Customer Satisfaction Towards Retailers

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Customer Satisfaction towards Retailers
ICA, ICA NÄRA and COOP FORUM

Author: Phuc Hong Lu Ian Grace.B. Lukoma Subject: Master Thesis in Business Administration 15 ECTS Program: Master of International Management Gotland University Spring semester 2011 Supervisor: Ph.D Bo Lennstrand

ABSTRACT In the midst of stiff and fierce competition and increased number of grocery retail outlets providing a variety of products, customers have become accustomed to patronizing multiple outlets. Retailers have recognized this trend and are of the view that customer satisfaction plays a role in the success of business strategies. Therefore it has become important for grocery retail stores to try and manage customer satisfaction. This paper was thus developed to investigate the satisfaction levels of customers in supermarkets. Data was collected from three supermarkets in Visby, Gotland. The study examined the importance of overall dimensions and specific elements of customer satisfaction towards the measurement of satisfaction levels. In addition, comparative analysis was conducted between the three relative grocery stores. Customer satisfaction levels were measured. The highest percentage of customers of the whole sample belonged to medium level of satisfaction. The statistical result concluded that customers of ICA Nära and customers of ICA were higher satisfied than those of Coop Forum. The results showed that customers felt satisfied with Location, Staff courtesy and Reliability of supermarkets as the top aspects that drive satisfaction while additional services were ranked lowest. Due to these results, the impact of these attributes on Customer satisfaction must not be underestimated. Keywords: Customer Satisfaction, Dimensions of Satisfaction, Customer Satisfaction Levels

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Contents
ACKNOWLEDGEMENTS .................................................................................................................................. V ABBREVIATIONS LIST .................................................................................................................................... VI LIST OF FIGURES ............................................................................................................................................ VII LIST OF TABLES ............................................................................................................................................... IX CHAPTER 1 ......................................................................................................................................................... 1 INTRODUCTION ................................................................................................................................................ 1 1.1 BACKGROUND ............................................................................................................................................. 1 1.2 PROBLEM FORMULATION ........................................................................................................................ 2 1.3 AIM AND OBJECTIVE ................................................................................................................................. 3 1.4 RESEARCH QUESTIONS ............................................................................................................................. 3 1.5 STRUCTURE OF THE THESIS .................................................................................................................... 3 CHAPTER 2 ......................................................................................................................................................... 5 LITERATURE REVIEW ..................................................................................................................................... 5 2.1 CUSTOMER SATISFACTION ...................................................................................................................... 6...
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