Customer Satisfaction

Only available on StudyMode
  • Download(s) : 115
  • Published : December 13, 2012
Open Document
Text Preview
1. INTRODUCTION

Tutti Frutti is from the The Naza Group. It has many branches in Malaysia, Singapore, Cambodia, Brunei, Thailand, Middle East and African countries. It’s incorporated in October 2009, with first outlet in Sunway Pyramid. Within 3 months, we have expanded with the opening of another 4 more corporate outlets and a distribution center. It’s originated from California and is spread across more than 24 countries worldwide. That’s why Tutti Frutti has become a worldwide sensation.

For this assignment, we chose Tutti Frutti in Cyberjaya outlet. The owner of this outlet Amru Najmi Osman, It’s incorporated in July 2011, with 8 flavors that are Original, Death by Chocolate, Vanilla, Strawberry, Peach, Pomegranate, Kiwi and Red Velvet. Every month they will change the flavor, at least one flavor to attract the customers.

Customer satisfaction is perceived as being a key driver of long-term relationships between suppliers and buyers (Geyskens et al., 1999; Woodruff and Flint, 2003), as it is positively related to customer loyalty (Johnson et al., 2001; Lam et al., 2004) and customer profitability (Zeithaml, 2000; Helgesen, 2006). Since satisfied customer is the core concern of any organization therefore they pay close attention toward the factors that influence a customer’s decision towards brand.

The main purpose of this research study was to investigate the key variables that are having strong influence on customer satisfaction in food and beverage industry and influence purchasing decision of customers. This study has considered the three main important factors as pricing, Convenience and Construction quality to know its effects on customer satisfaction. The food & beverage industry is usually defined by its output of products, to satisfy the various demands of food & drinks of people. But it doesn’t include the manufacturing of food & drink and its retailing. Service firms focus on achieving customer satisfaction by delivering superior value, an underlying source of competitive advantage (Woodruff, 1997). For service firms the challenge is identifying the critical factors that determine customer satisfaction. For the service industry, the cost of developing a new customer is at least 5 to 9 times the cost to maintain an old customer (Raphel and Raphel, 1995). Besides, how to enhance customer satisfaction will be the important factor that impacts the operating performance of the food retailer.

2. LITERATURE VIEW

1. LITERATURE

The primary task of a corporation is to create customer satisfaction. In recent times, customer satisfaction has gained new attention within the context of the paradigm shift from transactional marketing to relationship marketing (Grönroos, 1994; Sheth & Parvatiyar, 1994), which refers “to all marketing activities directed toward establishing, developing, and maintaining successful relational exchanges” (Morgan & Hunt, 1994, p. 22). Profit is not the most important result; after all, it is only the feedback after satisfying the customer (Drucker, 1954). Customer satisfaction is regarded as customers can get more benefits than their cost (Liu and Yen, 2010). Different scholars’ definitions for customer satisfaction can be summarized as follows: Oliver (1981) thinks that customer satisfaction is the comments made by the surprising experience of product obtainment or consumption. Fornell (1992) pointed out that customer satisfaction is the overall measurement after a customer has purchased the product or used the service. It is the overall attitude created based on experience, which is the comparison of before (expectation) and after (feeling) the customer received the service (product). Customer satisfaction is actually how customer evaluates the ongoing performance (Gustafsson,...
tracking img