Contents
Chapter 1 Introduction..................................................................................................................5
1.1 Background and Statement of the Problem......................................................................5
1.2 Purpose of the Study...................................................................................................................8
1.3 Importance and Scope of the Study...................................................................................11
Chapter 2 Literature Review.....................................................................................................12
2.1 Customer Satisfaction..............................................................................................................12
2.1.1 The Concept and Importance of Customer Satisfaction.........................12
2.1.2 Means to Attain Customer Satisfaction..........................................................13
2.1.3 Measurement of Customer Satisfaction.........................................................15
2.2 Customer Retention..................................................................................................................17
2.2.1 The Concept and Importance of Customer Retention.............................17
2.2.2 Means to Attain Customer Retention.............................................................18
2.2.3 Measurement of Customer Retention............................................................20
2.3 Hotels and Customers..............................................................................................................22
2.3.1 Different Types of Hotels.....................................................................................22
2.3.2 Customer Satisfaction and Retention in the Hotel Industry.................24
2.3.3 Means to Satisfy and Retain Customers........................................................26
Chapter 3 Methodology of the Dissertation.........................................................................29
3.1 Research Methodology............................................................................................................29
3.1.1 Research Approach.................................................................................................29
3.1.2 Research Design.......................................................................................................31
3.2 Research Preparation and Schedule..................................................................................33
3.3 Limitations of Research Methodology..............................................................................37
3.4 Structure of the Dissertation................................................................................................39
Chapter 4 Findings and Analyses............................................................................................39
4.1 Customers.....................................................................................................................................39
4.2 Employees.....................................................................................................................................49
Chapter 5 Discussion and Conclusion....................................................................................57
5.1 Customer Expectations and Satisfaction.........................................................................57
5.2 Comparison of Means to Satisfy Customers...................................................................59
5.3 Customer Retention..................................................................................................................61
5.4 Employees and Customers....................................................................................................63
5.5 Potential for Improvement....................................................................................................65
List of References.........................................................................................................................68
Appendix 1: Cover Letter............................................................................................................................71
Appendix 2: Questionnaire for Customers..........................................................................................72
Appendix 3: Questionnaire for Employees.........................................................................................76
Appendix 4: Interview Questions...........................................................................................................79
Description
The dissertation titled ‘Customer Satisfaction and Retention in Standard and Budget Hotels in the United Kingdom’ is a comparative study of budget and standard hotels with main focus on customer satisfaction and retention. Over the last few years, budget hotels have been gaining popularity (especially in the United Kingdom) because of the low prices that they offer for provision of comfortable services. Customers are waning away from standard hotels to budget hotels because a greater value for money is achieved at budget hotels.
For the purpose of the study, qualitative research approach has been adopted. Two hotels were chosen for the purpose of this study- Marriott and Travelodge (of United Kingdom). Marriott is a standard or luxury hotel while Travelodge is a budget or limited services hotel. Various aspects of customer satisfaction and retention in these hotels have been researched. Employee training and employee-customer relationship emerged as a major factor and was amply studied for the said purpose.
Chapter 1 of the dissertation introduces the concepts of customer satisfaction and retention, their importance and their measurement. Customer satisfaction entails meeting or exceeding the expectations of the customers while customer retention is a much longer drawn measurement of customer satisfaction. Chapter 2 discussed the research design for the study. Questionnaires and interviews were used to elicit information and gather data from customers and employees of the hotels. After a comprehensive Literature review in Chapter 3, Chapter 4 has tabulated the findings of the research. These have then been discussed and concluded meaningfully and logically in the last chapter of the dissertation.