Factors Influencing Customer Satisfaction: Harrods Project

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This project critically evaluates customer satisfaction at Harrods, a prominent luxury department store in London, aiming to analyze factors influencing customer satisfaction and organizational growth. The research encompasses formulating research outlines, identifying factors contributing to project selection, conducting a literature review, and preparing project specifications. The methodology includes quantitative research using a deductive approach and positivism philosophy, collecting primary data through customer surveys and secondary data from literature. The project analyzes factors impacting customer satisfaction, such as promotional tools, discounts, quality of goods and services, store hours, and staff effectiveness, using a questionnaire and thematic analysis. The findings are presented with recommendations for maximizing customer satisfaction and enhancing Harrods' success in the retail sector. The project also addresses limitations and ensures reliability and validity through the use of current and cited data sources.
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TABLE OF CONTENTS
Task 1...............................................................................................................................................1
1.1 Formulating and recording research project outlines.......................................................1
1.2 Factors in contributing in project selection......................................................................2
1.3 Critical analysis of references..........................................................................................3
1.4 Preparation of project specification..................................................................................5
1.5 Producing plan and procedures for research specification...............................................6
Task 2...............................................................................................................................................7
2.1 Matching resources to research hypothesis......................................................................7
2.2 Research investigation with procedures...........................................................................8
2.3 Record and collate data..................................................................................................10
3.1 Enumerating research evaluation techniques.................................................................19
3.2 Interpretation of results...................................................................................................20
3.3 Providing recommendations and conclusion..................................................................20
Task 3.............................................................................................................................................21
4.1 Producing agreed format to present results to audience.................................................21
REFERENCES..............................................................................................................................22
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Task 1
Research Topic: To critically evaluate customer satisfaction in Harrods and factors leading to
organization growth in the sector
1.1 Formulating and recording research project outlines
Background of the study
The research project taken with view to analyse and extract outcomes is Evaluation of
customer satisfaction in Harrods UK. The firm is one of the largest luxury department store
situated in London. Moreover, it is one of successful retail business aiming to attain greater
market share by satisfying customers in the best possible way. Formulating of research is
essential and as such, customer satisfaction topic is taken for conducting appropriate research.
The topic were focus on achieving consumer perspectives, needs, demands and how they are
concern about quality of goods provided by the company in effective way.
Aims and Objectives
Aim
The aim of research project is to analyse factors influencing customer satisfaction in
Harrods.
Objectives: The objectives can be outlined from the aim discussed above-
To assess the significance of customer satisfaction in retail sector.
To identify the factors leading to enhancement of customer satisfaction.
To analyse the impact on Harrods leading towards success with the help of enhanced
satisfaction level of customers.
To recommend various ways to Harrods in order to maximise customer satisfaction.
Research questions
1. What factors have impact on level of satisfaction of customers of Harrods?
2. Do customer satisfaction leads to organization's growth?
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Literature Review
As per the views of O'Leary (2017), customer satisfaction is required in the business. It is
one of the tool by which loyalty of consumers increases towards organization. The satisfaction is
enhance because of fair practices by company, commitment in providing quality goods to
customers etc. On contrary to this, Smith and Wynne (2017) said that customer satisfaction
engages different liabilities to organization which incurs cost for the same. However, Bumiller
(2017) said that service quality, loyalty are important tools in order to inject sales and revenue of
company.
Research Methodology Research type: Quantitative research will be taken for analysing outcomes of research in
effective manner. Philosophy and approach: The research will be made by using deductive approch and
positivism philosophy to identify results. Data collection: For collecting data, primary and secondary resources will be gathered.
Customer survey will also be taken to assess outcomes. Sampling: The sampling technique will be used by taking 30 customers of Harrods with
the help of simple random sampling method.
Data analysis: Descriptive analysis will be done to produce results by resolving issue.
1.2 Factors in contributing in project selection
Rationale
This research topic is taken as primary and secondary data is easily extracted. Moreover,
customer satisfaction has positive impact on sales and revenue of organization and as such,
survey taken has been successful to accomplish outcomes. By conducting survey on consumers,
factors have been analysed which has led to organization growth in the best possible way.
Moreover, as a researcher, I have considered my own interest in extracting research in effective
manner. Customer satisfaction topic is being explored in effectual manner and sales of the
company has increased. The factors in consideration of research is assessed with regards of
perceptions of consumers of Harrods. Furthermore, various factors have been evaluated which
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has given clarity of satisfaction level of customers quite effectually. Thus, these factors are
considered in order to carry out research in the best possible manner.
