Impact Of E-Marketing On Tourism And Hospitality Business

Research Questions

The impact of e-marketing on consumer behaviour is becoming significant in the field of hospitality industry (Law, R., Buhalis, D. and Cobanoglu, C., 2014).

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The main motive of this study is to analyse the distinctive components of e-marketing that controls the consumers decision making process in regards of choosing a hotel.

Hilton Hotel, Australia suffers from the issue of high customer turnover rate.

The paper analyses the key elements of e-marketing for the purpose of resolving the above-mentioned issue.

For the purpose of keeping a track on the progress of customer turnover rate a report is prepared.

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Australia’s The Hilton Brisbane Hotel is one of the well reputed five star hotel located at the popular street of Queen Street Mall.

The Hilton Brisbane is a perfect example of modern day hotel that is well equipped with contemporary technology and comfort.

The guests have an opportunity of enjoying the extensive services that the hotel offers such as health club, rooftop restaurant and bar, tennis court, sun deck and so on (Hilton hotel. 2018).

This multi facilitated hotel have an extensively area contributed for garden and shopping facilities that comprises of wide variety of brands. Along with this the hotel have a calm ambience with cosy rooms.

The hotel however, does not utilise and is not dependent on the e-marketing techniques and therefore, creates an issue of customer expansion and maintaining the reputation of the hotel (Elliot, Khazaei and Durand 2016).

he aim of this research is to assess the impact of E-marketing on the tourism and hospitality business to increase the consumer loyalty and brand reputation of the Hilton Brisbane Hotel, Australia. With regards to the research aim, the following Research Objectives have been developed:

To find the relationship between e-marketing and consumer behaviour in hotel and hospitality industry.

To explore the meaning and concept of e-marketing and consumers purchasing decision in case of Hilton Hotel.

To examine the scopes of e-marketing and possible impacts on the consumers of Hilton Hotel and their purchasing decision.

To find the most effective strategy of e-marketing for Hilton Hotel to influence the purchasing decision of their consumers.

The following Research Questions have been developed based on the Research Objectives :

What is the relationship between e-marketing and consumer behavior in hotel and hospitality industry?

What is the meaning and concept of e-marketing and consumers purchasing decision in case of Hilton Hotel?

What are the scopes of e-marketing and possible impacts on the consumers of Hilton Hotel and their purchasing decision?

Literature Review

Which is the most effective strategy of e-marketing for Hilton Hotel to influence the purchasing decision of their consumers?

Digital Age and E-marketing

In modern time, businesses all over the world is becoming digitalised and therefore, the contemporary time is rightly termed as ‘Digital Age’ (Hirt and Willmott 2014).

Distinctive industries worldwide uses various tools of e-marketing to promote the services they offer and also for the purpose of conducting research on the competitive market.

The research data collected is then utilised for structuring appropriate strategies with the implementation of which the company aims to reach the height of success.

E-marketing with the help of various internet system and networking tools such as email, Pay per click, pop up advertisements and so on establishes a companies hold on consumers mind (Eid, R. and El-Gohary, H., 2013).

The popularity of e-marketing is undeniable and the main reason behind it is its capacity of reaching a huge audience through online advertisements, conducting customer loyalty program, maintaining a good relation with public and many more.

Various forms of marketing can be executed with the help of digital or e-marketing by using significant marketing tools such as Social Media, Online Articles, Video Marketing, Blogs and others (Jackson and Ahuja 2016).

One of the highlighting feature of E-marketing is it enables a business organisation to deliver the information that it intends to disseminate to suitable target customers.

  • E-Marketing in Hospitality Industry
  • The development of Web 2.0 in late 2004 gave opportunity to users to customise their own user interface over an extensive platform (Kannan 2017).
  • The hospitality industry was quick to adapt this technological development.
  • Since then there are many advancement in this field with the help of which hotel chains have been utilising the tools of e-marketing.
  • The social media based marketing is becoming more popular with the utilisation of online consumer relationship and forum based feedback collection system (Tiago and Veríssimo 2014).
  • It has been observed that approximately 78% members of hospitality industry choose digital media communication as their marketing tool (Trading economics 2018).

Research Methodology

Research Philosophy

The main idea of research philosophy determines the probable ways in which the data for a particular research can be collected, analysed and implemented for a suitable outcome (Neuman 2013).

There are mainly three types of research philosophy namely positivism, interpretivism and pragmatism.

For this particular study a positivism philosophy is adopted where the research enables to analyse the impact of e-marketing on consumer purchasing decision.

The researcher successfully collects the data and analyses them to consider the impact of e-marketing on consumers of Hilton Hotel, Australia.

Research approach

It is significant to discuss and adopt the most suitable research approach for any research study.

There are mainly three types of research approach and they are namely  inductive, deductive and abductive.

For this particular study, a deductive approach is adopted where the already existential literatures and theories are referred in order to test and validate this research’s aims and objectives.

With the help of deductive approach the study was able to validate the fact that whether e-marketing has an impact on consumer purchasing decision.

Research Methodology

Research design

There are mainly three types of research design that are significantly used for a research work.

These three research design are namely descriptive, explanatory and exploratory.

For this particular study, a descriptive research design is used where the combination of both explanatory and exploratory research method is practiced for finding out the most apt results.

