An Investigation into Tourism Consumer Behaviour and Decision Making

This report provides a comprehensive analysis of tourism consumer behavior, examining the various factors that influence consumer decisions. It delves into cultural, social, personal, and psychological factors, illustrating their impact within the tourism context, using the Trafalgar organization as a case study. The report also explores the changing consumer trends driven by digital technology, and analyzes the stages of the consumer decision-making journey, mapping a path to purchase for tourism services. Furthermore, it compares and contrasts the B2C and B2B hospitality decision-making processes, evaluates different market research approaches, and assesses how marketers influence consumer decisions at each stage, providing specific tourism examples throughout. The report concludes by highlighting the importance of understanding and adapting to these factors to effectively market tourism services.

Tourism Consumer Behaviour
and Insight (L5)

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1 ...........................................................................................................................................4
P1 Investigate the different cultural, social, personal and psychological factors that influence
consumer behaviour and attitudes with a tourism context ....................................................4
P2 Explore how consumer trends are changing due to the impact of digital technology......6
M1 Analyse how cultural, social, personal, and psychological factors that influence consumer
behaviour and attitudes are changing and driving trends in tourism......................................7
TASK 2 ...........................................................................................................................................7
P3 Examine the stages of the consumer decision making journey and map a path to the
purchasing for a given tourism service...................................................................................7
P4 Explore why it is important for marketers to map a path to purchase and understand
consumer decision-making in the tourism sector...................................................................9
M2 Evaluate how marketers are responding to the decision-making process, applying relevant
examples from the tourism sector.........................................................................................10
TASK 3 .........................................................................................................................................10
P5 Compare and contrast the key differences of the hospitality decision-making process in the
context of B2C and B2B using specific tourism examples..................................................10
P6 Evaluate the different approaches to market research and methods of research used for
understanding the decision making process.........................................................................11
M3 Provide a coherent and justified evaluation of how different factors influence tourism
decision-making and buying behaviour, supported by specific examples...........................12
TASK 4 .........................................................................................................................................12
P7 Evaluate how marketers can influence the different stages of tourism decision making
process giving specific tourism examples............................................................................12
M4 Critically evaluate how marketers influence each stage of the decision-making process
with reference to relevant methods and models applied......................................................13
CONCLUSION .............................................................................................................................14
REFERENCES .............................................................................................................................15

INTRODUCTION
Consumer behaviour is defined as the involvement of various activities, decisions
and ideas which are helpful in satisfying the needs and demands of the customers

(Ashman, Solomon, and Wolny, 2015).There are different activities related to the
obtaining, consuming and disposing of service and products that are followed within the
company. The company considered in this report is Trafalgar organisation. This
company is a world leader in the travel experience and it has started in the year 1947.
The main aim of this company is to provide customer's a good experience that has
never provided before. There are various castles, historic villages, vast landscapes,
vibrant cities, etc. This company will include the information about the different cultural,
social, personal and psychological factors that influence consumer behaviour. There is
discussion of stages of the consumer decision making. There is discussion on the key
differences of the hospitality decision-making process in the context of B2C and B2B.
TASK 1
P1 Investigate the different cultural, social, personal and psychological factors that
influence consumer behaviour and attitudes with a tourism context
There are various type of attitude and behavioural change in the customers of
travel and tourism industry. The impact of the factors on travel and tourism clients and
customers in mentioned below -
 Cultural factors : These are defined as those factors which include perception,
belief and values which are developed because of the lives of people. There are
different culture and beliefs of people of various places. The main aspect which is
considered while managing the tour in London includes values and perception of
the people living in London. While managing the tour, it is concluded that stay at
hotel, food items and places are perfectly handled.
 Social factors : This is known as the factor which is defined as all the social
norms and elements that are affected by the travelling of customers. It is
important that the tour preparation at London is managed as per the the social
factors followed in London. This involves managing family, society, friends of
people living in London. Children coming in tour are provided facility of playing
games and parks. On the other hand, adults are provided some facilities like
swimming, gyming, theatre, etc. This will help in making their experience good.

