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Consumer Behaviour in the Hotel Industry

Question:

Discuss About The Influence Organizational Satisfaction Rating?

Marketers must try to anticipate that frequent changes occur in customer behaviour and the rising expectations and different contradictory obsession are the most important things that must be dealt with easily. It is the responsibility of the consumers to give information that is related to brand and with the growing expectation of a fair and better value to exchange. Consumer  behaviour is associated with the consumption of different products and services and in this paper, the behaviour of the consumer is highlighted with reference to Four Season’s hotel. In the hospitality and hotel industry, there is continuous change and it is important that these will function without any disruption. The ways in which the hotel will react according to the expectations of the guests will have a dramatic impact on the profitability of the restaurant. The guest must also realize that they can use online websites and social media when they are not satisfied with the quality of service. This paper will highlight how changing consumer behavioural trends  will affect the customer expectations  and how the hotel chains will deal with them effectively (Hudson & Hudson, 2017).

Consumer behaviour is referred as the purchasing behaviour of the customers to meet the needs of the customers. This is also defined as the method of exchange in relation to the product or service. It can be said that these consumer behaviour is influenced by different factors such as cultural, social as well as personal factors. The different social, demographic, cultural as well as social factors that include the buying behaviour of the consumers are religion, race, education, family size as well as occupation. These factors are considered as the basic factors and these helps in differentiating the consumer groups on the basis of their preferences, customer wants and usage. Customer satisfaction is generally referred to as the consumption judgement after purchasing  product (Ali & Amin, 2014). This occurs because of the evaluative process that is in contrast with the prepurchase expectation and with the perception of the performance of the hotel industry and the experiences of the consumers. Different research has been conducted on the quality of service of the hotel industry and this is conducted within the structure of service quality model. It is vital to understand the difference between the perceptions of the consumers and the expectations of the consumers. Moreover, differences are also seen in the perceptions of the management as well as the specification of the service quality. These two differences affect the way through which the services are delivered and the continued existence of these gaps which help in solving out these problems (Wang , Wang, Yang, 2016).

Measuring Customer Satisfaction in the Hotel Industry

It is necessary to measure the expectations and the perceptions of the tourists in the hotel industry and this is possible with respect to service quality as well as the products that are to be delivered by the hotel industry.  Moreover, it is also vital to assess the perception and expectations of the hotel managers in respect to the service quality and products that are provided by the hotel industry (Kriss, 2014). Management plays a critical role in order to understand the expectation of the consumers in respect to the hotel industry. These perception deals basically with the expectation of the customers regarding the service quality and this should be in congruent with the expectation that is expressed by the customers. The senior management as well as the authority must have proper setting priorities and thus developing the standards and the quality of service. It is also vital to measure the service quality gap of the hotel industry and to compare the perceptions of the management with the expectations of the customers. Customer satisfaction has a considerable position in the marketing industry over the past few decades since the customers can help in the generation of long term benefits for the company that includes sustained profitability as well customer loyalty (Walls, Wang, Kwun, 2011). The researchers have explained that these mechanisms of customer satisfaction can be associated with certain distinct theories such as the contrast theory, cognitive or assimilation dissonance theory, expectancy-disconfirmation theory, value-percept theory and equity theory. It has been found that if the perceived performance is more than the expectations, this expectation is positively disconfirmed and it leads to customer satisfaction.  On the other hand, if these perceived performance is less than the expectations, it will be negatively disconfirmed and thus leads to customer dissatisfaction. Moreover, another important theory that is associated with customer satisfaction is the equity theory and this theory suggests that the customers must perceive what they obtain and these benefits are to compared with the costs. Perceived value is also an important factor for measuring the satisfaction of the customers (Rahimi & Kozak, 2017).


The three factor theory helps in the explanation of a better structure and it also provides description for the entire structure of customer satisfaction.  Moreover, the theory has also highlighted the three independent factors that will influence customer’s satisfaction in different ways. There is no such basic requirement for the other factors that causes satisfaction. It can be said that the failure to fulfil these minimum requirements will cause dissatisfaction among the customers. Moreover exceeding or fulfilling these requirements will not necessarily lead to customer satisfaction (Izogo & Ogba, 2015). The excitement factor will help in increasing customer satisfaction and if this is not delivered, it will cause dissatisfaction. On the other hand, the performance factors will lead to satisfaction and if the performance is high. This is validated by the theories mentioned above and it will also provide further perspectives for analysing the effects of attributes of the hotel industry on customer satisfaction. These factors can be seen as the essential requisites that play an important role in customer satisfaction and it also signifies that the customers must not be taken for granted in these organisations. Therefore, the performance factors plays a critical role and it is directly associated with the explicit needs and wants of the customers (Hapsari, Clemes & Dean, 2016).

Service Quality in the Hotel Industry

The actual action and the behavioural intention are also regarded as the motivational component of volitional behaviour and thus this is associated with the quality and type of services received by the individuals from the hotel industry. It is also important to have a better understanding of the determinants that plays a special role in analysing the intentions of the customers for predicting their future behaviour as well as recommending other people about their purchase as well as post-purchase behaviour (Kassinis & Soteriou, 2015). It can be said that healthy options are also considered as a direct determinant of the behavioural intentions and this will not influence the customer satisfaction. The hotel industry also contains a harmonious mixture of three important elements i.e. the attitudes and the behaviour of the people, the product or the services and the environment. It can be said that food quality is also regarded as a general factor that influences post dining behavioural intentions as well as customer satisfaction. There are seven important attributes of a restaurant that plays a vital role in the post purchase intention of the customers. Therefore, these relationships can be evaluated in a better way and the relationship between the different individual attributes can be compared with customer satisfaction in a better way (Berry, Carbone & Heckel 2012).

