Hospitality Consumer Behaviour and Decision Making: HNHM319 Report

This report examines consumer behaviour within the hospitality sector, focusing on the decision-making processes of individuals and businesses. It uses Grosvenor House Hotel as a case study, exploring factors influencing consumer choices, including cultural, social, personal, and psychological elements. The report details the stages of the consumer decision-making process, from pre-purchase to post-purchase, and maps the path to purchase for hospitality services. It analyses the impact of digital technology on consumer trends and compares decision-making processes in B2C and B2B contexts, providing examples. Furthermore, the report discusses various market research approaches used to analyze consumer decision-making and explores how marketers influence consumer behaviour at different stages. The analysis covers the influence of digital technology, and how marketers can shape consumer choices. The report concludes by summarizing key insights into hospitality consumer behaviour and marketing strategies.

HNHM319:
Hospitality Consumer
Behaviour and Insight

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1) Stages of Consumer Decision Making Process for Products and Services of an
Organisation................................................................................................................................3
P2) Explore How Consumer Trends and Changing Due to the Impact of Digital Technology..5
TASK 2............................................................................................................................................6
P3) Stages of the Consumer Decision Making Process Making Journey and Map a Path to
Purchase Given Hospitality Service............................................................................................6
P4) Importance of Consumer Behaviour for Marketers to Understand Consumer Decision
Making Process In Context of Hospitality Sector.......................................................................8
TASK 3............................................................................................................................................8
P5) Comparison of Key Differences of Hospitality Decision Making Process in Reference to
B2C and B2B by using Particular Hospitality Examples............................................................8
P6) Different Approaches to Market Reserach and Methods of Reserach for Analysing
Decision Making Process............................................................................................................9
TASK 4..........................................................................................................................................10
P7) How Marketers Inlfuences Various Stages of Decision Making Process by Identifying
Appropriate Examples in Context of Hospitality Sector...........................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Consumer Behaviour refers to the study of the perspectives of individuals, groups
organisations and also of the business enterprises (Bian and et.al., 2016). It is important for the
companies to make proper analysis of the needs and preferences of their customers with the help
of which it will be possible to know about the different perspectives of their customers and the
knowledge about the change in the needs and demands of their customers could be known and
services could be provided to them according to the needs and preferences of their customers.
The company chosen for the completion of this assignment is Grosvenor House Hotel which was
founded in the year 1929 and is headquartered in London. The company provides their customers
with different types of services such as food, lodging, accommodation and many more with the
help of which it is possible to make improvement in the level of satisfaction of their customers.
The assignment will make its focus on the factors which makes influence on the hospitality
consumer behaviour and attitudes. In addition to this, the focus will also be made on the decision
making process of the organisation along with the ability to map the path that could be used to
make use of the services of the hospitality sector. At last, the focus of this assignment will be
made on the specific forms of research that could be used to analyse the influence on the
hospitality consumer decision making process and to know about the ways with the help of
which marketers influence different stages will also be presented in the following assignment.
TASK 1
P1) Stages of Consumer Decision Making Process for Products and Services of an Organisation
Consumer Behaviour can be defined as the as process of grouping, individual and
companies which are rleated to and are connected with purchasing, disposal and use of products
and services that provides mental, emotional and social reaction of customers to the companies
which impacts upon the qualities of the products and services of an organisation (Venkatraman
and et.al., 2015). It is critical to think about customers so that products and services can be made
and developed accordingly. Consumer Behaviour is characterized as feeling of ideal and
unfavourable choices of a person towards the products and services. It is includes feeling, belief
and behavioural intentions of customers towards the products and services of an organisation.

