RM Survey Report Final

8/8/2019 RM Survey Report Final

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ABSTRACT

To succeed in the dynamic and competitive marketing environment, marketershave an urgent need to learn and anticipate whatever they can about consumers. The better they

know and understand consumers, the more advantageous it would prove in accomplishing their

organizational objectives. The main objective of this paper is to analyze consumer behavior and

to find the satisfaction level amongst customers in two different multinational Pizza outlets

operating in Mumbai (India).

The paper makes a comparative analysis of the demographic profile of the

consumers visiting the outlets. The researchers have also studied consumer behavior with respect

to consumer loyalty, awareness of other chains, frequency and reasons of visiting the outlets.

The service offering was broken down into 13 attributes relating to physical settings,

products, process and staff. Consumers rating on importance of attribute and satisfaction were

taken and an attribute by attribute comparison between two chains was made. Findings of the

research helped in understanding the structure of consumer preferences and behavioral patterns

as well as the marketing mix strategies being used by the chains.

The paper also highlights the major areas of improvement for these chains. In future,

to manage a differentiation, there is a need for some kind of loyalty program as consumer loyalty

was found to be very low.


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INTRODUCTION

In earlier times, marketers could understand consumers well through daily

experience of selling to them. But as firms and markets have grown in size, many marketing

decision makers have lost direct contact with their customers. They are spending more money

than ever to study consumers, trying to learn more about consumer behavior. Companies of the

future wouldn't want to innovate on the product but on the process in which it reaches out to the

customer. Marketing is all about proactive behavior, and the age of reactive behavior is over.

The company that really understands how consumers will respond to different

product features, prices, and advertising appeals has a great advantage over competitors.

Therefore, companies and academics have heavily researched the relationship between

marketing stimuli and consumer response.

Marketers are interested in various groups like age groups, social groups,

economic groups etc. because people within a given group tend to exhibit similar buying

behavior. Also various other factors can influence consumer responses, which companies must

take into account when designing marketing strategies. With this project we have tried to answer

few of these questions.


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ABOUT THE COMPANIES

1.DOMINOS:Founded in 1960, Domino's Pizza is the recognized world leader in pizza delivery.

Domino's operates a network of 9,000 franchised and Company-owned stores in the United

States and over 60 international markets. . Domino's Pizza was named "Chain of the Year" by

Pizza Today magazine, the leading publication of the pizza industry. In 2009, Domino's ranked

number one in customer satisfaction in a survey of consumers of the U.S. largest limited service

restaurants, according to the annual American CustomerSatisfaction Index (ACSI). Domino's

has expanded its menu significantly since 2008 to include Oven Baked Sandwiches and Bread

Bowl Pasta, and recently debuted its 'Inspired New Pizza' a permanent change to its core hand-

tossed product, reinvented from the crust up with new sauce, cheese and garlic seasoned crust.

Jubilant Food Works Ltd, the master franchisee forDomino's Pizza in India,

started their journey in India in 1996 with the opening of our first store in Delhi. From here they

have come a long way. They have pioneered organized QSRand pizza retail in India. They also

introduced and built the concept of home delivery in India.

Jubilant Food Works Ltd, opened a new store in the country, this is the company's

300th

from its conception in 1996 with the opening of our first store in Delhi

Jubilant Food Works Ltd is Domino's fastest-growing franchise, with plans to open

65 stores by the end of its fiscal year, ending March 31, 2010. Domino's Pizza in 2009 was

named as one of the Best Employers in India.

In India, Domino's Pizza operates under a master franchise agreement with the Bhartia group-

promoted Jubilant Food works. In January this year, Jubilant had listed the Domino's brand. The

company is hoping to end this fiscal with a total sales turnover ofRs. 420 crore.

The 65 outlets in India this fiscal, is the highest number in any market. This shows

the growth potential for us here. They plan to cross the 500-outlets mark in three years.

Main focus market for expansion will be Tier-II and Tier-III cities. Dominos has opened stores in

26 cities in the past two years. They plan to invest around Rs. 50-55 crore next fiscal, mainly in

opening new store.


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2.PIZZA HUT:

Pizza Hut is an American restaurant chain and international franchise based in

Addison, Texas (a northern suburb ofDallas), offering different styles of pizza along with side

dishes including pasta, breadsticks, and garlic bread. Pizza Hut is a subsidiary of Yum! Brands,

Inc., the world's largest restaurant company, with approximately 34,000 restaurants, delivery-

carry out units, and kiosks in 100 countries. Pizza Hut entered India in 1996, and opened its first

restaurant in Bangalore. Since then it has captured a dominant and significant share of the pizza

market and has maintained an impressive growth rate of over 40 per cent per annum.

