Factors Influencing Tourism Consumer Behaviour: TUI Group Report

This report analyzes tourism consumer behavior, focusing on the TUI Group. It begins by defining social, cultural, personal, and psychological factors that stimulate consumer behavior within the tourism context, emphasizing marketing planning and destination marketing campaigns. The report then explores how consumer trends are changing due to digital technology, highlighting the impact of technology, health consciousness, new staff roles, and easy promotion. It also introduces the Howard and Sheth model of consumer behavior. Furthermore, it determines the different levels of the consumer decision-making journey, mapping a path to purchase and understanding consumer decision-making in the tourism sector. The report provides a comprehensive overview of consumer behavior in the tourism industry and its implications for businesses like TUI Group.

Tourism Consumer
Behaviour and
Insight
Table of Contents

INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
TASK 2............................................................................................................................................6
TASK 3............................................................................................................................................8
TASK 4..........................................................................................................................................10
CONCLUSION..............................................................................................................................11

INTRODUCTION
Consumer behaviour is described as a process in which the decision taken by the
organisation for satisfies the need and requirement of buyer. It is necessary to analyse the
behaviour and attitude of buyer towards how they buy products and services and in what way
they dispose them off. In addition to this, it is necessary for marketer to make effective strategy,
policy and procedure for identifying the changing need and wants of consumer. This report is
carried upon TUI Group. It is Anglo-German international company of tourism sector which is
located in Hannover, Germany. The main purpose is to assess the various factors which impose
direct impact on the behaviour of buyer within tourism industry. Beside from this, it has been
analyses that it is vital for marketer to assess the need and requirement of consumer in order to
satisfy them (Jackson, 2019).
TASK 1
P1 Define the various social, cultural, personal and Psychological factor that stimulate consumer
behaviour and attitude with a tourism context.
Marketing planning is considered as a process that helps in assessing present situation as
well as information regarding the opportunity available in the market and also focuses on
forecasting the planning premises in order to achieve the goals as well as objective of the market.
It also helps the organisation in analysing its strength as well as weakness and also the
prospective market in order to achieve the opportunity and minimise the threat. It also explains
the strategy that helps in achieving goal of the business organisation in a specified period of
time.
Importance of destination marketing planning
 There are various importance’s in relation to destination marketing planning that is going
to be mentioned below:
 It is necessary for the marketer to focus on the destination target marketing to target the
right marketer as well as segment.

 It is also necessary for marketer to make ensure the destination marketing must be cost-
effective. It also helps them in increasing the competitive advantage over rivalries at
Marketplace.
Aim and Objectives
 The aim and objective destination marketing is to motivate tourist to visit a particular
destination. It also help in improving the destination, generate job as well as spend
additional money on the marketing as well as promotion that is must for success as well
as growth of the organisation in future period of time.
 The other objective is to increase the sales by 20% in upcoming 6 months.
Key elements of a destination marketing campaign
 There are various element which is used by the business organisation for a destination
marketing campaign such as the focus on building or maintaining a collaborative network
from supplier which is necessary for increasing the experience level with its customer
during the particular phase of time period. It helps in attracting more and more customers
towards service are provided by TUI Company.
 They focus on building a compelling as well as memorable visual brand that help in
increasing the loyalty or trust of the customer towards the services provided by the TUI
Company.
Consumer behaviour
It is necessary to identify the behaviour of consumer towards products and a service is
considered as consumer behaviour. In context of TUI, It is necessary to assess the consumer
behaviour towards goods as well as services. It helps the group in assessing the changing demand
of consumer during the period of time. They offer innovative product is well services to its
customer for increasing their sales and building reputation as well as Goodwill of Organisation in
mindset of customer at market. It helps the organisation in manufacturing those products that
satisfy the need of consumer. In addition to this, they also discuss about how different factors
imposes direct impact on the purchasing behaviour and attitude of buyer. In context of TUI
Group, the top management focuses on identifying those elements which directly affect the
consumer behaviour that is going to be mentioned below:

