Customers' Perception of Service Quality in Nigerian Hospitality Sector: Factors and Importance Performance Analysis | Dissertation Study

In this dissertation we will discuss about customers’ perception of service quality in hospitality Industry in nigeria and below are the summaries point:- The study aims to investigate the perception of customers regarding service quality in the hospitality industry in Nigeria. Factors such as quality, price, reputation, service quality, and branding affect customers' perception. Importance Performance Analysis (IPA) is used to identify the attributes that are important to customers and evaluate the performance of those attributes in the hospitality sector.

Running head: DISSERTATION
Customers’ Perception of Service Quality in Hospitality Industry in Nigeria
Name of the Student:
Name of the University:
Author’s Note:

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Acknowledgement
Thank you to all of those who have helped listened and encouraged me throughout this study. I
am indebted to my supervisor ……………………. whose guidance, advice and patience have
been immeasurable. My sincere thanks to all members of the…………… [Mention your
university/college name], both staff and students, whose continuous support have made this
thesis possible.
I would like to thank all of the participants in the study: students, teachers and Local Education
Authorities, for the time and help given throughout. Without their participation, this research
would not have been possible. In this context, I am also thankful to them, whose research work
helped me to execute this paper well.
Finally, I thank my family, without whom this thesis would not have been started or completed!
Your encouragement and support have never faltered; thank you.

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Abstract
The aim of the research is to study the perception of the customers of service quality in the
hospitality industry in Nigeria that underlies the idea of improving the service quality in the
Nigerian hospitality sector for ensuring better customer perception. Defective service quality has
given rise to difficulty for the Nigerian hospitality industry for retaining the valued customers.
Additionally, failure in understanding the needs and expectations of the customers hampers the
service quality. This is because the hospitality organizations in Nigeria are unable to prepare and
manage the employees, the management and the facilities that are offered in the hotel. The
research is significant because this will help in identifying the service quality required generally
in the hospitality sector in Nigeria. The relationship between customers’ perception of service
quality in the Nigerian hospitality sector thereby, determining the impact on each other.
Positivism philosophy, deductive approach, descriptive design and survey research strategy has
been preferred in this study. These methodological tools have been selected, as the research topic
demands the application of the mentioned methodological tools. Survey research strategy is the
most suited, as this allows gathering data from a large customer population of the Nigerian hotel
industry. Random probability sampling technique is used for selecting 113 samples out of the
large customer population. As a result, primary data collection process and quantitative data
analysis technique has been used that facilitated the use of IPA analysis for determining the
customer perception and importance at hotels in Nigeria.
From the results obtained in this section, it can be inferred that male and female customers aged
18-25 years and 36 years and above mainly for personal use along with additional uses such as
personal and leisure. The majority of the respondents is student and employed with an annual

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disposable income 50,000-200,000. On the other hand, the gap analysis results indicate
significant difference between the importance and performance of tangibility, facility and
customer service attribute of the hotels in Nigeria, as the value derived for the three attributes are
.000. Therefore, the hotels in Nigeria should consider and work towards mitigating the
importance and performance gap in order to develop positive customers’ perception about
service quality.

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Table of Contents
Chapter 1: Introduction....................................................................................................................7
1.0 Overview...........................................................................................................................7
1.1 Problem statement.................................................................................................................7
1.2 Research aim..........................................................................................................................8
1.3 Research objectives...............................................................................................................8
1.4 Research questions.................................................................................................................9
1.5 Research hypothesis...............................................................................................................9
1.6 Research rationale................................................................................................................10
1.7 Structure of the dissertation.................................................................................................10
1.8 Summary..............................................................................................................................12
Chapter 2: Literature review..........................................................................................................13
2.0 Overview..............................................................................................................................13
2.1 Concept of customers’ perception.......................................................................................13
2.2 Factors affecting customers’ perception..............................................................................14
2.3 Concept of service quality...................................................................................................15
2.4 Origin of Importance Performance Analysis (IPA).............................................................15
2.5 Reason of selecting Importance Performance Analysis......................................................20
2.6 Relevance with hospitality industry of Nigeria...................................................................21

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2.7 Service marketing in hotels.................................................................................................23
2.8 Summary..............................................................................................................................25
Chapter 3: Research methodology.................................................................................................26
3.0 Overview..............................................................................................................................26
3.1 Research outline...................................................................................................................26
3.2 Research philosophy............................................................................................................27
3.3 Research approach...............................................................................................................27
3.4 Research design...................................................................................................................28
3.5 Research strategy.................................................................................................................29
3.6 Sampling technique and sample size...................................................................................30
3.7 Identification of research variables......................................................................................31
3.8 Data collection process........................................................................................................32
3.9 Data analysis technique.......................................................................................................33
3.10 Ethical considerations........................................................................................................33
3.11 Accessibility issues............................................................................................................34
3.12 Summary............................................................................................................................35
Chapter 4: Data analysis................................................................................................................36
4.0 Overview..............................................................................................................................36
4.1 Descriptive analysis.............................................................................................................36
4.1.1 Demographics...................................................................................................................36

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4.2 Inferential analysis...............................................................................................................39
4.3 Summary..............................................................................................................................47
Chapter 5: Conclusion and recommendations...............................................................................48
5.0 Conclusion...........................................................................................................................48
5.1 Linking with objectives.......................................................................................................48
5.2 Recommendations................................................................................................................50
5.3 Future scope of the study.....................................................................................................52
References......................................................................................................................................54
Appendix 1.....................................................................................................................................61
Survey questionnaire.................................................................................................................61

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Chapter 1: Introduction
1.0 Overview
The increasing competition in the global economy has forced the business organizations in
the hospitality sector are emphasizing more on meeting and exceeding the expectation of the
customers. One of the best ways of standing out among the competitors is by delivering superior
service quality that helps in improving the reputation in the hospitality sector. Service quality is
one of the most significant and widely researched topics in the service industry as it is necessary
to ensure excellent service quality for the customers. The service industry represents majority of
the economy of the country in both developed and developing countries. As commented by
Mayorova and Lapitskaya (2016), customers’ perception of service quality plays significant roles
in the perception of the buyers of the product and service that adds value to the product thereby,
facilitating relationships. The best service provision can be achieved by developing an
understanding about the notion of perception of the customers. Service quality influences
reputation and the quality level determines the opinion of customers about an organization.
Customers are considered as one of the most important stakeholders, as they help in generating
revenues for the business sectors including hospitality sector.
Nigeria is a developing country that is striving to make its mark in the global economy.
Customers’ perception of service quality in Nigerian hospitality sector, as this allows gaining
competitive advantage, generating revenue and sustaining the competitive world (Jakada and
Gambo 2014).

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1.1 Problem statement
As the hospitality sector is mainly customer centric, a bad experience during the service
leaves a bad impression and a negative mark on the experience of the customers. The negative
impression due to poor service quality results in lack of repeated customer due to negative word-
of-mouth publicity about the hotel. The hospitality sector is failing to deliver quality service that
is resulting in suffering decreased patronage and publicity. As a result, the sales growth is
hampered for the hospitality organization due to which organizational performance is hampered.
According to Dhar (2015), defective service quality gives rise to difficulty for the Nigerian
hospitality industry for retaining the valued customers. Additionally, failure in understanding the
needs and expectations of the customers hampers the service quality. This is because the
hospitality organizations in Nigeria are unable to prepare and manage the employees, the
management and the facilities that are offered in the hotel. As a result, the customers visiting the
hotels are unsatisfied thereby, creating a negative image and hampers the perception of the
customers (Bansal and Taylor 2015). The customers have complained about the behavior of the
employees saying that the employees do not give them prompt services, attend their queries and
solve their issues, physical appearance of the hotels and lightings of the hotel.
1.2 Research aim
The aim of the research is to study the perception of the customers of service quality in
the hospitality industry in Nigeria. The aim underlies the idea of improving the service quality in
the Nigerian hospitality sector for ensuring better customer perception.
1.3 Research objectives
The objectives of the research are:

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 To identify the customers’ perception on how they have experienced service quality in
hospitality sector of Nigeria
 To investigate the issues that affects the service quality in Nigerian hospitality sector
 To observe the importance of hotel attributes in respect to service quality in the
hospitality service and its impact customers’ perception
 To provide suitable recommendations for improving customers’ perception in service
quality of Nigerian hospitality sector
1.4 Research questions
The questions of the research are:
 What are the customers’ perceptions on how they have experienced service quality in
hospitality sector of Nigeria?
 What are the issues that affect service quality in Nigerian hospitality sector?
 What is the importance of hotel attributes in respect to service quality in the hospitality
and its service impact customers’ perception?
 What are the suitable recommendations for improving customers’ perception in service
quality of Nigerian hospitality sector?
1.5 Research hypothesis
The hypotheses of the research are:
H0: Perception of the customers regarding service quality has no impact on the Nigerian
hospitality sector
H1: Perception of the customers regarding service quality has an impact on the Nigerian
hospitality sector

