Service Quality Impact on Sainsbury's Customer Satisfaction Project

This research project investigates the impact of service quality on consumer satisfaction within the retail industry, specifically examining Sainsbury's. The project begins with a research proposal outlining the background, factors influencing the study, a literature review, research questions, and an implementation plan using a Gantt chart. The research aims to understand the concept of service quality, analyze factors affecting customer satisfaction, examine the impact of service quality, and recommend improvements. Data analysis involves both qualitative and quantitative methods, including thematic analysis of questionnaire responses. Key findings reveal a positive relationship between service quality and customer satisfaction, with consumers reporting positive shopping experiences and satisfaction with Sainsbury's employees and service quality elements such as price, product range, and customer service. The project concludes with recommendations for Sainsbury's to enhance service quality, potentially through techniques like TQM and improvements to retail outlets and its website, to further increase customer satisfaction and loyalty, and gain a competitive advantage. References and appendices are included to support the research.

RESEARCH
PROJECT
'To identify the impact of service quality on consumer satisfaction in
retail industry: A study on Sainsbury”

TABLE OF CONTENTS
TASK 1 RESEARCH PROPOSAL.................................................................................................3
Title.............................................................................................................................................3
1.1 Formulate and record of possible research project outline and specifications .....................3
1.2 Factors which contribute to process of research project and motivated to choose topic .....3
1.3 Literature Review .................................................................................................................4
1.4 Research Questions ..............................................................................................................4
1.5 Implementation of plan ........................................................................................................4
TASK 2............................................................................................................................................5
2.1 Matching the resources with formulated research questions ................................................5
2.2 Carrying out research as per agreed specification ................................................................8
2.3 Keeping the record of the collected data ............................................................................10
3.1 Description of the method which is used to analyse the collected data .............................12
3.2 Analysing the data and interpreting the results ..................................................................12
3.3 Conclusion and recommendation .......................................................................................13
TASK 3..........................................................................................................................................14
Covered in PPT.........................................................................................................................14
REFERENCES...............................................................................................................................15
APPENDIX....................................................................................................................................17

TASK 1 RESEARCH PROPOSAL
Title
To identify the impact of service quality on consumer satisfaction in retail industry: A
case study on Sainsbury
1.1 Formulate and record of possible research project outline and specifications
Background of study
Service quality plays a crucial part in the success of enterprise. This concept has got
importance since the time customers have become more conscious regarding the products and
services, which they are using. Moreover, consumers having significant position in the business
operations of organisation and they make necessary changes in the functioning so that the needs
and demands of customers gets satisfied in a cost effective manner. Product based firms usually
make continuous change in their products, so that they will be able to increase their customer
base and gain their loyalty towards the merchandise.
Undertaking the present scenario into consideration, this research has been done to
identify the impact of service quality on consumer satisfaction in retail industry: A case study on
Sainsbury. However, there are various retail ventures, which are in competition within UK
market and they try to seek competitive advantage over each other. With this, they will be able to
enhance their brand image, profitability as well as market share. Furthermore, with the economic
growth within the nation, their exists development of knowledge among customers and they are
aware of the products which they are using. With this, it has become utmost important for retail
ventures to increase the satisfaction level of the consumers.
1.2 Factors which contribute to process of research project and motivated to choose topic
The rationale of the study emphasise on impact of service quality on consumer
satisfaction. Consumers usually get dissatisfied when they do not get good services from the
enterprise. Taking this aspect in their mind, they tend to have wrong perception towards the
venture and they focuses on switching the brand or venture to satisfy their needs and demands in
effective manner. It is necessary for organisation to take this fact and plan activities so that
customers get maximum satisfaction and they become loyal towards the enterprise products.
Sainsbury is one of the most renounced name in the retail sector of UK where firm emphasise on
satisfying the needs and demands of customers in effective manner.

1.3 Literature Review
By taking the help of various books, journals and online sources, critical evaluation of the
current topic has been done. From the viewpoint of Komunda and Osarenkhoe (2012) there is a
huge influence of the service quality on consumer satisfaction. This is because when the quality
of products is not delivered to the customers, then they will no longer accept the product no
matter whether it is low in cost. Apart from it, if the customers like the quality of products and
are in utmost need of the same, then surely they will be ready to pay higher price for the same as
well. Anderson and Swaminathan (2011) also supported that their exists stiff competition
nowadays in the retail sector and firms are seeking competitive advantage over each other. In
relation to it, many firms have also started online services so that needs and demands of
customers are satisfied in an effective manner.
Research aims and objectives
The main aim of the study is to analyse the impact of service quality on consumer
satisfaction: A study on Sainsbury. Therefore, on the basis of this topic, some objectives have
been framed and these are:
 To understand the concept of service quality in retail sector
 To analyse factors which influence customer satisfaction in retail sector
 To examine the impact of service quality on consumer satisfaction in retail sector
 To recommend measures for enhancing service quality for improving customer
satisfaction in retail sector
1.4 Research Questions
On the basis of research objectives, some research questions have been developed as it
will assist in conducting research in appropriate manner. These questions are as follows;
 What is the importance of service quality in Sainsbury?
 What are the factors which affect customers satisfaction in Sainsbury?
 What are the major impacts of service quality on consumer satisfaction in Sainsbury?
1.5 Implementation of plan
The above study will be considered as more effective when it gets completed within right
time period. Further, to effectively analyse the progress of the study, Gantt chart method has
been implemented. By taking the above approach into consideration, researcher of the study will
be able to set specific direction of the study and will be able to complete the research within