Importance and scope of study
The importance of conducting this research is that customers are provided bad quality
goods and services by which they are disheartened. The study will highlight this important issue
which provide dissatisfaction to customers when inadequate services are imparted by retail
sector. This will help Harrods and other retail companies in implementing well-structured
strategies in order to attain customer satisfaction with much ease. Moreover, outcomes of this
research will also help other scholars having interest in the same topic.
1.3 Critical analysis of references
Customer satisfaction is one of the main aspect of company so that it may be able to gain
revenue in the best possible way. This is required in the organization in order to fulfil desires of
potential consumers and garner profits quite effectively. Harrods which is one of the largest
retailer in food, medicine, clothes and many other areas is able to satisfy customers and
providing them with good quality of products at affordable price. This has turned out to be
effective for company as customers have become loyal towards brand which is the ultimate
meaning of satisfaction attained by consumers. However, there are various issues to be rectified
by the company to gain more customer base and in turn enhanced profits as well. Issues such as
decreased revenue because of low quality goods and services provided by company. Moreover,
poor marketing research in order to assess needs and preferences of customers. Effective
techniques can be enumerated of customer satisfaction to help to resolve issues (Leithwood,
Seashore, Anderson and Wahlstrom, 2017).
Theme 1: Customer satisfaction
One of the main factor which help organization to achieve goals in effective way is
customer satisfaction. The importance of this element is required in the business so that it may be
able to expand its reach and garner more revenue in the best possible way. There are various
theories in the context of customer satisfaction such as expectation disconformation theory and
psychological theories. Expectation disconformation theory states that customers provides their
judgements on the basis of products sold by the organization. This clearly implies that
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organization is required to impart quality goods and services to consumers in order to attain
satisfaction level and positive views from them leading to higher growth. Psychological theories
provided by Anderson have been successfully obtained expectancy and level of satisfaction of
the customers and outlines that the balance between these factors are required in order to attain
higher level of satisfaction.
Theme 2: Kano model and satisfaction of customers
Customer satisfaction is required in organization to maximise sales in the best possible
way. This is essential for Harrods for removing loopholes by providing quality services and
commodities in the best possible manner (Helmreich, Klinect and Wilhelm, 2017). It can be
analysed that retail sector is ineffective in providing better quality of services which has incurred
dissatisfaction among customers.
In relation to this, Kano model can be used for achieving higher level of consumer
satisfaction in effectual way. This model is quite useful to retail sector to develop products and
attain customer satisfaction quite easily. There are five categories such as Must-be Quality, One-
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Illustration 1: Kano Model Source: uxness.com
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dimensional Quality, Attractive, Indifferent and Reverse Qualities. These five categories have
been developed in order to help company to attain customer satisfaction with much ease.
1.4 Preparation of project specification
Research type:
There are two types of research such as qualitative and quantitative one. Qualitative
research judges about various elements which are not expressed in numerical figures and as such,
not many data can be extracted as there are fewer facts. On the other hand, quantitative research
is quite useful as it takes numerical figures which provides clarity to attain research in effective
way. In this research, quantitative one is being used to identify factors that influence level of
customer satisfaction in Harrods. Dependent and independent variables have been used to
determine factors (Sharp, Peters and Howard, 2017).
Research approach:
There are various types of approaches that can be used to successfully conduct research.
In relation to this, deductive and inductive approach both are useful for studying research.
However, in this study, deductive one is taken to answer research questions formulated.
Research philosophy:
Research philosophies are also important part of research study. Mainly, interpretivism
and positivism are largely taken. Interpretivism means that small samples are taken and in-depth
analysis is consecutively performed. This philosophy is best suited when size of sample is less.
Positivism philosophy means that large samples are taken and quantitative approach can be
easily followed. Thus, to study impact of customer satisfaction and factors in Harrods, positivism
philosophy is taken for structured approach (Wang, H and et.al, 2017).
Data collection:
Mainly there are generally two types of collecting data such as from primary and
secondary sources. Data is gathered through survey, interview and focus group are primary
sources. In contrast to this, secondary data is already collected by previous researcher and is
available from books, journals etc. In this research, primary data is collected by taking sample of
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30 customers of Harrods with the help of questionnaire. Moreover, books and journals are taken
to gather data in the context of this study.
Sampling:
Taking survey from each and every customers is impossible and as such, sample of 30
customers is taken to assess the study and generate outcome in the best possible way.
Data analysis:
Data gathered is required to be analysed in effective manner and as such, for analysing
the same, thematic analysis is done. This means that various themes have been formulated in
order to carry out study in the best possible way. Themes have been made with the help of
questionnaire results and secondary data is also used to draft better understanding. In addition to
this, graphs are also produced for pictorial representation of data (Revelle, 2017).
Limitations of research:
Limitation of conducting this research is time. This is the main factor which impacts
evaluation of study. Thus, to overcome this limitation, Gantt chart has been prepared for
completing research within stipulated time.