Pizza Hut now has 95 outlets across 24 cities in India; and employed nearly

4,000 people by end of 2004. Yum! Has invested about US$ 25 million in India so far; this is

over and above investments made by franchisees.Yum! Brands Inc is the owner of the Pizza Hut

chain worldwide. A Fortune 300 company, Yum! Brands own Kentucky Fried Chicken, Pizza

Hut, Taco Bell, A&W and Long John Silvers restaurants worldwide.

Pizza Hut is believed to have close to 50 per cent market share of the organized

pizza-retailing segment in India.

According to an article in Financial Express, the market size of the pizza

segment is around US$ 87 million and currently growing at the rate of 15 per cent to 17 per cent

per annum. According to Pizza Hut sources, most of their outlets are financially successful,

encouraging further expansion. In India, the average investment for each outlet is US$ 275,000-

335,000 and is borne by the franchisee.

According to company sources, Pizza Hut is moving beyond the metros and

foraying into 12 to 13 new markets including Trichy, Nagpur, Bhubhaneswar,

Thiruvananthapuram and Pondicherry to increase penetration. Aggressive marketing and tie-ups

with local and popular brands Pizza Hut has increased its visibility by launching a well-received

TV campaign aimed at the young crowd. It has formed partnerships with recognized brands such

as Nestle and Pepsi. It also holds regular promotional campaigns targeted at children and uses

these alliances to offer packages during these campaigns.


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REVIEW OF THE LITERATURE

This area of study has been extensively researched and discussed by

Wahyuningsih, in their paper 'Consumer Behavior and Satisfaction'. In their studies they haveconcluded that to satisfy the customers, companies need to identify clearly each segment of

consumers, whether they are passive, relational-active, or relational-dependent consumers. This

is because these three types of consumers receive their levels of satisfaction differently. Since

rational active and relational dependent consumers very sensitive about their feelings and

expectations, companies need to communicate and increase their performance continuously.

Customer satisfaction refers to customers' post-chase evaluation of a product or

service offering these researchers have contended that service quality, product quality, price,

contextual factors and individual factors, individually influence customer satisfaction. Further,

they have mentioned that service quality evaluation focuses only on the dimensions of service

quality. Therefore the researchers have concluded that, perceived service quality can be

considered just one of the determinants of customer satisfaction.

Studies have also suggested that service quality, product quality and price are

all of equal importance affecting customer satisfaction. Most service industries provide both

tangible products and intangible services.

The researchers (Rathmell, 1966:Shostack, 1977 :)', Rushton and Carson, 1989,

have noted that it is justified to simultaneously test the effects of service quality, product quality

and price on customer satisfaction. Their paper focuses on three factors affecting customer

satisfaction, namely perceived product, perceived price and perceived service quality.

In this paper the researchers have studied consumer behavior and satisfaction in

retailing in the view of analyzing the market opportunity for the global and Indian companies to

contribute to the development of this sector in Indian cities. The Researchers have studied this

topic and added target market characteristics and the effective marketing mix strategies for

pizza retailing outlets. The researchers have contributed to the evaluation of contemporary

problems of consumer behavior and satisfaction in pizza retail outlets.


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RESEARCH METHODOLOGY

1. OBJECTIVES:

1. To study the demographic profiles of customers visiting the two chains.

2. To study the consumer behavioral parameters i.e. consumer loyalty, frequency of

consumers visit to the outlets, awareness of other chains, and reasons for visiting the

outlets.

3. To find the relative importance of various attributes responsible for customer satisfaction

at the chains.

4. To compare satisfaction level at two different Pizza outlets based on different attributes.

3.PROBLEM STATEMENT:Study of consumer behavior and consumer satisfaction in food and beverage retail outlet:A

case study ofDOMINOS and PIZZA HUT in Mumbai city.

3. HYPOTHESIS:

Hypothesis 1:

Null Hypothesis (Ho):

The demographic attributes - age, educational qualification and average monthly family income

of a customer visiting DOMINOS are same as those visiting PIZZA HUT.

Alternate Hypothesis (Ha):

The demographic attributes- age, education and average monthly income of the customer visiting

DOMINOS are not similar to those visiting PIZZA HUT.

Hypothesis 2:


Mean satisfaction level for each attribute (responsible for overall satisfaction) is the same for

DOMINOS and PIZZA HUT.


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Mean satisfaction level for each attribute (responsible for overall satisfaction) is different for

DOMINOS and PIZZA HUT.

Hypothesis 3:


Overall customer satisfaction level at DOMINOS is the same as that at PIZZA HUT.