 Personal factors : These depends upon the personal opinion and demands of
the person while attending the tour operation. The marketing analyst of the tour
operation makes decisions by analysing the personal needs and demands of the
customers. The tour operation includes consumer behaviour and it is ensured
that demands of all people are considered while providing services in tours.
 Psychological factors : This is an element that affects the tour operations. As
the main aim of Trafalger company is to organise a successful tour operation, the
analyst has evaluated motivational level of customers, perception of customers,
etc. While preparing the tour activities and plans, it is analysed that customer
opinion and views are considered. The Trafalgar organisation ensures that it will
provide such a good experience to customers that they will refer other people to
plan tours through their company.
Some other factors that affects the tour operations organised by Trafalgar
organisation are mentioned below -
 Tangibility : These include the physical facilities which are provided to people.
These includes accommodation and lodging services, food services, recreation
services, etc. While remaining in the tour, the customers will be provided facility
to stay in a 5 star hotel organisation (Banerjee, 2017). They will be provided
luxurious and delicious food to eat. There is also consideration of providing good
services to people while the tour time.
 Reliability and Responsiveness : Safety and security of people attending tour
is utmost priority of Trafalgar organisation. It is essential for the company to
analyse and evaluate the wants and needs of customers. While the tour
operation, customer's security and safety is the most important thing. They are
provided good and safe stay. It is ensured that quality of food is good.
 Assurance : The main thing which is considered is assurance. All the employees
and staff of Trafalgar organisation involved in tour operation are loyal and trustful.
They provide good care and protection to the people attending tour. It is very
important for the company to provide proper training to all staff so that they will
provide good services to customers attending tour. The drivers and catering
services are given good attention so that the customers will be happy.

P2 Explore how consumer trends are changing due to the impact of digital technology
There are various which have a huge effect on behaviour of consumer,
technology is one of most essential factor amongst them. It helps in meeting
requirements and needs of customers. In today's scenario information about any
product that a consumer needs can be easily accessed through digital media and
technology (.Carpenter, and Yoon, 2015). It takes just few seconds and some clicks for
a customer to get required information. This makes it very important for hospitality
industry to keep upgrading their system in order to stay put and experience sustainable
growth in this competitive market environment. Taking in context Trafalgar Organisation
Hotel, a study on emerging trends in consumer which have a effect on their industry are
as followed-
 Technological Impact- It is required from whole industry to modify and innovate
all the services they are providing by upgrading technologies used in them. When
talking about Trafalgar Organisation management team of this business have
developed a online site as well as an application in order to make bookings
convenient for consumers. This saves time of consumer and also increases
potential consumer. It had made task easy for both hotel staff as well as for
guests.
 Health Conscious- It is trend now that everyone is more concerned about their
health. This pattern of human behaviour have deeply affected hospitality industry.
Trafalgar Organisation have shifted their focus on making and serving healthy
food as well (Charter, and Polonsky, 2017). They also provide various other
facilities such as gymnasium, swimming pool, yoga, spa etc. This help them
influence more customers. It also improves goodwill of firm.
New roles for staff: Once every function in hotels are technology driven it will require
employees who can work in such conditions. Consumers also prefer online check-ins,
bookings etc (Frederiks, Stenner, and Hobman, 2015). Managers who are well trained
with technology are required in this scenario. When a manager is already good in
technological field it make sit easy for them to adapt any new innovation or changes in

hotel then. They can also then provide services professionally and train every employee
to treat guests right.
M1 Analyse how cultural, social, personal, and psychological factors that influence
consumer behaviour and attitudes are changing and driving trends in tourism
It is seen that all the factors mentioned above will affect the planning and
management of tours organised by the Trafalgar company. It is analysed by this tour
company that when tour planning is done in London what are the different places that
can be considered for viewing by the tourists. Another thing is that the needs, demands
and cultural background of the customers is considered while managing tour plans.
TASK 2
P3 Examine the stages of the consumer decision making journey and map a path to the
purchasing for a given tourism service
Decision-making process includes a number of steps which includes a user
finding out is or her requirements, collecting information about it, evaluating all the
options which are available, choosing the best option after proper evaluation and then
finally buying the product (Karimi, Papamichail, and Holland, 2015). There are a
number of factors which effect this decision such as emotional, psychological,
emotional, physical etc. This is used by many marketeers to judge consumer behaviour.
After studying this they place their product in market in such a way that it attracts most
of customers. In context of Trafalgar Organisation it is required by managers to know
about requirements of their guests in order to implement new services in their market.
Below mentioned are buying behaviour of consumers:
Stages in decision making process of consumer:
 Need Recognition: This is first stage in which wants or requirements of
consumers are justified. It specifies kind of product and services that consumers
actually wants to purchase. Identifying these needs of consumers help
businesses to know what kind of products do they need to develop. This
identification helps in making business strategies.
 Searching and Gathering Information: After this customers look after all the
alternatives which are present in market. For this print media, online sources

