How customer satisfaction service quality and convenience can lead to increased customer

Document Type:Coursework

Subject Area:Marketing

Document 1

The survey, therefore, explains how Customer satisfaction, Service Quality and, Convenience can lead to Increased Customer Loyalty at McDonald's. A fast and convenient way of collecting used in getting responses was questionnaires. Survey monkey played an essential role in ensuring we get extensive coverage of where we get the information from therefore limiting the possibility of bias. Questions such as how the food taste like, the level of satisfaction and the hygiene standards were among the research. After data collection and analysis by the use of SPSS software, the results showed that brand loyalty came through the customer’s satisfaction since the corporation provided the convenience that fit the needs of its customers. Thus, companies such as McDonald's need to create business strategies that ensure that the satisfaction of their customers is assured while enhancing their loyalty to the same brand.

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According to Myftaraj and Nexhipi (2014) customer loyalty as the continuous preference of one brand over its substitutes. Alternatively, loyalty counteracts the effects of the competitive market by reducing the impact of aspects such as product availability and price leading to increased business growth. Since loyalty is the outcome of a company's consistency in meeting and exceeding consumers expectations, the researcher infers that improvement of the elements that affect customer satisfaction translates to increased customer loyalty and retention rate in McDonald's. Research aims and Objectives. By basing their studies on data collected from 432 guests in 33 three-star hotels across Vietnam, sMinh, Ha, Anh, & Matsui explain that empathy has the highest effect on service quality followed by responsiveness, reliability and, lastly assurance. Based on these findings, the researchers conclude that quality is a crucial driver of customer satisfaction that has been found to affect customer loyalty and profits positively.

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This article utilized a quantitative research approach to establishing the correlation that exists between the quality of service offered as well as the prevailing level of customer satisfaction in the Vietnamese hotel industry. Like any other study, the investigators intended to uncover information that could be used to improved organizational operation in the future. Therefore, there was a need to devise a plan that would govern data collection, analysis and, interpretation to increase the overall accuracy of the findings. Hence one has to utilize a specific service several times before deciding whether or not he/she will settle for the specific brand. Ashraf, Iftikhar, Yameen, & Younas utilized a quantitative research approach to evaluate the nature of the relationship that prevails in regard to the three fundamental variables including brand engagement, customer satisfaction and, loyalty.

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The authors point out that customer engagement is made up of three dimensions which are affection, cognitive processing and, activation. The three components influence consumers experience which serves as a causative aspect of high customer satisfaction and the ultimate brand loyalty. Alternatively, customers experience which encompasses affection, cognitive processing and, activation impacts the users brand satisfaction which in turn affects loyalty. Furthermore, there is a possibility that other mediating factors including overall customers interaction with the restaurant could have influenced the relationship between the tested variables. For these reasons, the use of a structured research design limits the researcher to focus on the aforementioned relationship without the regard of other variables that could have been incorporated in the findings if Tripathi had settled for a semi-structured research design.

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Unlike a structured design, a semi-structured approach takes into consideration the studys subjectivity which is excluded when using a quantitative approach. Article IV: The Effects of Customer Satisfaction, Service Quality and, Perceived Value on Behavioural Intentions in Retail Industry Veloso, Magueta, Fernandes, and Ribeiro (2017) argue that organizations can counter the effects of immense competition by devising strategies that focus on improving customer satisfaction to retain more and more customers. The authors were interested in determining the interrelationship between customer satisfaction, perceived value, and quality and, consumer purchasing intentions. In essence, loyalty enables users to stick to a specific brand and recruit other buyers through word of mouth. The outcome is increased sales and reduced expenses which translates to high-profit levels. By referring on previous studies, the authors point out that consistent consumers satisfaction builds a sense of trust which serves as a prerequisite for the generation and maintenance of loyalty.

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In their research, Yadav and his colleagues found out that two trust dimensions had a significant effect on customer satisfaction. These facets are credibility and benevolence. In the context of the Sepah Bank branch, a good proportion of consumers had expectations that exceeded the actual quality of services that were being offered by the bank. However, the potential adverse effect of failing to meet or exceed the preformed expectations can be neutralized by customers encounter with the bank employees. In other words, failure to satisfy customer satisfaction does not always mean dissatisfaction. However, improved quality increases overall satisfaction which in turn generates loyalty. Rahim, Mohamad, and Ramayahs article utilized a descriptive quantitative research design and a method of cross-sectional survey. Thus it can be concluded that the comparative design was appropriate for the study as it uncovers the statistical significance of quality, satisfaction and, loyalty.

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After establishing that the tested variables are not being influenced by other factors, the investigator is assured that the findings will be of high accuracy. Meesal & Pauls study reveals that the perception of quality varies based on the need/preference that the user intends to fulfill. Article VIII: Examining The Roles of Perceived Quality and Customer Satisfaction as Predictors of Customer Loyalty in The Indian E-Banking Context as authored by Prasadh. Prasadh (2018) indicates that even though the essence of customer loyalty in the growth and success of organizations is well-understood, there is ambiguity regarding the relationship between perceived quality, satisfaction and, loyalty. Whereas this approach seems reasonable in studying variable correlations, it fails to include the subjective aspect of quality, customer satisfaction and, loyalty.

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This proposal will utilize a mixed research approach to gain an in-depth understanding of variables interactions. METHODOLOGY Study Site Description Literature has shown that the fast food industry is an integral aspect of the daily lives of the working class and young adults who tend to have little time to prepare meals. This comes with the associated convenience as for fast foods help save time and money. Over time the habit becomes nature, therefore, leaving families and people from all different professions having fast food as the way to go when they want to grab a bite. Considering that the respondents had firsthand experience with the food provided also meant that this type of data collection techniques as people were expressing what they felt about the place.

