Customer Satisfaction in Service Industries

This assignment focuses on understanding customer satisfaction within service industries. It requires students to delve into various factors impacting customer satisfaction, explore relevant research methodologies, and analyze prominent studies in this field. The analysis should shed light on the significance of customer satisfaction for businesses and its impact on customer loyalty and retention.

Research Project

Table of Contents
TASK 1............................................................................................................................................3
1.1 Formulating and recording research project outline specification.........................................3
Research aim and objectives........................................................................................................3
1.2 Identifying the factors contributing to the process of research project selection..................4
1.3 Undertaking critical review of key references.......................................................................4
1.4 Producing a research project specification............................................................................5
1.5 Providing appropriate plan and procedures for the agreed research specification................5
TASK 2............................................................................................................................................6
2.1 Matching resources efficiently to research questions............................................................6
Questionnaire...................................................................................................................................7
2.2 Undertaking proposed research investigation with agreed specification and procedures.....8
2.3 Recording and collecting relevant data................................................................................10
TASK 3..........................................................................................................................................12
3.1 Use appropriate research evaluation techniques..................................................................12
3.2 Interpret and analyse the results in terms of the original research specification.................13
3.3 Make recommendations and justify areas for further consideration....................................16
TASK 4..........................................................................................................................................17
4.1 Agreed format and appropriate media to present the outcomes of the research to an
audience.....................................................................................................................................17
REFERENCES..............................................................................................................................18
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TASK 1
1.1 Formulating and recording research project outline specification
The present research is based on the investigation of customer satisfaction and
expectation gap within British Airways. It will help to assess expectation gap of the consumers
so that cited corporation can formulate effective strategy. It is because that clients are at center
focus and management puts efforts to meet the same with introduction of effective strategies and
actions. Present report is based on British Airways which provides different kinds of services to
the number of buyers. It is the flag carrier airline of United Kingdom and it is an international
airline based on armada size, international flights and global destinations. As per the measure
made on passengers carried by them, it is the second-largest airline company of UK, after Easy
Jet. The airline is based in Waterside near its main hub at London Heathrow Airport. It was
founded in 1974, when government decides to merge four companies, two nationals and two
regional, in order to form British Airways. (British Airways, 2014)
The other aim of researcher is to focus on explaining that what is service standard within
the organization that whether there is gap or not. However, most of the time, there is a gap in
between the management awareness of service expectations and defining of standards. Focusing
on customer service policies, instruction book and other statement tools will help the researcher
and organization’s management to create clear service standards for the employees based on
what passengers expect. In addition to this, purpose of the research will be based on the
evaluation of current scenario and to eliminate any gap regarding customer satisfaction within
British Airways
Research aim and objectives
Aim
To investigate customer satisfaction and expectation gap within British Airways (BA).
Objectives
 To understand the concept of customer satisfaction and expectation gap.
 To evaluate customer satisfaction and expectation gap within BA.
 To examine strategies of BA for increasing customer satisfaction.
 To provide recommendations in reducing expectation gap and enhancing customer
satisfaction within BA.
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1.2 Identifying the factors contributing to the process of research project selection
In the present era, aviation industry is facing intense competition due to change in the
needs and preferences of passenger. Also, fuel prices are rising at rapid speed which makes it
impossible for corporation to meet the expectations of buyers. Owing to this, current research is
being done to assess the level of satisfaction among customers. It will help to achieve the
expectation level of customers and provide them good quality of services in an effectual manner.
Furthermore, aviation industry plays a vital role in ensuring the growth and development of
tourism sector. At this juncture, assessment on customer satisfaction in the context of selected
corporation will be effective. This facilitates to uncover potential issues behind low level of
satisfaction and several strategies to overcome the same.
1.3 Undertaking critical review of key references
According to Deng and et.al. (2010) customer satisfaction is derived from active efforts
of the corporation. It depends on number of factors like responsiveness, empathy, tangibles and
assurance. Similarly, other factors like price, situational factors and personal attributes are also
included in the process of customer satisfaction (Flint, Blocker and Boutin, 2011). It shows that
combination of these factors contributes towards increasing or maintaining the level of
satisfaction among buyers. Owing to this, corporation puts efforts to meet the expectations of
number of customers by focusing on all the important factors. Fornell, Rust and Dekimpe (2010)
reported that customers are pillars of business and company cannot run successfully without
taking into account the satisfaction of buyers. It is an ongoing process where aviation industry
assesses the needs and preferences of passengers and accordingly provides them services. It leads
to make them happy and influence them to take decision related to repeat purchase (Ganguli and
Roy, 2011).