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1.6 Research rationale
Analyzing the customers’ perception of service quality in the hospitality sector in Nigeria
is important because this will provide an opportunity to identify the potential gaps the hospitality
sector that arises due to the perception of the customers. The research is significant because this
will help in identifying the service quality required generally in the hospitality sector in Nigeria.
Additionally, the research will also help in identifying perception of customers by taking into
account their experience they had while availing services in the hospitality sector. The doubts in
the customer perception of service quality in the hospitality sector of Nigeria helps in suggesting
suitable recommendations for overcoming it successfully. The relationship between customers’
perception of service quality in the Nigerian hospitality sector thereby, determining the impact
on each other.
1.7 Structure of the dissertation
The overall structure of the research study is categorized into five chapters that are
crucial in developing the research and successfully completing it.
Chapter 1: Introduction
The first chapter is of utmost significance, as this lays the overall structure of the research
study. The chapter elucidates background information about the selected topic along with
pointing out the problem that is to be investigated in the study. Based on these information,
research aim, objectives and hypotheses are formulated that needs to be achieved and proved for
completing the study successfully.
Chapter 2: Literature review

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The first chapter is followed by the literature review that aims towards identifying the
independent and the dependent variables that forms the overall structures of this chapter.
Identification of the variables is followed by the defining the concepts, critically analyzing the
factors affecting them followed by discussing the impact, opportunities and the challenges.
Theories and models relevant to the identified variables are also discussed in this section.
Chapter 3: Research methodology
This chapter elucidates all the existing methodological tools that need to be used while
carrying on with a research. The chapter defines all the research methodologies individually by
highlighting the unique characteristics. This is followed by rationalizing the application of the
selected research methodologies for the study specifically.
Chapter 4: Data analysis
Based on the research methodologies selected in the previous chapter, data is collected
using the selected methods. This helps in gathering data those are relevant that helps in achieving
the research aim and objectives. The data in this chapter is also interpreted and discussed by
justifying the findings with the information provided in the literature review chapter.
Chapter 5: Conclusion and recommendations
The last chapter deduces relevant and suitable conclusion by taking into account the
information presented in the above chapters. The gap is mentioned followed by the results
obtained, implication of the findings and suggesting probable recommendations.
1.8. How the study intends to contribute differently

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The study intends to contribute differently in the overall service quality factor with the
overall feedback of the customers about the quality of service that they intends to get while
availing services in the Nigerian hospitality sector. This study provides opportunity to explore
the aspect of service quality as an important aspect of customer service which helps to improve
the overall business. This study provides an opportunity to assemble more knowledge about
improving the service quality at the hospitality sector for ensuring better customer perception. In
addition to, the research study can be used in the future for improving the customers’ perception
by improving the service quality in the hospitality sector in Nigeria.

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Chapter 2: Literature review
2.0 Overview
This chapter is developed according to the independent and the dependent variables that
have been identified according the topic selected for the study. Identifying the variables help in
defining the concepts followed by critically analyzing the factors and determining the impacts,
opportunities and challenges of the independent variable on the dependent variable. Relevant
theories and models are also mentioned and discussed that helps in developing a clear idea about
the research topic. In this case customers’ perception of service quality is considered as an
independent variable and hospitality sector is the dependent variable based on which the entire
literature review structure is developed.
2.1 Concept of customers’ perception
Customers’ perception is a marketing concept that provides an opportunity for the
business organizations to know the thought customers have or perceive about a particular
product and service if a brand. The customers’ perception can be both positive and negative
depending on the customer satisfaction. According to Mayorova and Lapitskaya (2016),
customers’ perception is defined as a marketing strategy that highlights the consciousness,
impression and awareness the target audiences have about a company and its products. However,
as argued by Zhang et al. (2014), customers’ perception is defined as the process that facilitates
the customers to think about a brand or a company or the offerings made by them. In the
hospitality sector, having positive customers’ perception is necessary, as this helps in better
customer attraction and sustaining in the competitive business market of Nigeria.

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2.2 Factors affecting customers’ perception
The various factors that affect customers’ perception are quality, price, reputation, service
quality and branding. As commented by Eun Lee and Stoel (2014), the quality of the product and
service offered needs to be of high quality in order to ensure positive customers’ perception.
Standard quality makes the customers feel that the service and product offered does not
compromise with the features and properties thereby, satisfying the customers. Good quality
helps in travels quickly that helps in creating better reputation and creating positive customers’
perception. However, as argued by Au, Buhalis and Law (2014), price is said to have a complex
impact on the perception of the customers. Customers prefer to bargain before purchasing and
favor an economically priced product or service whereas the customers tend to develop
inappropriate or negative perception about a product or a service if the prices are extremely low,
thereby, damaging the customers’ perception.
According to Boo (2017), excellent service quality has the ability to over shadow any
negative experience regarding a product or a service. The customers develop a level of trust on
the product or the company when they receive excellent service while encountering any problem
thereby, developing positive customers’ perception. However, as criticized by Yoon and Occena
(2014), apart from excellent service quality, the persisting reputation of a company influences
customers’ perception. It requires time to build a reputation and is said to be a combination of
actual experience, word of mouth recommendation and marketing strategies undertaken for
establishing the product in the brand. In the Nigerian hospitality sector, the surviving the tough
competition is not possible if the factors is not implemented properly.

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2.3 Concept of service quality
The success of any customer centric business organizations are largely dependent on the
service quality offered by the firms. As mentioned by Dabholkar (2015), service quality is
defined as the assessment that determines whether the service offered has the potential of
fulfilling the expectation of the customers. The business organizations tend to address the issues
regularly and promptly for ensuring effective and satisfactory service quality. However, as
criticized by Orel and Kara (2014), the concept of service quality indicates a contemporary
conceptualization that aim towards finding the difference between perception (P) and expectation
(E). Hence, the service quality is calculated by the equation (SQ = P - E).
The nature of service in the hospitality sector is always caring, warm and empathetic.
However, a conclusive definition of service quality is yet to be found in spite of the existing
definitions. The services in the hospitality sector are offered in terms of accommodation, foods
and drinks that require care and warmth thereby, facilitating a positive relationship between the
customers and the host (Nulty and Sindhwani 2014).
2.4 Origin of Importance Performance Analysis (IPA)
Importance Performance Analysis was introduced by Martilla and James with the aim of
identifying the product or service attributes a business organization needs to emphasize on for
improving the level of customer satisfaction. Importance Performance Analysis has been widely
used in the hospitality sector over the years. This technique is has gained wide acceptance due to
the ease of application and the appealing methods of presenting both strategic and data
suggestions. The Importance Performance Analysis is based on multi-attribute model concept
that helps in addressing the strengths and weakness of a particular market that offers service in
respect to two criteria that influences a customer to make a choice. Out of the two criterions, the

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first one considers the relative importance of the attributes and the second one considers
evaluating the offerings made to the customers in respect to those attributes (Server 2015).
Characteristics of Importance Performance Analysis are derived from the theory of
customer satisfaction that denotes the function of the expectation on important attribute followed
by judging the performance of the attribute. As commented by Pan (2015), the Importance
Performance Analysis assumes the underlying relationship between the significant attributes and
the attribute performance towards the level of customer satisfaction that is symmetric and linear.
As a result, this method focuses on the gap between the expectations of the customers on the
significance and the judgment on the performance of particular attribute of the consumed service.
The principle objective of the multi-layered approach is to recognize the attributes or
combinations of attributes that helps in providing and ensuring better level of customer
satisfaction thereby, influencing repetitive customer purchase behavior. However, as argued by
Dwyer et al. (2016), as a result, the information obtained can be used for evaluating the
competitive position followed by prioritizing the strategies that are available for improving the
level of customer satisfaction.
Importance Performance analysis comprises of a series of service attributes that is linked
with particular services that need to be analyzed. According to Boley, McGehee and Hammett
(2017), the analysis should be based on the level of significance to the customers of each
attribute followed by determining how the service is perceived its performance relative to each of
the attributes. The analysis is used for comparing the consumer ratings importance of service
quality (Importance) with the level of service quality performance (Performance). The average of
the overall customer assessment is then described through the Importance Performance Matrix
that is often designated as Cartesian diagram. However, as criticized by Pan (2015), the average

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of level of performance is used as a delimiter of both high and low performance. The average of
the interest rates is indicated as a delimiter high level of importance with minimized rate of
interest. In order to operate the Importance Performance Analysis, it is essential to determine the
service attributes that are delivered to the customers critically. According to the attributes that
are defined previously, the two dimensions are firstly, the significance of each attributes and
secondly judgments of the performance.
As mentioned by Cohen, Coleman and Kangethe (2016), as a result, the questions
developed for determining service quality are developed that are suitable for assessing individual
attributes that revolves around the importance of particular attribute followed by determining the
how clearly the deliverable of the attribute is separated into two categories. After developing the
questions, the questions are asked to the selected customer sample with the aim of getting their
feedback. The central tendency of each attribute is calculated by considering the feedback
collected from the customers followed by ranking from higher to lower categories. The central
tendency of individual attribute’s performance and importance is then paired and used as co-
ordinates for plotting the respective attributes in a two-dimensional grid that are divided to four
quadrants. Therefore, determining the quality of service in the Nigerian hotel industry is possible
by analyzing the importance and performance of the service the hotel is providing to the
customers.
The Importance Performance Matrix is classified into four quadrants that are developed
based on the importance-performance measurement.

