Factors Influencing Customer Retention Towards Room Services

Topics: Hotel / Pages: 16 (3916 words) / Published: Apr 17th, 2012
1.0 INTRODUCTION

In managing the business which provides pure services to the customer, company need to ensure that the service delivered is meeting with expectation and satisfied the customer. The quality of services is considered to be a critical success factor for the service companies. Service is close conceptual as well as empirical link to customer satisfaction turned it into the core marketing instrument, making it the most researched area in services marketing (Fisk et al., 1995; Bolton et al., 2000). In addition, the accumulated research has linked positively the service with profitability (Fornell, 1992). It is very important to retain the customer. But, nowadays, the service provider needs to identify other factors that lead to customer retention rather than provide a quality service. On this study, researcher has chosen Swiss Inn Sungai Petani as a base company to do research on factors that influencing customer retention, and downsize the study into room services. According to the current situation, there are some factors recognized which have influence to the customer retention. There are customer satisfaction, customer trust, and product value. Currently, Swiss Inn Sungai Petani on their way for maintaining and retaining their present and existing customer. For information, over than 70% income of Swiss Inn Sungai Petani comes from the government and private function, while the rest from other customer. The problem or issue was come out after much consideration regarding the current situation face by Swiss Inn Sungai Petani. As we know, the economic condition of our country is quite not good nowadays. In addition, there are some other factors such as instability political situation, many competitors, and so on. As companies that provide service as main output to bring profitability, customer retention is very important.

Swiss Inn Sungai Petani plan offering comfortable yet elegant accommodation and quality service, this fully

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