A Study On Customer Satisfaction: Hke'S SLN College of Engineering (Mba Dept)

A STUDY ON CUSTOMER SATISFACTION
CHAPTER 1
INTRODUCTION
HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 1

INDUSTRY PROFILE
INDUSTRY PROFILE:
The Indian hospitality industry has emerged as one of the key industries driving growth of the
services sector in India. It has evolved into an industry that is sensitive to the needs and
desires of people. The fortunes of the hospitality industry have always been linked to the
prospects of the tourism industry and tourism is the foremost demand driver of the industry.
The Indian hospitality industry has recorded healthy growth fuelled by robust inflow of
foreign tourists as well as increased tourist movement within the country and it has become
one of the leading players in the global industry. Foreign tourist arrivals (FTAs) into the
country increased steadily from 2002 to 2008. FTAs dipped in 2009, due to the global
economic slowdown; however, the impact on the Indian industry was much lower than that
on the global counterparts. FTAs are expected to increase in 2010. On the other hand,
domestic tourist movement within the country was the highest in 2009.
EVOLUTION OF HOTEL INDUSTRY:
Hotel industry in India has witnessed tremendous boom in recent years. Hotel industry is
inextricably linked to the tourism industry and the growth in the Indian tourism industry has
fuelled the growth of the indian hotel industry. The thriving economy and increased business
opportunities in India have acted as a boon for Indian hotel industry. The arrival of low cost
airlines and the associated price wars have given domestic tourist a host of option. The
“incredible India” destination campaign and the recently launched ‘atithi devo bhava (ADB)
campaign have also helped in the growth of domestic and international tourism and
consequently the hotel industry.

INDUSTRY CHARACTERISTICS
Major characteristics of the Indian hospitality industry are:
HIGH SEASONALITY:
The Indian hotel industry normally experiences high demand during October-April, followed
which the monsoon months entail low demand. Usually the December and March quarters
bring in 60% of the year’s turnover for India’s hoteliers. However, this trend is seeing a
change over the recent few years. Hotels have introduced various offerings to improve
performance (occupancy) during the lean months. These include targeting the conferencing
segment and offering lucrative packages during the lean period.
LABOUR INTENSIVE:
Quality of manpower is important in the hospitality industry. The industry provides

employment to skilled, semi-skilled, and unskilled labour directly and indirectly. In India, the
average employee-to-room ratio at 1.6 (2008-09), is much higher than that for hotels across
the world. The ratio stands at 1.7 for five-star hotels and at 1.9 and 1.6 for the four-star and
three-star categories respectively. Hotel owners in India tend to “over-spec” their hotels,
leading to higher manpower requirement. With the entry of branded international hotels in the
Indian industry across different categories, Indian hotel companies need to become more
manpower efficient and reconsider their staffing requirements.
GROWTH DRIVERS:
The fortunes of the hospitality industry are closely linked to the tourism industry and hence
tourism is one of the most important growth drivers. In addition, all factors that aid growth in
the tourism industry also apply to the hospitality industry. The Indian hospitality industry has
recorded healthy growth in recent years owing to a number of factors:

INCREASED TOURIST MOVEMENT:
Increased FTAs and tourist movement within the country has aided growth in the hospitality
industry. Healthy corporate profits and higher disposable incomes with easier access to
finance have driven the rise in leisure and business tourism, thus having a positive impact on
the hospitality industry.
ECONOMIC GROWTH:
India is one of the fastest growing economies in the world. It recorded healthy growth in
the past few years, at more than 9% each during FY06-
FY08. Despite the global economicslowdown, the Indian economy clocked growth of 6.7%
and 7.4% in FY09 and FY10respectively. Attractiveness of India has encouraged foreign
players to set up their operational facilities in the country. Domestic industries have also
made heavy investments to expand their facilities through Greenfield and Brownfield
projects.
CHANGING CONSUMER DYNAMICS AND EASE OF FINANCE:
The country has experienced a change in consumption patterns. The middle class population
with higher disposable incomes has caused the shift in spending pattern, with
discretionary purchases forming a substantial part of total consumer spending. Increased affor
dability andaffinity for leisure travel are driving tourism in India and in turn aiding growth of
the hospitality industry. Emergence of credit culture and easier availability of personal loans
have also driven growth in the travel and tourism and hospitality industries in the country.
MEASURES UNDERTAKEN BY THE GOVERNMENT:
Various policy measures undertaken by the Ministry of Tourism and tax incentives have also
aided growth of the hospitality industry; some of them include:
 Allowance of 100% FDI in the hotel industry (including construction of hotels,

resorts, and recreational facilities) through the automatic route

 Introduction of ‘Medical Visa’ for tourists coming into the country for medical
treatment
 Issuance of visa-on-arrival for tourists from select countries, which include Japan,
NewZealand, and Finland
 Promotion of rural tourism by the Ministry of Tourism in collaboration with the
United Nations Development Programme
 Elimination of customs duty for import of raw materials, equipment, liquor etc
 Capital subsidy programme for budget hotels
 Exemption of Fringe Benefit Tax on crèches, employee sports, and guest house
facilities
 Five-year income tax holidays for 2-4 star hotels established in specified districts
having UNESCO-declared 'World Heritage Sites'