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Figure 1: Importance Performance Analysis Chart
(Source: Lai and Hitchcock 2015)
The explanations for each of the quadrant are furnished below:
Quadrant 1: The business organizations need to emphasize the mostly in quadrant 1 that itself
indicates “Concentrate Here” and is denoted as high importance and low satisfaction. This
quadrant consists of the factors that are considered as highly significant by the customers.
However, the reality of these factors fail to meet the expectation of the customers due to which
the the satisfaction level obtained is low. As a result, it can be said that the variables that
comprise this quadrant needs to be enhanced for ensuring better service quality offered by the
business organizations (Chen 2014).
Quadrant 2: This is the second quadrant that signifies keeping up the good work and is denoted
by high importance and high satisfaction. This quadrant consists of the factors that are

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considered significant by the customers. This quadrant is considered in accordance with the
factors important or the customers that results in maximized level of satisfaction (Lee 2015).
Quadrant 3: The third quadrant is said to be of “low priority” that is denoted by low importance
and low satisfaction. Thus, it can be said that the factors that form this quadrant are not highly
important. The variables included in this quadrant can be reconsidered because of the influence it
has on the benefits perceived by the customers, as it is extremely small (Phadermrod, Crowder
and Wills 2019).
Quadrant 4: The fourth quadrant is referred to as “Possible Overkill” that is denoted by low
importance and high satisfaction. The variables that form the quadrant can help the company
save costs by reducing them. This is because the factors in this quadrant are considered as less
significant by the customers (Dabestani et al. 2016).
The aim of developing IPA analysis is to analyze the importance and performance
simultaneously in respect to the service quality. According to De Nisco, Riviezzo and Napolitano
(2015), the Importance Performance Analysis was developed with the aim of investigating and
analyzing the level of customer satisfaction depending on the service quality attributes.
Importance Performance Analysis is used for mapping the relationship between the interests with
performance respective to the expectation of each attributes followed by analyzing the gap
between the performances respective to the perception of each attribute. The Importance
Performance Analysis consists of two components, the gap analysis and quadrant analysis.
However, as argued by Pan (2015), the gap analysis is used to analyze the gap between the
interests of an attribute in regards with the expectation of the customers for these attributes. On
the other hand, the quadrant analysis is used for knowing the response of the customers towards

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the different attributes that are plotted depending on the importance of perceptions and
expectations of each attributes
2.5 Reason of selecting Importance Performance Analysis
After conducting the literature review based on the hospitality industry of Nigeria, it can
be seen that the level of customer satisfaction in terms of service quality in the service industry
generally applies single-sided surveys for measuring the customer satisfaction level. However, it
is suggested that significant indicators needs to be assigned to the items that are surveyed instead
of measuring only the level of satisfaction. As a result, the importance of the attributes can be
surveyed. As mentioned by De Nisco, Riviezzo and Napolitano (2015), existing customer
satisfaction tools such as SERVQUAL and SERVPERF does not include the concept of
importance ranking in their survey method. Thus, for addressing this issue Importance
Performance. Analysis tool is used for understanding the level of customer satisfaction followed
by prioritizing the areas that needs to be enhanced. Due to this characteristic, Importance
Performance Analysis is considered superior than SERVQUAL and SERVPERF because IPA
considers the information attribution as well as it can be plotted graphically using performance
and importance for single attributes. Additionally, the tools SERVQUAL and SERVPRF are way
too technical due to which the information collected from those models are difficult to
understand and interpret. However, as argued by To et al. (2014), Importance Performance
Analysis, on the other hand, is a more powerful tool of evaluation for both academics and
practitioners for identifying the attributes that are doing well along with addressing the attributes
that needs to be enhanced by taking required actions immediately. Therefore, it can be said that
the Importance Analysis Performance tool can be used for determining prioritizing the attributes
for enhancement so that relevant guidance can be offered for the overall strategic development.

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Different Importance Performance Analysis studies have failed to take into account the
probable relationships between the importance and performance. As commented by Tontini,
Picolo and Silveira (2014), the method of developing the Importance Performance Analysis grid
highlights a statistical relationship to the two concepts; few have been successful in investigating
the implication of the potential relationship. As suggested by Martilla and James’, both
expectation and importance are closely related in such as way that both the concepts are
antecedents of performance perceptions. Additionally, it has been found that importance can be
used as a weighing variable of performance. This is because importance imposes some additive
and inter-active impact on the rating of the performance. The relationship between performance
perception and importance can also be rationalized theoretically beyond the reflection of the
relationship.
However, as argued by Cheng, Guo and Ling (2016), it can be said that importance has a
positive relationship with performance perception. This is because the more important the
attribute is to the customer the more likely the customer perceives the attribute performance
favorably thereby, resulting in higher level of satisfaction. However, on the contrary, considering
the casual relationship between importance and performance, the traditional Importance
Performance Analysis can result in misinformation based on the magnitude and nature of the
relationship. The Importance Performance Analysis studies have measured importance and
performance by using each of the attributes individually because some concepts co-relate with
each other.
2.6 Relevance with hospitality industry of Nigeria
According to Adeola and Ezenwafor (2016), the hospitality sector of Nigeria is
expanding continuously and has contributed 4.8% towards Nigeria’s GDP growth. Additionally,

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it has been seen that the Nigerian hospitality sector has successfully employed 1.6% of the
population in 2016. The recent developments suggest that the hospitality sector has spent 3% on
foreign spending whereas 97% for domestic development for facilitating and promoting
hospitality in the world platform. It is also perceived that the Nigerian hospitality sector is to rise
5.4% in the next 5 years, that is, by 2022.
However, as argued by Nwanyanwu (2015), the Nigerian hospitality sector has been hit
hard due to the current marco challenges and the restaurants and hotels are the ones experiencing
the main difficulties. The employees of the hospitality sector are unable to keep up the promises
made to the customers in terms of the services offered. As a result, the service qualities offered
by the companies in the hospitality sector are questioned and results in the development of
negative customers’ perception. Thus, the Nigerian hospitality sector needs to improve their
service quality for ensuring positive customers’ perception and sustain the competitive market.
According to the information mentioned, it can be said the use of Importance
Performance Analysis helps in understanding the performance perception and importance of
service quality in the ensuring success in the Nigerian hospitality industry. As mentioned by
Rauch et al. (2015), surviving in the business sector is possible when the business organizations
are able to satisfy the customers. The hospitality industry is highly customer centric and they can
only count on the return of investment when the customers visiting their organizations are
leaving satisfied and happy. However, the level of customer satisfaction is not fixed, as it vary
from each customers. According to the Importance Performance Analysis, it can be said that the
hospitality industry in Nigeria needs to emphasize on the second quadrant. This is because the
second quadrant highlights keeping up the good work that is indicated by high importance and
high performance that helps in achieving higher level of customer satisfaction. It is important for

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the hospitality industry of Nigeria to ensure positive impact on the customers upon their visit to
the hotels. The expectation of the service quality of the customers visiting the hotel might vary
thereby, making it difficult for the hotels to consider the perspectives of each customer. As a
result, it is suggested that the hotels in Nigeria needs to maintain the basic standards of service
quality for ensuring customer satisfaction.
2.7 Service marketing in hotels
Service marketing is a dynamic configuration of business organization, people, shared
information and technology that helps in establishing and delivering value between the customer
and the service provider through service. The number of distinctive characteristics separating
services from tangible goods is intangibility, perishable, heterogeneity and inability to segregate
production and consumption.
Intangibility: Services are defined as performances in spite of assuming them as objects, as they
cannot be seen, tasted or touched the way goods can be sensed or perceived. In order to reduce
service intangibility, hospitality industry needs to make services tangible for the customers. As a
result, the hospitality sector can provide evidence to the customers regarding the quality offered
by them in terms of image, environment and ambience (Fernie and Sparks 2014).
Unable to segregate consumption and production: This step includes the side-by-side nature
of production and consumption that signifies majority of the services. According to Liotou et al.
(2015), initially services are produced that is followed by production and then consuming it at
the same place and time. Thus, it is necessary for the companies in the hospitality sector to
ensure well-behaved and polite employees with good and adequate knowledge about the hotel

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premises thereby, guiding the customers or guests appropriately. As a result, the customer
experience and relationship is improved.
Heterogeneity: The increased potential for superior variability in performing the services deals
to heterogeneity. However, the essence and quality of the service varies based on the individual
producers, customers and each single day thereby, displaying the uniqueness of each service that
cannot be repeated or replicated. Thus, the hospitality sector of Nigeria needs to have the best in
terms of services and products so that customer expectation can be met at the very first time and
creating a good first impression (Vezzoli et al. 2015).
Perishable: This factor suggests that the service cannot be saved. For example, customer
dissatisfaction cannot be reversed. Once a customer is dissatisfied with the service of a hotel,
they do not tend to return in the future and the negative word-of-mouth spread by them leads to
demand and supply problems within the hospitality sector (Davy et al. 2014).
The different challenges in service marketing has own set of challenges in the hospitality
sector that cannot be undermined. As commented by Ulaga and Loveland (2014), service
marketers encounter marketing challenges that arises due to misunderstanding the perception of
the customers about the services, tangible expectation of the customers and keeping the promises
made by the business organizations to the customers. However, as argued by Baron, Warnaby
and Hunter-Jones (2014), apart from misunderstanding the customer perception about services,
competition from the clients that questions themselves whether they should engage themselves at
a service or not is another challenge. This service challenge exists alongside the existing
competition of fellow competitors in the hospitality sector.

