Chapter-V Customer Satisfaction in Hotel Industries

CHAPTER- V
CUSTOMER SATISFACTION IN HOTEL INDUSTRIES
INTRODUCTION
This chapter highlights customer satisfaction about hotel industries.
Customers are kings in the market place. Nowadays modern marketing is consumer
oriented. So, to satisfy the customers’ needs and capture the market is one of the
vital tasks to the service providers. At the same time the marketers face hectic
competition also.
CUSTOMER SERVICE
MEANING
Customer service is the provision of service to customers before, during
and after a purchase. Customer service is normally an integral part of a company’s
customer value proposition. Customer service plays an important role in an
organization’s ability to generate income and revenue. From that perspective,
customer service should be included as part of an overall approach to systematic
improvement.
DEFINITION
“Customer service is a series of activities designed to enhance the level of
customer satisfaction, that is, the feeling that a product or service has met the
customer expectation”, Jamier L. Scott.
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FIVE R’S OF CUSTOMER SERVICE
Customer services get a lot of lip service these days. For giving really good
customer service, service oriented sales people always follow the five R’s.
REACHABLE: Service provider should be reachable when the customers need
help.
RESPONSIVE: Service provider should always handle a customer’s problem or
request promptly.
READABLE: Communicating clearly and concisely, whether in person, by phone or
by mail.
RELIABLE: Reliability means customers known and they can count on organization
to do what they promise.
REASONABLE: Service provider should always open to customers’ questions and
concerns. They should always be first to admit a mistake.
161
Figure 5.1
FIVE R’S OF CUSTOMER SERVICE
Reachable
Reasonable Responsive
5 R's of
Customer
Service
Reliable Readable
CUSTOMER SATISFACTION
Customer Satisfaction, in business terms is a measure of how products
and services supplied by a company meet or surpass customer expectation. It is
seen as a key performance indicator within business and is part of the four of a
balanced scorecard. In a competitive marketplace where businesses compete for
162
customers, customer satisfaction is seen as a key differentiator and increasingly has
become a key element of business strategy.
MEASURING CUSTOMER SATISFACTION
Organizations need to retain existing customers while targeting non-
customers. Measuring customer satisfaction provides an indication of how
successful the organization is at providing products and services to the marketplace.
Customer satisfaction is an abstract concept and the actual manifestation of the
state of satisfaction will vary from person to person and product/service to
product/service. The state of satisfaction depends on a number of both
psychological and physical variables which correlate with satisfaction behaviours
such as return and recommend rate.
CUSTOMER SATISFACTION IN 7 STEPS
1. ENCOURAGE FACE-TO-FACE DEALINGS
This is the most daunting and downright scary part of interacting with a
customer. If organization is not used to this sort of thing it can be a pretty nerve-
wracking experience. It's important to meet customers face to face at least once or
even twice during the course of a project. A client finds it easier to relate to and
work with someone they've actually met in person, rather than a voice on the phone
or someone typing into an email or messenger program.
163
2. RESPOND TO MESSAGE PROMPTLY & KEEP CLIENTS INFORMED
Customers have to wait days for a response to an email or phone call. It
might not always be practical to deal with all customers' queries within the space of a
few hours, but at least email or call them back and let them know that the
organization received their message and should contact them about it as soon as
possible. Even if organization is not able to solve a problem right away let the
customer know that the providers are working for their problem.
3. BE FRIENDLY AND APPROACHABLE
It is very important to be friendly, courteous and to make clients feel and
like organization as their friend and customers should think service providers are
there to help the customers. It is vital that organization keeps a clear head; responds
to their clients' wishes as best they can, and at all times remains polite and
courteous.
4. HAVE A CLEARLY-DEFINED CUSTOMER SERVICE POLICY
This may not be too important when organization is just starting out, but a
clearly defined customer service policy is going to save a lot of time and effort in the
long run.
5. ATTENTION TO DETAIL
It is a small thing, sending birthday wishes or greetings to the customers; it
makes the customer feel welcomed, wanted and valued.
164
6. ANTICIPATE CLIENTS’ NEEDS AND GO OUT OF ORGANIZATION WAY TO
HELP THEM OUT
Sometimes this is easier said than done! However, achieving this supreme
level of understanding with clients will do wonders for working relationship.
7. HONOUR ORGANISATION PROMISES
When the organization promises something or delivers, Clients don't like
to be disappointed. Sometimes, something may not be got done, or might miss a
deadline though it may not be the fault of the organization. Services can be late, can
fail and don't always be delivered on time. In this case a quick apology and
assurance are needed.
CUSTOMER SATISFACTION
Customer satisfaction is the critical strategic weapon and backbone beyond
for any type of organization. Customer satisfaction is so important because product
and services like educational services must preserve us as a nation, seeks to
preserve our natural resources.
One of the biggest contemporary challenges of management in
service industries is providing and maintaining customer satisfaction. Service quality
and customer satisfaction have increasingly been identified as key factors in the
battle for competitive differentiation and customer retention, Lam and Zhang (1999)
claim that overwhelming customer demand for quality products and service has in
recent years become increasingly evident to professionals in the tourism and hotel
165
industry. Among all customer demands, service quality has been increasingly
recognized as a critical factor in the success of any business (Gronroos, 1990;
Parasuraman et al., 1988)
CUSTOMER EXPECTATIONS OF SERVICE
Customer expectations are beliefs about service delivery that function as
standards or reference points against which performance is judged. Because
customers compare their perceptions of performance with these reference points
when evaluating service quality, thorough knowledge about customer expectations is
critical to services marketers.
CUSTOMER PERCEPTIONS OF SERVICE
Customers perceive services in terms of the quality of the service and how
satisfied they are overall with their experiences.
The following figure shows the various aspects of customer satisfaction:
166
Figure 5.2
Customer Satisfaction
CUSTOMER
EXPECTATION
CUSTOMER
SATISFACTION
CUSTOMER
PERCEPTION
167
Table-5 .1
Distribution of Respondents (Hotel wise in the study area)
No. of
Sl.No. Hotel wise distribution Percentage
Respondents
1. Paradise resort 13 4.3
2. Le Garden 17 5.6
3. Green park 10 3.3
4. Athithyaa 16 5.3
5. ARK 19 6.3
6. Murugan café 7 2.3
7. Rayas 17 5.6
8. VPV 11 3.6
9. Riverside Resort 5 1.7
10. Le Garden Inn 9 3.0
11. Hotel Chela 9 3.0
12. Pandian hotel 6 2.0
13. Parisutham 16 5.3
14. Gnanam 12 4.0
15. Temple Tower 10 3.3
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16. PLA 8 2.6
17. Oriental Towers 17 5.6
18. Sangam 17 5.6
19. Hotel Tamil Nadu 9 3.0
20. Saffaire Lodge 19 6.3
21. Ajantha Lodge 9 3.0
22. Dhanam Mansion 12 4.0
23. Ashoka Lodge 22 7.3
24. Gnanam Lodge 6 2.0
25. VeePee Residency 6 2.0
Total 302 100
Source: Primary Data
Table 5.1 reveals details about the hotel wise distribution of respondents.
The researcher has selected 25 hotels in Thanjavur district in all levels. Based on
the number of rooms in the hotels the researcher takes only 30% of the
respondents. The maximum contribution is Ashoka lodge 7.3% and the minimum
contribution is hotel River side Resort only 1.7%.
169
AGE OF THE RESPONDENTS
Age of the respondents here means the different age group of people who
come to the hotel for various purposes. Nowadays the customers come to hotel and
stay for educational purpose, occupational purpose, business purpose and for
pilgrimage. So different age groups of people come and stay in the hotels.
Table – 5.2
AGE OF THE RESPONDENTS
No. of
S.No. Age Percentage
Respondents
1. 21-30 154 51
2. 31-40 63 21
3. 41-50 85 28
Total 302 100

