Customer Satisfaction and Loyalty Relationship

This assignment delves into the crucial relationship between customer satisfaction and loyalty. Students are tasked with examining a collection of research papers that explore the influence of customer service and product quality on customer satisfaction and, subsequently, their loyalty towards businesses. The analysis aims to shed light on the key factors driving this relationship across diverse industries.

RUNNING HEAD: Customer Service
Customer Service

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Table of Contents
Introduction...........................................................................................................................................2
Task 1.....................................................................................................................................................3
Discuss reasons for using customer service policies in your business organization...........................3
Discuss the purpose of evaluating a customer service policy, indicating how this can assist future
staff training and development using your hospitality organization as an example..........................3
Task 2.....................................................................................................................................................5
Evaluate different communication methods and how these are used to best effect ‘customer
focused culture’ in your organization................................................................................................5
Analyze how customer perception is influenced by customer service provision...............................5
Task 3.....................................................................................................................................................7
Assess sources of information on customer requirements and satisfaction levels in your
organisation.......................................................................................................................................7
Carry out research on customer requirements and satisfaction levels for your chosen hospitality
organisation and suggest potential improvements in customer service...........................................7
Task 4.....................................................................................................................................................9
Discuss how you would plan and deliver a customer service programme in your chosen hospitality
organisation.......................................................................................................................................9
Explain how would review your own performance in the delivery of customer service and make
recommendations for improvement.................................................................................................9
Conclusion...........................................................................................................................................10
References...........................................................................................................................................11

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Introduction
Customer service is all about taking care of the needs, requirements and preferences of the
customers by the business to provide them maximum satisfaction (Khan, Garg and Rahman,
2015). The assignment focuses on the customer service in a hospitality organization and how
it can be improved by providing training to the employees. Hotel Hilton, London is one of
the finest hotels on the country which is known for providing five star experiences to its
customers. The assignment is divided into four tasks in which the customer service policies
and customer focused culture will be discussed with reference to Hotel Hilton, London.
Further, the customer requirements and expectations are discussed and how business makes
efforts to fulfill those requirements. Customer service is the core element of any hospitality
business. It is because customer is considered as the king of market and the businesses have
to make an attempt to make them highly satisfied.

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Task 1
As a new Customer Service Manager in Hotel Hilton in London, I have to invite the
employees so that they can attend one day training session on the customer service policies
and customer focused culture so that the customer services can be improved in the hotel.
Discuss reasons for using customer service policies in your business
organization.
Customer service refers to the wide variety of services provided to the customers on their
demand and as per their tastes. The hospitality businesses like Hotel Hilton, London should
use customer service policies for a number of reasons:
 Competitive edge: Strong customer service policies provide a competitive edge to the
business which helps in standing out from the rest in the industry. It helps in making
employees excel in providing the customer services and it attracts customers for the next
visit in the hotel.
 Health working environment: Customer service policies create a good working
environment in the hotel which also satisfies guests and motivate staff to have good terms
with the customers/guests (Jahanshani, et, al., 2014).
 Increases efficiency of costs: good customer service policies helps in increasing the cost
efficiency for the hotel. It increases the retention rates of the customers. Thus, profits are
also increased.
 Increases in positive image of the hotel: Customer service policies helps on increasing
the goodwill of the hotel in the market. It also builds trust in the customers for the hotel
(Hassan and Ali, 2013).
For the above explained reasons, it is important for hotel Hilton to follow customer service
policies.
Discuss the purpose of evaluating a customer service policy, indicating how
this can assist future staff training and development using your hospitality
organization as an example.
It is essential to evaluate the customer service policies so that the organization could grow in
future by following the positive or negative feedbacks. For a hotel, it is very important to

