Factors Affecting Customer Satisfaction with Regard to Service Marketing: A Study on Shangri-La Hotel
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Added on 2023-04-17
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This report analyzes the factors affecting customer satisfaction in regard to service marketing, with a focus on Shangri-La Hotel. It explores the relationship between customer satisfaction and service marketing, identifies factors that influence customer satisfaction, and recommends ways to improve service quality for advancement in customer satisfaction.
Factors Affecting Customer Satisfaction with Regard to Service Marketing: A Study on Shangri-La Hotel
Added on 2023-04-17
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Factors Affecting
Customer satisfaction with
regard to service
marketing: A study on
Shangri-La Hotel
Customer satisfaction with
regard to service
marketing: A study on
Shangri-La Hotel
ABSTRACT
In present report, the factors affecting customers' satisfaction in regard to service
marketing has been analysed in appropriate manner. In addition to this, it can be said that
organization creates the various activities which helps employees to attain the goals and
objectives of the firm. In this way, it is the crucial part of the corporation and important aspects
of the strategy of the business. Success of the company depends upon customer satisfaction
under which they provide the high quality services to the consumer. In this addition, it can be
said that company adopts the strong promotional techniques and important aspect of the
environment in same industry.
Customer satisfaction and service marketing both have great relationship with each other.
It has been noticed that if customer satisfaction level is high then company can continue with
existing services. Hotel is having high profit margin and customers are willing to have re-
purchase of services. It indicates that service marketing standards are well maintained. It means
pricing, quality and delivery process is also systematically structured that allows to meet key
goals and objectives. It is significant for business firm to focus on diverse activities that allows to
bring changes in services. Management must have development of accommodation services as
per need of theme based accommodation. It will enhance the customer satisfaction and profit
margin ratio. In order to have better marketing of services the hospitality firm can also improve
customer service skills. It is necessary for business entity to make sure that executives are well
known of patience skills so that better support can be provided to customer. Company promote
the customer services with the helps of method which is used in effective manner.
In present report, the factors affecting customers' satisfaction in regard to service
marketing has been analysed in appropriate manner. In addition to this, it can be said that
organization creates the various activities which helps employees to attain the goals and
objectives of the firm. In this way, it is the crucial part of the corporation and important aspects
of the strategy of the business. Success of the company depends upon customer satisfaction
under which they provide the high quality services to the consumer. In this addition, it can be
said that company adopts the strong promotional techniques and important aspect of the
environment in same industry.
Customer satisfaction and service marketing both have great relationship with each other.
It has been noticed that if customer satisfaction level is high then company can continue with
existing services. Hotel is having high profit margin and customers are willing to have re-
purchase of services. It indicates that service marketing standards are well maintained. It means
pricing, quality and delivery process is also systematically structured that allows to meet key
goals and objectives. It is significant for business firm to focus on diverse activities that allows to
bring changes in services. Management must have development of accommodation services as
per need of theme based accommodation. It will enhance the customer satisfaction and profit
margin ratio. In order to have better marketing of services the hospitality firm can also improve
customer service skills. It is necessary for business entity to make sure that executives are well
known of patience skills so that better support can be provided to customer. Company promote
the customer services with the helps of method which is used in effective manner.
TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Overview................................................................................................................................1
Rationale of study...................................................................................................................1
Research Aim and Objectives................................................................................................2
Research Questions................................................................................................................2
LITERATURE REVIEW................................................................................................................3
SOURCES OF DATA.....................................................................................................................5
Data collection........................................................................................................................5
Sampling.................................................................................................................................6
RESEARCH METHODOLOGY.....................................................................................................6
Type of Investigation..............................................................................................................6
Accessibility issues.................................................................................................................7
Ethical Issues..........................................................................................................................7
Data Analysis plan..................................................................................................................7
Research limitations...............................................................................................................7
ANTICIPATED FINDINGS...........................................................................................................8
TIME TABLE..................................................................................................................................8
CHAPTER 1 INTRODUCTION...................................................................................................10
Background of study.............................................................................................................10
Rationale of the study...........................................................................................................11
Research aim and objectives................................................................................................11
Research questions...............................................................................................................12
Potential significance ...........................................................................................................12
Research structure................................................................................................................12
CHAPTER 2 LITERATURE REVIEW........................................................................................14
CHAPTER 3 RESEARCH METHODOLOGY ...........................................................................22
Introduction..........................................................................................................................22
Research design....................................................................................................................22
Research philosophy.............................................................................................................22
Research Approach...............................................................................................................23
Research Type......................................................................................................................24
Data collection......................................................................................................................24
Sampling...............................................................................................................................25
Data analysis.........................................................................................................................26
Validity and reliability of data..............................................................................................27
Ethical consideration............................................................................................................27
Research limitations.............................................................................................................28
CHAPTER 4 DATA ANALYSIS.................................................................................................29
CHAPTER 5 CONCLUSION AND RECOMMENDATION......................................................41
Conclusion............................................................................................................................41
Recommendation..................................................................................................................43
REFERENCES..............................................................................................................................44
APPENDIX....................................................................................................................................46
INTRODUCTION...........................................................................................................................1
Overview................................................................................................................................1
Rationale of study...................................................................................................................1
Research Aim and Objectives................................................................................................2
Research Questions................................................................................................................2
LITERATURE REVIEW................................................................................................................3
SOURCES OF DATA.....................................................................................................................5
Data collection........................................................................................................................5
Sampling.................................................................................................................................6
RESEARCH METHODOLOGY.....................................................................................................6
Type of Investigation..............................................................................................................6
Accessibility issues.................................................................................................................7
Ethical Issues..........................................................................................................................7
Data Analysis plan..................................................................................................................7
Research limitations...............................................................................................................7
ANTICIPATED FINDINGS...........................................................................................................8
TIME TABLE..................................................................................................................................8
CHAPTER 1 INTRODUCTION...................................................................................................10
Background of study.............................................................................................................10
Rationale of the study...........................................................................................................11
Research aim and objectives................................................................................................11
Research questions...............................................................................................................12
Potential significance ...........................................................................................................12
Research structure................................................................................................................12
CHAPTER 2 LITERATURE REVIEW........................................................................................14
CHAPTER 3 RESEARCH METHODOLOGY ...........................................................................22
Introduction..........................................................................................................................22
Research design....................................................................................................................22
Research philosophy.............................................................................................................22
Research Approach...............................................................................................................23
Research Type......................................................................................................................24
Data collection......................................................................................................................24
Sampling...............................................................................................................................25
Data analysis.........................................................................................................................26
Validity and reliability of data..............................................................................................27
Ethical consideration............................................................................................................27
Research limitations.............................................................................................................28
CHAPTER 4 DATA ANALYSIS.................................................................................................29
CHAPTER 5 CONCLUSION AND RECOMMENDATION......................................................41
Conclusion............................................................................................................................41
Recommendation..................................................................................................................43
REFERENCES..............................................................................................................................44
APPENDIX....................................................................................................................................46
INTRODUCTION
Overview
Customer satisfaction is considered as one of most significant aspect that allows to
understand the perception of customers towards products and services offered by customers. It is
also linked with the marketing of products and services. Organization creates the various
activities which helps employees to attain the goals and objectives of the firm. In this way, it is
the crucial part of the corporation and important aspects of the strategy of the business. In
addition to this, it can be said that there are number of factors that has direct impact on the
customer satisfaction (Selnes, 2013). Classification of factors can be as quality, service, price,
atmosphere, infrastructure etc. Any kind of changes in such aspects directly influences the
working of organization in diverse manner. It has been noticed that in service sector like hotel
business, it is significant to have appropriate consideration of customer service effectiveness
because it is linked with success of organization. It is also necessary to make sure that company
is continuously focused towards activities that allows to improve customer loyalty so that
satisfaction level can also be advanced in appropriate manner ( Ryu, Lee and Gon Kim, 2012).
