Consumer Behavior and Decision-Making Process at Hilton Hotels

This report delves into consumer behavior within the context of Hilton Hotels, examining various factors that influence customer attitudes and purchasing decisions. It explores cultural, social, personal, and psychological factors impacting guest behavior. The report highlights the impact of digital technologies like AI and recognition technology on consumer trends, particularly online booking applications. An analysis of how these factors and trends influence hospitality is provided. The report examines the consumer decision-making process, from pre-purchase to post-purchase stages, and emphasizes the importance of marketers understanding this process. It compares B2B and B2C decision-making in hospitality, evaluates market research approaches, and discusses how marketers respond to consumer demands. The report also investigates the positive and negative impacts of emerging trends on consumer behavior and profitability within the Hilton hotel chain.

Hospitality Consumer Behaviour and
Insight

Table of Contents
PART - A.........................................................................................................................................2
Different factors which influence consumer behavior and attitude within a Hotel Hilton.........2
Consumer trends are changing due to the impact of digital technology....................................3
Analysis of how factors that influence consumer Behavior and trends in hospitality...............3
Analysis of the emerging trends in in consumer behavior.........................................................4
PART -B..........................................................................................................................................4
Marketers responding on the decision-making process..............................................................4
CONCLUTION................................................................................................................................7
REFERACESS.................................................................................................................................8
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INTRODUCTION
Consumer behavior is an study of any individual customer or any group that how any
individuate customer , organization or group select , buy goods and satisfy their needs and their
wants. it also include emotional and mental repose from the customer. This report will
investigate different factors like social , psychological,cultural and personal which influence
consumer behavior and attitude in a hotel Hotel Hilton. Report will explore new trends due to the
impact of digital technologies. It will also analyze of factors that influence consumer behavior
changing and driving in hospitality , this report will perform a critical analysis of the emerging
trends in customer behavior. This study will examine the consumer decision making and also
explore why it is necessary for marketers to map path and understand consumer decision making
in hotel Hilton. Report will compare key differences of the hospitality , different approaches to
market research and methods , how marketers are responding and it will also provide theories
and concept.
PART - A
Different factors which influence consumer behavior and attitude within a Hotel Hilton
Physiological Factors
consumers can relay on some basic factors when they are making purchasing decisions,
many of which are subconscious. Here are some Physiological factor which affect guest
behavior :
Cultural -Hotel Hilton is come under hospitality industry any and people from all
around the world come stay in their hotel. They speak different languages that affect on the
employees of the company. Many customer come from different culture and background they
can stay only in economic hotels and they do not prefer high class hotels. this cultural factor
affect on the hotel Hilton.
Social- Most of the guest choose hotels with the reference of their friend who tell them
about the hotel. For hotel Hilton its impotent for them to take review about this and this can be
helpful for them in marketing plan. It is impotent for them to give better services to their guest
so they can refer others about hotel Hilton.
Personal factors- customers age affect on the Hotel industry because teenagers are more
interested to stay in hotels as compare to the adults. This factor affect on their profitability and
they hotel Hilton have to make strategies according to them. Earning also affect because every
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person have different different salaries middle class people stay in low budget rooms and other
who are having better salaries they rent luxury hotels. Middle class people spent on hotels
according to their salaries.
Consumer trends are changing due to the impact of digital technology
Artificial Intelligence
In this modern world , customers are expected to be able to directly interact with Hotel
Hilton across the different varieties of the digital channels and receive the rapid response.
Artificial intelligence are capable to understand simple questions and they provide a proper
answer of the questions. It is taking the burden away from the customer services staff and help in
improving the experience for the customers it is also include the other area of the Hotel Hilton.
Recognition technology
Recognition Technology like digital cards to unlock the room are main attraction and
trends for consumer. With change of the technology consumer trends also change they want
better technology which shows the royalty of the hotel. This technology is attracting teenagers to
much but most of the hotels avoid this technology.
Online application
Now a days people book their hotel from their home before 2-3 days and they are getting
many exciting offers and discounts for hotels, this is an new trends for customer and they are
getting good response from the consumers and with this trend they are getting reviews from
their customers online and better reviewed hotels are getting more customer hotel Hilton also
using this technology and they are generating their most of the profit by this online hotel booking
application. Mostly teenagers are using those apps to book hotels and main reason to growth of
this industry is because of this technology
Analysis of how factors that influence consumer Behaviour and trends in hospitality
Culture factors affect the consume behavior in hospitality because in this industry people
come all around the world and they have different color , different culture and different demands
, language barrios create problem for employees of this industry they have to understand their
demand and according to that they have to give them services they have to respect reign of the
industry. Every customer is different in behavior some are good in nature , some are very
aggressive. Employees have to handle them and understand their demands.
Most of the people go to the hotels with their families and teenagers go with their friends
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they come with the reference of the other people who have already stay on those hotels this all
are depends on how much they are popular among the people this all are come under the social
factors. The impact of references group various across influence the customer for buying
decision it may be be any other person and it can be any singer , actor etc.