It is the duty of Grosvenor House Hotel to know about the consumer behaviour and their
attitudes towards the products and services of their organisation and in case of non satisfaction,
possible improvements could be made in the quality, design and other factors of the products and
serivces for the better experiences and satisfaction of customers. The different variables that
impact consumer behaviour and attitudes are discussed as under:
Cultural Factors:
This factor plays an important role in the identification of the needs and demands of
customers rleated to a particular group. In the following context, the division is made according
to different sub-culture, social class. Under culture setting, belief of human behaviour and their
roles which they play an important role in the society is incorporated. The sub culture implies
society where they share customs, values, conventions as far as country, racial gathering,
religion, etc. Likewise, social class individuals center around pay level of person. This comprises
of human conduct, customs, conventions, values, etc. The individual lives in the society who has
different need and demands and impacted by others. The customer attitude and behaviour are
affected on the grounds that every single customers has their own way of life and traditions
which impacts upon their perspective set for purchasing of products and services (Liobikienė,
Mandravickaitė and Bernatonienė, 2016).
Social Factors:
These components are divided into reference group, family, jobs and status. Here,
reference group can impact buyer which impacts on brands and products of an organisation. It
incorporates opinion leader to take their view and survey seeing services just as the products of
their organisation. For instance, if reference group has provided benefit with their own services
from Grosvenor House Hotel and in case the product or service proves to be good than this will
make them to recommend to other individuals as well. In absence of good services they advice
their group to make use of services from other tour operators. Indeed, even the family changes
their mindset of taking services from an organisation, so this will also impact negatively on the
growth and performance of their organisation as well. Individuals having a place different
groups, organisations, club individuals, families needs to keep up their jobs and status at society.
This can impact consumer behaviour for obtaining products and services.
Personal Factors:

The various sorts of individual components are age gathering, occupation, monetary
circumstances, way of life and character. These all aides in affecting customer for purchasing
products and services in powerful way. For instance, Grosvenor House Hotel is giving services
to their customers and . In the event that they have little kids as traveler, at that point they need
gaming offices, if there should be an occurrence of mature age individuals they required verified
and high class accessibility of rooms. On the off chance that high pay bunch individuals are
profiting administrations, at that point they ought to be given premium quality administrations.
Thusly, this factor impact consumer behaviour and their attitudes as well.
Psychological Factors:
It incorporates motivation, percption, experience, attitude and beliefs. These factors
impact consumer behaviour and conduct for purchasing products and services. For example, if
consumer has increase great experience of travelling and make use of the services of Grosvenor
House Hotel then they make arrangement for following visit as well (Ghose and Todri, 2015).
On the off chance that there is awful view of individual with respect to visit administrators
association, at that point they won't make any arrangement. Along these lines, frame of mind and
conduct of customer is impacted.
P2) Explore How Consumer Trends and Changing Due to the Impact of Digital Technology
Due to increase in technology and innovation, it has been seen that there is large amount
of changes in needs and demands of people. In this regards, digital technology plays an
important role in people life and had made it even more simple to achieve objectives and goals of
a business. It is same in regards of tourism sector, the digitalisation has large impact upon the
trends of customers that are elaborated as follows-
Digital Innovation serves convenience and mind peace- With enhancement of
digitalisation, it has developed people's life and made it even more advanced and better. The
technologies services are available at all time that helps in making customers work even more
easy and simple for the purpose of achieving overall goals and objectives of a business in more
efficient and effective manner. As per the data, more than 75% customers has purchased
smartphones for preventing their families by providing the safety and comfort them at the same
time. At the same time, Thomas Cooke helps in providing innovative online data and information
to customers that makes it convenient for them for availing all discount types and services

