Research Project: Customer Retention at Hilton Park Lane London

This research project examines customer retention policies and satisfaction levels, using Hilton Park Lane London as a case study. The study investigates factors impacting customer retention and satisfaction within the hotel industry, exploring their interrelations and developing strategies for an effective customer retention policy. The research employs both primary and secondary data collection methods, including surveys from 40 respondents and qualitative data analysis techniques. The report identifies key factors such as employee well-being, service quality, and customer loyalty programs. The analysis reveals that customer satisfaction is strongly correlated with customer retention and that focusing on employee satisfaction can positively impact customer retention. The study concludes with recommendations for Hilton Park Lane London to improve its customer retention strategies, emphasizing the importance of employee satisfaction and post-service feedback. The report aims to provide actionable insights for the hotel to improve customer loyalty and business success.

Submission Front Sheet
Unit Title and Number: Research Proje0ct (Unit-4)
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TITLE: “To find out the customer retention
policy and satisfaction level. A case study of
Hilton Park Lane London.”

ABSTRACT
Present research project is based to study the various policies that can be used by
organisations to retain the employees for long time period. Employees play a crucial
role in success of an organisation so it is essential for every enterprise to keep them
satisfy in order to sustain in market for long run. Further, satisfaction of customers is
another most important element for a business enterprise to achieve success. It is
essential for all organisations working in hospitality sector to offer better and quality
services to its clients to satisfy them. Present study has been focused on the objectives
like To identify factors that impact on customer retention and level of satisfaction within
hotel industry. To examine the interrelations between customer retention and customer
satisfaction in hotel industry. To develop strategies for effective customer retention
policy that can be adopted by Hilton Park Lane London. Also the study conducted
survey from 40 respondents which is helpful to get the productive outcomes and growth.
In order to analyse study study has been taken qualitative data analysis techniques. At
the end of the segment. The final report is been recommend that the Hilton Hotel will
focus more about employees well being in order to retained company profit.
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Table of Contents
ABSTRACT....................................................................................................................................3
CHAPTER 1....................................................................................................................................5
Introduction ...........................................................................................................................5
Background of the organisation .............................................................................................5
Research aim..........................................................................................................................6
Research objectives................................................................................................................6
Rationale.................................................................................................................................6
CHAPTER 2....................................................................................................................................7
The literature review...............................................................................................................7
CHAPTER 3..................................................................................................................................10
Research Methodology..................................................................................................................10
Introduction..........................................................................................................................10
Data collection Procedures...................................................................................................10
Sampling ..............................................................................................................................11
TOPIC: Customer retention policy and customer satisfaction......................................................11
CHAPTER- 4.................................................................................................................................11
DATA ANALYSIS........................................................................................................................11
4.1 Thematic Interpretation..................................................................................................11
CHAPTER- 5 Recommendation & Conclusion ...........................................................................22
5.1 Conclusion......................................................................................................................22
5.2 Recommendation............................................................................................................24
REFERENCES..............................................................................................................................27
APPENDIX ...................................................................................................................................29
1. Time-frame.......................................................................................................................29
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CHAPTER 1
Introduction
Today, competition has become intense both at domestic and international level,
where in order to gain competitive advantage every company seek to gain high
retention of customers for longer period of time (Bowie and et. al., 2016). This would
help in earning high profitability as well as getting a strong position at competitive
marketplace. The present research is going to analyse the customer retention policy for
hotel industry and the level of satisfaction organisations can gain via offering better
quality of products and services. For this purpose, case analysis is done on Hilton Park
Lane London, to identify how respective organisation works on enhancing its customer
satisfaction.
Background of the organisation
Hilton Park Lane London is one of the branch of Hilton Hotel which is situated on
Park Lane in London. It has established in 1963, having 28 storeys including more than
453 rooms. Under UK Business Traveller Magazine, it is known as one of the best hotel
in UK that offers best quality of services to customers (Nankervis and et. al., 2016). Due
to one of the incident which was happened in 2011, that is a fire broke out in the kitchen
of this hotel. According to BBC news, that time more than 1500 guests were evacuated,

