purchasing for a given hospitality service. It explores the importance of mapping a path to purchase and understanding consumer decision making in the hospitality sector. The report also compares and contrasts the key differences of the hospitality decision making process in B2C and B2B, using specific hospitality examples. Additionally, it evaluates different approaches to market research and methods of research used for understanding the decision making process. Finally, the report evaluates how marketers can influence the different stages of the hospitality decision making process, providing specific hospitality examples.

Hospitality
Consumer
Behaviours

INTRODUCTION
Consumer behaviour is defined as a study of how an organisation, group or customers
select, purchase, use and dispose ideas, services and goods in order to satisfy their needs as well
as wants (Ayik, Benetatos and Evagelou, 2013). Moreover, it also consider as action of
consumers at marketplace and underlying motives for actions and practices. Organisation
selected for respective report is TUI group which is operating at hospitality and tourism industry.
It is founded in year 1923 and its head office is located at Germany. Topics included in this
report are map path to purchase at hospitality industry and decision making process include in it
as well as it also describe forms of research that aid in understanding factors which influences on
consumer decision making. Moreover it will also include different phases of consumer decision
making process at hospitality industry.
TASK 1
Covered in PPT
TASK 2
P3 Examine the stage of consumer decision making journey and map a path to purchasing for a
given hospitality service
Consumer decision making journey and mapping of path for purchasing service or
products, TUI management needs to evaluate different steps, which are given below:-
 Required recognition: At this stage customer will determined their need and expectation
and TUI will evaluate customer behaviour related to their services and products. It is so
because this will help them in decision making process by which they can attract targeted
audiences.
 Information search: In this customer will conduct research in order to gather
information of products and services through which they can fulfil their desire (Bruwer,
Lesschaeve and Campbell, 2012). Moreover, in this TUI will collect information of
customers need and want so that they can offer products accordingly.
 Assessment of alternatives: In this stage customer will try to identify alternatives which
are available at marketplace along with the product life cycle. In this phase customer is
identifying best option through which they can fulfil need and requirement.

 Purchase decision: At this phase after conduct so many evaluation, customer will take
purchasing decision of that product which fulfil their requirement in most effective as
well as effectual manner.
 Post purchase behaviour: In this stage main role is played by company from which
customer buy product and services. Such as if a customer take services from TUI, then it
is their responsibilities to provide after sales services to them. For that they may take
feedbacks, suggestion and so on.
These are main stages which are essential for TUI company to adopt in order to
understand decision making of customers. It is also considered as map of consumer decision
making journey because it describe systematic steps from pre to post purchasing. For example, if
a customer want to go France, for which they need to evaluate purpose why they are visiting
their. After clearing purpose they will do research of that place in order to gather necessary
information and after that they will conduct evaluation in order to determine tour operate and
their services because that help in determining effective tour operator (Cheng and Edwards,
2015). After that they will conduct purchasing of services from most approaches tour operator as
well as in this mapping process next step is for tour operator in which they need to provide post
services like taking feedback, suggestion, thanking and so on .
P4 Explore why it is important for marketers to map a path to purchase and understand consumer
decision making in hospitality sector
At the travel and tourism sector there is high competition which impact on their business
operations and profitability and it is essential for TUI to evaluate map a path to purchase because
it help in determining risk. Some of the main reason for this are given below:-
 Technology influence: Through this a company able to enhance their competition as
well as market shares. In respect of TUI group they need to adopt new and advance
technology so that they can attract more guest which lead to enhancement in profitability
(Couture and et. al., 2015). Moreover, respective firm may also adopt new technology
for promoting business at marketplace.
 Influence of marketing mix: Respective factor will help company in enhancing their
business position at target and potential marketplace as it will lead to offering of right
product and services at the right time and at right place. In context of TUI group, it is
essential for them to consider factors of marketing mix effectively i.e. product, price,

