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Theories on customer loyalty
Theories on customer loyalty
Factors That Influence The Food Habit Of People
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A methodology is written to ensure that the findings created from a study are reliable and valid to ensure that the correct research instruments are utilised (Marczyk et al., 2010). The purpose of this chapter is to detail the process of this study to achieve the aim and objective using a combination of primary and secondary research methods. It is found that a large range of literature regarding the topic of brand loyalty and customer satisfaction. However, there is a shortage of literature within the specific fast food industry. The study found that individuals are loyal to different restaurants for different reasons and it was thought that primary research should be conducted to further research into what should be improved by the fast food industry to maintain loyalty from customers. The study incorporates the use of an inductive research approach, where a theory is created after the research is collected rather than a deductive approach, where a theory is created first only tested by the data collected ( Engel and Schutt, 2005).
The methodology will firstly explain how the secondary research was collected and it will provide a framework to illustrate the collection of primary research. The chapter will discuss the use of the pilot study and the type of sampling that has chosen. It then discuss exactly how the study was conducted and how the data was analysed.
3.2 SECONDARY RESEARCH
“Secondary research includes any research based on secondary sources, especially other researcher’s books or articles” (Brown & Rogers, 2002:10). Secondary research are analyses data that have already been collected to meet research objectives (Saunders et al., 2012). Ghauri & Gronhaug (2010) further state that secondary research not only expla...
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...mendations for managers of fast food restaurants for the increase of brand loyalty and customer satisfaction’. It is a requirement for organisation to change their business strategies to follow the current trends, customer needs and requirement (Kim et al., 2001). When a management follows the service quality model from Parasuraman et al. (1985) to modifying their products according to the customer requirements, they will be more likely to be successful in the era of intense competition (Cater and Cater, 2009). This is one of the reasons that the companies are more interested in identifying the requirements of their target customers so that they can ensure that the organisation’s products are developed exactly according the client needs and requirements (Howard, 2006). This section can clearly shows the consumer expectation in fast food industry in Manchester.
In response to the question set, I will go into detail of the study, consisting of the background, main hypotheses, as well the aims, procedure and results gathered from the study; explaining the four research methods chosen to investigate, furthering into the three methods actually tested.
Secondary research includes using the web as the most prominent source, as well as textbooks that document the history and future plans of the area. Hand-outs given out in class of completed surveys will also be used as a starting point for gathering statistics as they are concise and easy slot into to the RAP. With the utilisation of both of these resource types, the compiled RAP will be a reliable collection, consisting of a diversity of findings and information.
High levels of customer satisfaction will not guarantee future sales, but are more likely to result in repeat future sales than indifferent or poor customer service. Moreover, satisfied customers are more likely to try out other products/services in the firm’s range, or recommend it to friends and family. Build on customer loyalty Customer loyalty is valued highly by most businesses and can be
McDonald's Corporation, an American company, is the world's leading food service retailer, with more than 30,000 franchise restaurants in more than 100 countries (McDonald cooperation, 2010).McDonald’s entered the China market in October 1990 and it becomes a popular restaurant which owns 960 restaurants and over 60,000 employees in China at the present day (Liu, 2008). According to the service gap model (Zeithaml, 2009), the problems existing in the servicescape which is the physical environment where the service is delivered (Bitner, 1992) will lead to provider gap 2 (the service design and standards gap) in the gaps model of service quality (see appendix one). In China, although McDonald’s’ acts locally in building the restaurant’s service environment to some extent, there are still some issues existing in its servicecape design. However, have studied customers’ discussions about the service environment in McDonald’s’, the issues existing in its servicescape include the shortage of the ambient condition (such as the inadequate use of music), the insufficiency of the spatial layout design (such as the lake of Self-help sauce pavilion), and the use of symbols and...
McDonalds – one of well-known brands in the world that revolutionize the industry they compete in. McDonalds’ founding fathers could never have imagined the unbelievable growth that their company would have over the many years. Many believe that the success of McDonalds relies in totally on the brand mission that is to “be the customers’ favorite place and way to eat and drink. The mission also emphasizes the importance of a “must” exceptional customer experience”. One of the values that McDonalds tries to reinforce through out the entire company is the value cemented at the base of customer centric concept on a daily operation.