Source: Primary data
Table 5.2 provides details about the age of the respondents who prefer
these hotels. 51% of the respondents’ age lie between 21-30 years as majority of
them visited the places for conference and occupational purpose. 28% of the
respondents’ ages lie between 41-50 and 21% of the respondents age lie between
31-40.
Thus, 51% of the respondents’ who preferred these hotels belonged to the
age group 21-30. They stay in the hotel for occupational purpose.
170
CHI – SQUARE TEST
Hypothesis: H0
There is no relationship between age of the Respondent and purpose of visit.
Cross tabulation
Purpose of visit
Occupation
conference
Pilgrimage
Relaxation
Marriage
Others
seeing
Health
Sight
Total
21-30 39 14 14 30 6 9 27 15 154
Respondents
31-40 7 14 8 10 1 3 18 2 63
Age of the
41-50 27 12 9 8 1 6 12 10 85
Total 73 40 31 48 8 18 57 27 302
Chi-Square Tests
Asymp. Sig.(2-
Value df
sided)
Pearson Chi-
26.230 14 .024
Square
Likelihood Ratio 27.550 14 .016
Liner-by-Linear
.765 1 .382
Association
N of valid Cases 302
4 cells (16.7%) have expected count less than 5. The minimum expected count is
1.67
171
Degrees of Freedom = 14
Chi Square Value = 26.230
Table value = 23.7
The distribution is significant at 5% level.
Result: As the χ2 value is greater than table value we reject the hypothesis. There
is relationship between age of the respondent and purpose of visit.
172
GENDERWISE CLASSIFICATION OF THE RESPONDENTS
In the modern world both males and females are working and they are
happened to stay in the hotels relating to the nature of their work. In Thanjavur
district most of the people are to visit tourist places and they stay in the hotels as a
pilgrimage . So, both males and females stay in the hotels.
TABLE – 5.3
GENDERWISE CLASSIFICATION OF THE RESPONDENTS
No. of
S.No. Gender Percentage
Respondents
1. Male 233 77
2. Female 69 23
Total 302 100