Hanif, Hafeez and Riaz (2010) asserted that service quality and customer satisfaction are
interrelated to each other. It is because if quality of services will be good then there will be
greater level of passenger’s satisfaction. On the contrary, if products or services are not provided
as per the buyer’s expectation then it will have a direct impact on consumers who are accessing
those services (Helm, Eggert and Garnefeld, 2010). For this purpose, visitors or consumers
search for the information so they can get access good quality of services on right time. It depicts
that for providing right kind of services, communication mode also matters.
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Factors affecting customer satisfaction
As per view of Angelova and Zekiri (2011) larger number of factors are present which
affect customer satisfaction and it involves employee behavior, fare, service delivery etc.
Further, airline industry is growing at faster pace due to which it is required for businesses
operating in this sector to satisfy the needs of its target market. Majority of the companies are
focusing on improving service delivery and prices of tickets are kept moderate with the motive to
enhance customer satisfaction and this has positive impact on the brand image of business. Apart
from this, due to rise in level of competition, businesses have to modify their services timely so
that loyal customers can be retained for longer period of time (Clemes and et.al., 2008). On the
other hand, it is required for businesses to meet the expectations of target market and for the
same, it is necessary to obtain information from target market to know whether their expectations
are met by business or not.
1.4 Producing a research project specification
The current study will be done on the basis of qualitative type of investigation. It is
because research will be based on both the secondary and primary data. It will help scholar in
gathering large amount of data so that research purpose can be fulfilled in a right way.
Furthermore, inductive research approach will be used so that sources of information can be
accessed in an effectual manner. For collection of primary data, questionnaire method will be
used whereas secondary data will be collected through journals, books and online material.
Qualitative technique will be used to analyze the collected data in a right style. It proves to be
effective in deriving valid outcome and using the same for giving suggestions to the management
of British Airways.
1.5 Providing appropriate plan and procedures for the agreed research specification
The following Gantt chart is showing time line for the present research proposal. It
depicts that current research will take total 12 weeks to complete this study. For drafting
proposal, 1 week will be required and aim as well as objectives will be written in that week.
Further, total 4 weeks will be needed to complete primary as well as secondary data.
Activity/Week 1 2 3 4 5 6 7 8 9 10 11 12
Drafting of the research proposal
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Writing aim and objectives
Drafting of research methodology
Writing of literature review
Collection of secondary data
Collecting primary data
Analysis of collected data
Drafting findings
Submitting
Revising according to feedback
TASK 2
2.1 Matching resources efficiently to research questions
The research is conducted effectively with the help of formulating research questions.
These questions are formulated to assess the level of satisfaction among the customers and
expectation gap among them. This questionnaire consists of a list of questions which facilitates