 Cultural Factor: Cultural factor are those which imposes direct impact on norms,
beliefs, value, customs as well as perception that is influenced by the culture. The buyer
is separated into various classes such as high, middle and low. In reference of TUI
Group, they offer packages based on the class of its consumer. For example, a low class
person travels according to their financial plan.
 Social Factor: Social factor includes family, society, friends and many more who are
close by its consumer. The buying behaviour of consumer imposes direct impact on the
individual person. In context of Tourism industry, the user is divided according to their
age as well as income. For instance, old age person want to travel religious places while
the youth generation want to go clubs, bars and many more.
 Personal Factor: There are many factors such as financial situation, age as well as
lifestyle which impose direct impact on the buying behaviour of buyer. In present
scenario of Tourism industry, the young person want to go for outing according to their
budget as well as income (Held, 2018).
 Psychological Factor: It includes learning, beliefs, motivation and attitude of buyer
which is necessary to consider for determining the purchasing behaviour of consumer. In
relation of Tourism Industry, the individual person who wants to travel must discuss with
his friends as well as family that imposes direct impact on consumer behaviour. At the
present time, the consumer reviews is very important for taking the decision whether the
buyer prefer to go there or not.
 Changing trends: It is necessary to implement advanced technology in order bring
trends within business organisation for cope up with market fashion. It is necessary to
consider the changes within business organisation that is necessary for increasing the
brand image of the company in front of customer at Marketplace. It also helps in
increasing profit margin in future period of time.
In addition to these elements, there are several issues and challenges faced by the
organisation for fulfilling the need and wants of consumers. Thus, the marketer focuses on
some factors that help the companies in providing appropriate services to its user which is
going to be mentioned below:

 Tangibility: it is necessary for marketer to offer the complete information to its buyer
that helps in maintaining visibility in the mindset of its user. It helps in increasing the
loyalty and trust level of buyer for TUI Company.
 Reliability and Responsiveness: The reliability of company towards their promises
helps in retaining customer for a longer period of time as well as increase the market
share of TUI Company.
 Assurance: It is important for the employees to have skill and competence in order to
resolve the problems of buyer. It helps in boosting the satisfaction level of consumer as
well as its market share.
P2 Explore how consumer trends are changing due to the effect of digital technology.
Technology plays an important role for the success of every organisation. Due to
implementation of advanced technology, the buyer get complete information related to its
products and services rapidly (Varkaris andNeuhofer, 2017). In addition to this, it is vital for
Tourism sector to adopt the digital technology in order to achieve the competitive advantage over
rival firm. It helps the organisation to provide superior quality services to its customer in order to
satisfy them. In reference of TUI Group, there are different trends and style of buyer which
imposes direct impact on tourism sector that is going to be mentioned below:
 Impact of Technology: It is important for the company to implement the advanced
technology for providing the effective services to their consumer according to their
needs. In relation of TUI Group, the manager focuses on offering accessibility and
convenience to its user by evolving official sites. In addition to this, the innovative
technology assists the TUI Group to sustain the loyal and trustworthy consumer for a
longer period of time.
 Increases focus on health: Due to increase in health consciousness of individual person,
they want to go only those places which provide them positivity as well as healthy
environment. In relation of TUI Group, the manager focuses on providing safe and secure
environment in order to attract ample of customers.
 New roles for staff: In present context, the consumer prefer to resolve their issues and
problems quickly (Choi and Park, 2017).Therefore, it is important for the manager of
TUI Group to recruit highly competent and skilled employees who can easily resolve the
customer issues. Also they provide the effective services to its consumer according to

their need and wants. Furthermore, it is vital for the manager to adopt the changes related
to the customer trends and fashion. It helps the employees in providing the superior
quality services to its user in order to satisfy them.
 Easy promotion: TUI focuses on adopting different promotion techniques such as
promotion, advertisement and publicity in order to provide the unique as well as
innovative services to its customers at Marketplace. It helps in satisfying the customer
during the particular phase of time period.
CONSUMER BEHAVIOUR MODEL
Howrard and Sheth model of consumer behaviour is used for analysing the behaviour of
consumer towards their purchasing particular brand or goods during the period of time. There are
four main things which is explained in this model that is going to be mentioned below
Input it involve all the factor in relation to the product, price as well as provide the
quality or differentiate product with customer at relatively less price as well as they also consider
the various social factor for satisfying the need of consumer at market place. For example- in
relation with TUI Group they use their input with proper considerations which help them
understanding need of customers.
Perceptual construct it help in collection of necessary information through which they
assess the behaviour of consumer during the period of time. In relevance with chosen firm, they
collect credentials through market research and past used customers information.
Learning constructs here in the collection of information help the marketing team in
assessing the necessity of customer for satisfying they need in an improved manner. In context
with firm, they use this credentials with help of statistics which help them to examine their
potential customers.
Output It involve not only buying process but also the impact on learning as well as
perception that is necessary to assess the behaviour of consumer during the period of time.
TASK 2
P3 Determine the different level of consumer decision making journey and map a path to
purchase and understand consumer decision making in the tourism sector.
Decision making process is considered as a process in which the company select the best
one among the given alternative. In addition to this, it is necessary to assess the needs of
consumer, collect the information, assess the alternative and then taking an effective decision