STRUCTURE OF HOTEL INDUSTRY:
CLASSIFICATION OF HOTELS:
The Ministry of Tourism has formulated a voluntary scheme for classification of operational
hotels into different categories, to provide contemporary standards of facilities and services at
hotels. Based on the approval from the Ministry of Tourism, hotels in India can divided into
two categories:
 DoT (Department of Tourism) classified hotels

 DoT (Department of Tourism)unclassified hotels

CLASSIFIED HOTELS:
Hotels are classified based on the number of facilities and services provided by them.Hotels
classified under the Ministry of Tourism enjoy different kinds of benefits such as tax
incentives, interest subsidies, and import benefits. Due to lengthy and complex processes
for such classification, a significant portion of the hotels in India still remainunclassified. The
Ministry of Tourism classifies hotels as follows:
 Star category hotels

 Heritage hotels
 Licensed units
 STAR CATEGORY HOTELS:

Within this category, hotels are classified as five-star deluxe, five-star, four-star,
three-star, two-star and one-star.
 HERITAGE HOTELS:
These hotels operate from forts, palaces, castles, jungles, river lodges and
heritage buildings. The categories within heritage classification include heritage grand
, heritage classic and heritage basic.
 LICENSED UNITS:
Hotels/establishments, which have acquired approval/license from the Ministry
of Tourism to provide boarding and lodging facilities and are not classified as heritage
or star hotels, fall in this category. These include government-approved service
apartments, timesharing resorts, and bed and breakfast establishments.
BRANDED PLAYERS:
This segment mainly represents the branded budget hotels in the country, which bridge the
gap between expensive luxury hotels and inexpensive lodges across the country. Budget
hotels are reasonably priced and offer limited luxury and decent services. Increased demand
and healthy occupancy have fuelled growth of budget hotels. These hotels use various cost

control measures to maintain lower average room rates without compromising on service
quality. Ginger Hotels, ITC Fortune, Hometel, and Ibis are some of the popular budget hotels.
OTHER SMALLER PLAYERS:
These are small hotels, motels and lodges that are spread across the country. This segment is
highly unorganized and low prices are their unique selling.
TRENDS IN THE INDUSTRY:
The hospitality industry recorded healthy growth in early-2000, leading to a rise in occupancy
rate during 2005/06 and 2006/07. Consequently, average rates for hotel rooms also increased
in2006/07. The rise in average rates was also a result of the demand-supply gap for hotel
rooms, especially in major metros. Hotels were charging higher rates, at times much higher
than that those charged by their counterparts in other parts of the world. Lured by higher
returns experienced by the hotel industry, a number of players, domestic as well as
international, entered the space. India became one of the most attractive destinations for such
investments. While on the one hand, investments continued to flow into the hotel industry, hit
by sharp rise in rates, corporate started looking for alternate cost-effective lodging options.
This led to emergence of corporate guest houses, especially in major metros, and leased
apartments as replacements for hotels. While average room rates rose in 2007/08, occupancy
rates dropped. Occupancy rates plunged sharply next year, as demand declined following the
global economic slowdown and the terror attacks in Mumbai. As a result, hotel rates declined
during 2009-10.The hospitality industry reported improvement in 2009-10, with domestic
tourist movement in the country being at a high. While average rates remained lower,
occupancy rates rose, supported by surge in domestic tourist movement. The industry is
expected to report healthy growth in 2010/11, with expected increase in domestic tourist
movement and rise in international tourist arrivals.

COMPANY PROFILE
Daffodil suites offer opulent amenities at an affordable cost. Daffodil suits are luxurious
services suites built on a 2800 sqft plot. The serene property comprises of 21 comfortable
suites designed for a satisfying stay. Custom designed furniture tranquilizing interiors and
thoughtfully laid out spaces lend a magnificence that is unmatched.
The company is located at the heart of Bangalore alongside many of the important landmarks
of the city. A line up of restaurants, bars, shopping malls and multiplexes make it an ideal
destination to hangout in weekends or relax after a long work day.
Daffodils is located near Manyata tech park, Bangalore. It is Off Outer Ring Road, 1st Stage,
HBR Layout, Near Manyata tech-park, Next to ManipalAnkur, Bengaluru, Karnataka
560043. It is a part of Treebo hotels.
This is a changing face of business in the city.TreeboDoffodils is a business hotel, and