to reach at the aim of study-
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QUESTIONNAIRE
Age
 Younger than 18
 18 - 24
 25 - 34
 35 and above
Gender
 Male
 Female
1. How long you are being a customer of British Airways?
 Less than 6 months
 Last 6 months to 1 Year
 2 to 3 years
 3-5 Years
 More than 5 years
2. Are you satisfied with the service representatives of British Airways?
 Strongly agree
 Agree
 Neutral
 Disagree
 Strongly disagree
3. According to you, British Airways understands the needs of their customers?
 Strongly agree
 Agree
 Neutral
 Disagree
 Strongly disagree
4. Do employees of British Airways make you feel safe in their transactions?
 Yes
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 No
5. How was your first experience with British Airways?
 Good
 Average
 Excellent
6. What factors affect your satisfaction level within British Airways?
 Employees behaviors
 Service delivery
 Prices of flight services
 Others
6. Company is capable enough to meet with your expectations?
 Strongly agree
 Agree
 Neutral
 Disagree
 Strongly disagree
7. Does company provide a platform to give feedback on services provided by British Airways?
 Yes
 No
9. Kindly recommend the ways to BA for increasing customer satisfaction.
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2.2 Undertaking proposed research investigation with agreed specification and procedures
For completion of current research, following research methodology will be used. Research design-Research design is an effective method to conduct study in an effectual
manner. It consists of several research design such as descriptive, exploratory and
explanatory (Kumar, 2016). For the current research, descriptive research design has been
used. It assists scholar to describe the characteristics of population which is being
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studied. Here, results are shown on the basis of averages, frequencies and other related
statistical calculations. General qualitative type of investigation consists of descriptive
research design so that accordingly, data can be collected and analyzed. Research philosophy-Research philosophy is based on assumption as well as beliefs of
researcher so that accordingly large amount of data can be collected for the study (Walter
and Andersen, 2013). Basically, positivism and interpretivism research philosophy are
used. The positivism is generally used in quantitative study whereas qualitative study
makes the use of interpretivism philosophy. Owing to this, present study is based on
interpretivism philosophy through which data are collected from socially constructed
environment. Under this, research plays a vital role by being interactive, participative and
cooperative. It aids in the collection of both primary and secondary information in an
effectual manner. Research approach-There are two types of research approach such as inductive and
deductive (Anfara Jr and Mertz, 2014). For the current research that is related to
investigate customer satisfaction and expectation gap within British Airways, inductive
approach will be used. This research approach will lay emphasis on general aspect and
then move towards specific. It facilitates to gather right information related to expectation
gap of consumers who are accessing services of British Airways. On the other hand,
deductive approach is used where specific information are already provided and research
lays emphasis on developing theoretical aspect. Data collection-It is the most important part of research methodology which is divided
into primary and secondary data (Tarone, Gass and Cohen, 2013). For the current
research, both the primary and secondary data are collected. It is because that customer
satisfaction will be known through collecting real information from the buyers. On the
other hand, expectations gap can be analyzed with the collection of secondary data. In
this regard, information related to strategies used by British Airways for increasing level
of customer satisfaction proves to be effective. Owing to this, questionnaire method has
been used for collecting primary data whereas secondary data is collected from a range of
sources like journals, books and online material. It enables researcher to reach at the aim
of study on right time.
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 Sampling-Sampling is the most effective or imperative aspect of research methodology
because clear specification of sampling aids to collect primary data (Flick, 2015). There
are number of sampling design used such as simple random, quota, judgment and snow
ball. Basically, these designs are segregated into probability and non-probability
sampling. For the current research, probability sampling has been used because of the
selection of customers. Thus, simple random sampling has been used where all customers
have equal chance to get selected in the study. It proves to be effective for approaching
number of buyers. However, sample size for the study is 50 so that valid results can be
derived in an effectual manner.
 Data analysis-This is also one of the most imperative aspects under which collected data
are analyzed in the light of formulated research’s aim and objectives (Panneerselvam,
2014). There are two types of data analysis techniques used such as qualitative and
quantitative. For the current research, qualitative technique has been used. Under this,
thematic analysis has been done by taking into account themes as per the questionnaire.
Furthermore, frequency table has also been used so that findings can be displayed in a
right manner. It contributes towards showing outcome of the study in an effectual
manner.
2.3 Recording and collecting relevant data
The collected data is shown in the following tables. It serves as the results for current
study which aids to derive end results in an effectual manner. In this regard, frequency tables are
prepared for each question included in questionnaire.
Age demographic
Age Frequency Percentage
Younger than 18 12 24%
18 - 24 10 20%
25 - 34 11 22%
35 and above 17 34%
Gender
Gender Frequency Percentage
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Male 26 52%
Female 24 48%
Association with British Airways
Associated with British Airways Frequency Percentage
Less than 6 months 12 24%
Last 6 months to 1 Year 10 20%
2 to 3 years 15 30%
3-5 Years 8 16%
More than 5 years 5 10%
Theme 4 Satisfaction level with the service representatives of British Airways
Satisfaction level with the service representatives of British
Airways Frequency Percentage
Strongly agree 8 16%
Agree 5 10%
Neutral 13 26%
Disagree 10 20%
Strongly disagree 14 28%
Theme 5 Factors affecting satisfaction level within British Airways
Factors affect satisfaction level within British Airways Frequency Percentage
Employees behaviors 8 16%
Service delivery 12 24%
Fares 23 46%
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Others 7 14%
Theme 6 Company is capable enough to meet with expectations
Company is capable enough to meet with your
expectations Frequency Percentage
Strongly agree 22 44%
Agree 13 26%
Neutral 3 6%
Disagree 5 10%
Strongly disagree 7 14%
Theme 7 Company provide a platform to give feedback
Company provide a platform to give feedback Frequency Percentage
Yes 32 64%
No 18 36%
TASK 3
3.1 Use appropriate research evaluation techniques
For evaluating the overall research, it is necessary to consider proper evaluation
technique. Further, all the results are obtained as per the expectations and the overall aim of
research has been accomplished. Moreover, results in the research have been evaluated on the
basis of themes which have supported in knowing the overall response provided by the
respondents from whom information has been collected. All the results obtained are of
acceptable quality and through this, it is possible to enhance the level of customer satisfaction
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within business. All the aims and objectives of study have been accomplished by adopting
appropriate techniques and in turn, it has enhanced reliability of the entire research.
3.2 Interpret and analyse the results in terms of the original research specification
Theme 1: Majority of the customers lies under age group of 35 and above
From the information gathered, it has been found that majority of the customers of British
airways lies under the age group of 35 and above. 12 customers out of 50 lay above 18, 10
customers are under the age group of 18 to 24 and 11 come under the age of 25 to 34. Through
this information, it can be said that overall data provided by the customers are effective for
business to understand about the level of customer satisfaction.