Overall customer satisfaction level at DOMINOS is not same as that at PIZZA HUT.

4. RESEARCH DESIGN:

The research tries to determine the relation between the various attributes and overall

customer satisfaction; hence a descriptive research design has been used.

5. METHODS OF DATA COLLECTION:

Secondary data regarding company profiles, outlets, and menu items was obtained from

company websites.

The primary data collected for the research was by means of questionnaires administered to

customers visiting the pizza outlets. The questionnaire was designed to fulfill the objectives of

the survey. The questions were close ended and included questions covering the customer profile

and customer preference and satisfaction ratings on attributes. To evaluate the two pizza chains

against customer preference and satisfaction, three broad criterions were considered. These were

physical settings, product related factors, and staff and process factors. These three criterions

were further subdivided into a total of thirteen attributes.

1. Physical Settingsa. Location of the outlet.

b. Parking amenities.c. Seating arrangement.

d. Visual appearance.e. Cleanliness of the outlet


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2. Product

a. Product taste and qualityb. Product value for money

3. Staff and process

a. Courtesy of the staffb.Willingness of the staff to helpc. Knowledge of the staff to handle queriesd. Promptness of servicee. Availability of the stafff. Cleanliness of the staff

Customers visiting the outlets were asked to rate the thirteen attributes in terms of their level of

importance and satisfaction along a five-point scale.

6. SAMPLE DESIGN:The sampling design used for the research study is "Purposive sampling".

Type of Universe:

An infinite universe shall be taken into consideration because we have no idea about the total

number of customers visiting the outlets at any given day.

Sampling Unit:

The study was carried out at the outlets ofDOMINOS and PIZZA HUT located in the city of

MUMBAI, the outlets for the two Pizzas chain is as follows.

DOMINOS:

PIZZA HUT:

Sample size:

Based on the sampling unit, we decided on a sample of 30 customers per outlet. Our total sample

therefore, constitutes 30 customers each forDOMINOS and PIZZA HUT.


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Sampling Procedure:

The survey was conducted at the retail pizza outlet belonging to DOMINOs and PIZZA HUT.

Only customers visiting these outlets were considered because of the low market-penetration

observed in this line of service. The purposive sampling is used because one can be sure that the

respondent is a customer of the pizza outlet and chances of getting a proper response without any

bias increases.

7. DATA PROCESSING AND ANALYSIS:

The data collected by means of questionnaires was compiled in a code sheet. Microsoft Excel

was used to design the code sheet. After all data had been entered in the code sheet, frequency

tables were compiled. Based on compiled data, the following analysis was performed to analyze

the data;

1. Chi Square Test on demographic parameters.

2. Paired Z test to compare of mean scores on all attributes.


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FINDINGS AND CONCLUSIONS

1. DEMOGRAPHIC PROFILE:

For proper analysis it is essential to segment the customers based on various profiles. Here we

have classified the customer profile based on the following criterion

1. Age

2. Educational Qualification

3. Occupation

4. Monthly aggregate family income

1. Age

The following data was collected from the questionnaires administered.

It can be seen from the table of frequency based on age groups that the 20-24 age groups are

prominent visitor at both the pizza chains, making-up 56.67% of the sample size, followed by

i.e.25-34 age group which makes 20% of the whole sample at both the places.

DOMINOS PIZZA HUT

Age Frequency % Frequency %

15-19 6 20 5 16.67

20-24 17 56.67 17 56.67

25-34 6 20 6 20

35 &

Above

1 3.33 2 6.67

TABLE: FREQUENCY DISTRIBUTION: AGE


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2. Educational qualification:


TABLE: FREQUENCY DISTRIBUTION: Educational qualification

It can be seen from the table of frequency based on educational groups that the Graduate group is

most prominent visitor at both the outlets with DOMINOS customers accounting to 46.67% and

PIZZA HUT customers accounting to 40% of their respective sample size, also we see a

significant variance between the classes Undergraduate and Post-Graduate coming to both the

outlets as can be seen from the Table.

3. Occupation:


Educational Qualification DOMINOS PIZZA HUT

Frequency Frequency

SSC/HSC 2 6.67 1 3.33

Some college but not Graduate 8 26.67 7 23.33

Graduate 14 46.67 12 40

Post-Graduate 06 20.00 10 33.33

DOMINOS PIZZA HUT

Frequency % Frequency %

School Student 01 3.33 1 3.33

College Student 17 56.67 15 50

Self Employed Professional 04 13.33 3 10

Government Servant 0 0 1 3.33

Executive - Junior 01 3.33 12 6.67

Executive - Senior 01 3.33 1 3.33

IT Professional 03 10 2 6.67

Any Other 03 10 2 6.67

FREQUENCY DISTRIBUTION: Occupation


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It can be seen from the table of frequency based on occupational groups that the College Student

group is most prominent visitor at both the outlets with DOMINOS customers accounting to

56.67% and PIZZA HUT customers accounting to 50% of their respective sample size, and the

next most prominent group is the Self- Employed Group.