In present study, the key aspects that relates with customer satisfaction will be evaluated so
that management of Shangri-La Hotel can have sustainable development by having improvement
service marketing. Hotel is continuously looking for changes in its service standards to improve
customer satisfaction. In this, report factors affecting customer satisfaction in regards to service
marketing will be taken into account. It has been noticed that if any business is having
dissatisfied customers then it might be possible that overall customer base of business will also
get affected in diverse manner. However, hospitality sector deals with number of customers in a
single day which have different perception and needs. It is critical for organisations to
understand the preference and needs of customers. If such values are not well maintained then it
impacts the satisfaction level. It means long term sustainability can also be affected which need
to be referred effectively. By having an understanding of customer satisfaction and factors which
need to be referred effectively
Rationale of study
As per detailed study, success of the company depends upon customer satisfaction under
which they provides the high quality services to the consumer. In this addition, it can be said that
company adopts the strong promotional techniques and important aspect of the environment in
1
Overview
Customer satisfaction is considered as one of most significant aspect that allows to
understand the perception of customers towards products and services offered by customers. It is
also linked with the marketing of products and services. Organization creates the various
activities which helps employees to attain the goals and objectives of the firm. In this way, it is
the crucial part of the corporation and important aspects of the strategy of the business. In
addition to this, it can be said that there are number of factors that has direct impact on the
customer satisfaction (Selnes, 2013). Classification of factors can be as quality, service, price,
atmosphere, infrastructure etc. Any kind of changes in such aspects directly influences the
working of organization in diverse manner. It has been noticed that in service sector like hotel
business, it is significant to have appropriate consideration of customer service effectiveness
because it is linked with success of organization. It is also necessary to make sure that company
is continuously focused towards activities that allows to improve customer loyalty so that
satisfaction level can also be advanced in appropriate manner ( Ryu, Lee and Gon Kim, 2012).
In present study, the key aspects that relates with customer satisfaction will be evaluated so
that management of Shangri-La Hotel can have sustainable development by having improvement
service marketing. Hotel is continuously looking for changes in its service standards to improve
customer satisfaction. In this, report factors affecting customer satisfaction in regards to service
marketing will be taken into account. It has been noticed that if any business is having
dissatisfied customers then it might be possible that overall customer base of business will also
get affected in diverse manner. However, hospitality sector deals with number of customers in a
single day which have different perception and needs. It is critical for organisations to
understand the preference and needs of customers. If such values are not well maintained then it
impacts the satisfaction level. It means long term sustainability can also be affected which need
to be referred effectively. By having an understanding of customer satisfaction and factors which
need to be referred effectively
Rationale of study
As per detailed study, success of the company depends upon customer satisfaction under
which they provides the high quality services to the consumer. In this addition, it can be said that
company adopts the strong promotional techniques and important aspect of the environment in
1
same industry. Organization increases the level of the consumer satisfaction under which thy
provides the good services to them.. It will creates the satisfaction of the consumer towards the
peroducts and services which is provided by the business. Key reason is behind the study is to
understand role of customer satisfaction within organizational success. It has also forced
researcher to choose the topic so that better learning about customer satisfaction can be attained
(Best, 2012). Hospitality sector is one of most booming sector in current market conditions that
has also played a key role in selection of study. In this way, the report provides the best amount
of the contribution in the literary study. However, the findings of the study will also provide
better learning in regard to key factors that businesses need to consider during promotion of
services so that better satisfaction can be provided. Present study is also beneficial for
understanding of ways that helps in improving service quality for advancement in customer
satisfaction (Kumar, 2016). Company can easily increases the competitive advantage in the
market and gain the market share which helps to maintains the success of the firm as well . It is
also one of key rationale behind the selection of study. Other than this, dissertation will also help
in exploring the significance of customer satisfaction in hospitality sector and Shangri-La Hotel.
Research Aim and Objectives
Aim
Current aim of the study is to have analysis of factors affecting customer satisfaction in
regards to service marketing. In order to have better understanding about diverse factors that are
associated with service industry and customer satisfaction, Shangri-La Hotel is considered as
organization.
Objectives
To understand the concept of customer satisfaction and service marketing
To identify factors that influence customer satisfaction
To evaluate relationship between customer satisfaction and service marketing of Shangri-
La Hotel
To recommend ways through which Shangri-La Hotel can improve service quality for
advancement in customer satisfaction.
Research Questions
What do you understand by concept of customer satisfaction and service marketing?
Which factors influence the customer satisfaction?