The international hotel chains have a direct as well as indirect impact on the business. It has been found that customer satisfaction affects the profitability of the hotel. This has been found in case of Four seasons as well as all other hotel chains. Customer satisfaction helps in increasing customer loyalty and thus this influences the repurchase intentions as well as positive word-of-mouth. The main role of customer satisfaction is not important to the customers and there has been further research that is devoted for investigating the different determinants of customer satisfaction (Lawrence & Perrigot, 2015). Moreover, numerous studies has also been carried out to find out the attitudes of the customers, friendliness of the employees, value of courtesy and money for the staffs that will help in the determination of customer satisfaction. It is also vital to know that providing satisfaction to the customers is the key starting point that lays an impact on the business. The guest comment cards (GCC) helps in the determination of customer satisfaction and studies reveal that different hotel chains prefer to use guest satisfaction as an important evaluative method that is based upon inadequate practices and thus helps in taking important managerial decisions (Liat, Mansori & Huei, 2014).

Brand Factor in Customer Satisfaction

It is also important to determine that the service quality must be considered as subjective, elusive and abstract concept. This quality is considered as a multi-dimensional concept as there are three important dimensions that must be associated with these concepts such as tangibles, reliability, interactive quality, corporate quality as well as service quality. On the other hand, content analysis is also considered as an observational method and it will help in the systematic analysis of symbolic content that is possible in all forms of recorded communication. This will provide quantitative objective as well as generalised description of the entire content. It can be said that the level of satisfaction of the selected hotel product is the key factor upon which the selection of the other factors are dependent (Chamberlin, 2015). There is continuous struggle among the consumers and this is clearly reflected in the spatial services and solution, pricing policy as well as aggressive marketing approaches. However, it can be said that these are not the case of all hotel chains. The brand factor also plays an important role in customer satisfaction as well as it is regarded as the major strength of the hotel industry. It is also important to attract a new customer in the hotel industry and this is possible only if these steps are followed by the particular hotel. Therefore, it can be said that knowing the demands and expectations of the customers is important because it helps in understanding how the customers defines the service quality and products and it also facilitates the development of customer satisfaction (Borowski, 2015).

Conclusion

Therefore, it has been found that customers have given different ratings for the service quality that is provided by different hotel chains. The concept of new services and spatial organisation that are taken from small entrepreneurs has also proven to be successful within the large hotel industries. Thus, the customers are the gainer in the global market competition and this provides the guests with the better service quality and options.

References

Berry, L. Carbone, L.P., & Heckel S.H. (2012).Managing the total customer experience. MIT Sloan Management Review, Spring Issue.

Borowski, C. (2015). What a Great Digital Customer Experience Actually Looks Like. Harvard Business Review, November 2015.

Chamberlin, Chris. (2015). What makes a great hotel for business

Hudson, S. & Hudson, L. (2017).Customer Service for Hospitality and Tourism.Goodfellows Publishing, distributed by e-hotelier.Chapter 1.

Jen Chun Wang , Yi-Chieh Wang, Yang-FeiTai , (2016),"Systematic review of the elements and service standards of delightful service", International Journal of Contemporary Hospitality Management, Vol. 28 Iss 7 pp. 1310 – 1337.

Kriss, P. (2014). The Value of Customer Experience, Quantified. Harvard Business Review, August

Walls, A. Wang, Y R, Joon-Wuk Kwun, D. (2011). ‘Understanding the Customer Experience: An Exploratory Study of Luxury Hotels’, Journal of Hospitality Marketing & Management, vol. 20, pp. 166-197.

Rahimi, R., & Kozak, M. (2017). Impact of customer relationship management on customer satisfaction: The case of a budget hotel chain. Journal of Travel & Tourism Marketing, 34(1), 40-51.

Ali, F., & Amin, M. (2014). The influence of physical environment on emotions, customer satisfaction and behavioural intentions in Chinese resort hotel industry. Journal for Global Business Advancement, 7(3), 249-266.

Hapsari, R., Clemes, M., & Dean, D. (2016). The mediating role of perceived value on the relationship between service quality and customer satisfaction: Evidence from Indonesian airline passengers. Procedia Economics and Finance, 35, 388-395.

Liat, C. B., Mansori, S., & Huei, C. T. (2014). The associations between service quality, corporate image, customer satisfaction, and loyalty: Evidence from the Malaysian hotel industry. Journal of Hospitality Marketing & Management, 23(3), 314-326.

Kassinis, G. I., & Soteriou, A. C. (2015). Environmental and quality practices: using a video method to explore their relationship with customer satisfaction in the hotel industry. Operations Management Research, 8(3-4), 142-156.

Izogo, E. E., & Ogba, I. E. (2015). Service quality, customer satisfaction and loyalty in automobile repair services sector. International Journal of Quality & Reliability Management, 32(3), 250-269.

Lawrence, B., & Perrigot, R. (2015). Influence of organizational form and customer type on online customer satisfaction ratings. Journal of Small Business Management, 53(S1), 58-74.

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