even personal contacts are used. Trafalgar Organisation use their personal
contacts in this step. They gather information from personal contacts.
 Evaluating alternatives: This step includes comparison of various alternatives.
All the alternatives listed in above steps are judged based on quality, value, cost,
satisfaction they provide etc (Maniatis, 2016). Substitutes are compare closely in
order to come to a final decision.
 Purchase of product: After all the analysis is done decision of finally purchasing
the product takes place. This provides certain satisfaction to buyer, who have
spent lot of time and effort to take this decision. Trafalgar Organisation in this
case buy the services which they assume is best for their customers and which
will give them maximum benefits.
 Post-purchase evaluation: It is final stage in which consumer have already
used the product or is still using it. Consumer makes an evaluation of product
then and benefits or satisfaction which it provides them. In case of Trafalgar
Organisation they evaluate services by taking feedbacks from customers. They
use forms for this and then evaluate whether services bought do actually provide
satisfaction to their customers or not.
Trafalgar Organisation are also conducting a conference where a number of people are
invited. This will help them in mapping a path which includes various services and
features that hotel offers (Mihaela, 2015).
 Pre-purchase : Hotels in which conference can be conducted re listed and
examined. Major features looked over here are food, occupancy, services, hall,
parking area etc. All these are checked in accordance with number of guests
invited.
 Purchase: Then a final hotel will be selected. Trafalgar Organisation have benefit
of being on of best service provider in UK.
 Receive: Here services from hotel are received through conducting conference.
If customers are satisfied they will be loyal to hotel.
 Post-purchase: In this customers then evaluate satisfaction achieved. When
customers are satisfied by their decision they can be expected again for same
service.

P4 Explore why it is important for marketers to map a path to purchase and understand
consumer decision-making in the tourism sector
Every business performs some or other function in order to satisfy their
customers. Decision making process of consumer helps to identify factors which are
considered while purchase of a new product (Pappas, 2016). Business organisation
perform their functions in order to satisfy needs and wants of consumer. Significance of
path mapping are: Rising ROI: This helps in understanding reason for buying for a customer, this
helps businesses to target potential customers and also position goods of high
quality. This also helps by benefiting total sales and return on investment through
giving them services which are personalised.
 Unified Customer Data & continued engagement : Mapping helps a
organisation to get information of their customers which is already present with
them but is not specifically arranged. Mapping helps in systematic arrangement
of all of the data of customers also special emphasis is given to important
customers.
Mapping helps in understanding various levels of decision-making process. These
levels are discussed below:
 Solving problem extensively: This is for those products which usually require a
longer period of time to take decision. It is time taking as a lot of research is done
in these and effective information is collected through various sources.
 Solving problems limitedly: Here users are well aware what a product offers
and what all are the substitutes available. Only some effort is required to identify
difference in them.
 Solving problems in routine: This is about products which are regularly used
by consumer (.Petersen, Kushwaha, and Kumar, 2015). No information about
them is required. Such products are usually used on daily basis.

M2 Evaluate how marketers are responding to the decision-making process, applying
relevant examples from the tourism sector
The marketers of Trafalgar organisation are involved in making various plans and
strategies. The decision developed by the company for managing tour includes the
analysis of decision making process. After this evaluation, it is considered by the tour
planer that tourists planning for getting tours must be given great experience.
TASK 3
P5 Compare and contrast the key differences of the hospitality decision-making process
in the context of B2C and B2B using specific tourism examples.
B2B & B2C are considered as two major ways of doing commercial transactions
between consumers and organisations (Ramya, and Mohamed Ali, 2016). Below
mentioned is comparison between these two in hospitality sector:
Basis B2B B2C
Meaning Here products and services are
sold to different business
organisations only. An example
can be taken that a tour agent will
rent a bus directly from bus owner
and not just buy one ticket.
In these cases services are
provided to individual consumers
who will utilize it rather then
passing it on. For example
booking for a customers flight,
tickets are directly provided to that
customer.
Consumer Here customers are also business
organisations only. For example
customers tour agency are hotels,
restaurants etc.
Here end users are customers. In
hospitality sector people who get
their trip planned consumers of
tour agency.
Focus Here companies focus only on
maintaining a good and positive
relationship with the business
entities who are its customer. For
Focus in B2C is only on potential
customers who might in future
wish to buy products or avail
services which are provided

example a tour agency have good
terms with various hotels,
restaurants, bus providers etc.
both of these businesses help
each other to work peacefully and
gain profits. So it is necessary for
them to fulfil each others needs
and requirements.
organisation.
 Decision rationale - In context of business to customers, the decision for product is
based on emotions and attitude of customers. On the other hand, in B2B the decision
depends upon the companies and suppliers.
 Marketing approach – B2C uses product driven marketing approach. This helps in
knowing about the needs and requirements of customers. In B2B, there is relationship
driven marketing approach used for handling and managing work related to promotion
and advertisement.
 Customer type – The customers in B2C are individuals and households. On the other
hand, teams and companies are the type of customers business is looking for.
 Decision makers – The decision for product is made by 1 or 2 people. On the other hand,
there are buying groups of people which makes decision about the product sold to
different companies and businesses.
 Purchase sizes – The B2C businesses have to make decisions that are based upon lower
amounts. In context of B2B, there are high amounts of profits and investment.
 Buying cycles – The buying cycle can last upto few weeks in B2C. this can last upto
months in buying cycle of B2B.
P6 Evaluate the different approaches to market research and methods of research used
for understanding the decision making process
Through market research a marketer can easily identify condition of market and
needs as well as wants of customers (Rezaei, 2015). After collecting this information
businesses decide which product and services they are going to produce. To stay in
competitive market it is required to keep conducting such researches on a regular basis.

