CUSTOMER CARE AND CUSTOMER SATISFACTION IN HOTELS A CASE .
CUSTOMER CARE AND CUSTOMER SATISFACTION IN HOTELSA CASE STUDY OF SHERATON HOTELBYNATUHWERA CHRISTINE07/U/13737/EXTSUPERVISOR: MR. TIBAINGANA ANTHONYA RESEARCH REPORT SUBMITTED TO MAKERERE UNIVERSITY IN PARTIALFULFILLMENT OF THE REQUIREMENT OF THE AWARD OFA DEGREE OF BACHELOR OF COMMERCEJULY 2011
DECLARATIONI, Natuhwera Christine hereby declare that customer care and customer satisfaction in hotels isentirely my own original work and has never been presented for any award of degree in anyother institution of learning.Date Signature .NATUHWERA CHRISTINEii
APPROVALThis research report has been submitted for examination with my approval as the candidates’University supervisorDate .Signed Supervisor: Mr TIBAINGANA ANTHONY.iii
DEDICATIONI dedicate this report to my beloved parents Mr & Mrs Mugumya Kelethiv
ACKNOWLEDGEMENTI thank God the almighty for the strength, knowledge and good health throughout my studies.I thank my supervisor Mr. Tibaingana Anthony for his inspiring efforts in guiding me throughthe course of producing this dissertation. I wish to acknowledge his interest, encouragement andtask of scrutinizing this report.I also acknowledge the tireless efforts of my parents Mr and Mrs Mugumya Keleth for laying afoundation in my academic endeavors.I would also like to acknowledge my sisters Carol, Prisca, Justine, Melody and Brothers Ronnieand Rogers who have provided me with all the support that I needed to excel in my academics.Thank you so much for your love, care and encouragement.I wish to thank all of my friends for they have been there for me in all circumstances and I alsowish to acknowledge my course mates for all the discussions, and every moment we sharedtogether, I will forever be grateful to you all.v
TABLE OF CONTENTSDECLARATIONiiAPPROVAL . iiiDEDICATION .iiivACKNOWLEDGEMENT . ivLIST OF TABLES . vLIST OF FIGURES . viABSTRACT. viiCHAPTER ONE . 1Introduction. 11.1 Background of the study . 11.2. Statement of the problem . 41.3. Purpose of the study . 41.4. Objectives of the study . 41.5. Research questions . 41.6. Scope of the study . 41.6.1. Subject scope . 41.6.2. Geographical scope . 51.6.3. Time scope . 51.7. Significance of the study . 5CHAPTER TWO . 7LITERATURE REVIEW . 7Introduction. 72.1 Customer care concept . 7vi
2.2Justification for quality customer service. . 82.3Facts about customer care . 112.4 Benefits of customer care . 112.5 Benefits of giving staff customer care focus . 122.6Attending to customer complaints . 122.7 Concept of customer satisfaction . 142.8 Conceptual framework for customer satisfaction philosophy. . 142.9. Components of customer satisfaction . 162.10. Customer satisfaction model. . 172.11 Relationship between customer care and customer satisfaction . 182.11.1Customer care as a means of customer satisfaction . 182.11.2 Fostering customer opinions as a means of customer Satisfaction . 182.11.3 Customer care as a means of business survival. . 182.12. Conclusion . 19CHAPTER THREE . 20METHODOLOGY . 20Introduction. . 203.1 Study design . 203.2 Study population . 203.3 Sampling methods . 203.4 Sample size. 203.5 Data source . 213.6 Data collection methods. . 213.8.2 Data Analysis. . 22CHAPTER FOUR . 23vii
PRESENTATION AND DISCUSSION OF FINDINGS . 23Introduction. 234.1. Findings on the demographic characteristics of the respondents . 234.2. Findings on customer care strategies . 274.3 Findings on customer care services. . 304.4 Findings on the relationship between customer care and customer satisfaction. 34CHAPTER FIVE . 36SUMMARY OF FINDINGS CONCLUSION, RECOMMENDATIONS AND AREAS OF FURTHERSTUDY . 36Introduction. 365.1 Summary of findings. 365.1.1 Findings on customer care activities offered by Sheraton hotel . 365.1.2 Findings on the level customer satisfaction . 365.2 CONCLUSIONS . 375.3 RECOMMENDATIONS . 375.4. Areas of further research . 39References . 40Questionnaire . 42viii
LIST OF TABLESTable 1: Years spent working at Sheraton. . 26Table 2: Customer strategies . 28Table 3:Relationship between customer care and customer satisfaction . 29Table 4: Cordinatoin between top management and customer care department . 30Table 5: Responses on customer care service priority . 32Table 6: Frequency of visits to Sheraton hotel . 33Table 7: Employees aspects in provision of customer care at Sheraton hotel . 34Table 8: Customer care services offered at Sheraton hotel . 35Table 9: Customer care services offered at sheraton hotel. . 36Table 10: Level of customer care satisfaction . 38Table 11: Correllation Coefficient between customer care and customer satisfaction . 38ix
LIST OF FIGURESFig 1: Showing Gender of the respondents 23Fig 2: Showing Age bracket of the respondents 24Fig3: Showing Education level of respondents .25Fig 4: Showing Marital Status .25Fig 5: Showing Religious affiliations .26Fig 6:Showing responses to whether activities at sheraton hotel ensure customer caresatisfation .29Fig 7: Showing Customer care description 33x