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Offering similar services for a prolonged period results in customer dissatisfaction and
boredom due to which the customers discontinue their association with the business
organizations. As a result, offering innovative and new services at regular interval improves
service quality and ensures customer satisfaction. According to Gronroos and Gummerus (2014),
testing new services as well as communicating the new service to the target audiences are also
challenging while undertaking service marketing. Additionally, the intangible nature also gives
rise to challenge in service marketing, as the customers are unable to touch and perceive services
that can be done while marketing products.
2.8 Summary
Thus, it can be summarized that, service quality is crucial for the business organizations
in order to ensure positive word of mouth for the customers. The hospitality sector is a customer
centric sector whose success is determined by ensuring customer satisfaction and happiness.
Satisfactory service in the Nigerian hospitality sector has become an issue thereby, leading to
complaints. As a result, the business organizations in the hospitality sector are lagging behind
and failing to contribute towards the economy of the country. The potential service quality gaps
in the Nigerian hospitality sector are discussed in respect to Importance Performance Analysis
(IPA).

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Chapter 3: Research methodology
3.0 Overview
The research methodology chapter sheds light on the different methodological stances
that exists and can be used for conducting a research. Appropriate selection of methodological
tools determines the success of the research, as conclusive and authentic data can be collected
and analyzed. The chapter throws light on the different stances of the research onion that
includes philosophy, approach, design, strategy, sampling technique, data collection and analysis
techniques.
3.1 Research outline
Positivism philosophy, deductive approach, descriptive design and survey research
strategy has been preferred in this study. These methodological tools have been selected, as the
research topic demands the application of the mentioned methodological tools. As the research
topic needs to investigate the customers’ perception of service quality in hotel industry in
Nigeria, survey research strategy is the most suited, as this allows gathering data from a large
customer population of the Nigerian hotel industry. Random probability sampling technique has
been selecting 113 hotels users as samples out of the large customer population. As a result,
primary data collection process and quantitative data analysis technique has been used that
facilitated the use of IPA analysis for determining the customer perception and importance at
hotels in Nigeria.
3.2 Research philosophy
The research philosophy facilitates gathering and analyzing appropriate knowledge in
specific research field for completing the study successfully. Positivism, pragmatism and

27DISSERTATION
interpretivism are the three kinds of research philosophies that are used for research (Mackey and
Gass 2015). As mentioned by Kumar (2019), pragmatism philosophy is formed by combining
both positivism and interpretivism philosophy. As a result, using this philosophy makes the study
complex. On the other hand, positivism philosophy facilitates the use of logic and factual
knowledge that helps in deriving quantifiable observation by using scientific or statistical
approach. Therefore, the results derived are reliable and authentic and can be relied on for
completion of the study. Interpreivism philosophy considers the opinion and mindset of each
individual is respect to the research topic and analyzed for deriving suitable observations
(Mackey and Gass 2015).
From the definitions provided, positivism philosophy seems to be the most suitable for
this research. As the research topic deals with knowing the customers’ perception of service
quality in Nigerian hotel industry, positivism philosophy helps in using the factual knowledge
gathered from the customers and making logical interpretations. As a result, it is feasible to know
the existing perception of the customers in terms of service quality in the Nigerian hotel industry.
Positivism philosophy also allows using statistical approach for better understanding importance
of the customers by using IPA analysis. As a result, the data derived is reliable and valid, as it
has statistical evidence to prove the information gathered (Silverman 2016).
3.3 Research approach
The appropriate use of research approach is necessary, as this allows gathering in-depth
knowledge about the research topic. Inductive, abductive and deductive are the three kinds of
research approaches that are used for a research (Mackey and Gass 2015). The difference in the
two approaches are evident from the name itself, as inductive approach means inducing new
theories and models whereas deductive approach means deducing observation based on

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previously developed theories and models (Taylor, Bogdan and DeVault 2015). Inductive
research approach is said to be time-consuming and prone to error because new theories and
models are developed based on the observations made and incorrect observations could lead to
incorrect formulation of theories and models. On the other hand, deductive approach is more
reliable and used widely, as this allows referring to theories and models developed in the past
thereby, transforming general information to specific information (Flick 2015).
From the definitions provided, deductive approach seems to be the most suitable for this
research. Deductive approach is the most suitable when positivism philosophy is used and
similar is the case for this research. Deductive approach is also suitable because this provides an
opportunity to refer to the most important tool for determining service quality, IPA analysis. The
use of IPA analysis allows finding out the potential gap between the customer perception and
importance while they avail services in the hotel sector. Identifying the gap in terms of service
importance and performance helps in transferring general data to specific data by relating it to
the perception of the customers. Additionally, using deductive approach helped in analyzing
information in terms of service quality and customers’ perception in Nigerian hotel industry
(Neuman and Robson 2014).
3.4 Research design
The research design is the set of methods and procedures that helps in measuring the
variables in the research topic. Explanatory, exploratory and descriptive are the three types of
designs that can be used for a research. Descriptive design is formed by combining the
characteristics of both exploratory and explanatory research design thereby, making it the most
favored and used for researches (Bresler and Stake 2017). The names exploratory and
explanatory itself describe the two designs, as the name suggests exploring or identifying and

29DISSERTATION
explaining or describing the issues and reasons of the emergence of the issues. Exploratory
design helps in identifying and addressing the issues within the research and explanatory design
explains why the issues have emerged in the study (Alvesson and Skoldberg 2017).
From the definitions provided, descriptive design seems to be the most suitable for this
research. As descriptive research design shows the combined characteristic of both exploratory
and explanatory research design, using it helped in identifying the main service quality issues
that is encountered in the hotel sector. Moreover, it further helps in finding the potential reasons
that has resulted in the emergence of the service quality issues in the hotel industry by
considering the Nigerian hotel industry (Ledford and Gast 2018). Thus, identifying the service
quality issues and the reasons of the issues helps in determining the perception of the customers
that helps in knowing what the customers expect when they visit the hotel sector. As a result,
methods can be suggested for overcoming the service quality issues in the Nigerian hotel
industry and determining the customers’ perception (Bauer 2014).
3.5 Research strategy
The research strategy provides an outline or framework that helps in gathering relevant
data and information about the research topic and completes it successfully. Case study, survey,
action research and interview are the four types of research strategies that can be used for a
research. Each of the research strategies are different from one another and is selected based on
the topic of the research. If the research topic requires gathering data from a large population,
then survey research strategy is used. Survey allows collecting data from a large population
thereby, gathering large data (Choy 2014).

30DISSERTATION
Additionally, if the research topic demands for in-depth data, then interview research
strategy is used, as this allows communicating with the participants individually and knowing
their opinion about the research topic (Jamshed 2014).
From the definitions provided, survey research strategy seems to be the most suitable for
this research. As mentioned, survey allows collection of data from a large population. In this
case, as the perception of the customers about the service quality of the Nigerian hotel sector is
studied, survey helps in collecting data from the large population of customers the hotel sector of
Nigeria possess. Collecting large data sets helps in enriching the quality of the data and also
helps in combating with the biased results that is shared by the customers. Additionally, the
results obtained from the large population of customers helps in knowing the importance and the
perception they have in terms of enjoying service quality during their visit to the hotel industry in
Nigeria (Smith 2015). Survey research strategy has been used because it provides the following
advantages. In survey, large data can be collected at minimal cost that helps in gathering a bird’s
eye view of the customers’ perception about service quality in Nigerian hospitality industry. As a
result, survey research strategy provides an opportunity of convenient data gathering that is
supported by good statistical significance.
3.6 Sampling technique and sample size
Appropriate selection of sample is necessary for the research, as they are the ones from
where data is gathered that is used for achieving the research aim and objectives. Probability and
non-probability sampling technique are the two sampling used that are used for a research. Both
the sampling techniques are further categorized into sub-types that are selected according to the
research needs. As the name suggests, random probability sampling technique indicates random
selection of samples thereby, offering equal chances for all the individuals within a population to

