Factors Influencing Consumer Behaviour in Travel and Tourism Industry

TRAVEL AND
TOURISM
CONSUMERS
BEHAVIOURS

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Factors influencing consumer behaviour...............................................................................1
P2 Impact of digital technology on consumer trends..................................................................2
TASK 2............................................................................................................................................3
P3 Stages of consumer decision making process........................................................................3
P4 Importance of consumer buying behavior for marketers.......................................................4
TASK 3............................................................................................................................................5
P5 Compare and contrast B2B and B2C decision making..........................................................5
B2B.............................................................................................................................................5
B2C.............................................................................................................................................5
P5 Different approaches to understand decision making process...............................................6
TASK 4............................................................................................................................................7
P7 Marketers influencing various stages of consumer decision making....................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Travel and tourism industry works with main goal of providing necessary and desired
experiences or services to the travellers. It is said to be fast growing industry in the world and
providing employment to local communities. Consumer behaviour is conceptual study which
identifies actions and motives for purchasing decisions (Horner and Swarbrooke, 2016). Shift
consultancy was founded in 2015 by Jane Ginnever with the aim to change the manner the world
works. In this report different factors will be analysed that affects consumer behaviour and
attitude and role of digital technology on consumer trends as well. Explanation about consumer
decision process will be given along with its importance for organisation to understand the
process. Differences between B2B and B2C will be compared using examples and approaches
will be evaluated to understand decision making process. Al last, evaluation will be done on
influencing various step of decision process with the help of example.
TASK 1
P1 Factors influencing consumer behaviour
There are different factors that has direct and indirect impact on consumer behaviour and
attitude which influences its buying process. The main factors are as follows:
Cultural: This is one of major factors which is divides into sub-categories and need to
understand completely so that travel and tourism organisation can target consumers basis on
these factors.
Culture: It comprises of belief of individual, role it plays in society, behaviour of society,
values, traditions and customs.
Sub-Culture: It is group of individuals who are characterised to have similar traditions,
values and customs like country, religion, geographic location and racial group (Prebensen, Chen
and Uysal, 2018).
Social Class: Every society has one or more social class which has same buying
behaviour and posses quite similar attitude in decision making. There can be factors like income,
educational level, occupation, etc.
1

Personal: There are number of personal factors and most significant in influencing consumer
behaviour and attitude in buying decision. There is need that travel and tourism firms are able to
analyse and target customers on there basis.
Life Style: It comprises of activities, interest and opinions that affect pattern of buying in
an individual which are having different occupations and culture.
Occupation: Such group has average interest in purchasing products or services of
organisation and thus business have distinguish products for such groups (Ukpabi and
Karjaluoto, 2017).
Economic Situations: This influences choice of product an individual will buy according
to their budget and economical stability.
Psychological: There are different factors like motivation, perception, learning, experience,
attitude and belief which affects the buying behaviour strongly. These has impact on thinking,
judgement, emotional feeling, past experiences and motivation that consumers have while
making decision related to buying product or services.
Social: They are divided into family, reference group, role and status which has impact on
buying behaviour of customers. They have different opinion leader, family members, role in
families and status in society to maintain so that their expenses are decided accordingly.
P2 Impact of digital technology on consumer trends
The emergence computer and mobile phone over some years there is drastic changes in
terms of marketing by companies. In travel and tourism industry it becomes essential to
understand the impact technological aspects has created on consumer trends. Some of them are
as follows:
Decreased customer attention: There are number of videos and posts posted on internet
everyday which make it difficult for audience to consume (Pappas, 2016). This making attention
of consumers to reduce and thus it arise need to find a innovative way to attract buyers. For this
companies need to personalised experiences by identifying needs and wants.
Ease of access: Before consumers buying decision were based on feedback from friends
and relatives but these days technology plays important role in influencing attitude of buyers.
Thus it is essential that travel and tourism companies made information of products and services
2