The Factors Influencing Customer Retention In The Restaurant Industry

Questions: 1.Is there any significant relationship between food quality and customer retention? 2.Is there any significant relationship between a restaurants booking system and customer retention? 3..Is there any significant relationship between loyalty programs and customer retention? 4..Is there any significant relationship between efficient customer relationship and customer retention? 5.Is there any significant relationship between efficient customer relationship and customer retention? Answers: In the modern day scenario, one of the most important aspects of the society is the large scale growth of shopping malls. However, this must be noted that the shopping malls have attracted the attention of a large number of customers within a very short time periods. There are however many different factors that are responsible for the popularity of the shopping malls. However there many different aspects like customer loyalty programs, the equality in the services delivered, the booking system that is being used in the malls, the quality of the food being served and many other such things. 1. To investigate the relationship between the importance of food quality for choosing a restaurant and customer retention. One of the very important aspects that determine the customers selection of restaurant is the standard of food served by them (Yan et al 2015). While selecting any particular restaurant the customers are usually influenced by some specific aspects like that of the menu, the price of food, the atmosphere, and the convenience factors. However this must be kept in mind that the customers are often governed by their demographic factors as well. The teenagers mainly want to visit restaurants that do a lot of experiments in serving new kinds of food whereas the people between the age group of fifty and more usually tend to follow a common and traditional menu in the same preferred restaurant. Customers on the present day scenario are ready to pay high amount of price provided that they are getting proper quality of food and also some additional facilities that is some added advantages. Restaurants therefore try to keep the price of the food know and try to maintain high quality so that the y can retain bulk amount of customers (Yan et al 2015). Restaurants have really changed the modern lifestyle in a major way. It has helped people a great deal and has also made them very much alert on the other hand. The modern day customers are very much health conscious as well. They know that eating too much of outside food might render them unhealthy. Hence, they are looking for good quality, fresh and healthy food from the restaurants. However there are also other factors like the taste of cuisines. The restaurant ambience, services provides that influences the customer retention. Hence, the restaurants must aim at maintain the proper quality of food keeping in mind the demographic patterns, the customer attitudes and most importantly the health of the customers. 2. To investigate the relationship between the importance of restaurant booking system for choosing a restaurant and customer retention. The reservation or the booking system is a very big factor that influencers the customers choice of restaurants. This is because of the fact that customers nowadays want easy and quick services (Boo 2017). Technological innovations have made it possible for the restaurants to use many modern methods of booking like mobile app, web pages, online booking. The customers are also very much comfortable in using the electronic and digitalized booking system so that they can avoid standing in long queues or holding on to the telephone lines for long in order to get their booking. This is because of the fact that the customers nowadays are looking for several additional services. The customers are of the opinion that getting their food and their tables booked through electronic digital systems are much better than booking through the old paper based offline booking system. Bookings through mobile apps, websites have changed the booking system a great deal (Al-Tit 2015). So, naturally the cus tomers will be inclined towards restaurants providing the, a quick and smooth booking system. 3. To investigate the relationship between the importance of loyalty programs for choosing a restaurant and customer retention. One of the important aspects that the customers are looking for in different restaurants id the loyalty program offered by them, In other words, the modern-day customers are very much eager about getting some additional benefits from the restaurants apart from the good quality food. Hence, it is an effort being undertaken by the restaurants to retain their customers by offering them some or the other benefits or rewards (Yan et al 2015). This can be done by the restaurants by offering some extra discounts or some additional free services to their customers. These benefits include some special rebates or some free delivery services. The restaurants are developing these loyalty programs on a long term basis as it is the best possible means of retaining the customers. The customers will develop a kind of loyalty or an affinity towards their favourite restaurants if they get something more than the regular day to day things. 4. To investigate the relationship between the importance of service quality for choosing a restaurant and customer retention. In order to retain the customers and promote the repeat customer purchasing, it is the duty of the restaurants to satisfy the customers at every single step (Han and Hyun 2015). This can be best done by providing proper customer service. This is because if the customers face some very unpleasant and poor services at a restaurant, they will obviously not like to return back to the same place again. This will easily give them the option of switching over to other alterative options. Poor customer service like delay in serving the food, or unfriendly ambience of the restaurant, unavailability of tables and many other such things usually causes customer dissatisfaction. 5. Another important aspect that influences the customer retention is the behaviour of the employees or the restaurant staffs. The staffs must be properly trained in customer handling. They must always greet the customers with smile and appear very polite and friendly to the customers (Yan et al 2015). This is one of the most important aspects of the hospitality industry. The customers will be dissatisfied if they are behaved rudely by the restaurant staffs and this will hamper the customer retention. References Al-Tit, A.A., 2015. The effect of service and food quality on customer satisfaction and hence customer retention.Asian Social Science,11(23), p.129. Boo, H.V., 2017. Service Environment of Restaurants: Findings from the youth customers.Journal of ASIAN behavioural studies,2(2), pp.67-77. Han, H. and Hyun, S.S., 2015. Customer retention in the medical tourism industry: Impact of quality, satisfaction, trust, and price reasonableness.Tourism Management,46, pp.20-29. Yan, X., Wang, J. and Chau, M., 2015. Customer revisit intention to restaurants: Evidence from online reviews.Information Systems Frontiers,17(3), pp.645-657.