According to the different age groups have different in their thinking demand, lifestyle ,
occupation, interest etc. this all personal factors affect the hospitality. In a hospitality industries
teenagers demand for better hotels in low price their demand will be different but adult are happy
with decent price hotels.
Psychological factors affect affect on the purchase decisions and also include the
learning, attitude and motivation. The hospitality marketers need to know that which people are
involves in the purchase decision so according to that they can make strategies.
Analysis of the emerging trends in in consumer behavior
Positive impact of trends in consumer behavior
New trends in Hospitality is attracting customers and hotel Hilton is bringing new trends
so they can increase their probability and company growth they are using new technology and
this all trends are attracting consumers. trends like online hotel booking is success reason behind
the Hotel Hilton they are giving budget hotel booking packages and they also giving discount on
the online booking this is and new trend which is affecting on the consumer behavior. And many
new trends like food services and many more are also affecting on the profitability of the
Hilton.
Negative Impact of the trends in consumer behavior
In a hospitality industry trends are changing every day and its impossible for Hotel
Hilton to follow every trends and if they do not follow new trends then it can affect on their
customer behavior because they want better facility in low price and if they are giving better
facility then they have to charge more for that and its impotent for the company to follow new
trends to compete with their competitors and Hotel Hilton already have many competitors in the
market.
PART -B
Examining stages of consumer decision-making process regarding the hospitality service
Pre-purchase- It is the first step that is considered by the consumers where its purchase
process begins with need, problem or the motive within the minds of the consumer (Saw And
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et.al., 2015). The consumer will be looking for the thing that will be satisfying the need of the
customers and solve their problems (Björk and Kauppinen-Räisänen., 2015). Under this, the
customer seek for searching information and gathering the data regarding the products and the
services which will satisfy their needs by using personal sources and the commercial sources.
Thereafter, he will be evaluating alternatives from several sources and choosing the most suitable
that bes suits its taste, lifestyle, preferences and personality. In order to avail best services,
consumer will analysing reviews that has been given by other clients with respect to Hilton
Hotel.
Purchase- On the basis of the reviews if consumer feels that the services provided by
Hilton Hotel offers a best solution to his problem or the need then he makes the actual purchases
that is make bookings for buying the services of Hilton hotel.
Receive- This reflects that when the customer visit the hotel for experiencing the service
that is when he uses the services of the Hilton Hotel.
Post-purchase- At this stage, person seeks the reassurance after making the purchases
and generally the 3 main outcomes are resulted that is the services received by him met with his
expectations, the customer feels dissatisfied which means that it doesn't meet his expectations
and the services availed by him met above his expectations (Gao And et.al., 2016). It is the first
step that is considered by the consumers where its purchase process begins with need, problem or
the motive within the minds of the consumer.
Exploring the necessity for the marketers in mapping a path for understanding consumer decision
making in hospitality segment
With the helps of mapping the customer journey path hotels could be able to figure it out
the most essential touchpoints that are present in between the Hilton Hotel and customers
(Sasmita and Mohd Suki., 2015). By this the hotel can also improve its customer experience with
providing the solutions for the detected problems. The map are considered as extremely useful
for gaining the worth of their customers for lifetime through support of technology within the
hospitality industry. Mapping journey of the customers helps Hilton Hotel in finding out the
issues and the challenges faced by the consumers & also helps in meeting the taste and
preferences of the customer. It also helps Hilton Hotel in building better relationship with the
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customers and in predicting the success and behaviour of its brand in the overall hospitality
industry.
Comparing and contrasting major differences in process of decision making under hospitality in
respect of B2B and the B2C
B2B Business to Customer
Under this, the decision for buying the product
or the service contains a commercial purpose
so here the sales requires a rational analysis,
longer time consideration, ongoing assistance
by seller (Li and et.al., 2015). It includes
several areas of an enterprise.
However, here the sale is usually counted as
less rational and more based on the impulse.
Under this, the process is seen as shorter in
terns of time and individual in making
decisions.
Decisions regarding purchases under this
involves long process and are probably made
after making discussion with the committee.
On the other side, making decisions for
purchasing involves shorter time and
consumers could discuss it with his partners
and makes impulse buying.
Evaluating various approaches to the research methods and market research that are been used
for understanding the process of decision making
There are various approaches which are been used for developing a better understanding
of the process are the skill sets, sample size, pareto principle, research methodology and the tele-
depth interviews (Björk and Kauppinen-Räisänen., 2015). Hilton hotel has made use of
appropriate research methods that involves gathering data from the primary and the secondary
sources such as by structuring questionnaire, interviews, survey, article, internet and journals.
Application of the pareto principle and the tele-depth interview helps an entity in making the
study more useful and in understanding the behaviour of consumer buying in an effective way as
interview involves collection of the information directly from the respondents which in turn
creates reliability of research.