31DISSERTATION
be a part of the data collection process. However, it is just the opposite for non-probability
sampling technique because this sampling technique does not offer equal chances for the
individuals within a population to share their opinions and viewpoints. As a result, in-depth
information can be collected about the research topic that helps in high quality research study
(McCusker and Gunaydin 2015).
From the definitions provided, probability sampling technique seems to be the most
suitable for this research. As the definition suggests, probability sampling technique allows equal
chances for all the individuals within the selected customer population to be a part of the data
collection process. As a result, it is possible to know what the customers expect in terms of
service quality when they plan on availing the services of the hotel sector (Humphries 2017).
Taking into account the customers’ perception of service quality for the Nigerian hotel industry
provides an opportunity to know the needs and requirements and make arrangements accordingly
for satisfying them. From the entire customer population, 113 customers are selected as the
sample size by using the mentioned sampling technique (Reynolds et al. 2014).
3.7 Identification of research variables
According to the background information provided, the variables identified for this
research are the perceptions and importance of the customers. The research variables have been
used for for assessing the service quality of the Nigerian Hotel industry by using the attributes
such as tangibles, responsiveness, reliability, assurance and empathy. Perception and importance
of the customers of the Nigerian Hotel industry are scored using 1-5 scores. Additionally, data
has been collected using survey questionnaire that provided an opportunity to understand the
customers’ service quality importance and performance.

32DISSERTATION
3.8 Data collection process
The data collection process is the core of the entire research, as this provides an
opportunity to collect all the relevant data and shape up the entire research. Primary and
secondary are the two data collection processes that can be used for a research. The name
secondary data collection process facilitates collecting data from all the available secondary
sources. The secondary sources indicate the sources that contain relevant and similar information
from beforehand about the research topic. The different secondary sources include books,
journals, articles, online newspapers, official websites and other internet facilities (Vamsi
Krishna Jasti and Kodali 2014). On the other hand, as the name says, primary data collection
process is defined as the process where the data are collected firsthand by the researcher
regarding a specific research topic. It is time consuming and expensive method (Isaacs 2014).
From the definitions provided, primary data collection process seems to be the most
suitable for this research. As mentioned, primary data collection process is justified because this
is first time the researcher is collecting information about customers’ perception of service
quality in Nigerian hotel industry. As a result, it is possible to know the current needs and
demands of the customers when they plan on availing the services in the hotel sector and include
or develop it accordingly for offering better service quality to the customers (Mukhopadhyay and
Gupta 2014).
3.9 Data analysis technique
Data collection process is followed by analyzing the data appropriately for making
suitable interpretations. Quantitative and qualitative are the two data analysis techniques that can
be for a research. As the name indicates, quantitative data analysis technique considers the
numbers or the quantity in order to fulfill the research aim and objectives. On the other hand,

33DISSERTATION
qualitative data analysis technique is based on the observations, texts and visual analysis of the
interview conducted between the participant and the researcher and interprets it in details
(Mackert et al. 2014).
From the definitions provided, quantitative data analysis technique seems to be the most
suitable for this research. The use of quantitative data analysis technique allows performing
Importance-Performance analysis (IPA) that would help to determine whether customer
perception of service quality has an impact on the Nigerian hotel industry or not and the
assessing the relationship between the two by using IPA analysis (Dumay and Cai 2015).
3.10 Ethical considerations
Abiding by the ethics of the research determines the completion of the research
successfully. List of ethics that are crucial in completion of a research successfully are furnished
below:
 Consensual participation in the data collection process is a significant research ethics.
According to this ethics, the participants cannot be forced and needs to take part in the
data collection process willingly. Therefore, signing the consent form by the participants
prior the data collection process is a necessary.
 Data confidentiality is one of the significant research ethics that needs to be followed for
mitigating conflict and biasness. According to this research ethics, the identity of the
participants as well as the data shared by them needs to be kept confidential. Disclosing
the data and the identity is against the ethics of the research (Wolgemuth et al. 2015).

34DISSERTATION
 Harming and damaging during the course of the research is also against the research
ethics. The research needs to be conducted without harming any species including
humans, animals, insects, birds and the surrounding environment as well.
 Using the information collected only for academic purpose is also a significant research
ethics. The data and information collected for the research should not be used for any
commercial purposes.
 Data manipulation is against the research ethics. According to this ethics, the gathered
data has to be presented in the study whether it support or does not support the research
aim and data needs to be justified rather than manipulated.
 Collecting data from original sources is also an important ethical consideration in
research, as this helps in developing an authentic and conclusive study (Øye, Sørensen
and Glasdam 2016).
3.11 Accessibility issues
The major accessibility issues encountered while proceeding with the research are time,
budget and biased response from participants. Lack of adequate time forced the researcher to
rush with the research due to which extensive research was compromised and regular follow up
with the project supervisor was not possible. As a result, the researcher did not know whether the
work is proceeding in the right direction or not. Moreover, as in-depth and extensive research
was compromised, superficial data was and information was used to complete the entire research
within time. Apart from the time, budget has been another issue that was encountered during the
course of the research. Some of the past researches required to pay or subscribe for accessing the
information. Due to budget restriction, the researcher has been unable to access significant and

35DISSERTATION
highly relevant information related to the topic. Moreover, biased response from the selected
samples was another accessibility issue encountered.
3.12 Summary
Thus, in this chapter, it can be summarized that the methodological tools selected for this
research is justified and helps in gathering authentic data from the selected samples. The
customers are the key pillars that determine the success of the business organizations in the hotel
sector. As a result, the hotel sector needs to take initiatives and maintain standards in terms of
their service quality for developing positive customers’ perception. The research methodologies
selected helps to analyze the customers’ perception in terms of service quality in the Nigerian
hotel sector.

36DISSERTATION
Chapter 4: Data analysis
4.0 Overview
This chapter comprises of the charts and graphs that is generated while analyzing the data
from the survey. The researcher has analyzed the data by using both inferential and descriptive
analysis with the aim of understanding the difference or the gap between importance and
performance of service quality in hotel sector of Nigeria. Using both analysis techniques provide
an opportunity to undertake an in-depth analysis by using Importance-Performance analysis. The
use of IPA analysis is the most suited because this helps in determining the importance of
maintaining a standard service quality in the hotels and how well the hotels in Nigeria are
performing in maintaining a standard service quality.
4.1 Descriptive analysis
4.1.1 Demographics

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Figure 1: Demographics

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The descriptive analysis of gender specification highlights only .88 differences between
the male and female genders. This indicates that in Nigeria both male and females used hotels
almost equally. This indicates that both male and female population use hotel services largely for
various purposes. The age group of the gender those avail hotels services in Nigeria are 18-25
years and 36 years and above. This indicates that the parents along with their children those are
students use hotels in Nigeria. While visiting the hotels in Nigeria, the customers have certain
expectation in terms of the service quality the hotel would offer to them. It is mandatory and
important for all the hotels in Nigeria to maintain a standard service quality and affecting the
perception of the customers positively.
The customers of the aforementioned age group use the hotels in Nigeria mainly for
personal use. In addition to, the customers of the mentioned age group uses the hotels in Nigeria
for other purposes such as leisure and professional use. The hotels in Nigeria are used for
personal and leisure purposes that provide an opportunity to enjoy break from the hectic schedule
of their life. The customers perceive that the service provided to them in the hotels will allow
them to relax and enjoy and act as a stress buster. On the other hand, the hotels are also used for
professional use such as meetings, conferences and office parties. Therefore, it is important for
the hotels in Nigeria to provide and maintain service quality that fulfill the standard of
professional use for the customers.
The descriptive analysis also indicates that the aforementioned customer group uses hotel
facilities in Nigeria on a yearly basis. This indicates that the aforementioned population uses the
hotel services in Nigeria annual basis as well at the interval of six months. This acts as a
relaxation for the population from the hectic life style they live throughout the year. The

39DISSERTATION
disposable income of the customer population availing hotel services in Nigeria is 50,000-
200,000 that is a suitable amount to live a standard life and enjoying their stay at hotels.
From the descriptive analysis of the demographics, it can be summarized that both male
and female customers aged 18-25 years and 36 years and above mainly for personal use along
with additional uses such as personal and leisure. Additionally, the majority of the respondents is
student and employed with an annual disposable income 50,000-200,000. Considering this
demographic group, the hotels in Nigeria should develop and plan their service quality that
affects the customers’ perception.
4.2 Inferential analysis
Importance Performance Analysis is undertaken with the aim of identifying the service
attributes of hotels in Nigeria that needs to be improved by determining the gap between
importance and performance of the service attributes. For this study, the different service
attributes of the Nigerian hotel sector is categorized into three broad attributes, tangibility,
facility and customer service. After computing the attributes, gap between the importance and
performance of the three broad attributes are calculated. The gap results indicate whether the
service quality of the Nigerian hotel sector indicates the customers’ perception of service quality.
Attributes
Importance Performance
Gap t-test
Sig. (2-
tailed)Mean SD Mean SD
Tangibility
1.783
2
.7788
4
2.415
9 .98856
0.632
7 -6.161 .000
Facility
1.575
2
.7109
5
2.336
3 .90742
0.761
1 -7.880 .000
Customer_Servic
e
1.548
7
.6942
5
2.522
1
1.0008
7
0.973
5 -9.035 .000