Research strategy

There are majorly four research strategies that help in conducting specific research study.

They are namely action research, interview, survey and case study.

In this research study, survey research strategy is adopted for gathering data from a specific group of population.

For the purpose of collecting raw and recent data, the study adopts the survey strategy.

There are generally two significant data collection procedure for collecting data that could be later analysed for getting the research outcomes.

Primary data collection and Secondary data collection methods are two major data collection methodology.

For this particular study, primary data collection method is adopted where the raw and recent data are collected from the consumers to analyse the impact of e-marketing on Hilton Hotel, Australia.

Data analysis

There are mainly two types of data analysis method and they are qualitative and quantitative data analysis.

For this study both qualitative and quantitative data analysis is used for achieving the most apt outcomes out of this study.

The data collected for literature review, have the use of qualitative data analysis.

Whereas, the data collected from the survey is analysed with the help of qualitative analysis.

Presentation of results

It is observed that maximum number of respondents prefer official website of any hotel to gain information.

The review based system help consumers to choose the hotel they want to reserve.

From the data presented above, it is observed that respondents are heavily influenced by online advertisements and other online promotions.

It is mentioned in the literature review of the study there are certain psychological factors as well that influence the consumer behaviour and decision.

It is observed from the above mentioned figures that Hotel Hilton have loyal customers associated with the hotel.

However, the lack of online promotion of the hotel is affecting to make an identity among new customers as they seldom see any online promotions of Hilton Hotel, Australia.

As observed from the above data, the most preferred advertisement of consumers are video promotional adverts.

While Hilton Hotel does not have any video promotional adverts.

Results and Discussion

It is observed from the above data that maximum number of respondents knew very little about the range of facilities that the hotel offers to its customers.

The lack of online promotion and other marketing tools are one of the key reasons behind Hilton Hotel’s incapability to attract consumers towards it.

Hilton Hotel have poor effort in updating their official website where it has been observed that maximum  number of respondents rely on hotel’s official website before choosing a hotel for reservation.

From the above data analysis it is observed that consumers are majorly influenced by distinctive tools of e-marketing.

Online promotional tools are essential for attracting consumers towards a certain brand.

Social media and other online platforms plays key role for influencing the consumer buying behaviour.

While conducting research, certain theories extracted from the secondary data sources were not updated with the recent scenarios.

The number of respondents for the survey were less therefore, the results obtained were limited.

The availability of numerous theories on the topic consumer buying behaviour made the outcome of the study difficult to obtain.

Directions for future research

The domain of e-marketing is vast and there are many possibilities on which research can be conducted on efficiently suing the tools of e-marketing for accelerating the success of a business.

The close link between consumer buying behaviour and impact o e-marketing can be established with further research study.

Recommendations 

The key recommendation that would work in favour of accelerating the success of Hilton Hotel is to invest on online promotional activities.

Social media plays a key role in influencing the consumers therefore, there must be official page in all the leading social media platforms such as Instagram, Facebook, Twitter and so on that would update and inform the users with the facilities and services that the hotel offers.

The hotel must invest on various mode of online advertisements such as pop up advertisement, social media adverts and others for the purpose of informing maximum number of consumers.

A team of internal public relations must be set up for the purpose of planning promotional strategies that would promote the Hilton Hotel on dynamic level.

Apart from this, the official website of Hilton hotel must be updated with information so that the consumers can get maximum amount of information and knowledge regarding the services that the hotel offers to its customers.

Implications

Therefore, it can be said that the impact of e-marketing on consumers buying behaviour and decision is high.

The hospitality industry is heavily influenced by e-marketing.

Therefore, Hilton Hotel as well need to adopt e-marketing tools for keeping up with the competitive environment of the hospitality industry.

 Use of social media and online tools such as video promotions, blogs, official website will help expand the hotel’s domain over a wide range of consumers.

References

Neuman, W.L., 2013. Social research methods: Qualitative and quantitative approaches. Pearson education.

Law, R., Buhalis, D. and Cobanoglu, C., 2014. Progress on information and communication technologies in hospitality and tourism. International Journal of Contemporary Hospitality Management, 26(5), pp.727-750.

Hilton hotel. 2018, About us. 

Hirt, M. and Willmott, P., 2014. Strategic principles for competing in the digital age. McKinsey Quarterly, 5(1).

Eid, R. and El-Gohary, H., 2013. The impact of E-marketing use on small business enterprises’ marketing success. The ervice Industries Journal, 33(1), pp.31-50.

Jackson, G. and Ahuja, V., 2016, ‘Dawn of the digital age and the evolution of the marketing mix’, Journal of Direct, Data and Digital Marketing Practice, 17(3), pp.170-186.

Bamossy, G.J. and Solomon, M.R., 2016, Consumer behaviour: A European perspective. Pearson Education.

De Pelsmacker, P., van Tilburg, S. and Holthof, C., 2018, ‘Digital marketing strategies, online reviews and hotel performance’, International Journal of Hospitality Management, 72, pp.47-55.

Tiago, M.T.P.M.B. and Veríssimo, J.M.C., 2014, ‘Digital marketing and social media: Why bother?’. Business Horizons, 57(6), pp.703-708.

Trading economics, 2018, Australia Consumer Spending.