towards buying the particular products and services. The decision making process helps the
company in achieving a leading position at marketplace. In context of TUI Group, the top
management focuses on identify the need and wants of consumer before introducing innovative
services at marketplace. There are different phases that help in taking effective decision which is
going to be mentioned below:
 Need Recognition: it is necessary to assess the need and wants of buyer before launching
the new services within market. In reference of TUI Group, the manager focuses on
identifying the requirement of buyer as well as changing trend and lifestyle of the
market..
 Searching & collecting information: After analysing the need and wants of consumer, it
is necessary for marketer to gather suitable information related to the product of rival
firm in order to gain competitive advantage at marketplace (Scarles and Lester, 2016). In
reference of TUI Group, the top management collect the necessary information in order
to gain competitive benefits over rival firms.
 Evaluation of alternatives : After collecting the effective information , the manager
make effective strategies related to the expenditure which are incurred in producing the
innovative products and services in comparison of its competitive firm. They identify the
feature of substitute products that helps them in providing innovative and specific
products and services to its consumer at marketplace.
 Purchasing goods& services: Herein, the consumer take decision related to purchasing
the products or not(Ganglmair-Wooliscroft and Wooliscroft, 2016). In related of TUI
Group, the customer assess the products and services which is provided by the various
firm and taking the decision according to their needs and wants.
 Post-purchase evaluation: This is the after sales services which are given to consumer
by the company. In discourse to TUI Group, the top management offer addition services
to its user in order to satisfy them. For this purpose, it is necessary to conduct the official
meeting with its subordinates.
P4 Explore why it is necessary for marketer to map a path to purchase and understand consumer
decision making in the tourism sector.
The main purpose of every business organisation is to satisfy the need and wants of buyer
in order to operates its business activities and functions in an appropriate manner

(Dolnicar,2016).The marketer make effective strategy in order to identify those which is
determined by the user in order to take purchasing decision. The significance of mapping a path
of buying products and services which is going to be discussed below:
Rising ROI: It assists in analysing the attitude and behaviour of consumer towards
buying the products and services, the market make effective strategy to target the ample of
consumer in order to achieve leading position at marketplace. This helps in boosting the overall
turnover ratio and ROI by offering them modified services.
Unified Customer Data as well as continued engagement: The mapping helps
company in collecting the effective information related to consumer purchasing decision in
systematic manner. There are different level related to taking suitable decision which is
discussed below:
 Extensive Problem solving : In this stage, the consumer buy those products which are
unfamiliar for them. Therefore, it is a time consuming process because the buyer consumes
time in taking an effective decision related to buying a product or not.
 Limited Problem solving: Herein, the consumer has a knowledge regarding the products
and services as well as the products which is sold by its competitive firm. For analysing the
differences, it is necessary to put additional efforts in order gain positive outcomes.
 Routine Problem solving: Hereby, the consumer buys those products which fulfil the basic
need and wants of consumer. Therefore, the buyer does not need too much time and
information in taking a decision related to purchasing a products and services (Sigala, 2016).
TASK 3
P5 Compare and Contrast the main differences of the hospitality decision- making process in
reference of B2C & B2B using specific tourism examples.
It has been examined that there are two approaches B2C & B2B that helps in doing any
type of commercial dealing among the business organisation and buyer. In context of TUI
Group, the comparison among B2B and B2C which is going to be mentioned below:
Basis B2B B2C
Meaning It is considered as a process in which
products and services is sold to
different business organisation. For
In this process, the products and
services are sold to its consumer in
order to satisfy their need and wants in