Reliability and validity:
The latest data has been gathered from various sources, publications which are valid and
reliable source of information. Furthermore, references and citations have been made for
increasing authenticity of gathered data.
1.5 Producing plan and procedures for research specification
The plan will be taken by the researcher in order to complete activities or tasks within 20
weeks of time frame. Thus, for accomplishing activities, time frame is listed below-
Tasks
/ weeks
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
Producing
proposal
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Outlining aim
and objectives
of research
Literature
Review of
research
Techniques
selection
Primary data
collection
Data in
structured
manner
Assessing data
Findings of
research
Recommendati
ons to enhance
customer
satisfaction
Complying
with standards
Feedback for
implementing
changes
Lastly
submission
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Task 2
2.1 Matching resources to research hypothesis
Particulars (Research) Resources used
Various factors which influences level of
customer satisfaction
Books, articles and publications consisting of
customer satisfaction
Questions in Research Descriptive analysis is carried out such as
mode, mean and median.
Objectives of Research Questionnaire is being prepared with the help
of MS-Word
2.2 Research investigation with procedures
Questionnaire
Demographic Information
Name
1. Among these promotional tools, which attracts you the most towards Harrods for shopping?
Sales promotion
Advertisements
Television
Social media
2. Do you get attracted by discounts offered on weekends or holidays?
Yes
No
3. Do you agree that quality of goods and services were adequate?
Highly satisfied
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Satisfied
Neutral
Dissatisfied
4. Were store hours convenient to you
Store hours Highly Satisfied Satisfied Neutral Dissatisfied
Staff was
effective
Atmosphere was
good
5. Regarding satisfaction of needs
You found
everything
regarding your
needs
Highly Satisfied Satisfied Neutral Dissatisfied
Staff was
cooperative
Goods were
easily identified
Less time was
utilised
6. Among these factors, which one attracts you for purchasing goods?
Store environment
Staff cooperation
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High Quality of products
Branded goods
7. Do you agree that staff was ready to resolve your queries regarding purchases?
Strongly agree
Agree
Neutral
Disagree
8. Regarding speed of transactions
Counters were
quick and
efficient in
completing
transactions
Strongly agree Agree Neutral Disagree
Fast and quick
Cash counter
were aligned
Time saving and
accurate
9. Are you satisfied with pricing policy of Harrods?
Highly satisfied
Satisfied
Neutral
Dissatisfied
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10. Kindly provide your valuable suggestions in order to improve upon services for enhancing
your satisfaction level............
2.3 Record and collate data
Theme 1: Promotional tools helpful in attracting customers
Particulars Respondents Responses (in %)
Sales promotion 7 23.33%
Advertisements 8 26.67%
Television 5 16.67%
Social media 10 33.33%
Total 30 100.00%
Theme 2: Discounts offered in weekdays and holidays
Particulars Respondents Responses (in %)
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Yes 20 66.67%
No 10 33.33%
Total 30 100.00%
Theme 3: Quality of goods and services
Particulars Respondents Responses (in %)
Highly satisfied 8 26.67%
Satisfied 9 30.00%
Neutral 6 20.00%
Dissatisfied 7 23.33%
Total 30 100.00%
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Theme 4: Convenience of store hours
Store hours Highly Satisfied Satisfied Neutral Dissatisfied
Staff was effective 10 9 7 4
Atmosphere was good 8 7 10 5
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Highly satisfied Satisfied Neutral Dissatisfied
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
Responses (in %)
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Theme 5: Satisfaction of needs
You found everything
regarding your needs Highly Satisfied Satisfied Neutral Dissatisfied
Staff was cooperative 9 8 10 3
Goods were easily
identified 10 9 5 6
Less time was utilised 11 6 8 5
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Staff was effective Atmosphere was good
0
5
10
15
20
25
30
35
Dissatisfied
Neutral
Satisfied
Highly Satisfied
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Theme 6: Factors influencing purchases
Particulars Respondents Responses (in %)
Store environment 5 16.66%
Staff cooperation 7 23.33%
High Quality of products 10 33.33%
Branded goods 8 26.68%
Total 30 100.00%
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Staff was cooperative
Goods were easily identified
Less time was utilised
0
5
10
15
20
25
30
35
Dissatisfied
Neutral
Satisfied
Highly Satisfied
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Store environment
Staff cooperation
High Quality of products
Branded goods
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Theme 7: Effectiveness of staff regarding purchases
Particulars Respondents Responses (in %)
Strongly agree 10 33.33%
Agree 6 20.00%
Neutral 8 26.67%
Disagree 6 20.00%
Total 30 100.00%
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Strongly agree Agree Neutral Disagree
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
Responses (in %)
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Theme 8: Speed of completing transactions
Counters were quick
and efficient in
completing transactions Strongly agree Agree Neutral Disagree
Fast and quick 8 9 7 6
Cash counter were
aligned 9 5 10 6
Time saving and
accurate 8 11 6 5
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Theme 9: Pricing policy of Harrods
Particulars Respondents Responses (in %)
Highly satisfied 10 33.34%
Satisfied 7 23.33%
Neutral 7 23.33%
Dissatisfied 6 20.00%
Total 30 100.00%
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Fast and quick
Cash counter were aligned
Time saving and accurate
0
5
10
15
20
25
30
35
Disagree
Neutral
Agree
Strongly agree
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3.1 Enumerating research evaluation techniques
The research has been conducted with summative research evaluation method. This
research is quite effective when analysing data particularly in quantitative approach. This help
researcher to assess and identify answers to research questions drafted and provide clarity in the
best possible way. It is being analysed that results can be easily evaluated and interpretation can
be done with much ease. Using this technique, aims and objectives can be met by the researcher
(Ary, Jacobs, Irvine and Walker, 2018).