Table 5.3 shows the gender details of the respondents who choose to stay
in these hotels. 77% of the respondents who preferred these hotels were male as it
was possible for them to frequently visit places for conference and occupational
purposes whereas this was not much possible in the case of female who were only
23%.
Thus, 77% of the respondents who preferred to stay in these hotels were
male.
173
CORRELATIONS
In probability theory and statistics, correlation, (often measured as a
correlation coefficient), indicates the strength and direction of a linear relationship
between two random variables. In general statistical usage, correlation or co-relation
refers to the departure of two variables from independence. In the broad sense there
are several coefficients, measuring the degree of correlation, adapted to the nature
of data.
Purpose of visit
Sight seeing
Occupation
Conference
Pilgrimage
Relaxation
Marriage
Others
Health
Total
Male
Gender of the
Respondent
65 34 27 26 7 14 42 18 233
Female
8 6 4 22 1 4 15 9 69
Total 73 40 31 48 8 18 57 27 302
174
Gender of the Purpose of
Respondent visit
Pearson 1 0.163**
correlation
Gender of
the Sig. (2 tailed) .000 .004
Respondent
N 302 302
Pearson 0.163** 1
correlation
Purpose of
visit Sig. (2 tailed) 0.004 .000
N 302 302
** Correlation is significant at the 0.01 level (2-tailed)
The relationship between gender of the respondent and purpose of visit of
the respondent is positively correlated. Its value is 0.163
175
NATIONALITY OF THE RESPONDENTS
Tourists come and enjoy the benefits of hotel. Thanjavur district is the
place of historical monuments and pilgrimage. To see those places both domestic as
well as foreign tourists come and stay in the hotels.
TABLE – 5.4
Nationality of the Respondents
No. of
Sl.No. Nationality Percentage
Respondents
1. Indian 282 93
2. Others 20 7
Total 302 100

Table 5.4 depicts details about the nationality of the respondents who
choose these hotels. 93% of the respondents who prefer these hotels were of Indian
nationality and 7% of the respondents were from other nations.
Thus, 93% of the respondents who preferred these hotels were of Indian
nationality.
176
CHI – SQUARE TEST
Hypothesis: H0
There is no relationship between Nationality of the Respondent and purpose of visit.
Cross tabulation
Purpose of visit Total

Occupation
conference
Pilgrimage
Relaxation
Marriage
Seeing
Others
Health
Sight
Indian
Nationality of the
Respondent
70 39 19 45 8 18 57 26 282
Others
3 1 12 3 - - - 1 20
Total 73 40 31 48 8 18 57 27 302
Chi-Square Tests
Asymp. Sig.(2-
Value df
sided)
Pearson Chi-Square 59.727 7 .000
Liner-by-Linear Association 2.957 1 .086

.53
177
Table value = 14.1
Result:
As the χ2 value is greater than table value we reject the hypothesis. There is
relationship between nationality of the respondent and purpose of visit.
178
PLACE OF RESIDENCE
The people who come and stay in the hotels are from all the places like
urban, rural and semi urban. All the people from different parts of the world come
and visit the tourist places and pilgrimage centres.
TABLE –5.5
PLACE OF RESIDENCE
No. of
S.No. Place Percentage
Respondents
1. Urban 205 68
2. Rural 62 20
3. Semi urban 35 12
Total 302 100

Table 5.5 infers to details regarding place of residence of the respondents.
68% of the respondents were from urban area, 20% of the respondents were from
rural area and 12% of the respondents were from semi urban area.
Thus, 68% of the respondents who prefer hotels are urban area people,
because they stay for the purpose of occupation.
179
MARITAL STATUS OF THE RESPONDENTS
Both married and unmarried people come and stay in the hotel to enjoy
visiting the places and to benefit from the services provided by the Hotels.
TABLE – 5.6
MARITAL STATUS OF THE RESPONDENTS
No. of
S.No. Marital status Percentage
Respondents
1. Married 163 54
2. Unmarried 139 46
Total 302 100

Table 5.6 gives the details about the marital status of the respondents who
prefer these hotels. 54% of the respondents who choose these hotels were married,
and 46% of the respondents were unmarried.
Thus, 54% of the respondents who choose these hotels were married.
180
CHI – SQUARE TEST
Hypothesis: H0
There is no relationship between marital status of the Respondent and purpose of

visit.
Cross tabulation
Purpose of visit
Occupation
conference
Pilgrimage
Relaxation
To attend
Marriage
Others
seeing
Health
Sight
Total
Married
Marital status of the
24 30 20 27 5 14 28 15 163
Respondent
Unmarried
49 10 11 21 3 4 29 12 139
Total 73 40 31 48 8 18 57 27 302
Chi-Square Tests
Asymp. Sig.(2-
Value df
sided)