4.Monthly aggregate family income:


It can seen from the table no of frequency based on Monthly aggregate family income groups

that the (More than 20000) group is most prominent visitor at both the outlets with DOMINOS

customers accounting 40% and PIZZA HUT customers accounting to 60% of their respective

sample size, and the next most prominent group is the 15001-20000 group.

Chi Square test:

The Chi square test statistically proves that the two populations i.e. the consumers for the two

Pizza chains studied are similar except in terms of educational qualification and aggregate

monthly family income, the result therefore validates our hypothesis for age and occupation.

Dominos Pizza Hut

Average Monthly Family Income Frequency Frequency

5,000 - 10,000 03 10 01 3.33

10,001 - 15,000 07 23.33 04 13.33

15,001 - 20,000 08 26.67 07 23.33

More than 20,000 12 40 18 60

TABLE: Frequency Distribution: Average Monthly Family Income


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2. CONSUMER BEHAVIOUR:

We have studied the consumer behaviour with respect to consumer loyalty and

awareness withthe help of following factors.Freq

uency of visit:Here we had classified the customers coming to the outlet based on their frequency of

visit into six class interval.

1. Everyday2. Two-three times in a week3. Once a week4. Once a month5. Less often6. Very rarely

The following data was collected based on the questionnaires administered.

It can be seen from the above table that the Once week group is most prominent visitor

at Pizza Hut outlet with 33.33% of their customer base visiting once a week while that of

Dominos accounted for 20%. Also, the figures for people in once a month & Twice or thrice in

a week group are the same as evident from table.

Dominos Pizza Hut

Frequency of Visit Frequency % Frequency %

Everyday 05 16.67 02 6.67

Two-three times in a week 07 23.33 06 20

One a week 06 20 10 33.33

One a month 07 23.33 06 20

Less often 03 10 03 10

Very rarely 02 6.67 03 10

Table 4.1.5: Frequency Distribution: Frequency of Visit


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Most of the customers come to the outlets to have fun in the leisure time in both the outlets.

DOMINOS PIZZA HUT

Frequency of Visit Frequency % Frequency %

Ilike the Pizza served here 07 23.33 07 23.33

To have fun in the leisure time 16 53.33 15 50

Give Opportunity to interact

with people

04 13.33 02 6.67

There is no decent hangout nearby 03 10 03 10

Ilike to play games 0 0.00 02 6.67

1 & 2 0 0.00 01 3.33

2 & 3 0 0.00 0 0.00

Just in case Isee my friend

sitting alone

0 0.00 0 0.00

30 100 30 100

TABLE: Reasons for Visit

DOMINOS % PIZZA HUT %

Yes 26 86.67 24 80

No 04 13.33 06

No answer 0 0 0 0

30 100 30 100

TABLE: Are youlikely to visit a different Pizza outlet?

DOMINOS % PIZZA HUT %

Yes 25 83.33 21 70

No 05 16.67 09 3

No answer 0 0 0 0

30 100 30 100

TABLE: Awareness of other Pizza outlets


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Attributes: Physical settings

Physical settings play an important role that adds to the overall satisfaction of the

customers visiting Pizza outlets; in our survey of Pizza outlets we have considered the following

factors to measure its importance and the satisfaction levels of the customers who visit these

outlets-

1. Location of the outlet

2. Parking amenities

3. Visual appeal of the physical settings

4. Cleanliness of the outlet

5. Seating arrangement

When 30 customers of Pizza Hut were surveyed we found that out of these a major

proportion - 20 customers felt that this factor was "Absolutely Essential", however out of these

only 43.33% rated the available location as "Excellent".

Similarly when 30 customers of Dominos were surveyed 15 said that the location was

"Absolutely Essential" and out of these 33.33% found the location "Excellent".

Only about 2 customers for both the outlets did not consider the location as an important factor

for their satisfaction level.