example, a tourism sector recruit
talented subordinates through the
consultancy agencies (Henderson,
2016).
an effective manner. For instances, the
manager offer packages in order to
attract more and more consumer.
Customer Herein, the consumer can be a
business firm such as travel agency
offer the product and services to
another small firm which provides the
vehicle to its user in order to satisfy
the need and wants of consumer in an
appropriate manner. TUI Group, have
many travel agencies as their valuable
customers.
Hereby, In context of Tourism
industry, the consumer is those who
uses all the services which is offered
by the business organisation. They are
considered as a final buyer of products
and services (Huang. and Lu, 2017).
Focus It is necessary to maintain good
relationship with other organisation.
For instance, a tourism industry
maintains the good relation with
various vehicle industries as well as
offers the best services according to
their need and wants. IN relevance
with chosen entity, they have been
maintaining relationship with UK's
some of the airlines brands and lease
travels.
The primal purpose of company is to
satisfy the need and wants of end use
by providing high quality products and
services to them.
P6 Evaluate the various approaches to market research and methods of research used for
understanding the decision making process.
Market research assists marketer to assess the current condition of market as well as need
and wants of buyer in order to satisfy them. Thus, the company manufactures products according
to the need and requirement of consumer (Xiang, 2018). They make effective strategy to collect

the information related to the consumer taste and preferences in order to achieve completive
benefits at marketplace. There is different method which is adopted by both B2C and B2B for
conducting marketing research in an effective manner.
Market Investigation approaches in B2B: In this approach, the marketer adopted the
secondary method for collecting the information which will be advantageous for the business
organisation. In addition to this, they collect those data and information which is already used by
any other marketer of company (Gardiner and Kwek, 2017).Beside from this, they identify all
those factors which imposes favourable and adverse impact on the maintain the relation with
other business entity. There are different sources which are adopted by the manager in order to
gather effective information which is going to be discussed below:
 Government agencies: The information which is collected through the government
agencies is effective as well as reliable. In assistance of this, such kind of agencies assists
tourism sector in decreasing the negative impact on the activities and function of the
company at marketplace.
 Publications: Through publication, the overall data and information is printed in
newspaper which is connected to tourism sector. Therefore, if there any changes occur in
respect of taste and preferences of buyer in this industry it must be published in the
newspaper.
Market Research approaches in B2C: Herein, the customer plays an important role for the
success of travel industry. Thus, the manager of company collect the fresh data and information
that contain reliability and authenticity. The method which is used for collecting information
through primary source is given below:
 Questionnaire: The manager of TUI Group adopts the questionnaire method for
collecting data and information in an effective manner. Through this method, it is very
easy for marketer to assess the need and requirement of buyer. Beside from this, It assists
in analyses all those elements which stimulate the buying behaviour of buyer.
TASK 4
P7 Evaluate how marketer can influence the various level of tourism decision-making process by
giving specific tourism examples.
For every business organisation, the consumer plays an important role for earning more
and more revenue (Mussalam and Tajeddini, 2016).Thus, the tourism industry analyse the need

and wants of consumer in order to satisfy them. In addition to this, the marketer focuses on offer
unique and innovative products and services for satisfying their need and wants in an effective
manner. Beside from this, how marketer take the decision related to the consumer buying
behaviour there are several examples which is going to be mentioned below:
The marketer of tourism sector emphasised on offer unique and specific products and
services to its user in order to satisfy them. Beside from this, the marketer makes effective
services so that they offer superior quality services to its user based on the need and wants of
buyer. For example, if the members of family want to go for a trip then the tourism company
offer good package based on their needs as well as alteration made in the package for satisfying
their need and wants in an effective manner. It helps the company in increase future success as
well as profitability level. Also, it increase the loyalty and trust of customer towards the services
which is given by tourism industry(Liang and Yang, 2018).
The customer reviews imposes direct impact on the success and growth of tourism
industry. For instances, the top management of TUI Group take reviews from their user and alter
their services according to their need and wants. It imposes direct impact on the behaviour of
consumer in favourable manner. Also, it attracts the large number of customer that helps in
boosting the future sales as well as profitability level in order to gain competitive benefits over
rival firm. For example- Marketers can influence the tourism decision-making process by
providing those offers and discounts at affordable prices.
Thus, it has been analysed that, it is necessary to determine several element which
stimulate the attitude and behaviour of its user in both favourable and adverse manner.

CONCLUSION
From the above mentioned topics, it has been analysed that it is necessary to assess the
behaviour of consumer. These reports discuss about how family, friends as well as society
imposes direct impact on the buying behaviour of consumer. Moreover, it is necessary for
marketer to maintain effective strategies in order to assess the market trends and lifestyle. It
helps the company in satisfying the changing need and wants of consumer in an effective
manner. Beside form this, the marketer adopt advanced technology in order to resolve the issue
and problems which is faced by the consumer at marketplace.

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