Liner-by-Linear
1.774 1 .183
Association
3.68
181
Table value = 14.1
is relationship between marital statuses of the respondent and purpose of visit.
EDUCATIONAL QUALIFICATION OF THE RESPONDENTS
Nowadays the literacy rate of our country is increased year by year.
Majority of the people are educated. So, the customers those who stay in the hotels
are educated.
TABLE – 5.7
Educational qualification of the Respondents
No. of
Sl.No. Particulars Percentage
Respondents
1. PG 128 43
2. UG 70 23
3. HSC 25 8
4. Technical 45 15
5. Others 34 11
Total 302 100

182
Table 5.7 highlights details regarding the educational qualification of the
respondents who prefer these hotels. 43% of the respondents were post graduates
the reason being that they are the officials who were placed in top posts and they
frequently stay in hotels for their conference and occupational purposes. 23% of the
respondents have graduation as their educational qualification, 15% of the
respondents have technical degree as their educational qualification, 8% of the
respondents have higher secondary as their qualification and only 11% of the
respondents were qualified in other fields.
Thus, 43% of the respondents who prefer these hotels are Post
Graduates, because they stay in the hotel for occupational purpose.
183
CHI – SQUARE TEST
Hypothesis: H0
There is no relationship between Educational qualification and purpose of visit.
Cross tabulation
Purpose of visit
Occupation
conference
Pilgrimage
Relaxation
Particulars
Marriage
Others
seeing
Health
Sight
Total
PG 21 20 13 27 2 12 24 9 128
Educational qualification
UG 11 8 11 13 3 1 14 9 70
HSC 12 - 2 4 - 3 3 1 25
Technic 18 4 3 2 1 2 9 6 45
al
Others 11 8 2 2 2 - 7 2 34
Total 73 40 31 48 8 18 57 27 302
Chi-Square Tests
Asymp. Sig.(2-
Value df
sided)

Liner-by-Linear
3.345 1 .067
Association
.66
184
Table value = 41.3
is relationship between educational qualification of the respondent and purpose of
visit.
185
OCCUPATION OF THE RESPONDENTS
Occupation plays the predominant role for the survival of the human
being. Most of the customers those who come and stay in the hotels are employed,
professional, agriculture and self employed.
TABLE – 5.8
Occupation of the respondents
No. of
S.No. Particulars Percentage
Respondents
1. Employment 115 38
2. Professional 103 34
3. Agriculture 9 3
4. Self employed 75 25
Total 302 100

Table 5.8 gives details about the occupation of the respondents who
select these hotels. 38% of the respondents were employed the reason being that
they stay in the hotels for attending conferences and for the purpose of occupation.
34% of the respondents were professionals, 25% of the respondents were self
employed and only 3% of the respondents were agricultural people. It is inferred
already that majority of the respondents have post graduation as their educational
qualification which is evident here, and that majority who choose these hotels
occupation were employed and professionals.
Thus, 38% of the respondents who choose hotels are for their occupation
and employment.
186
PLACE OF OCCUPATION
In this thesis the researcher got information from both foreign and Indian
customers. So, they have business as well as in foreign countries.
TABLE – 5.9
PLACE OF OCCUPATION
No. of
Respondents
1. India 279 92
2. Foreign 23 8
Total 302 100
Table 5.9 provides information about the place of occupation of the
respondents who prefer these hotels. 92% of the respondents’ place of occupation is
India and only 8% of the respondents’ place of occupation is some foreign countries.
Thus, 92% of the respondents who choose these hotels place of
occupation are from India.
187
MONTHLY INCOME
Income means the monetary benefits availed by the customers for their
expenses. Here, the monthly income earned by the customers’ ranges from below
` 10, 000 to above `30, 000.
TABLE – 5.10
MONTHLY INCOME
No. of
S.No. Monthly Income Percentage
Respondents
Below ` 10,000
1. 70 23
` 10,001 to ` 20,000
2. 106 35
` 20,001 to ` 30,000
3. 60 20
Above ` 30,001
4. 66 22
Total 302 100