Rating DOMINOS PIZZA HUT

Importance Satisfaction Importance Satisfaction

Frequency % Frequency % Frequency % Frequency %

1 15 50 10 33.33 20 66.67 13 43.33

2 10 33.33 11 36.67 08 26.67 09 30

3 03 10 07 23.33 02 6.67 04 13.33

4 01 3.33 01 3.33 0 0 02 6.67

5 01 3.33 01 3.33 0 0 02 6.67

Total 30 100 30 100 30 100 30 100.00

TABLE: Location of the Outlet: Importance & Satisfaction


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Parking amenities:

The second factor that we have considered is the parking amenities available to

their customers. Both pizza retail chains do not provide parking facilities on their own. As most

of these outlets are present in commercial areas, customers find it difficult to secure adequate

parking space, this is especially true on weekends when there is heavy rush on these roads.

In our survey we found that 15 out of 30 customers have rated this factor as "Absolutely

Essential" in case of DOMINOS and the number in case of PIZZA HUT is 15 out of 30.

However it was found that out of these only 16.67 % and 13.33% have rated them "Excellent" in

DOMINOS and PIZZA HUT respectively.

Most of the customers have rated the facility on an average basis and thus, there

is felt the need to improve the parking facilities available to the customers visiting these outlets.




1 15 50 05 16.67 15 50 04 13.33

2 09 30 06 20 09 30 05 16.67

3 05 16.67 09 30 04 13.33 10 33.33

4 0 0 06 20 01 3.33 08 26.07

5 1 3.33 04 13.33 01 3.33 03 10

Total 30 100 30 100 30 100 30 100.00

TABLE: Parking Amenities: Importance & Satisfaction


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Visual appeal of the Physical settings:

The third factor considered by us in the survey was the visual appeal aspect of these outlets.As most of the customers are college students, both the retail outlets have made an attemptto make the surroundings according to the wants of this segment, they have bright colourson the walls and the overall look is refreshing. As the Pizza outlets are positioned as placesfor leisure and relaxation there are other aspects that add up to the entire feeling.

When we surveyed 30 customers for each outlet, it was found that 24 in case ofDOMINOSfound this factor as "Absolutely essential" and "essential" and the number in case of PIZZA HUTwas 24. The satisfaction levels were also rated high in both the cases. This goes to show thatpeople are definitely attracted to the kind of relaxing atmosphere created by them.

Cleanliness of the Outlet:

As expected, the number of people rating this factor as "Absolutely essential" is high in both thecases, in DOMINOS it is 27out of 30 customers whereas in PIZZA HUT the number is 27 outof 30.The cleanliness factor has been rated on the average as "Good" as the number of people rating it"excellent" and "good" is 23 forDOMINOS and 26 for PIZZA HUT . Details are given belowin table,




1 10 33.33 06 20 11 36.67 07 23.33

2 14 46.67 16 53.33 13 43.33 14 46.67

3 04 13.33 07 23.33 05 16.67 07 23.33

4 01 3.33 01 3.33 01 3.33 01 3.33

5 01 3.33 0 0 0 0 01 3.33

Total 30 100 30 100 30 100 30 100.00

Rating Cafe Coffee Day Barista



1 20 66.67 09 30.00 19 63.33 10 33.33

2 07 23.33 14 46.67 08 26.67 16 53.33

3 02 6.67 05 16.67 03 10 03 10

4 0 0 02 6.67 0 0 01 3.33

5 01 3.33 0 0.67 0 0 0 0

Total 30 100 30 100 30 100 30 100.00

TABLE: Cleanliness of the Outlet: Importance & Satisfaction


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Attributes: Product

In product characteristics attribute, we have considered three attributes, which play an important

role in product differentiation. The attributes which are taken into consideration are:

1. Product taste and quality

2. Product value for money

3. Variety of menu.

As mentioned earlier these three attributes are rated on the basis of their importance as well as

satisfaction.

1. Product taste and quality:

The attribute product taste and quality is very important as it plays a vital role in

creating a strong customer base. In today's competitive world a brand with an exceptional taste

and quality conquers the competitors and acquires a market share. When we consider the two

different pizza outlets, the product taste and quality forms a strong base for differentiation and

the chain serving a pizza with better taste and quality will definitely do well in getting a large

number of customers. The table given below shows the frequencies and percentage frequencies

for the attribute: product taste and quality.

In case ofDOMINOS 66.67 % people rate the attribute: product taste and quality as "Absolutely

essential" while in case of Pizza Hut the percentage is 66.67%.The percentage of the people who

do not give any importance for taste and quality is very low. This leads to a conclusion that




1 20 66.67 06 20.00 20 66.67 10 33.33

2 07 23.33 14 46.67 06 20 13 43.33

3 02 6.67 08 26.67 02 6.67 06 20

4 01 3.33 01 3.33 0 0 01 3.33

5 0 0 01 3.33 0 0 0 0

Total 30 100 30 100 30 100 30 100.00

TABLE: Product taste and quality: Importance & Satisfaction


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people always )prefer product taste and quality and hence no compromise should be done by

Pizza outlets for taste and quality. When we have a look at satisfaction level for taste and quality

in these two chains, Pizza Hut is on higher side as 33.33% customer feel that Pizza taste and

quality at Pizza Hut is excellent while this percentage is 20% forDominos.