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Research Design In essence, the study adopted a quantitative approach to research design where data was collected using questionnaires, analyzed and then inference made from the analyzed data. This scientific approach of conducting research is less prone to researcher’s bias when compared to qualitative research design. Notably, the quantitative research paradigm is the most widely used strategy of conducting research where data is collected from a sample and analyzed to generalize the whole population. Therefore our case of study being McDonald’s has provided an avenue whereby the research design that will be well suited in coming up with a general assumption of the whole population affected. The reason is that the best sample often gives a more accurate answer of what will be the results while a corrupted one will leave one with very misleading information about the whole population.

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Finding the target population for the study was a challenging and daunting task due to a large number of people who frequent fast food shops. Notably, the total number of consumers of fast food retail shops is enormous, and this makes it inherently difficult to find a sample size that is representative of the whole population. However, the study made a wide generalization that 50% of the people in any location are regular consumers of fast food. In addition, a 50% approximation of the population of a study is considered to be adequate for statistical testing. Validity and Reliability of Research Instruments Data validity may be referred to as the degree to which a device is accurate in measuring a variable. Notably, the questionnaire is often regarded to be the most valid instruments in collecting and measuring data.

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Also, the responses in the questionnaires were recorded in a sale of 5 also known as a Likert scale to further guarantee the validity and reliability of the research instruments. The validity of the data can be calculated using SPSS as shown below Data Analysis Procedure Data analysis began with the coding of the variables in SPSS for data analysis. The data was then cleaned to get rid of incomplete responses before the final analysis was conducted. Nonetheless, according to a response rate greater than 50% is considered adequate for statistical testing and reporting. Demographic distribution and description of study participants The study was interested in four demographic traits of the participants, namely gender, age, occupation, and marital status. The table below gives a summary of the observation in the data.

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Table 1: Demographic composition of study participants Gender Frequency Percent Valid Percent Cumulative Percent Valid Male 24 29. 7 Female 32 61. 5 Employed 9 16. 6 Self-employed 7 12. 1 Retired 5 8. 0 Total 56 100. 0 Marital Status Frequency Percent Valid Percent Cumulative Percent Valid Single 39 69. Brand loyalty Brand loyalty was measured using four questions in the study, namely whether the individual always chooses McDonald's when eating out, whether the individual recommended McDonald's to friends and family members, whether the individual only thought of eating in a McDonald's store, and lastly if the individual visited McDonald's at least once a week. The table below shows the outcomes of the research questions in the tabular form. The mean and standard deviation have been computed for analysis. The highest possible score is 5 which indicates a strong brand loyalty and 1 a weak brand loyalty.

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Table 3: Brand Loyalty Brand Loyalty Responses in the Percentage of Frequency Research Question Strongly disagree disagree Neutral Agree Strongly Agree Mean Std. The table below shows the responses of the respondents in a tabular form. Table 4: Customer Satisfaction Customer Satisfaction Responses in the Percentage of Frequency Research Question Strongly disagree disagree Neutral Agree Strongly Agree Mean Std. Deviation I am always satisfied with the food served at McDonalds 0 2. 987 The food at McDonalds is tasty and affordable 0 2. 123 I love that the restaurant has high hygiene standards 30. Deviation A branch of McDonalds is close to where I live and work 0. 021 The restaurant always delivers food within a short time 0. 874 The delivered foods are always hot 1. 943 The containers used to deliver food is secure enough indicating it has not been interfered with during the delivery process.

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324 Aggregate Score 3. 874 The workers are usually quick when serving food at the restaurant 8. 670 Aggregate Score 3. 245 Source (Own Representation) As seen in the table above, it can be generalized that the level of customer satisfaction in McDonald's is above average as witnessed by the aggregate score of 3. 6 which is a strong agreement that McDonald's has good service quality. However, as it emerged in the research, the workers were not necessarily quick in serving eutomers, and this undermines the quality of service at McDonald's. 053 56 a. Dependent Variable: Loyalty b. Predictors: (Constant), Satisfaction, Convenience, Service As seen in the table above, there exists a relationship between the dependent and independent variables. The R2 value 0F 0. 712 suggests that the variations in the independent variables can explain 71% of the variations in the loyalty to MacDonald.

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A linear regression model has also shown that there exists a linear relationship between the dependent and independent variables. As such, it can be concluded that brand loyalty in McDonald's is dependent on the quality of services, convenience, and food quality which makes customers stick to the brand. In overall, the study has identified that brand loyalty in McDonald's is influenced by the variables that were formulated in the study. The importance of how to maintain the customer base includes ensuring the little issues in the organizations are dealt with therefore creating a safe and convenient environment to offer the services. These specifics include the level of cleanliness as well as prompt responses to the client’s orders and needs. Convenience in McDonald is mainly as a result of the vast experience in the fast food industry.

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Furthermore, Macdonald has numerous fast food stores, and this makes it easier for customers to get their products which also improves the convenience of customers in acquiring products and services. This shows that it exploits the concept of availability in that whenever the loyal customers need anything they will never think of going to a rival food outlet for their products are also available. In conclusion, having quality services and products in business will contribute to improving brand loyalty. As such, it is essential that organizations prioritize activities that will enhance the quality of goods and services they sell as this will directly contribute towards increasing its brand loyalty. , & Ramsay, C. Research designs for studies evaluating the effectiveness of change and improvement strategies.

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