Table 5.10 provides information about the monthly income of the
respondents who prefer these hotels. 35% of the respondents’ monthly income
ranges between `10, 001 – ` 20, 000, 23% of the respondents monthly income
ranges below ` 10,000, 22% of the respondents monthly income ranges above
` 30,001 and 20% of the respondents’ monthly income ranges between `20,001 –
` 30,000.
Thus, 35% of the respondents’ monthly income ranges between
188
` 10, 001 – ` 20, 000.
CORRELATION
Purpose of visit
Sight seeing
Occupation
conference
Pilgrimage
Relaxation
Marriage
Others
Health
Total
36 9 4 4 - 1 10 6 70
Below `10,000
13 9 7 23 3 9 28 14 106
`10,001- ` 20,000
Monthly income
16 9 4 13 1 1 12 4 60
` 20,001- `30,000
8 13 16 8 4 7 7 3 66
Above ` 30,000
Total 73 40 31 48 8 18 57 27 302
189
Monthly Purpose of
income visit
Pearson 1 0.040
correlation
Monthly
Income Sig. (2 tailed) .000 0.493
N 302 302
Pearson 0.040 1
correlation
Purpose
of visit Sig. (2 tailed) 0.493 .000
N 302 302
The relationship between monthly income of the respondent and purpose of visit of
the respondent is positively correlated. Its value is 0.040
190
PURPOSE OF VISITING
The study area in this research is historical area and pilgrimage centre. At
the same time most of the people who come and stay in the hotels are for
occupation, conference and marriages etc.
TABLE – 5.11
PURPOSE OF VISITING
No. of
S.No. Purpose Percentage
Respondents
1. Occupation 73 24
2. 40 13
Conference
3. Sight seeing 31 10
4. Relaxation 48 16
5. Health 8 3
6. Pilgrim 18 6
7. Marriage 57 19
8. Other Reasons 27 9
Total 302 100
Table 5.11 reveals the information about the respondents’ purpose of visit
to these hotels. 24% of the respondents visit these hotels for occupation, 19% of the
respondents visit these hotels to attend marriage, 16% of the respondents for
relaxation purpose, 13% of the respondents visit these hotels for conference purpose,
10% of the respondents visit these hotels for sightseeing, 9% of the respondents visit
191
for other reasons, 6% of the respondents visit as a pilgrimage spot and 3% of the
respondents visit these hotels for some health reasons. As majority of the
respondents were employed and professionals it is clear that they visit these hotels
for the purpose of occupation and conference and that is evident here.
Thus, 24% of the respondents visit these hotels for occupational purpose.
SOURCES OF INFORMATION ABOUT HOTELS
The customers who stay in the hotels get information from acquaintance,
advertisement, travel agency, internet, friends and others.
TABLE – 5.12
SOURCES OF INFORMATION ABOUT HOTELS
No. of
Respondents
1. Acquaintance 30 10
2. Advertisement 34 11
3. Travel Agency/Catalogue 47 15
4. Internet 29 10
5. Friends 153 51
6. Others 9 3
Total 302 100

Table 5.12 highlights the details about the sources of information about
hotels. 51% of the respondents got information about the hotel from friends and
relatives, 15% of the respondents got information about hotel from travel
192
agency,11% of the respondents got information about the hotel from advertisements,
10% of the respondents got information about the hotel from internet and only 3% of
the respondents got information about the hotel from other sources.
Thus, 51% of the respondents got information about the hotel from friends
and relatives through word of mouth promotion.
CORRELATION
Cross tabulation
Sources of information (about the

hotel)
Advertisement
Travel agency
Acquaintance
Total
Internet
Friends
Others
Gender of Male 22 29 45 19 109 9 233
the
Respondent
Female 8 5 2 10 44 - 69
Total 30 34 47 29 153 9 302
193
Gender of the Sources of
Respondent information
Pearson 1 0.086
correlation
Gender of
the Sig. (2 tailed) .000 0.138
Respondent
N 302 302
Pearson 0.086 1
correlation
Sources of
information Sig. (2 tailed) 0.138 .000
N 302 302
The relationship between gender of the respondent and sources of
information about the hotel is positively correlated. Its value is 0.086
194
PLACE OF STAY
As most of the customers come to see places and relax they choose
hotels, mansion, resorts and cottages for their stay.
TABLE – 5.13
PLACE OF STAY
No. of
Respondents
1. Hotel 235 78
2. Mansion 67 22
Total 302 100
Table 5.13 reveals the information regarding place of stay. 78% of the
respondents stay in hotel, and only 22% of the respondents stay in mansion.
Thus, 78% of the respondents stay in hotels. Mansion is only suitable for
bachelors. But hotels are suitable for family people and women.
195
LENGTH OF STAY
Based upon the purpose of visit the length of stay is varied. The customers stay
for a longer period of time for occupational purpose and short period for marriage
and pilgrimage. TABLE – 5.14
LENGTH OF STAY
No. of
S.No. Length Percentage
Respondents
1. 1 day 75 25
2. 2 days 102 34
3. 3 days 48 16
4. 4 days 15 5
5. 5 days 21 7
6. 6 or more days 41 13
Total 302 100