2
provides the good services to them.. It will creates the satisfaction of the consumer towards the
peroducts and services which is provided by the business. Key reason is behind the study is to
understand role of customer satisfaction within organizational success. It has also forced
researcher to choose the topic so that better learning about customer satisfaction can be attained
(Best, 2012). Hospitality sector is one of most booming sector in current market conditions that
has also played a key role in selection of study. In this way, the report provides the best amount
of the contribution in the literary study. However, the findings of the study will also provide
better learning in regard to key factors that businesses need to consider during promotion of
services so that better satisfaction can be provided. Present study is also beneficial for
understanding of ways that helps in improving service quality for advancement in customer
satisfaction (Kumar, 2016). Company can easily increases the competitive advantage in the
market and gain the market share which helps to maintains the success of the firm as well . It is
also one of key rationale behind the selection of study. Other than this, dissertation will also help
in exploring the significance of customer satisfaction in hospitality sector and Shangri-La Hotel.
Research Aim and Objectives
Aim
Current aim of the study is to have analysis of factors affecting customer satisfaction in
regards to service marketing. In order to have better understanding about diverse factors that are
associated with service industry and customer satisfaction, Shangri-La Hotel is considered as
organization.
Objectives
To understand the concept of customer satisfaction and service marketing
To identify factors that influence customer satisfaction
To evaluate relationship between customer satisfaction and service marketing of Shangri-
La Hotel
To recommend ways through which Shangri-La Hotel can improve service quality for
advancement in customer satisfaction.
Research Questions
What do you understand by concept of customer satisfaction and service marketing?
Which factors influence the customer satisfaction?
2
Evaluate relationship between customer satisfaction and service marketing of Shangri-La
Hotel?
How Shangri-La Hotel can improve service quality for advancement in customer
satisfaction?
In addition to this, it can be stated that by having an improved focus on research questions
the experts can easily meet the concern designed objectives. It has been noticed that designing of
research questions is significant in order to have effective accomplishment of objectives. By
having an answer of factors that influence customer satisfaction the experts can meet objective
“to identify factors that influence customer satisfaction”. Further questions also provide
assistance to the objectives and offer effective outcome.
LITERATURE REVIEW
Concept of customer satisfaction and service marketing
As per the view of (Eisingerich and et.al.,
(2016), Organization provides the high quality products and services to their consumer which
creates the satisfaction towards the services. The level of customer satisfaction shows that
consumer are satisfied his services. It is considered as one of key factor that plays a key role in
success of businesses because if customer is not satisfied then company loyalty and brand image
within market will get influenced negatively. Customer satisfaction is the important part of the
company under which they are having improved focus on customer satisfaction because it allows
to meet needs and expectations of the customer. (Fornell, Morgeson III and Hult, 2016) has
argued that customers are considered as productive resources because it forces business firm to
make sure that goals and objectives can be accomplished effectively. It is mainly focused
towards improvement in factors like, productivity, growth, service quality, time consumption,
etc. In this way, organization determines the satisfaction of the consumer and manager identify
the satisfaction of the customers so that company can ensure about clients’ needs and
expectations. Satisfaction of customers must be excellent in order to create better brand image.
(Jeong, Cha and Jang (2016) has asserted that customer satisfaction directly influences the
profit margin ratio of company. It means the quality of service which is experienced by client
must be according to standards. It will allow to have sustainable development and lead business
firm to impressive level of success. Without enhanced level of customer satisfaction it is one of
critical task for hospitality firm because it will allow customer to continue with business.
3
Hotel?
How Shangri-La Hotel can improve service quality for advancement in customer
satisfaction?
In addition to this, it can be stated that by having an improved focus on research questions
the experts can easily meet the concern designed objectives. It has been noticed that designing of
research questions is significant in order to have effective accomplishment of objectives. By
having an answer of factors that influence customer satisfaction the experts can meet objective
“to identify factors that influence customer satisfaction”. Further questions also provide
assistance to the objectives and offer effective outcome.
LITERATURE REVIEW
Concept of customer satisfaction and service marketing
As per the view of (Eisingerich and et.al.,
(2016), Organization provides the high quality products and services to their consumer which
creates the satisfaction towards the services. The level of customer satisfaction shows that
consumer are satisfied his services. It is considered as one of key factor that plays a key role in
success of businesses because if customer is not satisfied then company loyalty and brand image
within market will get influenced negatively. Customer satisfaction is the important part of the
company under which they are having improved focus on customer satisfaction because it allows
to meet needs and expectations of the customer. (Fornell, Morgeson III and Hult, 2016) has
argued that customers are considered as productive resources because it forces business firm to
make sure that goals and objectives can be accomplished effectively. It is mainly focused
towards improvement in factors like, productivity, growth, service quality, time consumption,
etc. In this way, organization determines the satisfaction of the consumer and manager identify
the satisfaction of the customers so that company can ensure about clients’ needs and
expectations. Satisfaction of customers must be excellent in order to create better brand image.
