Impact of Social Media Marketing on Hotel Consumer Behavior

This dissertation analyzes the influence of social media marketing on consumer behavior within the hotel industry, focusing on major global players. It examines how hotels utilize social media for marketing, emphasizing its impact on customer retention and revenue. The study acknowledges the increasing competitiveness of the market and the evolving demands of consumers, highlighting the importance of creating and retaining loyal customers. The research explores the significance of social media as a marketing tool, hypothesizing a positive correlation between social media marketing and consumer buying behavior. Data collected supports this hypothesis, particularly regarding the influence of loyalty programs. The dissertation includes an introduction to the research topic, background information, research aims, objectives, hypotheses, and questions. It also encompasses a comprehensive literature review, detailed research methodology, including research philosophy, approach, design, data collection and analysis, sampling, and ethical considerations. The findings and analysis chapter presents both quantitative data and qualitative analysis related to demographics, social media marketing, and consumer buying behavior. Finally, the dissertation concludes with recommendations for influencing consumer buying behavior in the hotel industry.

Running head: DISSERTATION
DISSERTATION
Name of the Student
Name of the University
Author Note

1
DISSERTATION
Abstract
This study will analyse the influence of social media marketing on the consumer behaviour in
the hotel industry. The social media connection with the employees have been a key
marketing strategy for most of the organizations in this industry as customer retention is
essential for improving the sales volumes and revenue streams of any organization. In this
current study, a hotel market has been taken in to consideration, which consists of major
global players. Moreover, the usage of social media for marketing has been prevalent in the
hotels for a long time and the study will aim to identify the impact this on the consumer
behaviour. The current market environment is in comparison more competitive today and the
customers are becoming more and more demanding than before. In the present situation
creation and retention of loyal customers are the most significant part for the organisation.
The choice of the hotels by the customers is based on the services that are provided by these
hotels. Social media is believed one of the most important marketing tool for the hotel
industry. Thus, by linking the objective of the study it can be stated there is positive impact of
buying behaviour of consumers. The data that has been collected also illustrates that majority
of the respondents are in agreement with the fact loyalty card has positive impact on the
study.

2
DISSERTATION
Acknowledgement
By this research, I have experienced best possible learning of my life. By conducting this
research, I have learnt various concepts, models and theories. I first thank to the almighty
God. After that, I want to thank to my supervisor ______________ who is my friend,
philosopher and guide. I also thank my parents for being supportive and accommodative for
completing this research. I want to thank my friends for giving me the moral support while
conducting this research.

3
DISSERTATION
Table of Contents
CHAPTER 1...................................................................................................................3
INTRODUCTION..........................................................................................................3
1.0Introduction...............................................................................................................3
1.1Background of the research.......................................................................................5
1.2Aim of the research...................................................................................................6
1.3Research Hypothesis.................................................................................................6
1.4Research Objectives..................................................................................................6
1.5Research Question.....................................................................................................7
Chapter 2- Literature Review.........................................................................................7
Social Media.............................................................................................................10
CHAPTER 3.................................................................................................................19
RESEARCH METHODOLOGY.................................................................................19
3.0 Research Methodology...........................................................................................19
3.1 Research Philosophy..............................................................................................20
Justification for selecting positivism........................................................................22
3.2 Research Approach................................................................................................23
3.3 Research Design.....................................................................................................24
3.4 Data collection.......................................................................................................24
3.5 Data Analysis.........................................................................................................25
3.6 Sampling................................................................................................................25
3.7 Reliability and Validity..........................................................................................27

4
DISSERTATION
3.8 Ethical consideration..............................................................................................27
Chapter 4......................................................................................................................28
Findings and Analysis..................................................................................................28
4.0 Finding and Analysis..............................................................................................28
4.1 Quantitative questions............................................................................................28
4.1.1 Demographics questions.................................................................................28
4.1.2 Quantitative Questions on social media marketing.........................................34
4.1.3 Quantitative Questions on consumer buying behaviour.................................42
CHAPTER 5.................................................................................................................62
CONCLUSION AND RECOMMENDATION...........................................................62
5.0Conclusion...............................................................................................................62
5.1Recommendation.....................................................................................................66
References....................................................................................................................67
Appendix......................................................................................................................73