Table 5.14 shows the respondents length of stay in the hotel. 34% of the
respondents stay in the hotel for 2days, 25% of the respondents stay in the hotel for
1 day 16% of the respondents stay in the hotel for 3 days, 13% of the respondents
stay in the hotel for 6 or more days, 7% of the respondents stay in the hotel for 5
days and 5% of the respondents stay in the hotel for 4 days. As majority of the
respondents were professional and employed it is clear that they stay in the hotel for
2 days for the purpose of conference and employment.
196
Thus, 34% of the respondents stay for a period of 2 days in the hotels.
CHI – SQUARE TEST
Hypothesis: H0
There is no relationship between length of stay and purpose of visit.
Cross tabulation
Purpose of visit
Sight seeing
Conference
Occupation
Pilgrimage
Relaxation
Total
Marriage
Others
Health
1 day 18 11 1 12 3 4 16 10 75
2 days 6 16 10 20 2 6 29 13 102
Length of stay
3 days 12 12 8 5 1 2 7 1 48
4 days 4 - 3 5 1 2 - - 15
5 days 4 1 2 2 - 4 5 3 21
6 or more
days
29 - 7 4 1 - - - 41
Total 73 40 31 48 8 18 57 27 302
197
Chi-Square Tests
Value df Asymp. Sig.(2-

sided)
Liner-by-Linear 28.615 1 .000

Association
.40.
Table value = 43.8
Result: Hence the χ2 value is greater than table value we reject the hypothesis.
There is relationship between length of stay and purpose of visit
198
COST OF ACCOMMODATION
The cost of accommodation is charged, based upon the level of services
provided, and the category of hotels. For rich people it is low cost and for poor
people it is high cost.
TABLE – 5.15
COST OF ACCOMMODATION
No. of
Respondents
1. High 44 15
2. Moderate 211 70
3. Low 47 15
Total 302 100

Table 5.15 reveals the information regarding the respondents’ opinion
towards the cost of accommodation charged in the hotels. 70% of the respondents
were satisfied about the charge, 15% of the respondents feel that the charge is high
and 15% of the respondents feel that the hotel charge is low.
Thus, 70% of the respondents were satisfied regarding the cost of
accommodation charged by the hotels.
199
CHI – SQUARE TEST
Hypothesis: Ho
There is no relationship between length of stay and cost of accommodation.
Cross tabulation
Cost of accommodation
Total
High Mode Low
rate
1 day 19 48 8 75
2 days 16 82 4 102
3 days 6 36 6 48
Length 4 days 2 10 3 15
of stay
5 days - 16 5 21
6 or more days 1 19 21 41
Total 44 211 47 302
Chi-Square Tests
Asymp. Sig.(2-
Value df
sided)

Liner-by-Linear
43.359 1 .000
Association
2.19
200
Table value = 25.0
Result:
As the χ2 value is greater than table value we reject the hypothesis. There
is relationship between length of stay and cost of accommodation.
CORRELATION
In probability theory and statistics, correlation, (often measured as a correlation
coefficient), indicates the strength and direction of a linear relationship between two
random variables. In general statistical usage, correlation or co-relation refers to the
departure of two variables from independence. In the broad sense there are several
coefficients, measuring the degree of correlation, adapted to the nature of data.
Cost of Beauty
accommodation Parlors
Pearson 1 .282**
Correlation
Cost of
accommodation Sig. (2-tailed) . .000
N 302 302
Pearson .282** 1
Correlation
Beauty Parlors
Sig. (2-tailed) .000 .
N 302 302
** Correlation is significant at the 0.01 level (2-tailed).
The relationship between cost of accommodation and beauty parlour
facility provided by the hotel is positively correlated. Its value is 0.282.
201
COST OF FOOD AND BEVERAGES
Based upon the number of items provided and services provided by the
hotels the cost of food and beverages is charged from very high to very low.
TABLE – 5.16
COST OF FOOD AND BEVERAGES
No. of
Respondents
1. Very high 12 4.0
2. High 105 34.8
3. Moderate 164 54.3
4. Low 20 6.6
5. Very low 1 0.3
Total 302 100

Table 5.16 gives the information regarding the respondents’ opinion
towards cost of food and beverages charged in the hotels. 54% of the respondents
were satisfied about the cost of food and beverages, 35% of the respondents feel
that the hotels charge high cost, 7% of the respondents feel that the hotels charge
low cost, 4% of the respondents feel that the hotels charge is very high and only
0.3% respondents feel the hotels charge very low cost for food and beverages.
Thus, 55% of the respondents were satisfied regarding the cost of food and
beverages charged by the hotels.
202
OFFERING TIPS
Generally the hotel owners allow the employees to receive the tips. The
customer recognizes the service of employees and they give tips.
TABLE – 5.17
OFFERING TIPS
No. of
Respondents
1. Always 110 37
2. Occasionally 137 45
3. Never 55 18
Total 302 100