(Jeong, Cha and Jang (2016) has asserted that customer satisfaction directly influences the
profit margin ratio of company. It means the quality of service which is experienced by client
must be according to standards. It will allow to have sustainable development and lead business
firm to impressive level of success. Without enhanced level of customer satisfaction it is one of
critical task for hospitality firm because it will allow customer to continue with business.
3
Factors that influence customer satisfaction
According to Cina (2013), there are number of factors that has direct impact on the customer
satisfaction. In order to have better sustainability the business firm must focused towards
customer satisfaction factors. If business entity is not considering the key aspect effectively then
overall work environment can be influenced. It has been noticed that in current market
conditions the quality of services is not only a factor that impacts customer satisfaction. Other
factors that delivery process, pricing, features and degree of information are also critical that
need to be consider effectively by management. If any kind of these factor faces change
circumstances then it will impact the level of customer satisfaction. Sorescu and Sorescu, (2016)
has contended that hospitality firm must make sure that delivery of services is accurate as per
standards so that morale of customers may be improved. For example, customer is looking for
accommodation in hotel but the registration queue is very long. It indicates that service delivery
system is not appropriate, it will enhance the dissatisfaction and impact morale to stand in queue
for registration. In this situation customer will switch to another firm who provides better
delivery of services. Kumar (2016) has also said that pricing of services which is provided by the
firm. In this way, company charge the price of the services at the reasonable which helps to
accomplish the target and aims of the business. If pricing of services is not appropriate as per
features and quality then it will also impact the customer perception in negative manner. For
example, customer has ordered a premium pricing food but the service delivery to customer was
not appropriate. Hygiene factor was also not well maintained then it will decrease the satisfaction
level because it was not according to expectations. Best (2012) has also said that if proper
information about hospitality service is not shared with customer in transparent manner. It will
also impact the customer perception and decrease the brand image. In this way, consumer plays
important role in the business as well they are stakeholders. Company strives to satisfied his
consumer by providing the high quality services and products as per the consumer needs as well
demand.
Relationship between customer satisfaction and service marketing
Ryu, Lee and Gon Kim (2012) has contended that customer satisfaction and service
marketing both have great relationship with each other. It has been noticed that if customer
satisfaction level is high then company can continue with existing services. For example, hotel is
having high profit margin and customers are willing to have re-purchase of services. It indicates
4
According to Cina (2013), there are number of factors that has direct impact on the customer
satisfaction. In order to have better sustainability the business firm must focused towards
customer satisfaction factors. If business entity is not considering the key aspect effectively then
overall work environment can be influenced. It has been noticed that in current market
conditions the quality of services is not only a factor that impacts customer satisfaction. Other
factors that delivery process, pricing, features and degree of information are also critical that
need to be consider effectively by management. If any kind of these factor faces change
circumstances then it will impact the level of customer satisfaction. Sorescu and Sorescu, (2016)
has contended that hospitality firm must make sure that delivery of services is accurate as per
standards so that morale of customers may be improved. For example, customer is looking for
accommodation in hotel but the registration queue is very long. It indicates that service delivery
system is not appropriate, it will enhance the dissatisfaction and impact morale to stand in queue
for registration. In this situation customer will switch to another firm who provides better
delivery of services. Kumar (2016) has also said that pricing of services which is provided by the
firm. In this way, company charge the price of the services at the reasonable which helps to
accomplish the target and aims of the business. If pricing of services is not appropriate as per
features and quality then it will also impact the customer perception in negative manner. For
example, customer has ordered a premium pricing food but the service delivery to customer was
not appropriate. Hygiene factor was also not well maintained then it will decrease the satisfaction
level because it was not according to expectations. Best (2012) has also said that if proper
information about hospitality service is not shared with customer in transparent manner. It will
also impact the customer perception and decrease the brand image. In this way, consumer plays
important role in the business as well they are stakeholders. Company strives to satisfied his
consumer by providing the high quality services and products as per the consumer needs as well
demand.