5
DISSERTATION
Topic: Impact of social media marketing on consumer buying behaviour in hotel industry
CHAPTER 1
INTRODUCTION
1.0Introduction
The research is based on the study of the different ways by which social media
marketing can impact the hotel industry. The hotel and hospitality industry is hugely
dependent on the reviews that are given by the customers as well as the positive word of
mouth. Social media in this case can act as a major marketing tool that can be used by the
customers of the hotel (Baker et al. 2016). The three different ways by which the hotel and
hospitality industry can use social media are as follows,
 Marketing – The hotels can use the social media platforms mainly like
Instagram and Twitter to enable the communication between the business and
the customers. The methods related to communication have changed in the
recent times, however the organizations still use the fundamental methods of
promotion and marketing so that they can pass on their message to the target
audience (Xie, Chen and Wu 2016). The major difference lies in the speed by
which the messages reach the target audience and the usage of the new tools
for this purpose. The marketing professionals can use the tools related to
information technology so that they can determine the various factors related
to the organizations (Godey et al. 2016). The analysis of the market can help
in revealing the various preferences related to the styles, purchasing habits,
tastes and preferred channels of communication.
 Improvement of customer relationship management – The second major
application of the social media tools after the promotional activities are the

6
DISSERTATION
ways by which these tools are used for the management of customer
relationships. The analytical tools can be used for the purpose of digital
communication so that the marketing professionals can connect with the
customers of the organization (Kim, Lim and Brymer 2015). The digital
channels of communication encourage the way by which the transparency in
the response of the consumers can increase. The organizations within the
hospitality industry can therefore engage with the customers and further
improve their services or products according to their needs.
 Reputation management – This is another major function that can be
performed by the social media tools. The usage of social media ranges beyond
the simple marketing campaigns. The marketing managers use these tools to
sell the services and products and maintain the relationships with the
consumers. The digital tools that are used for communication are mainly
required for continuous management of the brand (Law et al. 2015). The
customers can use the social media platform to choose the services that they
wish to avail and raise the complaints related to the poor experience as well.
The speed related to the marketing opportunities with the help of digital tools
has opened new avenues for the hotel and hospitality industry. The
organizations that are able to offer high quality of services and products do not
need to wait to increase their profits. The internet savvy customers lessen
some of the burden related to the marketing activities of the organization that
belong to this industry. The marketing managers can therefore place their
concentration on the improvement of the services and products that they can
offer (Leung, Xue and Bai 2015).

7
DISSERTATION
1.1Background of the research
The marketing platforms related to social media are gaining more and more
importance in the recent times in the daily lives of the consumers as well as the business
organization. The mobile devices and internet related activities are proving to become much
more valuable tools while the target customers are young. The technological giants of the
world have therefore started encashing upon this opportunity (Muhammad, Dey and
Weerakkody 2017). The organizations are adopting the methods of digital payment and
trying to take on the legislative and technological challenges. The rise of digital payment
methods has given rise to new challenges related to hotel industry. The hoteliers need to
embrace the new ways by which they can communicate with the consumers and get
themselves ready to face the changes in their behaviour. The marketing managers of the
hotels need to be updated with the social media trends of marketing and thereby develop their
online presence (Nisar and Whitehead 2016). This will help them to adapt to disruptions and
thereby achieve the advantage related to early adoption.
The subscriptions related to mobile devices have increased hugely by the end of the
year 2016. The usage of mobile devices in the hotel and hospitality industry has also
increased in the recent times. The consumers are now more engaged with the mobile
platforms, reach is also vast and the connectivity of the mobile devices worldwide have
become suitable platforms for marketing (Sigala and Chalkiti 2015). The increase the
penetration of mobile devices in the industry has helped in strengthening the engagement of
the consumers with these platforms. The usage of social media is also rising and the digital
consumers tend to spend more time on the social platforms. The major responsibility of the
hotels and hospitality industry is to increase the presence of their brands. The function that is
played by social media is the interaction between the consumers and the hotels. This two-way
communication helps the organizations to understand the needs and desires of the customers

8
DISSERTATION
and thereby updating their services and offerings (Xiang et al. 2015). The usage of social
enables the promotion of offers and services on a real-time basis. The loyalty of the
consumers can also be increased with the help of social media. The popular social media
platforms that are used by the organizations in the hospitality industry are Instagram, Twitter,
Facebook, Snapchat. The users of these platforms related to social are mainly the potential
customers of the hotels. The management of the hotels design their marketing activities so
that they can target these customers and thereby fulfilling their needs and desires (Xie and
Lee 2015).
1.2Aim of the research
The study of this research will aim to recognize the impact of the social media
platforms of the behaviour of the consumers and the marketing activities of the organizations
that belong to the hotel and hospitality industry. The effect of digitization of activities and the
ways by which hotels adapt to the usage of these technologies to increase their customer base
and profitability is discussed and analysed in the research.
1.3Research Hypothesis
H0 – Social media marketing does not have any impact on consumer buying behaviour in
hotel industry.
H1 – Social media marketing has an impact on consumer buying behaviour in hotel industry.
1.4Research Objectives
 To identify impact of social media on consumer purchasing behaviour in hotel
industry
 To evaluate the significance of social media on consumer purchasing behaviour in
hotel industry
 To identify the elements of social media marketing