Table 5.17 shows responses of the respondents regarding offering tips to
the hotel employees. 45% of the respondents of the hotels give tips occasionally,
37% of the respondents give tips always and only 18% of the respondents never
give tips to hotel employees.
Thus, 45% of the respondents were who gave tips occasionally to the
hotel employees.
203
LEVEL OF SATISFACTION OF CUSTOMERS
The levels of satisfaction of the customers are analyzed from their check
in procedure to checkout procedure. The level of satisfaction is evaluated through 5
point scale like highly satisfied to highly dissatisfied.
Figure 5.3

WEIGHTAGE GIVEN UNDER LIKERT SCALE
450
400
350
300
250
200
150
100
50
0
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wo
FACILITIES OFFERED BY HOTELS
In level of satisfaction of customers most of the respondents are highly
satisfied in check in procedure, clean environment, friendly approach and working of
204
electrical items. Most of the respondents are satisfied in dress washing facility,
varieties of food items, check out procedure and pricing of food items.
LEVEL OF DISSATISFACTION OF CUSTOMERS
The levels of dissatisfaction of the customers are also analyzed from their
check in procedure to checkout procedure. The level of dissatisfaction is evaluated
through 5 point scale like highly satisfied to highly dissatisfied.
Figure 5.4
LEVEL OF DISSATISFACTION OF CUSTOMERS

RANK GIVEN UNDER LIKERT SCALE
25
20
15
10
FACILITIES OFFERED BY HOTELS
Some of the respondents are dissatisfied with hygenity of swimming pool,
interior decoration , minibar content, services of coffee shop, waiting for executing
205
the orders, standard of restaurant services, quality of food items and banqueting
services.
MEASURING SERVICE QUALITY
Service excellence is another key theme running through the text. The gap
model of service quality brings customer focus and service excellence together in a
structured practical way.
TABLE – 5.18
SUMMARY OF OVERALL GAP ANALYSIS
No. of
S.No. Dimensions Gap Rank
factors
1. Tangibles 4 -1.2053 4
2. Reliability 5 -1.2960 2
3. Responsiveness 4 -1.2401 3
4. Assurance 4 -1.1821 5
5. Empathy 5 -1.5536 1
The table reveals that out of 5 dimensions of service quality in this study,
empathy is the dimension where the service gap is more in this study. Response,
reliability, assurance and tangibility are ordered in the same manner where the
service gap is more. In this study the gap is small in star and big hotels and the gap
is large in small and lodging only hotels.
206
TABLE – 5.19
SERVQUAL WEIGHTED SCORES
SERVQUAL Importance Weighted

Score
Dimension weight score
Average Tangible -1.2053 28 -33.7484
Average Reliability -1.2960 15 -19.4400
Average Responsiveness -1.2401 20 -24.802
Average Assurance -1.1821 30 -35.463
Average Empathy -1.5536 7 -10.8752
Total -124.3286
AVERAGE (=Total / 5) WEIGHTED SERVQUAL = -24.86572
In SERVQUAL analysis the result is a negative value, because compared
to cities the services quality is low in Thanjavur district, and at the same time the
expectations of the respondents is high compared to their perception. Here the
researcher takes all the types of hotels ranging from lodging only, boarding and
lodging hotels to star hotels and resorts. The service quality is high in star hotel and
low in lodging only hotels.
207
TANGIBLES
A tangible facility refers to the physical facilities provided for customers
during their stay in the hotel. First, the availability of modern equipments made
available to customers for communication is satisfactory to some extent. The neat
appearance and the appealing physical facilities in these hotels were quite
satisfactory to the customers. Basic services that satisfied customers generally were
facilities like easily accessible reservations, quick check in and check out facility,
convenient location etc. All these basic services provided at these hotels were
satisfactory to the customers in star and middle level hotels but small hotels do not
provide that much of satisfaction to their customers.
RELIABILITY
Reliability is the ability of an entity to perform its assigned task predictably
and without fault at all times. ‘Prompt services’ is an essential element required to
attract more and more customers.
RESPONSIVENESS
Statistical findings show that customers were satisfied with the staff at the
hotel who informed them promptly about the performance of the services.
Willingness of the staff to help customers and prompt reply to the customer’s
questions were satisfactory to them.
208
ASSURANCE
The study reveals that the customers were satisfied with the
trustworthiness and politeness of the staff. The hotel provides the employees with
the required support needed to do their job effectively. Customers were satisfied with
the courteousness and politeness of the staff.
EMPATHY
As per the study, 25% of the customers were satisfied with the individual
attention and providing the required services. The hotel reception was open
throughout for the convenience of the guests. Study reveals that only 20% of the
satisfied respondents responded that the hotel had the best interest of their
customers at heart. Customers were moderately satisfied with the quality of meals
provided and with the laundry services provided by these hotels.
CONCLUSION:
In customer satisfaction in hotel industries 51% of the customers belonged
fall in the age group of 21-30 years. There is a significant relationship between age
of the respondent and purpose of visit, gender of the respondent and purpose of
visit, nationality of the respondent and purpose of visit, marital status, educational
209
qualification and purpose of visit, significant relationship between monthly income
and purpose of visit, relationship between genders of the respondent and way of
getting information about the hotels. There is also relationship between the length of
stay and purpose of visit.
There is significant relationship between lengths of stay and cost of
accommodation, 37% of the respondents provide tips to hotel employees. In level of
satisfaction of customers most of the respondents are highly satisfied in check in
procedure, clean environment, friendly approach and working of electrical items.
75% of the respondents are dissatisfied in dress washing facility, varieties of food
items, check out procedure and pricing of food items. 25% of the respondents are
dissatisfied with hygenity of swimming pool, interior decoration, minibar content,
intercom facilities etc.
In this study the gap is small in star and big hotels and the gap is large in
small and lodging only hotels. In SERVQUAL analysis the result is in negative value,
because compared to cities the services quality is low in Thanjavur district, at the
same time the expectation of the respondents is high compared to their perception.
Here the researcher takes all the types of hotels like lodging only, boarding and
210
lodging hotels and star hotels. The service quality is high in star hotel and low in
lodging only hotels.
211