but with the help of fire-brigade, the fire was controlled and there were no major injuries
happened (Fire at Hilton Hotel in Mayfair tackled by London crews. 2011). But it had
threatened many travellers and tourists due to which, this hotel failed to gain retention of
them for longer period.
Research aim
This paper main aim is “To analyse how customer retention policy helps in
exceeding the satisfaction level of customers. A case study of Hilton Park Lane
London.”
Research objectives
 To identify factors that impact on customer retention and level of satisfaction
within hotel industry.
 To examine the interrelations between customer retention and customer
satisfaction in hotel industry.
 To develop strategies for effective customer retention policy that can be adopted
by Hilton Park Lane London.
Rationale
To increase research skills and enhance knowledge about policies made by hotel
industries to gain retention of their targeted audience, researchers have chosen the
present topic. For this purpose, they will use both primary and secondary research
techniques to gather relevant information on given topic. Furthermore, recommendation
for developing better policies to gain retention of customers will also be given to chosen
company.
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CHAPTER 2
The literature review
Factors impact on customer retention within hotel industry –
According to (Molly Galetto 2015), customer retention can be defined as a policy
or an action taken by a company to gain loyalty and retain its targeted audience for
longer period of time. In context with hotel industry, business of organisations dealing in
this sector are completely based on retention of their guests for longer period (What is
customer retention?, 2015). For this process, they generally take the concept of
customer loyalty and brand loyalty initiatives to influence guests towards services and
products. Traditionally, organisations in hotel sector focuses on expansion of business
only, but their concern is shifted towards customer retention which would help in earning
a number of benefits (Herjanto et. al., 2017). It includes engagement of customers with
business for long time, increase in productivity and performance of business for
enhancing their level of satisfaction, concern on development of skills and abilities of
staff members and associated people etc. All these process aid to increase reputation
and brand image of organisations.
As per the views of (Tag-Eldeen 2018), it has been analysed that there are
various factors that influence customer retention within hotel industry (Do you know the
factors that affect guest experience?, 2018). It includes cleanliness and hygiene, safety
and security measures, data protection, range of accommodation facilities, customer
services, relevant amenities, timely services and more.
Interrelationship between customer retention with customer satisfaction within
hotel industry -

According to (Urte Bakanovatie 2017), it has been determined that there is a high
correlation between level of satisfaction and retention of customers, within hotel industry
(Customer retention correlation with customer satisfaction in a hotel industry, 2017).
Decision of customers to stay at hotel or purchase its services again in future is highly
correlated with their satisfaction and experience they gained during stay. Therefore,
customer satisfaction is considered as most important factors which lead hotels towards
growth of business and success, by earning customer loyalty (Noone and McGuire,
2016).
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Strategies to develop customer retention policy–
According to Angela (Stringfello 2014), it has been identified that to develop
customer retention policy it is essential for hotels to identify why it’s guests are leaving
and attract towards other organisations (Customer Retention Strategies: 46 Experts
Reveal Their Top Tactics for How to Retain Customers, 2014). In context with Hilton
Hotel, after identifying the factors that affect negatively on customer satisfactions, it
needs to develop policies in order make improvement in business and faster better
relationship with its clients (Nankervis and et. al., 2016). Furthermore, this hotel needs
to solicit ideas of its loyal customers by taking their feedbacks and suggestions after
purchasing its services, for better improvement.

Different authors discuss different ways and strategies of improving customer retention.
According to (Terblanche, 2015)rewards to potential customers is the best strategy and way of
attracting new customers as well as retain existing customers. It is stated already that customers
who get special services and rewards they are more likely to retain within an organization for the
long run. It makes them feel respected and valued when the company give them proper attention
to them (Cook, 2017) said that feedbacks is the best strategy which can help the company in
accomplishing their goals by satisfying their customers. Feedback is the way of knowing more
about customers on which basis the hotel can perform their further functions. There are several
hotels whose main aim is to satisfy their customers and for that they give them excellent
services, but they do not follow up them after service. Post service and with the help of feedback
company can give them proper attention and also improve their services on the basis of reviews
given by customers. Some other tools can also be used as like strategies of customer retention
and satisfaction as well.
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CHAPTER 3
Research Methodology
Introduction
According to (Tag-Eldeen 2018), research methodology can be defined as a
procedure of gathering information, arranging and analysing the same, to obtain desired
outcomes for completion of objectives successfully.
Research Approach : Research approach is the method of research which
conduct study into two methods distinctive point of view or from inductive manner. In
other words, there are two method of research approach deductive and inductive
research approach. Deductive approach is concerned with developing a hypotheses
which is based on existing theories. Besides, inductive starts with observation and
reasoning. Present study has been taken Inductive approach method.
Research philosophy : Research philosophy is a vast topic under study has
been conducted in detailed way. There are two method of research philosophy
Interpretivism or Positivism. Interpretivism is the method which involves the participation
of human. It assumes that access to reality is only through social constructions such as
language consciousness. Besides, Positivism philosophy is conduct study in precise
manner. So in order to conduct this study researcher has been taken Interpretivism
method.