place and promotion. This is so because it help in developing effective decision for the
products as well as business.
Moreover, along with above factors TUI also need to consider model and concepts which
help them in providing effective direction to marketers in order to map path to purchase as well
as understanding customers decision making at travel and tourism sector, those are:
 Emotional view- It is necessary for TUI group to evaluate emotional aspects of
customers because it help in understanding their demand and need, according to which
they can offering services (Ee and Lehto, 2012).
 Economic view model- It is essential for a respective firm to consider economic status of
the customers because through it they able to offer services according to their income or
economy.
TASK 3
P5 Compare and contrast the key differences of the hospitality decision making process in
context of B2C and B2B, using specific hospitality examples
For TUI group it is essential to analyse key difference among B2C and B2B because that
will help in developing effective decision through which they can serve their customers in more
impressive manner. Difference between B2C and B2B are given below:-
Particulars B2C B2B
Purchasing decision In B2C customers are consider as
most essential factor. At this
customer analyse each good and
services of every company in order
to buy most effective one. In this
process purchasing decision need
less time as well as here customers
directly approach to business if
they want to buy products
(Gössling and et. al., 2012).
In B2B, one company sell
products and services to another
company. In respect of TUI
group they need to develop
travel services plan according to
their business customers. In this
they need to focus on customers
requirement, location, prices
and so on. This is so because it
will impact on their decision
making.
Finding out needs In this type of business it is At respective business it is

essential for company
management to conduct evaluation
of customer's need as well as
demand so that they identify their
need as well as demand
effectively. This will also help a
firm in develop most proper
products and services.
essential to monitor condition
of marketplace so that TUI
group can offer quality services
related to business. In this
respective company
management also need to
conduct evaluation of in
effective manner so that they
can offer services as well as
product accordingly (Hall,
2013).
Decision related to
market size
In this type of business it is
necessary for management to
consider or cover wide area for
providing services because that
will help in gaining high
profitability.
In this type of business, it is
essential for respective
company to segment their
business customer in effective
manner so that they can offer
products effective in order to
fulfil their need, demand and
expectations.
P6 Evaluate the different approaches to market research and methods of research used for
understanding decision making process
TUI can adopt different methods and market research in order to research about
understanding decision making procedures. They also need to adopt different method for B2B
and B2C, which are given below:-
Market research approach at B2C
In this market can adopt primary method because through this they able to gather fresh
information and data. For this various sources can be used, from which some are given below-
 Questionnaire: In this researcher need to develop list of questions according to topic at
which they want to gather informations (Malone, McCabe and Smith, 2014).

 Personal interview: In this researcher may conduct interview session with peoples in
order to understand their perspective on their products as well as services.
Market research approach at B2B
For this researcher may adopt existing information and data that must be related to the
topic. This method of gather information is know as secondary source. There are several
resources which can be used for this, some main methods are given below:-
 Public record: It is consider as those record which information related to topics. These
are generally past recorded data because through this they can evaluate perspective of
various different authors (NS Robinson and Getz, 2014).
 Non-Government and government agencies: According to this researcher of respective
company gather information from non-government and government agencies. This will
help in developing most effective decision because it will be based on the past record.
TASK 4
P7 Evaluate how marketers can influence the different stages of hospitality decision making
process giving specific hospitality example
There are different methods which can be adopted by TUI group in order to influence
different stages of decision making process of hospitality sectors, from which some are given
below:-
 Perception: It is considered as method which define about how an individual pensive or
understand any things or thought (Prebensen, Chen and Uysal, 2018). In respect of TUI
group it is essential for them to evaluate as well as understand perceptive of customers so
that they can develop effective products in order to fulfil their demand and need.
 Marketing Campaign: In this company need to conduct advertisement and promotion
through different methods like social media, digital media and so on. In respect of TUI
group they need to conduct marketing campaign on different location so that they can
attract more and more customers.
For example TUI have different customers base and their demand and expectations are
also different, so it is essential for them to understand everyone requirement and develop
strategies accordingly. Such as for business guest they need peaceful location where they can

conduct meeting effectively for grow business whereas normal visitor look for adventurous
location where they can enjoy.
CONCLUSION
From above discussed point it can be conclude that for a company it is necessary to
conduct evaluation of consumer behaviour because through that management can understand
need, demand and expectation of customers. For this a firm can evaluate different stages of
consumer decision making journey as well as they also need to develop path of purchasing so
that they can understand situation and develop effective decision. Along with this, it is also
essential for a firm to understand factors which impact on the decision making procedures such
because B2C and B2B have different customers range and their demand are also different.
Management also need to evaluate different approaches in order to understand decision making
procedures of customers. For an organisation it is also essential to evaluate how a marketer can
impact on stages of decision making process at respective industry as it lead to effective
working.