Chapter-V Customer Satisfaction in Hotel Industries

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Chapter-V Customer Satisfaction in Hotel Industries

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CHAPTER- V

CUSTOMER SATISFACTION IN HOTEL INDUSTRIES

This chapter highlights customer satisfaction about hotel industries.

Customer service is the provision of service to customers before, during

and after a purchase. Customer service is normally an integral part of a company’s

customer value proposition. Customer service plays an important role in an

organization’s ability to generate income and revenue. From that perspective,

customer service should be included as part of an overall approach to systematic

“Customer service is a series of activities designed to enhance the level of

customer expectation”, Jamier L. Scott.

REACHABLE: Service provider should be reachable when the customers need

RESPONSIVE: Service provider should always handle a customer’s problem or

READABLE: Communicating clearly and concisely, whether in person, by phone or

to do what they promise.

REASONABLE: Service provider should always open to customers’ questions and

concerns. They should always be first to admit a mistake.

FIVE R’S OF CUSTOMER SERVICE

Customer Satisfaction, in business terms is a measure of how products

and services supplied by a company meet or surpass customer expectation. It is

balanced scorecard. In a competitive marketplace where businesses compete for

become a key element of business strategy.

MEASURING CUSTOMER SATISFACTION

Organizations need to retain existing customers while targeting non-

customers. Measuring customer satisfaction provides an indication of how

successful the organization is at providing products and services to the marketplace.

Customer satisfaction is an abstract concept and the actual manifestation of the

state of satisfaction will vary from person to person and product/service to

product/service. The state of satisfaction depends on a number of both

psychological and physical variables which correlate with satisfaction behaviours

such as return and recommend rate.

CUSTOMER SATISFACTION IN 7 STEPS

1. ENCOURAGE FACE-TO-FACE DEALINGS

or someone typing into an email or messenger program.

Customers have to wait days for a response to an email or phone call. It

3. BE FRIENDLY AND APPROACHABLE

It is very important to be friendly, courteous and to make clients feel and

4. HAVE A CLEARLY-DEFINED CUSTOMER SERVICE POLICY

It is a small thing, sending birthday wishes or greetings to the customers; it

makes the customer feel welcomed, wanted and valued.

HELP THEM OUT

level of understanding with clients will do wonders for working relationship.

7. HONOUR ORGANISATION PROMISES

When the organization promises something or delivers, Clients don't like

to be disappointed. Sometimes, something may not be got done, or might miss a

assurance are needed.

Customer satisfaction is the critical strategic weapon and backbone beyond

for any type of organization. Customer satisfaction is so important because product

and services like educational services must preserve us as a nation, seeks to

preserve our natural resources.

One of the biggest contemporary challenges of management in

service industries is providing and maintaining customer satisfaction. Service quality

recognized as a critical factor in the success of any business (Gronroos, 1990;

Parasuraman et al., 1988)

CUSTOMER EXPECTATIONS OF SERVICE

Customer expectations are beliefs about service delivery that function as

standards or reference points against which performance is judged. Because

customers compare their perceptions of performance with these reference points

when evaluating service quality, thorough knowledge about customer expectations is

critical to services marketers.

CUSTOMER PERCEPTIONS OF SERVICE

satisfied they are overall with their experiences.

The following figure shows the various aspects of customer satisfaction:

Distribution of Respondents (Hotel wise in the study area)