Factors Influencing Customer Retention in Restaurants
Added on 2020-04-21
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Running head: CUSTOMER CHOICE`Literature ReviewName of the Student:Name of the Organization:Author’s Note:
2CUSTOMER CHOICETitle of the research Report: RESEARCH REPORT ON THE FACTORSINFLUENCING CUSTOMER RETENTION IN THE RESTAURANT INDUSTRYIn the modern day scenario, one of the most important aspects of the society is thelarge scale growth of shopping malls. However, this must be noted that the shopping mallshave attracted the attention of a large number of customers within a very short time periods.There are however many different factors that are responsible for the popularity of theshopping malls. However there many different aspects like customer loyalty programs, theequality in the services delivered, the booking system that is being used in the malls, thequality of the food being served and many other such things.Objective 1: To investigate the relationship between the importance of food quality forchoosing a restaurant and customer retention.-Is there any significant relationship between food quality and customer retention? One of the very important aspects that determine the customer’s selection ofrestaurant is the standard of food served by them (Yan et al 2015). While selecting anyparticular restaurant the customers are usually influenced by some specific aspects like that ofthe menu, the price of food, the atmosphere, and the convenience factors. However this mustbe kept in mind that the customers are often governed by their demographic factors as well.The teenagers mainly want to visit restaurants that do a lot of experiments in serving newkinds of food whereas the people between the age group of fifty and more usually tend tofollow a common and traditional menu in the same preferred restaurant. Customers on thepresent day scenario are ready to pay high amount of price provided that they are gettingproper quality of food and also some additional facilities that is some added advantages.Restaurants therefore try to keep the price of the food know and try to maintain high quality
3CUSTOMER CHOICEso that they can retain bulk amount of customers (Yan et al 2015). Restaurants have reallychanged the modern lifestyle in a major way. It has helped people a great deal and has alsomade them very much alert on the other hand. The modern day customers are very muchhealth conscious as well. They know that eating too much of outside food might render themunhealthy. Hence, they are looking for good quality, fresh and healthy food from therestaurants. However there are also other factors like the taste of cuisines. The restaurantambience, services provides that influences the customer retention. Hence, the restaurantsmust aim at maintain the proper quality of food keeping in mind the demographic patterns,the customer attitudes and most importantly the health of the customers.Objective 2: To investigate the relationship between the importance of restaurantbooking system for choosing a restaurant and customer retention.-Is there any significant relationship between a restaurant’s booking system andcustomer retention? The reservation or the booking system is a very big factor that influencers thecustomer‘s choice of restaurants. This is because of the fact that customers nowadays wanteasy and quick services (Boo 2017). Technological innovations have made it possible for therestaurants to use many modern methods of booking like mobile app, web pages, onlinebooking. The customers are also very much comfortable in using the electronic anddigitalized booking system so that they can avoid standing in long queues or holding on to thetelephone lines for long in order to get their booking. This is because of the fact that thecustomers nowadays are looking for several additional services. The customers are of theopinion that getting their food and their tables booked through electronic digital systems aremuch better than booking through the old paper based offline booking system. Bookings
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