through online sources which results in making plans for tours and holidays. It has developed
convenience to people and helps them in saving their time and money.
Wearable shape consumer lifestyle and save business money- The changes that can be
seen in digitalisation and technologies helps in assisting and tracking records for several
information and data. Such wearable technique is a first step towards reduction in stress and
adoption of healthy lifestyle. This technique helped customers for making even more better
decisions for attaining objectives and goals. For instance, there are many consumers who has
availed services of this organisation and other operators of travel and tourism and provide them
feedback and ratings at their mobile applications and official website. It helps the user in taking
best decisions for certain holiday plans which helps in shaping the lifestyle of customers and
helps in saving money (Rana and Paul, 2017).
TASK 2
P3) Stages of the Consumer Decision Making Process Making Journey and Map a Path to
Purchase Given Hospitality Service
Consumer behaviour is the activity of individuals by which they purchase and buy
various kinds of products and services adequately. It is important for marketer to examine by and
large conduct of shoppers towards facilities. As with the help of knowing about the needs and
requirement of their customers, it will be possible for the company to know about the needs and
demands of their customers and the changes in the services of the organisation could be made
accordingle. Along with this, it is also important for the companies to make analysis of the needs
and demands of customers and they changes with the passing of time. So with the help of
considering these factors, it will be possible for the company to make innovation in their
processes and to provide the customers with the best possible services of which the competitors
of the organisation never though of. There are some stages with consumer decision making
journey which have been discussed as under:
Pre purchase stage: According to this consumers have option or hardly any choices. In this
marketer adapt such a large number of things like buyer's conduct, audits and colossal data by
web-based social networking. At the point when all data is outlined than pre buy choice makes
and perform such a significant number of exercises normally. It is important for the companies to
have proper knowledge about the products and services of an organisation with the help of which

it will be possible for the companies to avoid future deviations in relation to the services
provided to them.
Purchase stage: It is a last buy choice towards different alternatives accessible in the market. In
this customers have large data from the entirety of the products and after this they make
instalment an appreciate those services in a superior manner. As indicated by particular inn they
pay ahead of time for better services in lodging.
Receive stage: In this stage buyers makes the most of their bundle office inside the Grosvenor
House Hotel. Alongside they remain cheerful and ready to acquire offices like open vehicle,
different lodging with the goal that it increment profitability of firm and fulfilment of customers
needs and expectations.
Post purchase stage: According to this stage, customers assesses their general understanding by
accepting services from delegate lodging and filled feedback form in the hotel. With the help of
this individual business ewtity can make changes as needs be and gives better fulfilment level to
customers (Daugherty, Hoffman and Kennedy, 2016).
Levels of Consumer Decision Making in Hospitality Industry
There are a few levels of hospitality sector for consumer decision making process which
have been provided as under:
Extensive Problem Solving: According to this consumers includes in such a large number of
exercises towards business element. In reference with Grosvenor House Hotel, they look at
gigantic cost services to arrive at end choice.
Limited Problem Solving: In this marketer offer huge data to customers so they can without
much of a stretch discover better arrangements inside the accommodation organisation.
Routine Problem Solving: According to this consumers have great data towards nature of
merchandise and their cost also to realize proper visit bundles.
Four Perspectives with Consumer Decision Making:
Economic View Model: This is the model which is identified with the expense caused during
the purchasing procedure. So organisation need to mindful about there creation process which
help them to keep up the expense adequately.
Passive View: In this perspective it defines to the limited time exercises which help organisation
to improve their benefits. For the organisation like Grosvenor House Hotel, administrators need
to utilize most ideal commercial strategy to pick up progression.