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know whether the policies implemented by them are working in the right direction or not.
This also helps in identifying the areas of improvement and to work on them to overcome
weakness.
There are many ways in which the hotel can evaluate the success of its customer service
policies. One of such method is taking feedbacks from the customers. It will tell hotel about
the positive and negative features of the hotel. Also, a t6rack can be kept to record the
repeated visits of the guests in the hotel. It will show the satisfaction level of the customers
from the services of hotel (Bharwana, Bashir and Mohsin, 2013).
The employees are the core asset of any hospitality organization. The success of the
customer’s services of the hotel depends on the ability of their staff and employees. The
feedbacks taken from the customers can be used to train employees. A training plan can be
made which ensures the effective training of the staff and implementation of the customer
services policies. Proper training sessions should be conducted where the staff is made active
and communication is built between them so that they can share their experiences and ideas
too with others. This will be helpful in establishing a strong and talented staff for providing
excellent services to the customers (Daikh, 2015).

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Task 2
Evaluate different communication methods and how these are used to best
effect ‘customer focused culture’ in your organization.
Communication is the exchange of ideas and emotions between two or more people and it is
very important for an organization to react in different situations effectively. Hotel Hilton
uses different types of communication methods for the best effect ‘customer focused culture’
in the hotel. These types are divided into several categories like Oral communication, written
communication and body language (Srivastava, 2015).
Oral communication: It is the most commo0nly used communication method in Hotel Hilton.
It is done through speaking words. It can be done face to face, in meetings, trainings,
presentations and through telephones.
Written communication: It is done through written words and is mostly used in formal chains
of command. In hotel Hilton, this type of communication is done through Notices, emails,
training material, etc. Castells, 2013).
Body language: Body language can also be understood as the nonverbal communication
where neither written nor oral words are used to communicate. It includes facial expressions,
movements in body and gestures to communicate with each other.
All the three type of communication is used in combined to create customer focused culture
in the hotel. These are used to advertise the customer services to attract customers. These
methods are also used internally in the hotel to create a suitable environment for the customer
and to enhance the quality of services of the hotel to satisfy the customers (Jaakkola,
Aarikka-Stenroos and Kimmel, 2014).
Analyze how customer perception is influenced by customer service
provision.
Customer perception is very important for the success of the hotel. The positive perception
of the customer can get positive feedbacks, success and a competitive edge to the hotel in the
industry while negative perception can create blunders for the hotel. There are various factors
which influence the perception of the customers. It all depends on the customer services and
customer satisfaction that how the customer is going to perceive the services of the hotel. If

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the customer services provided by the hotel matches the expectations of the customer then the
customer gets satisfied and vice versa (Pratminingsih, Lipuringtyas and Rimenta, 2013).
The hotels should try and provide the genuine information in the advertisements and
brochures so that the customer gets what it expects from the hotel. It will not hamper the
reputation of the hotel. The satisfied customer will visit the hotel again and will be the loyal
guest for the hotel. Good quality services will create new customers for the hotel and this will
enhance the market share of the organization in the industry.
It is all possible when effective customer service policies are implemented and are evaluated
from time to time. It will help the hotel in creating positive image in the market and thus, the
business will grow in future (Srivastava, 2015).

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Task 3
Being the customer service manager at Hotel Hilton in London, I have noticed that there has
been an increase in the customer complaints by 5% in the last year.
Assess sources of information on customer requirements and satisfaction
levels in your organisation.
To run a hospitality organization successfully, it is very important to provide excellent
services to the customers. It is done when the customer’s expectations are met by the business
(Kandampully, Zhang and Bilgihan, 2015). It is a challenge for the business to fulfill every
demand and expectations of the customer but is essential for the growth of the business for
longer period of time. The information has to be gathered through which it can be assessed
that what are the customer requirements and satisfaction levels in the hotel (Daikh, 2015).
The information can be sourced from below explained sources:
Primary sources of data collection: The primary sources of data collection provide fresh
data and new information. It is mainly collected through interviews and surveys. Hotel Hilton
can conduct surveys and collect data from the customers or employees to get the details about
their expectations and satisfaction levels. It is time consuming and costly but provides the
data which helps the hotel to take further actions in the business (Saglik, et al., 2014).
Secondary sources of data collection: These sources help in collecting the data which has
been used by someone already. Secondary data can be obtained by records of sales, databases
of customers, government publications and journals by Hotel Hilton (Dabholkar, 2015).
These sources can be used in combined to assess the customer requirements and the
satisfaction levels in the organization.
Carry out research on customer requirements and satisfaction levels for
your chosen hospitality organisation and suggest potential improvements
in customer service.
For assessing the customer requirements and satisfaction levels in Hotel Hilton, London,
Survey questionnaire is designed in which the questions are asked about the customer
requirements and their satisfaction levels in the hotel (Suchánek, Richter and Králová, 2014).