• Communication and Image: One of the factors our restaurant will get obsessed about will be our communication system and our image to the public which make us closely watch this aspect because customers will perceive our image through advertising campaigns are very attractive promotions that remains in their mind. • Personal and Customer Service: Taking care of our customers is very important to us; we will try to create a long lasting relationship with our customers by knowing the needs and getting a way to satisfy them. Training our employees about showing love and concern to our customers, credibility, reliability, customer service and responsiveness are points that can generate a stable relationship with a client and achieve loyalty.
The statistical data preparation permits to sustain a clear picture of KFC’s customer experience; group profiles (for the restaurants in different areas, depending from the size of the restaurant), individual profiles – for each restaurant separately. Therefore, a feedback for the management decisions in relation to the customer experience growth at all levels is provided. However, the analysed results reach each restaurant so that employees will be aware with the comments and assessment of all customers who have filled the survey and eventually work on improvement of the experience.
“Primary data are gathered specifically for the research project at hand. Secondary data is data that have been previously gathered for some other purpose.” (Burns & Bush, 2006). This paper will explore the differences in primary and secondary research when using qualitative and quantitative approaches. The paper will further discuss the tools that are used for each approach.
From the viewpoint of the customer, McDonalds has a good and confident tone, they consider the taste of food, cashiers; attitude toward clients, the cleanness of venue, the number of mistakes made by cashiers, and other measures to assess the quality of the McDonalds’ burgers. (Slack, Chambers &Johnston, 2003)
However, not only the high quality standards of food affects the business, the staff who are presently providing the service are entitled to establishes him or her self with their tone (the sound of the voice), manner (the level of maturity), language and body language well enough to satisfy the customer and to make them appreciated of feeling more welcomed and values them as a proper customer. E.g. if a customer was about to speak the staff operating the till would say hello, may I take your order please,' and when their products are given Thank you and please come again.'
CHANGING PREFRECE depended vastly on the fast food manus. For example we can mention about SALAD. Now salad was never considered as a part of fast food menu. But with the change of taste and preference, fast food chains like Windy, Taco Bell, and McDonald have introduced SALAD into their menus. This preference is not stopping only with salads. In 2002, McDonald’s introduced great tasting new products including premium salads, n salads plus menu; Chicken McNuggets made with white meat; Fish McDippers; Chicken Selects; and new breakfast offerings like the McGriddle sandwiches. Here as a fast food chain, McDonald did not have to introduce new dishes in their menus but with the impression and image in the market analysis, of increasing demand and chan...
Customer satisfaction is the overriding factor for the successful operation. Sales of the supermarket can grow when it makes its customers satisfied with the goods or services by best policy to fit customers’ requirement. So, it can be told that customer satisfaction is followed by customer revisiting or repurchasing. They can also tell their acquaintances about products or services as good. Customer satisfaction and sales might be linked directly, companies have to check the factors periodically such as quality, schedule, layout, inventory and so on to lift customer satisfaction because even small factors that employees didn’t recognize can affect consumer satisfaction enormously.
A measure of overall customer satisfaction typically shows consumer expectations towards the service provided, as well as how far the provided services are from their side. Customer satisfaction is one of the fundamental determinants of very long term consumer behaviour. In order to control customer defection, most of the company’s focus on the one of the major is managing customer satisfaction. Customer satisfaction has gained very much attention in the last few years in most of the areas of production. In an increasingly competitive and rapid environment, greater attention is paid to customer relationships and existing satisfied customers. For companies, customer satisfaction is most effective way to differentiate from competitors and gain competitive advantage but it is also one of the key issues in their efforts towards improving quality. Satisfaction is most used as a predictor of future consumer purchases. Satisfied customers have a higher likelihood of repeating purchases in time, of recommending that others try the source of satisfaction and of becoming less receptive to the competitor’s
More specifically, the fundamental factors that contribute to customer satisfaction in restaurants include the food (hygiene, balance, and healthiness), physical provision (layout, furnishing, and cleanliness), the atmosphere (feeling and comfort), and the service received (speed, friendliness, and care) during the meal experience (Johns and Pine,
Task 1: Critically evaluate the key concepts/theories on the topic of the effectiveness of loyalty programmes on customer loyalty