specific time frame. The plan for the completion of research project has been discussed down
under:
Task / Duration in week 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16
Choosing the topic
Preparation of project
Framing aims and objectives
Performing historical research
Research methodology
Conducting primary research
Data Analysis
Evaluation of result
Conclusion and
Recommendation
Submission of Draft
Submission to Tutor

TASK 2
2.1 Matching the resources with formulated research questions
In this section, a detailed analysis is been done on the present topic which is taken for the
study. The information which is undertaken for making study successful is from various books,
journals as well as the online sources. Moreover, for making this research more effective,
contribution of different scholars and researchers is considered so that the topic is been
understand at a broader level. Apart from it, on the basis of above stated objectives, following
themes has been framed.
Concept of service quality in the retail sector
According to Gonçalves and Diniz (2015) service quality can be defined as achievement
in customer service. A business venture rendering high service quality will fulfil the customers
needs effectively and will remain economic competitive as well. The measurements of important
aspects of customer service usually depends on conformity benefit with the perceived results.
This thing in opposite results into customers expectations in relation to service. Successful
business firm does not only give quality of services to their customer base, but also delight and
surprise them through different means. Delighting a customers means resulting into higher
expectations from the customers. This will help Sainsbury to make a large customer base towards
the products they render. Significantly it will improve their revenue, turnover, productivity and
brand image as well.
From the view point of Orel and Kara (2014) service quality plays a crucial role and retail
ventures have to understand that what customers are in need of. Selling the products which
satisfy the customers need will help them in making a loyal customer base towards the products.
Measuring the service quality includes both subjective as well as objectives processes. In both
the process, the major emphasis is given on the customer satisfaction towards the products.
However, Yuksel, Yuksel and Bilim (2010) argued that customer satisfaction is one of the
indirect measure of the service quality. Moreover, employees working at the front office, sales
person, etc. plays an effective role in improving the service quality. Their behaviour towards the
employees and the way of interacting with them is considered as a major objectives objectives of
improving the service quality in cited firm (A measure of service quality for retail stores: Scale
development and validation, 1996). The employees of Sainsbury are multi-skilled and talented

who works with best of the efficiency to achieve their individual and organisational goals and
objectives.
Factors influencing consumer satisfaction in retail sector
According to Bayraktar and et.al (2012) service quality and consumer satisfaction has
gained considerable attention in the academic literature and the results of the same has depicted
that service quality and customer satisfaction are independent from one another. However, it is
found that they both are closely related and the increase in one results into increase in another
variable. Further, consumer satisfaction is considered as a part of the marketing term which
includes how the product and services are rendered by the enterprise to meet the satisfaction
level of the consumers. Satisfaction of individuals is also a base for improving functioning of
business venture. Carraher (2011) also supported that customers are king of the market and they
get satisfied when they get quality of product at affordable price. Promotion is also considered as
one of the measure to develop merchandise in the eyes of consumers. If products satisfies the
needs and demands then they will become loyal customer base for the venture.
Komunda and Osarenkhoe (2012) stated that there are some major factors which manager
of Sainsbury has to take into consideration in order to satisfy customers. There need to be
friendly and helpful employees so that each and every description of the product is given to
Illustration 1: Customer satisfaction
(Customer satisfaction. 2016)

customers. Quick service and accuracy in billing is another parameter which need to be
considered at the time of rendering services in the retail sector (Relationship between service
quality and customer satisfaction, 2006). This is because consumers do not like to wait for long
time period and if they are affected by the same, then they will try to switch the brand or venture
for purchasing.
Impact of service quality on consumer satisfaction
According to Mahamad and Ramayah (2010) there exist a positive relationship between
service quality on consumer satisfaction. If service quality is high, then more of the customers
will attracted towards it and firm will have more loyal customers towards the venture. On the
contrary side, if the service quality is beyond the standard, then firm will loose their existing
consumers as well and the rival firm will get the competitive advantage in the dynamic business
environment. Thus, it is important for Sainsbury to improve the service quality by giving prior
training and development to their existing employees. This will enhance some of the skills in
workers and they will be able to work with best of their efficiency and dedication to achieve their
desired targets.
Lee and Kim (2014) also stated that Sainsbury has a large base of customers and they are
giving stiff competition to major retailers who are working in the same industry. Improved
performance in service quality will lead towards achievement of organisation goals and
objectives. Moreover, cited firm sale their products through the way of online selling as well.
This assist them in making a large base of the customer which will improve their efficiency and
productivity. Cited firm majorly focuses on this aspect only and wants that their customers have
wonderful experience with the service and product they get.
2.2 Carrying out research as per agreed specification
Research methodology have significant importance and this helps researcher to met the
objectives of the present report. This section generally has critical importance with the study
because with it, scholar will be able to make correct plans and can also walk on the right path to
make significant progress. There are various methods which are considered in this section and
the description of the same has been discussed down under: Research design: Research design is treated as most important part of the study because it
entails about the topic and the study is done to perform the topic in effective manner. By
undertaking suitable research design, researcher will be able to solve the problems which