Emotional View: Grosvenor House Hotel, the executives have assess the enthusiastic condition
of end user as it assumes an essential job in understanding the consumer behaviour of the
customers.
Cognitive View: Hence it is imperative to have data with respect to the patterns which help them
to increase focused progression in the comparable business (Lantos, 2015).
P4) Importance of Consumer Behaviour for Marketers to Understand Consumer Decision
Making Process In Context of Hospitality Sector
In the present part of the organisation, there are different organisations which operating
their business in the same industry. This help customers to have diverse choice for picking the
product and services in a well characterize way. As the consumer have gotten increasingly
unique just as brand explicit which made hard for the organizations to fulfill the consumer from
their competitors. On account of Grosvenor House Hotel, the manager of the organisation need
to guarantee about the market and just as changing interest of the customers. Below is the
explanation of some of the important reasons which are been provided as under:
Influence of heuristic in decision making: It refers to psychological systems which enable
consumers to settle on choice in an effective manner. Further it assumes an essential job in
purchasing conduct of the buyers. So the manager of the Grosvenor House Hotel have proper
research in understanding the purchasing conduct of the clients.
Influence of marketing mix: There are framework which help in understanding the purchasing
conduct of the customers. In this regards, organisations such as Grosvenor House Hotel manager
must make use of appropriate systems of marketing mix in order to attract more and more
customers towards the services of the company (Kowal and Roztocki, 2015).
TASK 3
P5) Comparison of Key Differences of Hospitality Decision Making Process in Reference to
B2C and B2B by using Particular Hospitality Examples
While discussing about the hospitality sector, it can be said that there are many decision
making process for the B2B just as B2C marketing processes. So the Grosvenor House Hotel
must make sure about both the marketing strategies in business to business and to customers as
well. For instance the customers of Grosvenor House Hotel will makes use of their services from
the site while on account of B2B organisation will keep up the connection with the providers and

sellers so as to oversee and control the interest of the market. At the time of doing businesses,
with the customers, orgnaisaiton are required to concentrate on quality just as after sales services
to meet the fulfillment level of the customers. Though on account of B2B the organisation need
to concentrate on different organizations connection which help them in order to cover larger
market share. Both of the organisation need to keep up the association with the customers just as
business to keep up the quality and market which help being developed and development of the
organisation as well (Drever and et.al., 2015). The managers of the organization need to keep up
the standard and have powerful information about the market which will help in development in
a very much characterized way. Thus both B2B just as B2C are the important ascpect which
organisation need to keep up adequately.
P6) Different Approaches to Market Reserach and Methods of Reserach for Analysing Decision
Making Process
In order to be in the market for long period of time, it is important for the company to
understand the importance of research with the help of which it will be possible to know about
the needs and requirements of their customers and to privide them with the needful matieral in
order to satisfy their own needs and demands. As indicated by Grosvenor House Hotel, they
constantly are doing research with the goal that they can make analysis of the needs and demands
of their customers in the market such as making use of 2 forms which are B2B and B2C and the
descriptino of which is also provided as under:
Marketing research approach in B2B
In accordance to B2B, particular firm makes use of secondary sources of data which is
now accessible inside the market and it is commonly utilized through the specialist in a short
period of time. As it is economical and easy to acquire this data in an easy format for example:
Public Records: According to this particular firm can without much of a stretch settle on
great choice inside the friendliness segment by watching in general past records towards
commercial center. It encourages them to satisfy their objectives.
Marketing Research Approach in B2C
In this, marketer constantly utilized optional information assortment strategy which is
procured by direct. Alongside it is likewise useful to decrease blunders from work and improve
venture. For instance:

Personal Interviews: By having up face and face interviews respective firm can show signs of
employment in its business and ready to increase huge profit or decision for the beterment of
future. In this way, it causes firm to support extensive stretch of time in hospitality sector.
So with the help of these approaches and tools in order to investigate are a lot of
supportive for an organisation in order to help the companies to make analysis of the overall
decisions rleated to the organisation. Based on this firm can give better help to customers and
make good relation with them (Piscicelli, Cooper and Fisher, 2015).
TASK 4
P7) How Marketers Inlfuences Various Stages of Decision Making Process by Identifying
Appropriate Examples in Context of Hospitality Sector
For customers learning is the best procedure to purchase something and experience better
services inside the hospitality industry. With the help of better experience they can improve their
future and ready to give better inputs to various organisations. In relation to Grosvenor House
Hotel, marketers assumes vital jobs who settles on suitable choices by having important
information for customers and different organisations also. Accordingly, marketing of this firm
can without much of a stretch impact a few phases of basic leadership process in hospitality
industry. There are a few approaches by which marketer can easily identify the different decision
making process which are being provided as under:
Behavioural approach: This approach is based on particular firm can discover that how buyers
are carry on inside the association. It is the way toward learning successful conduct of clients for
the better advancement in the association. Conduct is constantly founded on minds considering
individuals and how their cerebrum functions. In this manner, it is fundamental for firm to think
about purchasers (Piscicelli, Cooper and Fisher, 2015). It additionally impact culture of
individuals and their surroundings in which they gives better execution.
Cognitive Approach: It is the psychological action remembers for thinking, recalling, learning
and making use of different languages. This approach is exceptionally helpful for learning and
investigating in general conduct of customers in the business. Alongside it causes particular firm
to gather fitting data and ideas to comprehend association of individuals for expanding
company's efficiency in friendliness segment. Hence, it is basic to watch customer's conduct and
give better products and services to their customers.