2. Product value for money:

The table given below shows the frequencies and percentage frequencies for the attribute

Product value for money.

from table it is very clear that people always look for the value for money as 53.33% people

rate his attribute as absolutely essential in case ofDominos and in Barista this percentage is

50%. Thus more than half the number of people considers his attribute as absolutely essential.

Also the Percentage of people who think this attribute as essential is 33.33% in Dominos and

33.33% in Barista thus most of the people want value for their money, this makes the

management of these Pizza outlets to put their best possible efforts for giving a value for the

money of their customers.

When a question of satisfaction level of value for he money arises, only 13.33% of people think

that Dominos gives the excellent value for their money which rises to 23.33% in Pizza Hut.

Percentage of people who think that Dominos gives good value for their money is 36.67 and in

case if Pizza Hut this percentage is 40. Also the percentage of people considering Dominos as a

poor in giving a value for the money is 13.33, which is higher than Barista with 6.67%. All these

figures show that people are less satisfied with Dominos for getting a value for their money.




1 16 53.33 04 13.33 15 50 07 23.33

2 10 33.33 11 36.67 10 33.33 12 40

3 03 10 10 33.33 04 13.33 08 26.67

4 0 20 04 13.33 01 3.33 02 6.67

5 01 3.33 01 3.33 0 0 01 3.33

Total 30 100 30 100 30 100 30 100.00

TABLE:Product value for money: Importance & Satisfaction


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Attribute: Courtesy of the staff

The following table shows frequencies and percentage frequencies for the attribute:

Courtesy ofthe Staff.

In Dominos 80 % people responded that courtesy is essential or absolutely essential attribute, while in Pizza Hut

this percentage is 80 this statistics show that people demand courtesy serving. The percentage of people thinking

that courtesy is not essential is negligible.

As far as satisfaction level for courtesy is considered, curiously, only 20% people say that courtesy is excellent, in

Dominos while in Pizza Hut this percentage is exactly the same.Around 16.67 %

The respondents of both Dominos and Pizza Hut think that the courtesy is average to good. All these statistics

reveal a fact that people are not overly satisfied with the courtesy at both these outlets and hence these chains should

give more thought to it.




1 14 46.67 06 20 12 40 05 16.67

2 10 33.33 12 40 12 40 14 46.67

3 04 13.33 10 33.33 04 13.33 09 30

4 01 3.33 01 3.33 01 3.33 01 3.33

5 01 3.33 01 3.33 01 3.33 01 3.33

Total 30 100 30 100 30 100 30 100.00

TABLE:Courtesy of the Staff: Importance & Satisfaction


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Attribute: Willingness of the staff to help

In a service industry, the staff should be seen as eager to help a patron. So as he feels that he is a

favored customer. This is also seen as one of the major attributes. This will attract repeat

customers.

The following table shows frequencies and percentage frequencies for the attribute : Willingness

of the Staff to help.

those ofDominos 76.67 % people responded that Willingness is essential or absolutely essential

attribute, while in Pizza Hut this percentage is 83.34 this statistics show that Willingness of the

staff to help is an important attribute. The percentage of respondent thinking that Willingness is

not essential is negligible.

As far as satisfaction level for Willingness is considered, hardly 20 % people say that it is

excellent, in Dominos and Pizza Hut. Around 70 % of the respondents of both Dominos and

Pizza Hut think that willingness is average to good. All these statistics show that Willingness at

both these outlets and hence these chains should give more thought to it.

Ratin DOMINOS PIZZA HUT

ImportanceS

atisfaction ImportanceS

atisfFrequency % Frequency % Frequency % Frequency %

1 11 36.67 06 20 14 46.67 06 20

2 12 40.0 12 40 11 36.67 13 43.33

3 05 16.67 09 30 04 13.33 08 26.67

4 01 3.33 02 6.67 01 3.33 02 6.67

5 01 3.33 01 3.33 0 0 01 3.33

total 30 100 30 100 30 100 30 100.00

TABLE: Willingness of Staff to Help: Importance & Satisfaction


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Attribute: Knowledge of the Staff to handle queries

In a service industry, the staff should be seen as knowledgeable about the product and its

qualities. This is also seen as one of the major attributes. This will attract repeat customers. The

following table shows frequencies and percentage frequencies for the attribute: Knowledge

of the Staff to handle queries.

those of Dominos, 80 % people responded knowledge is essential or absolutely essential

attribute, while in Pizza Hut, this percentage is 83.33 this statistics show that Knowledge of the

staff to handle queries is an important attribute. The percentage of people thinking that

Knowledge is not essential is negligible.