is identified (Friese, 2012). This present study focuses on identify the impact of service
quality on consumer satisfaction in Sainsbury. For this, descriptive research will be more
appropriate. With this, researcher will also be able to explore more of the topics which is
linked with the present study. Research philosophy: Research philosophy is treated as a belief regarding way of
assembling the data for the present study in effective manner. This study gives reflection
towards the author's assumptions and these assumptions are usually taken into
consideration for making a systematic plan for the present study. The research philosophy
is generally of two types and these are positivism and interpretivism. For the present
research, interpretivism philosophy will be taken into consideration (Akujuru and
Enyioko, 2014). Here, researcher takes measures for gaining answers to assess the
research problem in more effective way. Data collection: Data collection is a important tool which is used for collecting relative
information for the subject matter. The two main sources of collecting data are primary
and secondary sources. For the present study, researcher can focus on primary collection
of data as the best option (Jackson, 2010). With the help of questionnaire, researcher will
be able to collect the relative information more specifically and precisely. Further,
interaction with customers will also be done for the same. Sampling: Sampling is a technique where number of participants is restricted and the data
is obtained in clear and specific manner. Further, the researcher cannot do the whole
study of the population and it is necessary for him/her to take accurate decision with the
sample of the study. Technique which will be used for the present study will be the
random sampling and with it service quality and consumer satisfaction will be identified.
For the research, 60 customers have been selected for random sampling and questionnaire
will be given to them so that they can fill it accordingly. Ethical consideration: Scholar is required to give major consideration to number of
ethical aspects which are linked with the present study. However, lack of interest of
individual will lead towards affect in particular results (Kumar, 2005). However, the
researcher of the study has followed the ethical aspect and also communicated the aims
and objectives of present study to the customers who are taken for research. Further, the
information which is so obtained by the customers is kept confidential and the

questionnaire will be kept confidential and will be used for the purpose of research study
only.
 Research limitation: One of the major restriction of the study is connected with the time
and money aspect. Moreover, a limited amount of time is assigned to the scholar in order
to complete the study (Chapman and McNeill, 2004).
2.3 Keeping the record of the collected data
Following are the interview questions which have been framed with an objective to take
effective response from the respondents who are linked with the present study:
Theme 1:
How often do you shop from Sainsbury?
Once a week 25
Twice a week 12
Once a month 21
Rarely 2
Theme 2:
How convenient your shopping experience is with the service given by Sainsbury
employees?
Excellent 22
Once a week Twice a week Once a month Rarely
0
5
10
15
20
25

Good 20
Average 12
Below Average 3
Not Good 2
Theme 3:
Are you contented with the information so provided by the sales person?
Yes 52
No 8
Theme 4: How the quality of services within Sainsbury can be rated on following satisfaction
level?
Excellent
Good
Average
Below Ave...
Not Good
0 5 10 15 20 25
87%
13%
Yes
No

Factors Price Range of products Customer service Reliability Discounts
Excellent 25 22 20 17 23
Good 20 18 22 20 18
Average 10 14 13 14 15
Below Average 3 3 3 5 3
Not Good 2 3 2 4 1
3.1 Description of the method which is used to analyse the collected data
Data analysis for the present study will be done as per the response which is obtained by
them manually. This data is one of the most important part of the study and it will really help the
scholar to make a meaningful conclusion. Further, for collecting the data, qualitative and
quantitative are the two major aspects which researcher will be taking into consideration.
Moreover, thematic analysis will be done which will be made on the basis of different
questionnaire.
3.2 Analysing the data and interpreting the results
Theme 1: Once a week consumer prefer to shop from Sainsbury
Interpretation: From the research, it has been found that customers having a good shopping
experience from Sainsbury and around 25 respondents said that they do shopping from cited firm
once in a week. The other response for twice a week, once in a month and rarely were 12, 21 and
22 respectively. Further, it also shows that each and every consumer has purchased something
from Sainsbury.
Theme 2: Consumers have excellent shopping experience with the services given by Sainsbury
employees
Excellent
Good
Average
Below Average
Not Good
0
5
10
15
20
25
Price
Range of products
Customer service
Reliability
Discounts