3.2 Interpretation of results
The research has been successfully conducted from the primary data collected. It can be
interpreted that customers are satisfied with the services and goods provided by Harrods. This is
evident from the fact that primary data collected through questionnaire provides clarity that there
is overall good satisfaction level of customers. The services provided by organization is good
enough. The staff of company is good as well in resolving out queries of customers while
purchasing goods. Moreover, social media is one of the promotional tool which help attract
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Highly satisfied Satisfied Neutral Dissatisfied
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
0.4
Responses (in %)
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consumers in better way. This implies that Harrods is quite customer-oriented as satisfaction
level is higher and as such, revenue is generated by the company in effective manner (Bernard,
2017).
Literature review highlights that customer satisfaction is required to be achieve by the
firm so that market share can be maximised in the best possible way. In addition to this,
customers become loyal towards brand and more goods are purchased by them. Growth of
company is achieved as targeted objectives are met in effectual manner. This means that
customer satisfaction is crucial to company in accomplishing set objectives quite effectually. On
the contrary survey results shows that pricing policy of Harrods is that 10 respondents are highly
satisfied, 7 are satisfied, 7 are neutral and 6 are dissatisfied which means that majority of
customers are satisfied. This shows that organization has good pricing policy as per the views of
consumers. Thus, it can be interpreted that customers are satisfied by the company.
3.3 Providing recommendations and conclusion
Conclusion
Hereby it can be concluded that research is required to be conducted in effective manner
so that factors can be easily extracted. The data collection technique such as primary and
secondary data is quite useful in gathering data in the best possible way. This help researcher to
easily find out answers of research questions in effective manner. In this context, Harrods is
being able to achieve its objectives as customer satisfaction is provided by it. This has helped
company to accomplish tasks in effectual way with the help of imparting better quality goods to
customers quite effectually. Customers are able to purchase goods and staff has been ready to
provide help and resolving their queries in the best possible way. Moreover, environment of firm
is good as well which has been main reason as customers are able to shop quite conveniently.
Furthermore, staff is also effective in providing out better services leading to enhanced customer
satisfaction. However, it is required that transactions should be completed quickly so that time
may be utilised and customers may be benefited by it. This will help company to further achieve
goals with much ease. This will inject more revenue to organization in the best possible way.
Recommendations
In consideration of findings of the research conducted, following recommendations may
be provided to Harrods in achieving customer satisfaction-
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Harrods should focus on quality of goods and services so that customers may be attracted
in better way. This will help organization to achieve market growth in effectual manner.
This is required so that revenue may be generated with much ease. It will have direct
impact on customers and satisfaction level will be increased up to high extent. This is
justified as satisfaction of consumers is related to quality of products offered by
company.
It is also recommended to Harrods that competitive pricing policy should be implemented
in order to gain customers attention. This will help company to generate profits by
enlarging customer base in the best possible way. If prices charged are more, then
customers will be attracted to rival offering same products at low prices. Thus, it is
required that company should implement competitive pricing policies.
Another recommendation to Harrods can be given is that it should use more promotional
tools in order to inject sales quite effectually. This is evident from the research that social
media has more impact on customers that lure them to buy products. In addition to this,
following more promotional and marketing techniques, firm will inject more sales and in
turn more revenue may be garnered in effective manner.
Task 3
4.1 Producing agreed format to present results to audience
Covered in poster
REFERENCES
Books and Journals
Ary, D., Jacobs, L. C., Irvine, C.K.S. and Walker, D., 2018.Introduction to research in
education. Cengage Learning.
Bernard, H. R., 2017. Research methods in anthropology: Qualitative and quantitative
approaches. Rowman & Littlefield.
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