Marketers responding on the decision-making process
Customer demands
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Marketers of the Hilton company are finding that what are the demands of the customers
and what type of facilities they want and they are making new strategies so they can satisfy their
customers according to them it is impotent to understand that what customers really need and
according to this all study they are taking decision.
Technology
In the hospitality industry Information technology plays impotent role Because they need
computers in the hotel so they can collect every data in the computer and telephone is an
impotent part of the hotel because they can talk with the hotel mangers (Mariani and et.al.,
2018). Marketers are are bringing new technologies as well and they are taking decision
regarding new technologies.
Consumer behavior
Marketers of the company studding consumer behavior because it is impotent for them to
understand the behavior of the consumer because every customer have different behavior any
and it is impotent to understand what they are demanding for and some are good with their
behavior and some are aggressive , some demand for luxury rooms and some want more
facilitates and better room with low price (Gao And et.al., 2016). Consumer behavior study is
helping them in decision making process.
Different factors influences hospitality decision making and buying behavior
There are various factors like perception, selective attention, selective distortion,
selective retention learning, classical conditioning, promotion and operational condition etc
which influences the decision making process of consumers (Gursoy., 2018). There are some
factors like economic factor, functional actor, marketing mix factor, personnel factor,
physiological factor, cultural factor and social factor. These factors influences the buying
behavior of customers.
Buying behavior influences factors:
Economical factor: Hilton keeps flexible price strategy for customers where customers
can book room according to their budget (Litvin And et.al., 2018). It often offers discount on
booking that attract customers to choose hotel. Thus Hilton enhance buying behavior of
customers.
Marketing mix factor: There are four factors i.e. product, pricing, promotion and place etc. these
factors directly impact on buying behavior of consumers (Saw And et.al., 2015). Hilton keeps
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flexible price strategy, gives seasonal offers and discounts, focus on customers preference
regarding goods and services, provides online reservation services and provides convention
facilities to consumers. These all facilities and services influences buying decision of consumers.
Hospitality decision making influences factors:
Perception: Consumers before booking hotel takes information regarding hotel which is
available in social sites like publicity of hotel, services and rating of hotels In market. These
whole information is supportive for customer to hospitality decision making (Sasmita and Mohd
Suki., 2015). Hilton gives discount on booking and provides best services to customers. This
influences customers to keep in preference.
Selective Attention: Hilton focuses on hospitality services and quality of goods which is more
basic but major point for customers. employees behavior and quality of goods and their services
will assist to choose hotel (Mariani and et.al., 2018). Hilton occasionally organizes some events.
Main goal of events is entertain customers. It provides motel facilities and airline services also.
Thus Hilton pulls attention of customers and makes first preference of customer to select rather
another hotels.
Critically evaluate the application of models
There are two approaches cognitive and behavioral which assists hospitality decision
making process (Gursoy., 2018). Cognitive & behavioral approaches model is basically depend
on two concepts classical conditioning and operand conditioning.
operand Conditioning: operand conditioning is sales promotion which provides coupons,
discounts etc. sales promotion helpful to hospitality decision making process. Hilton offers
discount on booking and provides additional services like swimming pools, Jim facilities and
free breakfast etc that encourages customers to choose hotel (Litvin And et.al., 2018). Hilton try
to provide good services to consumers so that again comes to visit in hotel. This promotion
strategy doesn't go further because consumer always seeks for new. To do changes in strategy
again and again will consume time and enhance cost of hotel which will directly impact hotel
economy. This strategy can exist in market for some time not for long time. Repeating offers
and facilities will impact decision making process of consumers.
Classical Conditioning: it is based on the assumption and creation of environment for attracting
consumers where consumers shows response regarding their assumption k/a classical
conditioning. Hilton uses celebrity support because it's based on belief that positive image of
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celebrity will encourage customer in decision making of hotel (Zaitseva And et.al., 2016). Thus
Hilton uses classical conditional strategy to create positive hotel image in global market. This
strategy can't exist for long time in market. The uses of celebrity endorsement again and again
for hotel advertisement will enhance cost which will impact economic scale of hotel. In this
state,Hilton will be unable to hire so it will decrease chances of hospitality decision making.
CONCLUTION
As per the about report it has been analyzed and investigate the different culture , social ,
personal and psychological factors which influence consumer behavior in hotel Hilton and
briefly explained consumer trends are changing due to the impact of technology. This report has
been analyzed of all the factors which influence consumer behavior are changing in trends and
also has been perform a critical analysis of the emerging trends in consumer behavior and
examine the stages of the consumer decision making and map path. This report has been
conclude exploration of marking map path and also explain why it is accessory. Report has been
conclude the key differences of the hospitality decision making process and evaluate different
approaches and market research methods for decision making process. Also has been evaluate
the response of the marketers on decision making. It has been provide coherent and justified
different factors influence in hospitality decision making and critically evaluate the application
of approaches theories concepts and models impact on the decision making.
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