9
DISSERTATION
 To identify the factors affecting consumer buying behaviour
 To recommend suitable strategies for influencing the consumer buying behaviour
1.5Research Question
 What is the impact of social media marketing on consumer buying behaviour in hotel
industry?
 What is the significance of social media of consumer buying behaviour in hotel
industry?
 What are the different factors influencing consumer buying behaviour?
 What are the different elements of social media marketing?
Chapter 2- Literature Review
Consumer buying behaviour
Nowadays, there are different kinds of consumers who are playing a vital role in the
marketplace phase. These customers are defined as the actors in the marketplace or the
different individuals who consume products both offline as well as online. One of the
essential variables that are reported is related to the influencing the different consumers are
the demographic variable. For instance- the number of male along with female customers or
users has drastically increased during the years (Ashley and Tuten 2015).
With advances in the emergence along with internet, there has been huge
interconnectivity between the different individuals that has been expanded over the internet.
The entire development enables the different business and consumers to work together in the
internet. This has been emerged through the social media that enable the different consumers
to generate proper kind of content and this helps in generating social kind of interactions
through different social platforms. There are different other platforms as well in the internet

10
DISSERTATION
that include Amazon.com that enable different customers to post their review along with
rating their products that has been purchased by them.
Khare (2015) commented that with the usage of social media, the consumers can
create proper content along with offer valuable kind of advice to the others as well. This kind
of new development has seen different online communities along with electronic network that
will emerge on social media platforms wherein the customers can share their information
quickly and globally. With the rise in the different social networks, it can be seen that the
creation of content has emerged, wherein the individuals can share their different experiences
in an effective manner. The different online communities help in providing different
opportunities to the organizations in such a manner that will create a better understanding and
management system based on customer relationships. Social Media provide different kind of
opportunities that encourages the social interaction of the different customers to become more
attractive universally. The social commerce along with social media is the key components in
e commerce and in marketing literature that includes different factors that have huge
influence on the consumers.
According to Jin and Phua (2014), there are different models of the consumer
behaviour that helps in analysing the different reactions for different kinds of attitudes. The
decision process has to be analysed in such a manner that this will evaluate the tastes and
preferences of the consumers in an effective manner. The decision process of the individuals
includes recognition of the issue along with analysis of the motives and attitudes of the
individuals in an effective manner. The results of the decision making process includes
dissatisfaction or satisfaction among the motive of the employees.
Ashley and Tuten (2015) commented that there are different external factors that
include social class, reference groups and other unexpected circumstances. The decision

11
DISSERTATION
variables of the individuals in the society include different kind of intentions and evaluative
criteria that is required to understand the purchasing decisions made by them. The attitude of
the different individuals in the society helps in understanding the intentions that are required
to be followed in order to improve the satisfaction generated from the behaviour of the
individuals in the entire society.
Four factors that affects the consumer behaviour
There are different factors that influence the culture of the buyers that include the
following:
Cultural Factors - is one of the essential components that affect the buying behaviour
of the consumers. According to Ashley and Tuten (2015), culture is the share of the company
and this influences the culture of the customers that varies from country to country. The
sellers have to be careful in nature for the analysis of the culture of different regions, groups
or countries as well. Szolnoki et al. (2014) commented that there are different sub cultures
that vary from nationalities and religions. The marketers in the competitive market need to
design different products according to the requirements of the specific geographical areas.
Chang, Kauffman and Kwon (2014) commented that the social class has huge importance and
create huge influence on the purchasing behaviour of the individuals.
Social Factors - create huge influence on the buying behaviour of the consumers in
the competitive market. According to Szolnoki et al. (2014), the different kind of reference
groups has potential for formulation of the different attitude of the individuals. Shan et al.
(2015) commented that there is huge impact of the reference groups that vary across the
different brands along with products. The buying behaviour of the customers is influenced by