ABSTRACTThe study was intended to investigate the relationship between customer care and customersatisfaction in the hotel industry a case study of Sheraton hotel. The objectives of the study wereto examine to examine customer care strategies used by Sheraton hotel, to establish the customercare service level at Sheraton hotel, to examine the relationship between customer care servicesand customer satisfactionTo achieve the above objectives, the researcher collected primary data and secondary data. Theresearcher used descriptive analysis and SPSS and used a sample of 100 respondents, 50 hotelcustomers and 50 Sheraton hotel employees who were selected using purposive sampling andsimple random technique. The research findings showed that customer care services andactivities at Sheraton hotel are generally good. Activities such as parking space, security, frontdesk services, hotel guides, and customer attention services increase customer care satisfaction.It’s concluded that there exists a strong relationship between customer care and customersatisfaction. It’s recommended that employee motivation and employee training should beincreased to improve customer care services and so customer care satisfactionxii
CHAPTER ONEIntroductionThis chapter presents the background of the study, statement of the problem, purpose of thestudy, objectives of the study, research questions, scope of the study and the significant of thestudy1.1 Background of the studyCustomer care was defined by Kotler (1998) as a service that one can offer to another which isessentially intangible and does not result in the ownership of anything but brings about customerdelight and satisfaction. In other words, customer care is a service that seeks to acquire newcustomers, provide superior customer satisfaction and build customer loyalty. As times changeso do customers care aspects. The hospitality industry is one that is constantly undergoingchange and because of this, the customer care service programme must be kept constantlyupdated as well.Customer care services in organization include reliable services, security, parking space, frontdesk services, attractiveness, speed in service delivery, after sales services, customer attentionand sensitivity to their needs, honesty, and good attitude towards customers. Customer careservices are focused on making the customer comfortable, creating memorable interaction in theminds of the customers and making them feel better, satisfied than they were before thetransaction and stimulate customer retention. The motive of any business is to create and servetheir customers, but the biggest challenge is how to satisfy them for the life time of a businessBusinesses should always look for ways to serve their customers more than they expect. In doingso, it helps them to know you care and it will leave them with the feel “Feel Good Factor”.1
Customer care plays an important role in an organization’s ability to generate income andrevenue therefore customer care should be included as part of an overall approach to systematicimprovement. A customer service experience can change the entire perception a customer has ofthe organization.Customer care includes putting systems in place to maximize customers’ satisfaction with thebusiness. It should be a prime consideration for every business because sales and profits dependon keeping customer happy. Customer care is more directly important in some roles than others,for receptionist, sales staff and other employees in customer facing roles, customer care shouldbe a core element of their job description and training a core criterion when you are recruiting.A huge range of factors can contribute to customer satisfaction but customers both consumersand other business are likely to take into account the following;How well your service matches to customer needsHow well you keep your customers informedThe professionalism, friendliness and expertise of your employeesThe after sales service you provide.Customer satisfaction is a measure of how products or services supplied by a company meetcustomer expectations. It refers to the extent to which customers are happy with the products andservices provided by a business. Gaining high levels of customer satisfaction is very important toa business because satisfied customers are likely to be loyal, make repeated orders and use awide range of services offered by a business.2