40DISSERTATION
For undertaking the research, factors such as cheaper rooms, refund policy, online
booking facilities, discounts, luxury family suites, bedroom artworks, adequate lightings, parking
security and adequate parking attendants are grouped under tangibility attribute of service
quality. Both importance and performance for entire tangible attribute of service quality are
determined for service quality by considering the gap value and the significant value.
For the tangibility attribute, the gap score obtained between importance and performance
is 0.6327 and the p-value obtained is .000. The gap value indicates that the Nigerian hotels are
not performing according to the importance of the tangible attribute of the service quality. The
gap value obtained is supported by the p-value obtained that highlights significant difference, as
the value is .000 that is less than .05. The values of the two tests indicate that the Nigerian hotels
need to improve their tangible service quality performance. As a result, it can be said that the
customers feel that the service quality of the Nigerian hotels are not meeting up with the
importance standard and needs further improvements.
As seen from the demographic analysis, it can be seen that the hotel services are used
annually by the customers. This indicate that it is important for the hotels in Nigeria to offer
rooms at cheaper rate but in terms of performance, the Nigerian hotels are not providing cheaper
rooms that is affecting the customers’ perception about the service quality. It is important for the
hotels to have a suitable and good refund policy, as this provides an opportunity for the
customers to get their money back if they cancel the booking at the end moment due to some
reasons. The hotels should develop the refund policy in such a way that they do not encounter
loss when the customers cancel their booking. However, if performance is to be considered, it
can be seen that the Nigerian hotels are failing to offer good refund policies readily that is
affecting the customers’ perception about service quality. The customers of the aforementioned

41DISSERTATION
demographics feel that the Nigerian hotels should offer good refund policies that will not result
in complete loss if they have to cancel the booking at the end moment due to some or the other
issues. This is major service quality issue that customers face when they are not refunded even
half or some percent of their booking amount upon cancelling the booking. The customers feel
that the Nigerian hotels should consider this factor as important and improve their performance
in this aspect.
It is essential for the hotels to have online booking facilities, as this largely influences the
decision of the customers to select hotels for staying. This provides an opportunity for the
customers to book hotels without being physically present and according to their convenience
irrespective of time and location. The customers can use their debit and credit cards for booking
the hotels that saves them from the hassle of standing in the queue and wait for long hours. The
gap score reveals that hotels in Nigeria fail to offer easily available online booking facilities that
is a concern and affects the customers’ perception about service quality. The performance of the
hotels in Nigeria in terms of online booking facilities is not up to the mark that is an issue for the
service quality in this technologically advanced age.
The decision of the customers while selecting a hotel is highly influenced by lightings of
the hotel. The customers prefer to stay in hotels that have bright lights throughout the hotels, as
this make the customers feel lively and energetic. In addition to, adequate lighting also makes the
customers feel safe and secured thereby, making it important for the hotels to install bright and
adequate lightings in their hotels. However, it has been seen that the Nigerian hotels are failing to
understand the importance of adequate lighting that is affecting the performance thereby,
resulting in gap between the importance and performance. The hotels in Nigeria have failed to

42DISSERTATION
install bright and adequate lighting in their hotels that has affected the customers’ perception of
service quality for hotels in Nigeria.
It is important for the hotels to provide adequate additional facilities such as gym,
entertainment and swimming pools. Offering such facilities is a tangible attribute of the service
quality that helps in keeping the customers visiting the hotel engaged even if they plan to stay in
the hotel without going out. Keeping the customers visiting the hotel engaged is important, as
this helps developing a positive perception about the service quality of a hotel. However, in the
case of hotels in Nigeria, some of them offer swimming, gym and entertainment facilities while
other hotels do not offer such facilities. Absent of such facilities questions the performance of the
hotels in Nigeria and affects the customers’ perception about the service quality.
For undertaking the research, factors such as spacious bedrooms, live entertainment,
lounge facilities, hygiene of employees, food varieties, uninterrupted power and wifi supply,
instrumental keys, using CCTV and extra services such as dry cleaning and airport services are
grouped under facility attribute of service quality. Both importance and performance for entire
facility attribute of service quality are determined for Nigerian service quality by considering the
gap value and the significant value.
For the facility attribute, the gap score obtained between importance and performance is
0.7611 and the p-value obtained is .000. The gap value indicates that the Nigerian hotels are not
performing according to the importance of the facility attribute of the service quality. The gap
value obtained is supported by the p-value obtained that highlights significant difference, as the
value is .000 that is less than .05. The values of the two tests indicate that the Nigerian hotels
need to improve their facility service quality performance. As a result, it can be said that the

43DISSERTATION
customers feel that the service quality of the Nigerian hotels are not meeting up with the
importance standard and needs further improvements.
It is important for the hotels to offer spacious rooms to the customers because this allows
the customers to enjoy a comfortable stay in the hotels with their luggage and children. Due to
adequate space in the rooms the customers do not feel claustrophobic and are able to have a
enjoyable stay in the hotel without compromising in terms of space. However, for the Nigerian
hotels, it has been seen that not all hotels offers spacious bedrooms to the customers. Some of the
hotels in Nigeria offer spacious rooms while others fail to do so. From the demographics
analysis, it could be seen that the customers visiting the hotels are families with children that
makes adequate bedroom space a necessity. However, the failure in offering spacious bedrooms
forces the customers to compromise in terms of space and makes them feel claustrophobic. As a
result, the customers’ perception about the service quality indicates that the Nigerian hotels
should offer spacious bedrooms for making the stay a pleasant experience.
Thinking about the hygiene of the customers is highly important for a hotel, as it deals
with health of the customers. Compromising with health can lead to fatal accidents that cannot be
compensated or replaced by anything else in the world. Therefore, it is important for the hotels to
conduct regular checkups about the personal hygiene of the employees so that the hygiene is
compromised under any circumstances. However, for the hotels in Nigeria, the customers have
complained about the performance in terms of maintaining personal hygiene of the employees.
The customers have complained that the hotels in Nigeria, at times, compromise with the
personal hygiene of their kitchen staffs that has resulted in health complications. This questions
the performance of the Nigerian hotels and customers’ perceptions indicates this aspect of the
facility attribute needs to be improved.

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The hotels witness customers with different needs and requirements when it comes to
food and drinks. This is because of the individual preferences of the customers as well as
individual needs due to health issues such as allergies. The hotels should always keep these
circumstances under consideration and offer food and drink varieties readily so that the health is
not compromised. However, situation is different for the hotels in Nigeria. Foods and drink
varieties are not readily offered to the customers. The customers have to comprise when it comes
to foods and drinks because they are unable to get varieties that affects their perception about the
existing service quality. This suggests that Nigerian hotels are failing in terms of performance
when it comes to offering variety in foods and drinks and needs improvement.
When the customers plan on availing the services of a hotel, they expect to have access to
uninterrupted services such as power and wifi. It is important for the hotels to provide
uninterrupted power supply and wifi services in this technologically advanced era. This provides
an opportunity for the customers to stay connected throughout the world regardless of their stay.
However, the hotels in Nigeria are unable to perform in this aspect. The Nigerian hotels do not
provide uninterrupted power supply and free WiFi access. Powers are disconnected for at least 2
hours every morning in the hotels and the customers are given limited access to WiFi that affects
the perceptions of the customers. The customers feel that service quality in this aspect should be
improved and they should be allowed and provided uninterrupted power supply and WiFi during
their stay in the hotels.
It is important for the hotels to ensure safety and security for the customers during their
stay. The customers should feel safe with their loved ones and their belongingness during their
stay at the hotel. For instance, the the hotels should ensure secured doors with safe keys and 24/7
operational CCTV cameras thereby, making them feel safe. However, in spite of being

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important, the Nigerian hotels are unable to ensure and provide safety to the customers that are
affecting the customers’ perception. The customers have lodged complains that they have not felt
safe during their last stay in the hotels, as the hotels failed to provide secured doors with safe
keys. In addition to, the hotels in Nigeria do not have 24/7 operational CCTV cameras that
questions the performance of the hotel in terms of safety and security. Therefore, the customers’
perception about service quality in terms of security indicates that the hotels in Nigeria are
fumbling in this aspect and needs further improvement for ensuring security and safety for the
customers during their stay.
For undertaking the research factors such as first aid, reliable fire alarms, friendly,
courteous and multi-lingual staffs, equal treatment for them customers by the employees,
attending customer requests, confidentiality, shopping convenience and adequate privacy are
grouped under customer service attribute of service quality. Both importance and performance
for entire customer service attribute of service quality are determined for Nigerian service quality
by considering the gap value and the significant value.
For the facility attribute, the gap score obtained between importance and performance is
0.9735 and the p-value obtained is .000. The gap value indicates that the Nigerian hotels are not
performing according to the importance of the customer service attribute of the service quality.
The gap value obtained is supported by the p-value obtained that highlights significant
difference, as the value is .000 that is less than .05. The values of the two tests indicate that the
Nigerian hotels need to improve their customer service quality performance. As a result, it can be
said that the customers feel that the service quality in terms of customer service of the Nigerian
hotels are not meeting up with the importance standard and needs further improvements.