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The topic of the research is: Assessment of Customer`s requirements and satisfaction level in
Hotel Hilton, London
Research question:
 What are the requirements of the customers that are to be fulfilled by the hotel?
 What is the satisfaction level of customers of Hotel Hilton, London?
Research objective
The main objective of the research is to find out the requirements of the customers. It is also
to identify that what is the satisfaction level of the customers of Hotel Hilton, London.
Research method
The research will be conducted with the help of both the primary and secondary data. It
means that the survey questionnaire will be designed for collecting the responses of the
customers and the data will also be collected through sales records, customer reviews and
more. Face to face and email surveys will be conducted (Rea and Parker, 2014).
Things to be measured through a survey include the services by the staff, food quality and
taste of food and price of the services. The sample size of the survey will be 50.
Limitation of the research: The research has limitation that the sample size may not provide
the actual results of the total population of the customers. One more limitation is that the
perceptions and opinions of the customers keep on changing.
Results of the research: The results of the research show that the customers give highest
importance to the quality of services and promptness. Even if the variety of options is less,
the available services should be of excellent quality. The customers want the best value for
the amount spend (Dabholkar, 2015).

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Task 4
Discuss how you would plan and deliver a customer service programme in
your chosen hospitality organisation
As a customer service manager, after analyzing that there is a rise of 5% in the complaints in
last year, a customer service programme is to be planned and delivered in Hilton hotel.
A customer service programme is a plan made in order to reduce the issues in the
organisation and its services like handling of queries, problems and prompt decision making
(Verma and Verma, 2013). It is also used in building the ability of the employees in
providing excellent customer services and managing time. There are many objectives of the
customer service programme created by Hilton. These are Customer Loyalty and retention,
repeat business, positive image and reputation in the market and reduction in advertisement
costs incurred by the business (Pratminingsih, Lipuringtyas and Rimenta, 2013).
For Hotel Hilton in London, a customer service programme will be planned and developed by
taking certain steps. These include:
 Customer survey and identification of their need
 Planning for meeting the expectations and needs of the customers of the hotel
 Delivering training and coaching to the staff
 Implementation of the programme to achieve the results
 Taking customer feedbacks in order to assess the success of the programme and
 Encouraging the staff through different staff recognition programmes (Long, et al., 2013).
Explain how would review your own performance in the delivery of
customer service and make recommendations for improvement
The performance should be reviewed in order to identify the areas of improvement and what
should be done to mitigate the challenges. It will help hotel to deliver better services to the
customers. It will help the organisation to remain competitive in the industry. My own
performance will be reviewed by taking the feedbacks from the guests and from the staff
making their responses anonymous so that I can get genuine reviews. This will help me in
improving my own weaknesses and building my strengths. I identified that I face problems
while communicating with people from different cultures.