As far as satisfaction level for Knowledge is considered, only 13.33 % people say that it is

excellent in Dominos while in Pizza Hut this percentage is higher 23.33 %. Around 70 % of the

respondents of both Dominos and Pizza Hut think that Knowledge is average.

All these statistics reveal that people are not overly satisfied with the Knowledge of the staff at

both these outlets and hence these chains should give more thought to it.




1 12 40 04 13.33 13 43.33 07 23.33

2 12 40 11 36.67 12 40 13 43.33

3 04 13.33 11 36.67 05 16.67 08 26.674 02 6.67 03 10 0 0 02 6.67

5 0 0 01 3.33 0 0 0 0

Total 30 100 30 100 30 100 30 100.00

TABLE: Knowledge of the staff to Handle Queries: Importance


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Attribute: Promptness of Service

In a service industry, the staff should give prompt service as nobody has time to waste. This is

also seen as one of the major attributes. This will attract repeat customers.

The following table shows frequencies and percentage frequencies for the attribute: Promptness

ofService.

ForDominos 83.34 % people responded promptness is essential or absolutely essential while in

Pizza Hut this percentage is 90 %. statistics show that Promptness of service is important

attribute. The percentage of people saying that Promptness is not essential is negligible.

As satisfaction level for Promptness is seen, only 10 % people say that it is good, in Dominos.

while in Pizza Hut this percentage is around 20 %. Around 71 % of the respondents Dominos

and Pizza Hut think that Promptness is average to good. All these statistics reveal that people are

not overly satisfied with the Promptness of the staff at both these outlets and hence these chains

should give more thought to it.




1 14 46.67 03 10 16 53.33 06 20

2 11 36.67 12 40 11 36.67 12 403 04 13.33 10 33.33 03 10 09 30

4 01 3.33 04 13.33 0 0 02 6.67

5 0 0 01 3.33 0 0 01 3.33

Total 30 100 30 100 30 100 30 100.00

TABLE: Promptness of Service: Importance & satisfaction


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Attribute: Availability of the Staff

In a service industry, the staff should attend to the customer at just the nod of the head. This

gives a feeling that he is a preferred customer. This is also seen as one of the major attributes.

This will attract repeat customers.

The following table shows frequencies and percentage frequencies for the attribute: Availability

of the Staff.

In case of Dominos 80 % people responded that Availability of the Staff is essential or

absolutely essential attribute, while in Pizza Hut this percentage is 83.33 %. This statistics show

that Availability of the Staff is an important attribute. The percentage of people thinking that

Promptness is not essential is negligible.

As far as satisfaction level for Availability is considered, only 16.67 % people say that it is

excellent, in Dominos while in Barista this percentage is marginally lower at 13.33 %. Around

71 % of the respondents ofDominos think that Availability is average to good. And around 80

% for Pizza Hut. All these statistics reveal that people are not overly satisfied with the

Availability of the staff at both these outlets and hence these chains should give more thought to

it.

Ratin DOMINOS PIZZA HUT

Importance Satisfaction Importance Satisf


1 12 40 05 16.67 13 43.33 04 13.33

2 12 40 11 36.67 12 40 15 50

3 04 13.33 10 33.33 04 13.33 09 30

4 01 3.33 03 10 01 3.33 01 3.33

5 01 3.33 01 3.33 0 0 01 3.33

total 30 100 30 100 30 100 30 100.00

TABLE: Availability of Staff: Importance & Satisfaction


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Attribute: Cleanliness of the Staff

Cleanliness is next to Godliness. The staff should be clean, which will indicate the awareness

among management about health. This is also seen as one of the major attributes. This will

enhance the image of the outlet.

The following table shows frequencies and percentage frequencies for the attribute: Cleanliness

of the Staff.

In case ofDOMINOS, 86.67 % people responded that Cleanliness of the Staff is essential or

absolutely essential attribute, while in Pizza Hut this percentage is 90 %. This statistics show that

Cleanliness of the Staff is an important attribute. The percentage of people thinking thatCleanliness is not essential is negligible.