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It is important for the hotels to promote and practice equality regardless of the social
status of the customers visiting their hotel. When an individual visits a hotel, it signifies that they
are guests that can help the business to flourish and grow. Keeping this n mind, it is important for
the hotels to offer equal services to the customers irrespective of their social status. However, in
spite of being important, the hotels in Nigeria fail in terms of performance in this aspect. The
hotels in Nigeria consider the social status of the customers highly significant and take that into
account for while providing service. As a result, discrimination and inequality is noticed in the
services offered to them that according to customers’ perception are unjustified.
The customers are the key and significant external stakeholders for the hotel industry and
it is important for hotels to give them top priority. It is important for the hotels to attend the
requests and complaints promptly. Delay in attending the requests and complaints of the
customer questions the service quality provided by the hotels. However, in the case of the hotels
in Nigeria, delay in attending the customer complaints and requests has been highly noticed and
reported. This has made the customers feel insignificant and not valued, as the customers had to
wait for long hours to get their requests answered and complaints solved. This is creating a bad
impression and perception about the service quality of the hotels in Nigeria.
Confidentiality is of utmost significance when it comes to the information of the
customers. The customers expect that the information they provide to the hotels such as identity,
credit card details and personal details should be kept confidential and not disclosed without their
individual consent. It is important for the hotels to ensure confidentiality regarding the
information of the customers, as this prevents misuse of information. However, in the case of the
Nigerian hotels, security and confidentiality of the information of the customers is an issue. This
is because the hotels in Nigeria are failing to ensure security and confidentiality about customers’

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information that has led to misuse of information. The customers have complained that amount
has been debited from their account and they have received false calls after they have left the
hotel. This indicates that the hotels in Nigeria have been unable to ensure security about the
information of the customers that has resulted in the misuse. As a result, the customers have
developed negative perception about the service quality of the Nigerian hotels that needs to be
improved.
Therefore, it can be inferred that the customers’ perception about the service quality of
the hotels in Nigeria is not satisfactory. The results obtained from the gap analysis and the p-
value also indicates significant difference. As a result, the customers’ perception about the hotels
in Nigeria is correct and needs improvement for ensuring better service quality.

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1.2 1.4 1.6 1.8 2 2.2 2.4 2.6 2.8 3
0
0.5
1
1.5
2
2.5
3
3.5
29
28
27
26
25
24
23
22
21
20
19
18
17
16
15
14
13
11
10
9
8 7
6
5
4
3
2
1
Quadrant 1: Keep up
the good work
Quadrant 4:
Concentrate here
Quadrant 3: Low
priority Quadrant 2: Possible
overkill
IPA Quadrant
From the above IPA quadrant, it can be seen that the majority of attributes about the
service quality of the hotel industry is concentrated in quadrant 1 “keep up the good work”.
However, the hotels in Nigeria should focus on securing doors by offering safe keys, attending
requests and complaints of the customers without delay and ensuring confidentiality about
customers’ information because these attributes in terms of the performance of the hotels in
Nigeria are concentrated in the quadrant 4 the signifies “concentrate here.” Therefore, it is

49DISSERTATION
necessary for the hotels in Nigeria to maintain their standard in terms of the other attributes but
emphasize on improving the performance factors concentrated in fourth quadrant.
The gap analysis score also indicates that the hotel in Nigeria needs to work on their
ability to ensure confidentiality because confidentiality is of utmost significance when it comes
to the information of the customers. The customers expect that the information they provide to
the hotels such as identity, credit card details and personal details should be kept confidential and
not disclosed without their individual consent. It is important for the hotels to ensure
confidentiality regarding the information of the customers, as this prevents misuse of
information. However, in the case of the Nigerian hotels, security and confidentiality of the
information of the customers is an issue. This is because the hotels in Nigeria are failing to
ensure security and confidentiality about customers’ information that has led to misuse of
information. The customers have complained that amount has been debited from their account
and they have received false calls after they have left the hotel. This indicates that the hotels in
Nigeria have been unable to ensure security about the information of the customers that has
resulted in the misuse. As a result, the customers have developed negative perception about the
service quality of the Nigerian hotels that needs to be improved.
Similarly, the gap score analysis indicates that the behavior of the employees in the hotels
in Nigeria is inappropriate. As the customers are the key and significant external stakeholders for
the hotel industry, it is important for hotels to give them top priority. It is important for the hotels
to attend the requests and complaints promptly. Delay in attending the requests and complaints
of the customer questions the service quality provided by the hotels. However, in the case of the
hotels in Nigeria, delay in attending the customer complaints and requests has been highly
noticed and reported. This has made the customers feel insignificant and not valued, as the

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customers had to wait for long hours to get their requests answered and complaints solved. This
is creating a bad impression and perception about the service quality of the hotels in Nigeria.
Another performance attribute that hotels in Nigeria need to focus on is the safety of the
customers during their stay in the hotels. The results of the gap score supports the results derived
from the quadrant that indicates the same thing. It is important for the hotels to ensure safety and
security for the customers during their stay. The customers should feel safe with their loved ones
and their belongingness during their stay at the hotel. For instance, the the hotels should ensure
secured doors with safe keys and 24/7 operational CCTV cameras thereby, making them feel
safe. However, in spite of being important, the Nigerian hotels are unable to ensure and provide
safety to the customers that are affecting the customers’ perception. The customers have lodged
complains that they have not felt safe during their last stay in the hotels, as the hotels failed to
provide secured doors with safe keys. In addition to, the hotels in Nigeria do not have 24/7
operational CCTV cameras that questions the performance of the hotel in terms of safety and
security. Therefore, the customers’ perception about service quality in terms of security indicates
that the hotels in Nigeria are fumbling in this aspect and needs further improvement for ensuring
security and safety for the customers during their stay.
4.3 Summary
From the results obtained in this section, it can be inferred that male and female
customers aged 18-25 years and 36 years and above mainly for personal use along with
additional uses such as personal and leisure. The majority of the respondents is student and
employed with an annual disposable income 50,000-200,000. On the other hand, the gap analysis
results indicate significant difference between the importance and performance of tangibility,
facility and customer service attribute of the hotels in Nigeria, as the value derived for the three

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attributes are .000. Therefore, the hotels in Nigeria should consider and work towards mitigating
the importance and performance gap in order to develop positive customers’ perception about
service quality.

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Chapter 5: Conclusion and recommendations
5.0 Conclusion
From the information presented in the above sections, it can be concluded that providing
excellent service quality is of utmost significance for the hotels in Nigeria. Excellent service
quality helps in influencing the perception of the customers positively. As a result, the hotels in
Nigeria are able to attract new customers as well as retain the existing the old customers. If the
hotels of Nigeria are to provide satisfactory and excellent service quality, the customers’
perception is highly influenced. Developing positive customers’ perception about service quality
is necessary for hotels in Nigeria because this provides an opportunity to gain competitive
advantage.
The results obtained from the IPA analysis, it can be seen that gap between the
importance and performance exists. The service quality in hotels in Nigeria has been divided into
three factors namely tangibility, facilities and customer service those are further categorized into
sub-factors that defines different aspects of service quality. The gap results obtained indicates
that all the three dimensions, tangibility, customer service and facilities need to be improved for
developing positive customers’ perception. In addition to, the difference values obtained are .000
for three dimensions that indicates significant difference between importance and performance
thereby, suggesting required and further improvement.
5.1 Linking with objectives
Objective 1: To identify the general service quality in hospitality sector

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Objective 1 is linked with 2.3 in the literature review section that sheds light on the
concept of service quality along with the significance of the maintaining service quality in the
hotel industry. The survey questionnaire has been developed with the aim of analyzing the
importance and performance of maintaining and achieving effective service quality in hotel
sector of Nigeria.
Objective 2: to identify the customers’ perception on how they have experienced service
quality in hospitality sector of Nigeria
Objective 2 is linked with section 2.1 and 2.2 of the literature review section. This section
highlights the current state of the Nigerian hotel industry. This helps in developing an idea of the
present service quality standard in the Nigerian hotel industry thereby, measuring the importance
of the having excellent service quality and how far the hotel industry is able to perform it. On the
other hand, the questionnaire is developed for determining the importance and performance of
service quality for hotels in Nigeria.
Objective 3: To investigate the hindrances that disturbs service quality in Nigerian
hospitality sector
Objective 3 is linked with section 2.7 in the literature review. This section talks about the
the potential issues that hotels in Nigeria encounter when it comes to service quality. The issues
in service quality in Nigeria hotel industry occurs due to the distinctive demands and needs of
individual customers. On the other hand, the questions developed under performance section in
the questionnaire helps in investigating the hindrances that disturbs service quality in Nigeria
hotel sector.