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Some recommendations for improvement are as follows:
 I should develop active listening habit while talking to the staff and to the customers so
that I can develop effective communication skills within me.
 I should start paying more attention to people while communicating with them. This
would definitely increase the quality of communication.
 I can refer to the online material which teaches how to communicate and the practice
which helps in developing sound communication.
Conclusion
It can be concluded that Customer service is an essential part of the hospitality organization.
The quality of customer service can be a reason for the success or downfall if the business.
The assignment focuses on how Hotel Hilton can adopt customer service policies and can use
effective training methods to make their staff competent enough to provide excellent services
to the customers. The assignment also discusses the role of research through primary and
secondary sources to know the reviews of the customers about the hotel and to make
improvements in the same. The last task of the assignment discusses the development of
customer service programme which could help the hotel in maximizing the customer
satisfaction and building a competitive edge in the industry.

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References
Bharwana, T.K., Bashir, M. and Mohsin, M., 2013. Impact of service quality on customers’
satisfaction: A study from service sector especially private colleges of Faisalabad, Punjab,
Pakistan. International Journal of Scientific and Research Publications, 3(5), pp.1-7.
Castells, M., 2013. Communication power. OUP Oxford.
Dabholkar, P.A., 2015. How to improve perceived service quality by increasing customer
participation. In Proceedings of the 1990 academy of marketing science (AMS) annual
conference (pp. 483-487). Springer, Cham.
Daikh, J., 2015. A Research Proposal: The Relationship between Customer Satisfaction and
Consumer Loyalty.
Daikh, J., 2015. A Research Proposal: The Relationship between Customer Satisfaction and
Consumer Loyalty.
Hassan, Y. and Ali, I., 2013. Customer Service and Organizational Growth of Service
Enterprise in Somalia. Educational Research International. Vol, 2.
Jaakkola, E., Aarikka-Stenroos, L. and Kimmel, A., 2014. Leveraging customer experience
communication. Customer experience management: enhancing experience and value through
service management, Kendall Hunt, Dubuque, pp.45-72
Jahanshani, A.A., Hajizadeh, G.M.A., Mirdhamadi, S.A., Nawaser, K. and Khaksar, S.M.S.,
2014. Study the effects of customer service and product quality on customer satisfaction and
loyalty.
Kandampully, J., Zhang, T. and Bilgihan, A., 2015. Customer loyalty: a review and future
directions with a special focus on the hospitality industry. International Journal of
Contemporary Hospitality Management, 27(3), pp.379-414.
Khan, I., Garg, R.J. and Rahman, Z., 2015. Customer service experience in hotel operations:
An empirical analysis. Procedia-Social and Behavioral Sciences, 189, pp.266-274.

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Long, C.S., Khalafinezhad, R., Ismail, W.K.W. and Rasid, S.Z.A., 2013. Impact of CRM
factors on customer satisfaction and loyalty. Asian Social Science, 9(10), p.247.
Pratminingsih, S.A., Lipuringtyas, C. and Rimenta, T., 2013. Factors influencing customer
loyalty toward online shopping. International Journal of Trade, Economics and
Finance, 4(3), p.104.
Pratminingsih, S.A., Lipuringtyas, C. and Rimenta, T., 2013. Factors influencing customer
loyalty toward online shopping. International Journal of Trade, Economics and Finance,
4(3), p.104.
Rea, L.M. and Parker, R.A., 2014. Designing and conducting survey research: A
comprehensive guide. John Wiley & Sons.
Saglik, E., Gulluce, A.C., Kaya, U. and Ozhan, C.K., 2014. Service quality and customer
satisfaction relationship: A research in erzurum ataturk university refectory. American
International Journal of Contemporary Research, 4(1), pp.100-117.
Srivastava, M., 2015. Influencers of Customer Satisfaction-Customer Loyalty Relationship:
A Conceptual Research Model. Retrieved February, 25, p.2017.
Suchánek, P., Richter, J. and Králová, M., 2014. Customer satisfaction, product quality and
performance of companies. Review of Economic Perspectives, 14(4), pp.329-344.
Verma, D. and Verma, D.S., 2013. Managing customer relationships through mobile crm in
organized retail outlets. International Journal of Engineering Trends and Technology, 4(5),
pp.1696-1701.