The need to satisfy customer for success in any commercial enterprise is very obvious. Theincome of all commercial enterprises is derived from the payments received for the products andservices to its external customers. Customers are the sole reason for the existence of commercialestablishments. For customer satisfaction, it is necessary to establish and maintain certainimportant characteristics like quality, fair prices, good customer handling skills, efficientdelivery and serious consideration of customer complaints.The best way to find whether customers are satisfied is to ask them. What you ask the customersis important and how when and how often you ask these questions is also important. However,the most important thing about conducting a customer satisfaction survey is what you do withtheir answers.Sheraton Hotel also emphasizes good customer care services and has established a customer caredesk for its customers demand and guidance. The hotel has a customer care service policy thatcaters for customer activities. The activities for which the policy was designed include efficientand timely delivery of services, hotel guides, security, customer attention, parking space, 24 hourfront desk services, sensitivity and attention to customer needs. However, with the existence ofall efforts to ensure the best services for its customers, the hotel continues to lose customers to itscompetitors like Serena and creation of new customers is below target. (Report by AnnaMugenyi,Marketing manager in 2009). The Report revealed that, the customers have complainedof high prices for accommodation and customer neglect. This situation has led to customerdissatisfaction and as a result, they are shifting their demands and loyalty to other organizationsproviding similar services in a manner that meets their expectations.3
1.2. Statement of the problemThe Hotel industry is characterized by presence of many hotels which present a wide range ofcustomer care services to their customers. Customer care is considered as a major tool forcustomer satisfaction (Kotler 1998).However, Sheraton Hotel is still not perfect at certaincustomer care service for example in 2005 number of customers reduced from 70 percent to 65percent in aspects and has not made it on international standards hence cannot fully competewith other hotels on both local and international scene. This made it necessary for immediateintervention to save the hotel from losing its customers.1.3. Purpose of the studyThe study is aimed at establishing the relationship between customer care and customersatisfaction in the hotel industry a case study of Sheraton hotel.1.4. Objectives of the study(I)To examine customer care strategies used by Sheraton hotel(II)To establish the customer care service level at Sheraton hotel(III)To examine the relationship between custome
The hotel has a customer care service policy that caters for customer activities. The activities for which the policy was designed include efficient and timely delivery of services, hotel guides, security, customer attention, parking space, 24 hour front desk services, sensitivity and attention to customer needs. However, with the existence of
Customer satisfaction has identified as an important influencer on customer loyalty. Further, customer trust impacted by customer satisfaction which proved that customer satisfaction is an antecedent of customer trust. Moreover, an indirect relationship between customer satisfaction and loyalty through customer trust was observed.
of satisfaction and quality, i.e. if one perceives quality and customer satisfaction as a process (cf. Deming, 1982). Consequently, technical and moral quality affect customer satisfaction, while the manufacturer can determine the level of customer satisfaction and respond via product innovations to ensure even greater customer satisfaction. By .
strategies and customer satisfaction. ii. Ho 3b - There is no statistical significant relationship between honest complaint resolution strategies and customer satisfaction. LITERATURE REVIEW Concept of Customer Satisfaction Customer satisfaction refers to a person's satisfaction with a product, a service, or a supplier (Terpstra
Summarize degree of satisfaction (overall and by subgroups) Compare satisfaction (or performance) to some standard Expectations Ratings of competitors Analyze determinants of satisfaction Overall satisfaction as a function of satisfaction with particular components of satisfaction
the words "evaluation" and "opinion", and satisfaction with the word "feeling". Customer satisfaction can be experienced at the specific encounter level or at an overall level of satisfaction. Service encounter satisfaction is the customer's satisfaction or .
customer satisfaction correlated positively with customer satisfaction. Badara, et. al. (2013) states the importance of customer satisfaction as it is a significat predictor to customer loyalty. In the airlines area, airline companies have recently realized the importance of customer satisfaction to find themselves in this competitive world.
T B R 4 4Q14 TBR — x86-based Servers Customer Satisfaction Study 2015 Technology Business Research Inc. Dell HP IBM Sales Satisfaction Index 72.5 71.2 72.9 Product Satisfaction Index 76.3 76.9 75.2 Service Satisfaction Index 73.4 71.3 72.8 Loyalty Index 86.3 84.0 80.8 Importance Multiplier 99.4% 99.9% 100.7% TBR Weighted Satisfaction Index 74.9 74.2 74.8 .
Customer Satisfaction Survey 2013 Report by Andrew Dyer (CERU) C2 East, DVLA Executive Summary The overall customer satisfaction rating was 87% this is 6% lower than 2012. Customer satisfaction for Drivers is 82% and for Vehicles it averages at 88%. The lowest satisfaction result was for personalised registrations at 62%