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Objective 4: To observe how does service quality in the hospitality service impact
customers’ perception
Objective 4 is linked with literature review section 2.2. This section highlights the factors
affecting customers’ perception that affects the service quality in in hotel industry. On the other
hand, the survey questionnaire developed is analyzed using IPA analysis that helps in
determining the importance of providing excellent service and how the hotels are performing in
terms of the service quality. The gap between Importance and Performance is calculated that
helps in observing how does service quality in the hotel sector in Nigeria and its impact on the
perception of the customers.
Objective 5: To provide suitable recommendations for improving customers’ perception in
service quality of Nigerian hospitality sector
Objective 5 is linked with section 2.7 of the literature review section, as this section sheds
light on the potential issues that customers face thereby, determining the impact on the
perception of the customers. On the other hand, the gap between the Importance and
Performance is calculated that helps in identifying the main issues and offer recommendations
accordingly.
5.2 Recommendations
From the results obtained from the gap score, it can be said that hotels in Nigeria needs to
improve for developing positive customer perception. The suitable recommendations include:
48 hour refund policy

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The hotels in Nigeria will have to incorporate 48 hour refund policy that is currently not
followed in the hotels. The customers should be refunded at least 60% of their booking amount if
they cancel their booking within 48 hours. Including this policy will provide an opportunity for
the hotel to maintain their profit yet fulfilling the cancellation needs of the customers
successfully. This will develop a positive perception among the customers about the service
quality of the hotels in Nigeria. As a result, the hotels in Nigeria will be able to ensure customer
satisfaction, as the expectation of the getting certain amount refunded improves the quality of
service.
Performance by local artists every evening
The hotels in Nigeria should arrange performance by local artists each evening, as this
will help in allow the hotels to develop means for keeping the customers engaged. The customers
availing the services of the hotels for leisure and personal use will feel highly entertained if they
are able to enjoy and live the local cultures and performances. The hotels can also use this as the
medium for keeping the customers engaged and give them a taste of their heritage and culture.
The ability to enjoy and feel entertained by staying at the hotel will help in developing positive
perception among the customers about service quality in Nigeria hotels.
Room service twice a day
The hotels in Nigeria will have to provide room service twice a day, as this will provide
an opportunity for the hotels to keep ensure cleanliness and tidiness of the rooms. In addition to,
offering room service twice a day will make sure that the customers live in a healthy
environment with all the required things refilled. This will mitigate the chances of customer
complaints and issues that will help in developing positive perception about service quality

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among the customers. Therefore, it is essential for the hotels in Nigeria to provide room service
twice a day for developing positive customers’ perception about service quality. s
Certified employees
The hotels in Nigeria should employ certified employees that will provide an opportunity
to ensure safety and security of the employees. The employees in the hotels in Nigeria should be
trained in terms of security, food, safety and hygiene. Employing certified employees allows the
hotels in Nigeria to ensure that the quality of the service will not be compromised. As a result,
the employees will develop positive perception about the hotel and the services offered by them
to the target audiences. The positive perception developed among the target audiences will act as
a boost for the hotels in Nigeria in the future, as this will act as a tool that can be used for
retaining and attracting new customers.
Employees should know tribal languages
As known, Nigeria is a country rich in tribes and their culture as well as a preferred
country for international tourism. As a result, customers should be able to speak their native
tribal language as well as foreign languages. Being multilingual is an added advantage for the
employees because this provides an opportunity for the employees to establish effective
communication with the customers and understand them better. As a result, the employees will
develop the willingness and confidence to communicate with customers speaking different
language. This will help in enhancing the service quality of the hotels in Nigeria.
5.3 Future scope of the study
From the data analysis, it can be seen that the present study has been conducted on both
male and female customers aged 18-25 years and 36 years and above mainly for personal use

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along with additional uses such as personal and leisure. The majority of the respondents is
student and employed with an annual disposable income 50,000-200,000. Therefore, in the future
study can be conducted by taking into account the customers of different age group and the
frequency of using hospitality services in Nigeria belonging to different occupation and annual
disposable income. This will provide an opportunity for the researchers in the future to
understand customers’ perception of service quality in hospitality industry in Nigeria.

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Appendix 1
Survey questionnaire
Customer Perception of Service Quality in the Industry in Nigeria
Demographic
1. What is your gender specification?
2. What is your age range?
3. For what purpose do you make use of the hospitality sector services in Nigeria?
4. How frequently do you use the services of the hospitality sector in Nigeria?
5. What is your occupation?
6. What is your annual disposable income?
Importance attributes questions
1. Nigerian hotels should offer rooms with cheaper prices
2. Nigeria hotels have good refund policy
3. Ease of online booking facilities (e.g debit and credit card payments) plays an important
role to choose of hotel
4. Discounts play an important role in customers’ decision to stay.
5. Luxury family suites suitable for a large family play an important role for customers to
stay
6. Artwork in the bedrooms of hotels influences customer decisions on the choice of hotel
7. Adequate lightings contribute to the decisions to stay in Nigeria hotel
8. Adequate facilities in Nigeria hotel like the gym, entertainment swimming pool etc
influences customer choice of hotel

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9. Secured car parks in hotels in Nigeria are instrumental to customer’s decision to stay
10. Adequate car park attendants play an important role in customers’ decision to stay in a
hotel
11. Having spacious bedrooms in Nigerian hotels contributes to the decision to stay
12. Providing live entertainment options for customers relaxation at the lounge in Nigerian
hotels plays an important role in customers’ decision to stay
13. Having lounges influences customers’ decision to stay in a hotel
14. Prioritizing Personal hygiene of kitchen staff is instrumental to customers decision to stay
in a hotel
15. Food Varieties and assorted drinks available in Nigeria hotels plays an important role in
customers’ decision to stay
16. Functional and uninterrupted power supply/wi-fi service availability plays an important
role in customers’ decision to stay in a hotel
17. Secured doors with safe keys are instrumental to customers decision to stay in a hotel
18. Having no security concerns plays an important role in customers’ decision to stay in a
hotel
19. Operational CCTV cameras are instrumental to customers decision to stay in a hotel
20. Extra services like airport shuttle, dry cleaning and different currency rates influences my
choice of hotel
21. Availability of first aid facility influences customers’ decision to stay in a hotel
22. Functional and reliable fire alarms/extinguishers contribute to customers’ decision to stay
in the hotel

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23. Staff been friendly and courteous play an important role in customers’ decision to stay in
a hotel
24. Staff having multi-lingual skills contributes to customers’ decision to keep patronizing
hotels in Nigeria
25. Treating customers equally regardless of his/her social status plays an important role in
customers’ decision to stay in a hotel
26. Attending to your requests and complaints without delay in hotels in Nigeria plays an
important role in customers’ decision to stay
27. Security of customers’ information in Nigeria hotels play an important role in customers’
decision to stay
28. Convenience to the shopping mall plays an important role in customers’ decision to stay
in a hotel
29. Adequate privacy plays an important role in customers’ decision to stay in a hotel
Performance attributes questions
1. Rooms with cheaper prices are available in Nigeria hotels
2. Good refund policies are readily available in Nigerian hotels
3. Online booking facilities are easily accessible
4. Customers’ choice of hotel is influenced by discount
5. Luxury family suites suitable for large families are present in Nigeria hotels
6. The bedrooms of hotels are adorned with artworks
7. Hotels in Nigeria have adequate lightings.
8. Nigeria Hotels have adequate facilities like the gym, entertainment, swimming pool, etc
9. Hotels in Nigeria provide secured car parks.

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10. Adequate car park attendants are present in Nigeria hotels.
11. Nigeria hotels have spacious bedrooms.
12. The lounges at the hotels provide live entertainment options and relaxation for the
customers.
13. Nigeria hotels have lounges
14. Personal hygiene of kitchen staff is evident in Nigeria hotels
15. Food and drink variety are readily available in Nigeria hotels
16. There is functional and uninterrupted power supply/wi-fi service throughout my stay
Secured doors with safe keys are provided in the hotel
17. I felt safe during my last stay at the hotel as I had no security concerns
18. CCTV cameras are operational 24/7
19. I had access to extra services like airport shuttle, dry cleaning and different currency rates
which added flavor to my stay
20. Immediate first aid facility in are provided in the hotel
21. Functional and reliable fire alarms/extinguishers are provided in the hotel
22. Staffs are friendly and courteous.
23. Staff has multi-lingual skills
24. Customers are treated equally regardless of his/her social status
25. Hotels in Nigeria attend to your requests and complaints without delay.
26. Customers’ information are secured in Nigeria hotels.
27. The hotel is at close proximity to the shopping malls
28. We were given adequate privacy