CONCLUSION
From the above assignment, it has been concluded that consumer behaviour plays an
important role in the marketer's life as with the help of this, it is known to the marketers that
what kind and with what qualities in the products of an organisation, the customers will make
their purchase of the products and services of their organisation. In addition to this, the
conclusion has been drawn about the analysis of market with the help of which it will be possible
to know the needs and demands of customers and also fulfil them which will make improvement
in the satisfaction level of their customers. Further, the conclusion has been drawn about the
increment in the profitability level of the company as well and also there are different decision
making process of the company as well which will provide the company wuith varied chances.
The companies are also required to make analysis of the different factors which impacts upon the
B2B and B2C that helps the organisation to make incremeent in the overall profitability level of
their organisation. Lastly, the conclusion has been drawn about the marketing research methods
and approaches which are considered as better ways in order to make better decisions in the
context of organisation and in a better way.

REFERENCES
Books and Journals
Bian, X., and et.al., 2016. New insights into unethical counterfeit consumption. Journal of
Business Research. 69(10). pp.4249-4258.
Venkatraman, V., and et.al., 2015. Predicting advertising success beyond traditional measures:
New insights from neurophysiological methods and market response modeling. Journal
of Marketing Research. 52(4). pp.436-452.
Liobikienė, G., Mandravickaitė, J. and Bernatonienė, J., 2016. Theory of planned behavior
approach to understand the green purchasing behavior in the EU: A cross-cultural
study. Ecological Economics. 125. pp.38-46.
Ghose, A. and Todri, V., 2015. Towards a digital attribution model: Measuring the impact of
display advertising on online consumer behavior. Available at SSRN 2672090.
Rana, J. and Paul, J., 2017. Consumer behavior and purchase intention for organic food: A
review and research agenda. Journal of Retailing and Consumer Services. 38. pp.157-
165.
Daugherty, T., Hoffman, E. and Kennedy, K., 2016. Research in reverse: Ad testing using an
inductive consumer neuroscience approach. Journal of Business Research. 69(8).
pp.3168-3176.
Lantos, G. P., 2015. Consumer behavior in action: Real-life applications for marketing managers.
Routledge.
Kowal, J. and Roztocki, N., 2015. Do organizational ethics improve IT job satisfaction in the
Visegrád Group countries? Insights from Poland. Journal of Global Information
Technology Management. 18(2). pp.127-145.
Drever, A. I., and et.al., 2015. Foundations of financial well‐being: Insights into the role of
executive function, financial socialization, and experience‐based learning in childhood
and youth. Journal of Consumer Affairs. 49(1). pp.13-38.
Piscicelli, L., Cooper, T. and Fisher, T., 2015. The role of values in collaborative consumption:
insights from a product-service system for lending and borrowing in the UK. Journal of
Cleaner Production. 97. pp.21-29.
About Pareto Principle. 2019. [Online]. Available through:
<https://www.b2binternational.com/publications/b2b-research-versus-b2c-research/>