As far as satisfaction level for Cleanliness is considered, 30 % people say that it is excellent, in

Dominos and same in Pizza Hut. Around 63.4 % of the respondents ofDominos think that

Cleanliness is average to good. And around 62 % for Pizza Hut. All these statistics reveal that

people are satisfied with the Cleanliness of the staff at both these outlets.

Mean Ratings for Attributes (Importance and Satisfaction)




1 17 56.67 09 30.0 19 63.33 09 30

2 09 30 14 46.67 08 26.67 13 43.33

3 02 6.67 06 20 02 6.67 05 16.67

4 01 3.33 01 3.33 01 3.33 02 6.67

5 01 3.33 0 0 0 0 01 3.33

Total 30 100 30 100 30 100 30 100.00

TABLE: Cleanliness of Staff: Importance & Satisfaction


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Attributes DOMINOS PIZZA HUT

Location of the outlet (Importance) 1.706587 1.427273

Location of the outlet (Satisfaction) 2.02994 2.055556

Parking amenities (Importance) 1.784431 1.836364

Parking amenities (Satisfaction) 2.821656 3.009259

Visual appeal of the physical settings (Importance) 1.814371 1.963636

Visual appeal of the physical settings (Satisfaction) 2.095808 2.287037

Cleanliness of the outlet (Importance) 1.51497 1.418182

Cleanliness of the outlet (Satisfaction) 1.952096 1.981308

Seating capacity (Importance) 1.856287 1.87037

Seating capacity (Satisfaction) 2.491018 2.35514

Product taste and quality (Importance) 1.502994 1.37963

Product taste and quality (Satisfaction) 2.167665 1.916667

Product value for money (Importance) 1.652695 1.715596

Product value for money (Satisfaction) 2.54491 2.280374

Courtesy of the staff(Importance) 1.838323 1.724771

Courtesy of the staff(Satisfaction) 2.377246 2.252336

Willingness of the staff to help (Importance) 1.94012 1.672727

Willingness of the staff to help (Satisfaction) 2.329341 2.158879

Knowledge of the staff to handle queries (Importance) 1.904192 1.772727

Knowledge of the staff to handle queries (Satisfaction) 2.449102 2.157407

Promptness of service (Importance) 1.748503 1.618182

Promptness of service (Satisfaction) 2.598802 2.25

Availability of the staff(Importance) 1.916168 1.809091

Availability of the staff(Satisfaction) 2.524096 2.324074

Cleanliness of the staff(Importance) 1.592814 1.486239

Cleanliness of the staff(Satisfaction) 2.035928 2.009346


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Conclusion

1. The Chi square test statistically proves that the two populations i.e. the consumers for the two

Pizza outlets studied are similar except in terms of educational qualification and aggregate

monthly family income, the result therefore validates our hypothesis for age and occupation.

2. Frequency of customers visiting the outlets ranges from 15% for everyday visits and an

average of 20% customers visiting the outlets at least once a month or more frequently. This high

frequency indicates that people like to visit these retail outlets. A new entrant will find this

interesting to note because it indicates a demand for the service offering.

3. "Spending a leisure time" dominates the reasons for visiting the outlets with 53% of

Dominos customers and 50% of the Pizza Hut customers citing these reasons. The food and

beverage is considered by only 23% of the population forDominosand Pizza Hut.

This consumer behavioral trait if considered together with the satisfaction levels of

consumers for the two pizza outlets indicates that although the product taste and quality is

relatively important for the customers, a majority of these individuals prefers to visit these

outlets only for leisure. All the other service outlets providing this attribute can act as

substitutes for the pizza outlets.

4. 85 and 80.6% of the customers visiting Dominos and Pizza Hut, respectively, are aware of

other Pizza outlets. At the same time 85 and 72% of the customers forDominos and Pizza

Hut are willing to visit the other Pizza outlets. This does not bode well in terms of customer

loyalty. Both these chains would do well to increase their efforts with regards to customer

loyalty. Possible suggestions could be prepaid cards, loyalty programs, free gifts and

vouchers.

5. From the Z test it has been statistically proved that the difference between the means for the

attributes for the two Pizza outlets is insignificant. It means that the marketing mix strategies

as well as the consumer response to the service attributes are same in both the chains.

6. The gap analysis between importance and satisfaction scores forDominos and Pizza Hut

gives three major areas for improvement i.e. parking; product value for money and


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promptness of service. Also it was observed that in case of Pizza Hut the gap scores were

comparatively less. This finding is relevant for a new entrant who may be able to take away

the market shares by concentrating on service and product related attributes.

The findings specifically highlight that how these Pizza outlets Dominos and Pizza Hut have

grown and evolved as strong as a multinational?

Documents

RM Survey Report Final