choosen by the business personal working in different companies like Philips.
The hotel offers a range of interesting dining expriences. They include a casual all day eatery.
A speciality restaurant serving cuisine. Business service include conference rooms,book
store. Extended stay hotel and services,relocation assistance, cultural,integration,free
cocktails,VIP lounge.The hotel provides high range wifi. They also provide gym with brand
new equitments.
. The major objectives of this study are to determine how a front office deals with visitor and
the revenue earning sources to identify the pattern of revenue sources element. One
recommendations and suggestions have been made to improve both the pattern of front office
revenue and the trend of earnings from various resources.
To this aim, we have collected the data & information collected from primary & secondary
sources.
•students the opportunity to relate theory to practice in real world.Habitual professional life.
•students in-ser!ice orientation to a career area they may wish to pursue.
•allow students the opportunity to work in their area of intendedspeciali2ation.

•enhance students understanding of organi2ational and group processes public service

obligations.
Hospitality work experiences that qualify as acceptable:
 management trainee
 front office position
 night auditor
 bell person
 waiter/waitress/server/counter service person at a restaurant
 host/hostess
 maître d'hôtel
 bartender or beverage waiter/waitress
 kitchen helper
 pantry person
 cook or assistant cook
 steward or assistant steward
 banquet captain
 catering/banquet sales
 convention and event planning/management for private clubs, hotels, associations,

corporations, weddings, etc.
 apartment manager or similar position
Hospitality work experiences that do not qualify as acceptable:
 lifeguard or pool manager
 accounting work outside the hospitality industry
 construction work

 landscape architecture work
 position in fraternity/sorority house
 position in retail grocery/butcher shop
 retail store clerk
 entertainer
 recreation
 theme park ride attendant
 parking attendant
 dormitory manager or leasing consultant
 ice cream/Smoothie shop (may count up to 200 hours)
 sub-sandwich shop (may count up to 200 hours)
 administrative/secretarial work
 basic counter salesperson at a bakery, cookie store, or retail food store
Daffodil Suites is in a quiet residential neighbourhood at Bangalore’s HRB Layout. The hotel
is well connected to the international airport and within quick reach from the Bangalore East
railway station. Its modern rooms have a sleek, contemporary design and the deluxe rooms
have balconies that overlook the surrounding greenery. Daffodil is located close to the
Columbia Asia Hospital as well as the Manyata Tech Park, one of the biggest business
complexes in the area. Business travelers will certainly enjoy the convenience of this
location. It also has facilities for hosting business events. The hotel has a front desk
functioning 24/7 and an in-house restaurant as well.
They have a hotel policy, Check-in time starts at noon, Minimum check-in age is 18
Taxes are subject to change based on Goods and Services Tax (GST) implementation. For
more details, please contact the property using the information on the reservation
confirmation received after booking.
This property's policy is to accept bookings only from non-local guests. Guests whose
residence is within Bangalore will not be allowed to check in. For more details, please
contact the office using the information on the reservation confirmation received after
booking.
AMENITIES:
Daffodil suites offer opulent amenities at an affordable cost. The rooms are divided into two
categories standard rooms and deluxe rooms.
STANDARD ROOMS:
DELUXE ROOMS:
The exquisite studio suite spread across 350 sq.ft area comes equipped with all features of
Standard room in addition to a living area with couch, an open kitchenette with induction
cookware, coffee maker, refrigerator and spacious balconies to unwind, the suite is perfect for
an extended stay.

ROOM FACILITIES:
Air Conditioning in all rooms
32 inches high definition LED TVs with digital satellite connection
Free high speed Wi-Fi Access in all areas
Fully Furnished with living area and balconies in suites

Work desk and chairs
Well-equipped kitchenette in suites
Coffee/ Tea Maker
Daily Housekeeping and linen change
Spacious double wardrobes
Complimentary newspapers
GENERAL FACILITIES:
Multi-cuisine restaurant specializing in South-Indian dishes
Spacious lobby to relax
Complimentary buffet breakfast
12 noon check-in / check-out
Banquet Hall & Board Room facility
Laundry service
Doctor on call
Travel Assistance
100 percent power backup
Lift / Elevator
Laundry service
Photocopy & Printer facility ( At reception)
All major credit / debit cards accepted