Theme 2: Majority of the customers are male
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From the information gathered, it has been found that majority of customers from whom
data has been collected are male and they replied that their satisfaction level is high. On the other
hand, 24 customers are female who provided information in relation with their satisfaction level.
Theme 3: Majority of the respondents are customers of British airways from 2 to 3 years
From the information gathered, it has been found that majority of customers are purchasing
services of British airways from 2 to 3 years and they are satisfied with the same. 12 respondents
are the customers of company from less than 6 months, 10 are from 6 months to 1 year, 8 are
from 3 to 5 years and 5 are from more than 5 years. So, this data supports in knowing the
satisfaction level of customers.
Theme 4: Majority of the customers are not satisfied with service representative of British
airways
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From the information gathered it has been found that majority of the customers are not
satisfied with the behavior of service representative of British airways. Further, they replied that
overall response provided by the employees of the firm is not satisfactory and due to this reason,
overall performance of business can be impacted.
Theme 5: Factors affecting satisfaction level within British Airways
Customers of British airways were asked about the factors that affect satisfaction level
within British Airways. Most of the customers have replied that low fare is the major factor that
attracts customers towards company.
Theme 6 Company is capable enough to meet with expectations
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When customers were asked about that British Airways is capable enough to meet with their
expectations. Most of the respondents were strongly agreed with the statement as they perceive
that company is capable enough to meet their expectations.
Theme 7: Company provide a platform to give feedback
From the primary investigation, it was witnessed that British Airways provides a platform to the
customers for giving feedback on the services and products. There are 32 customers who replied
positively which proves that company provides effective platform to give feedback.
3.3 Make recommendations and justify areas for further consideration
From the entire study, it has been found that customers of British airways are satisfied
with the range of services offered to them. Further, their expectations are well met by the
business and time to time feedback is taken from them for service modification. Apart from this,
customers prefer to purchase the services of company on the continuous basis which represents
that large numbers of customers are satisfied with the range of services offered to them.
On the basis of conclusion there are some recommendations to British airways which
business can follow:
 It is required for British airways to deliver proper training to its workforce as customers
are not satisfied with the staff behavior of company.
 Time to time feedback must be taken from the customers of firm so that services can be
modified as per their expectations.
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 Firm must focus more on its promotional strategies as it is also effective enough in
raising the level of customer satisfaction.
 Company must try to enhance its service quality as with the help of this, it is possible to
enhance customer satisfaction.
TASK 4
4.1 Agreed format and appropriate media to present the outcomes of the research to an audience
Attached in PPT
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REFERENCES
Books and Journals
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Publications.
Angelova, B. and Zekiri, J., 2011. Measuring customer satisfaction with service quality using
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Deng, Z. and et.al., 2010. Understanding customer satisfaction and loyalty: An empirical study
of mobile instant messages in China. International journal of information management.
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Flick, U., 2015. Introducing research methodology: A beginner's guide to doing a research
project. Sage.
Flint, D. J., Blocker, C. P. and Boutin, P. J., 2011. Customer value anticipation, customer
satisfaction and loyalty: An empirical examination. Industrial Marketing Management.
40(2). pp.219-230.
Fornell, C., Rust, R. T. and Dekimpe, M. G., 2010. The effect of customer satisfaction on
consumer spending growth. Journal of Marketing Research. 47(1). pp.28-35.
Ganguli, S. and Roy, S. K., 2011. Generic technology-based service quality dimensions in
banking: Impact on customer satisfaction and loyalty.International Journal of Bank
Marketing. 29(2). pp.168-189.
Hanif, M., Hafeez, S. and Riaz, A., 2010. Factors affecting customer satisfaction. International
Research Journal of Finance and Economics. 60(1). pp.44-52.
Helm, S., Eggert, A. and Garnefeld, I., 2010. Modeling the impact of corporate reputation on
customer satisfaction and loyalty using partial least squares. In Handbook of partial least
squares. pp. 515-534.
Kumar, N., 2016. Research methodology. In Chronic Regulatory Focus and Financial Decision-
Making. pp. 31-38.
Panneerselvam, R., 2014. Research methodology. PHI Learning Pvt. Ltd.
Tarone, E. E., Gass, S. M. and Cohen, A. D., 2013. Research methodology in second-language
acquisition. Routledge.

Walter, M. and Andersen, C., 2013. Indigenous statistics: A quantitative research methodology.
Left Coast Press.
Online
Clemes, D. M. and et.al., 2008. An empirical analysis of customer satisfaction in international
air travel. [Pdf]. Available through:
<http://businessperspectives.org/journals_free/im/2008/IM_en_2008_2_Clemes.pdf>.
[Accessed on 4th February 2016].
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