Relationship between customer satisfaction and service marketing
Ryu, Lee and Gon Kim (2012) has contended that customer satisfaction and service
marketing both have great relationship with each other. It has been noticed that if customer
satisfaction level is high then company can continue with existing services. For example, hotel is
having high profit margin and customers are willing to have re-purchase of services. It indicates
4
that service marketing standards are well maintained. It means pricing, quality and delivery
process is also systematically structured that allows to meet key goals and objectives. Selnes
(2013) has argued that if customers are not satisfied that company need to bring changes in its
services as per expectations. For example, customer is demanding theme based accommodation
services but company is not such kind of services. In this situation, the level of customer
satisfaction will be low because it does not meet the expectation level. It is significant for
business firm to focus on diverse activities that allows to bring changes in services. Management
must have development of accommodation services as per need of theme based accommodation.
It will enhance the customer satisfaction and profit margin ratio. Rego, Morgan and Fornell
(2013) has stated that above statement indicates that services can be promoted effectively if
customer expectations is being considered in desired way. It has been noticed that price and
quality may impact customer satisfaction. However, service quality is component of satisfaction.
It reflects that relationship between customer satisfaction and service marketing is very high.
Ways to improve service quality for advancement in customer satisfaction.
Martínez and del Bosque (2013) has stated that there are range alternative methods which is
used by the company. Organization adopts the advance the service quality so that level of
customer satisfaction can be improved. In order to have better marketing of services the
hospitality firm can also improve customer service skills. It is necessary for business entity to
make sure that executives are well known of patience skills so that better support can be
provided to customer. Company promote the customer services with the helps of method which
is used in effective manner. Saeidi and et.al. (2015) has argued that skills in regard to
communication also need to be improved so that goals and objectives can be accomplished
effectively. Along with this, it is need to be make sure that message about services must be
convey in appropriate manner. It will allow to have better handling of services that are offered to
customers. It promotes the positive aspects and make sure that working must be accurate as per
key standards.
Martínez and del Bosque (2013) has stated that customer interaction is also one of most
essential method that allows to improve satisfaction. For example, company is well focused
towards customer interaction then sharing of information can be advanced. It means the business
firm can meet level of expectations by having assistance of customer interaction. It will also
impact the level of customer satisfaction in positive manner. Rego, Morgan and Fornell (2013)
5
process is also systematically structured that allows to meet key goals and objectives. Selnes
(2013) has argued that if customers are not satisfied that company need to bring changes in its
services as per expectations. For example, customer is demanding theme based accommodation
services but company is not such kind of services. In this situation, the level of customer
satisfaction will be low because it does not meet the expectation level. It is significant for
business firm to focus on diverse activities that allows to bring changes in services. Management
must have development of accommodation services as per need of theme based accommodation.
It will enhance the customer satisfaction and profit margin ratio. Rego, Morgan and Fornell
(2013) has stated that above statement indicates that services can be promoted effectively if
customer expectations is being considered in desired way. It has been noticed that price and
quality may impact customer satisfaction. However, service quality is component of satisfaction.
It reflects that relationship between customer satisfaction and service marketing is very high.
Ways to improve service quality for advancement in customer satisfaction.
Martínez and del Bosque (2013) has stated that there are range alternative methods which is
used by the company. Organization adopts the advance the service quality so that level of
customer satisfaction can be improved. In order to have better marketing of services the
hospitality firm can also improve customer service skills. It is necessary for business entity to
make sure that executives are well known of patience skills so that better support can be
provided to customer. Company promote the customer services with the helps of method which
is used in effective manner. Saeidi and et.al. (2015) has argued that skills in regard to
communication also need to be improved so that goals and objectives can be accomplished
effectively. Along with this, it is need to be make sure that message about services must be
convey in appropriate manner. It will allow to have better handling of services that are offered to
customers. It promotes the positive aspects and make sure that working must be accurate as per
key standards.
Martínez and del Bosque (2013) has stated that customer interaction is also one of most
essential method that allows to improve satisfaction. For example, company is well focused
towards customer interaction then sharing of information can be advanced. It means the business
firm can meet level of expectations by having assistance of customer interaction. It will also
impact the level of customer satisfaction in positive manner. Rego, Morgan and Fornell (2013)
5
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