In order to conduct these researches there are a number of methods and approaches
used by team of management in B2B and B2C.
Market Research approaches in B2B : This is a kind of business which has to
deal with other business entities. Therefore, only source of data which is used in this
kind of research is secondary data. In this data and references are already available
with organisation and kept safe to use it in future whenever required. Researches also
helps in getting to know all factors which may have an effect on business and
relationship between two organisations. Sources used to gather such information are
mentioned below:
 Government agencies : Taking help from government agencies might be very
beneficial for firms because information gathered by these agencies are relevant
and do not need double-checking (Rezaei,2015). It also helps hospitality industry
to get rid of all negative impacts which trade might face in market place.
 Publications : This publications include magazines as well as newspapers
which helps hospitality sector to decide what changes can be made so that the
relationship with their customers and suppliers do not hamper.
Market Research approaches in B2C : Here, business entities are concerned
with end consumers, due to which data collected is first hand or primary data. Essential
source of collecting data are:
 Questionnaire : Marketer identifies requirements of customer taking help from a
questionnaire. It also helps to learn about various elements that may effect
buying behaviour of customer.
 Feedback: Feedbacks are collecting information after the customer have used
product. It helps in identifying what elements could be added in product or
service.
M3 Provide a coherent and justified evaluation of how different factors influence tourism
decision-making and buying behaviour, supported by specific examples
There are different factors which affects the decisions making of the tour
planning in different manner (Verhoef, Kooge,. and Walk, 2016). For e.g. after
analysing the needs and demands of the customers and clients, it is easy to know the

tour planning by use of questionnaire and interviews. These are helpful for managing
and planning the stays, dining and recreation activities of tour.
TASK 4
P7 Evaluate how marketers can influence the different stages of tourism decision
making process giving specific tourism examples
Customer's are said to be king I today's market scenario. They are major source
from which a business earns. Therefore it is necessary for a hospitality sector manager
to look after all needs and wants of their customers.
Marketer I every business also have an important role to play because they are
te one who influence consumers to buy their product. Some examples are mentioned
below in order to understand influencing powers that marketers have over their
consumers:
A marketer in tour agency focuses on implementing some new and innovative
services which make them better than their competitors. Many a time tour agents
provide customers with their own personalised trips (Wang, and Yu, 2017). Here every
facility that consumer wants is included in package which influences them to avail the
service.
While innovating such plans they can also change decision making of customers.
If a traveller wants personal tour agent, different kind of rooms, different modes of
travelling, special food requirement all these will be provided to customer by service
provider so that even if customer thinks of investing somewhere else or going to any
other service provider they will change decision and stick with them.
Another way how tour agencies can influence customers are by adding various
services which no other tour agent provides like special packages for families, friends,
couples etc. They also provide facilities which other tour agents refuse to engage in
their packages such as adventure sports. Trafalgar Organisation includes adventure
sports, biking trips and self- driven trips with stay in luxurious hotels. They allow
customers to change their plans and make flexible trips which help them influence
consumers. This is how marketer also have powers. Although it is consumer who make
end decision before buying but they can be easily influenced by promotions of

marketers and their decisions can be modified or changed as per marketers influencing
power.
M4 Critically evaluate how marketers influence each stage of the decision-making
process with reference to relevant methods and models applied
Need Recognition: The marketers undergo research for knowing the needs and
demands of the customers regarding the tour in London.
Searching and Gathering Information: The information from customers is get through
feedbacks and questionnaires (Xu, Frankwick, and Ramirez, 2016).
Evaluating alternatives: Plans and strategies are developed after analysing the
alternatives that are needed in the managing tour planning.
Purchase of product: This means customers are provided good service and
experience that is able to attain organisational goals of making effective tours.
Post-purchase evaluation: This includes taking feedbacks and making suggestions for
improving the experience of customers.
CONCLUSION
Above report makes it clear that studying consumer behaviour plays an important
role in business. Report tells about effect of marketer as well as various factors in
environment on consumer decision.

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