 PROMOTERS
 SAFEERAHMED: By Profession an Engineer who was passionate about travel &

tourism, during his career as an engineer had an an opportunity to travel the globe
where he would experience different stays at different concept of Hotels. This ignited
the spark to have one in his portfolio.
 SAMEER AHMED: By Profession an Engineer who is passionate in Building
structures & also designing them in an unique creative style. The hotels are structured
& designed by him.
 SYED SOFI ALI : By Profession an Auditor who is passionate about travelling.
During his Audit career had an opportunity to travel different locations to Audit the
respective companies. This made him realize he can contribute to this vertical a lot
and currently following his passion towards it.
“Iam paying and what worth will I expect ? ”
Is the question which the promoters ask themselves keeping their guest’s in mind. This
helps to take up the management in required path.
 VISION
“TO BE THE FIRST CHOICE FOR GUESTS”
 MISSION
“DELIGHT THE GUESTS FROM OUR HEART”
 QUALITY POLICY
“Never Compromise in the Quality” is the policy followed at Our Hotels, where we have our
dedicated team to monitor the quality at each and every level where the Guest/ staff will go
through.
Like taking care of Hygiene, with the odur in the premises, with the quality/type of products
we use in restaurants, our quality behaviour of entire staff towards the guest.
Making sure quality is matched beyond the worth what the guest is actually payed for.

This quality policy at Daffodil Hotels makes us stand unique in the Radius where we operate
our business, ultimately helping us Grow at Budgeted levels and contribute us to our Goals.
 AREAS OF OPERATION
Bangalore
 COMPETITORS
 Royale serenity
 Raj elegance
 Country Inn
 Maple suites
 SWOT ANALYSIS
STRENGTH WEAKNESS
 Non substitutable  Highly dependency on corporate.
 Committed staff  Seasonal
 Infrastructure facilities  Low level of skills &education of
 USP services lower staff
 Perceived to be a low status
employment sector.
OPPURTUNITY THREATS
 Budget hotels growth trend  Competitors USP
 Location opportunities’  The lack of sufficiently skilled
 increasing globalisation personnel reduces the quality of the
 the hotel industry is here to stay; sector.
there’s no question about that  Safety & security of every guest is
important, hence terrorism or any
mischievious act is a major threat
 Low budget hotel chains threats (
likewise: oyo , treebo & fabhotels)

 FUTURE GROWTH
Daffodil Hotels is group which falls under “Corporate Budget Hotels Sector”, This sector as
per recent “Hotel Review Report” states 12% growth rate every succeeding year and will
continue this trend in long run.
The management at Daffodil Hotels have seen a trend in its Business growth every quarter, as
they are very passionate on multiplying their business without compromising on quality &
giving the best class experience to the Guest in return assuring the worth for what they pay.

CHAPTER 2

BACKGROUND OF THE STUDY
Customer care was defined by kotler as an administration that one can offer to another which
is basically impalpable and does not result in the responsibility for but rather achieves
customer delight and satisfaction. At the end of the day, customer care is an administration
that tries to gain new clients, give predominant customer loyalty and construct client
devotion. As time change so do customer care perspectives. The hospitality business is one
that is continually experiencing change and along these lines, the customer care must be kept
constantly updated as well.
Customer care benefits in association incorporate dependable administrations, security,

parking space, front desk area administrations, appeal, speed in administration conveyance,
after deals administrations, client consideration and affectability to their necessities,
trustworthiness and great demeanor towards customer. customer care administrations are
centered around making the customer open to, making essential associations in the psyche of
the clients and improving the customer feel, fulfilled then they were before the exchange and
invigorate customer maintenance. The rationale of any business is to make and serve their
customer however the greatest test is the means by which to fulfill them for the existence
time of a business. Organizations ought to dependably search for approaches to serve their
customer more than they anticipate. In doing as such, it causes them to realize you give it a
second thought and it will abandon them with the vibe; Feel great factor
customer care assumes a vital job in an associations capacity to create revenue and income
and in this way customer care ought to be incorporated as the piece of the general way to deal
with methodical enhancement. A customer service experience can change the whole
observation a client has of the association. customer care incorporates setting up frameworks
to augment consumer loyalty's with the business. It shouldto be a prime thought for each
business since deals and benefits rely upon keeping customer happy. customer care is more
straightforwardly imperative a few jobs than others, for assistant, deals staff and different
workers in customer confronting jobs, customer care should be a center component of their
set of working responsibilities and preparing a center rule when you are enlisting . A colossal
scope of components can add to consumer loyalty yet customer the two customers and
different business are probably going to consider the accompanying:

o How well your service matches to customers’ needs.

o How well you keep your customers informed.
o The professionalism, friendliness and expertise of your employees.
o The after sales service you provide.
Consumer loyalty is a proportion of how items or administrations provided by an

organization meet customer desires. It alludes to the degree to which clients are content with
the products and services given by a business. Increasing abnormal amounts of consumer
loyalty is imperative to a business on the grounds that fulfilled clients are probably going to
be steadfast, make rehashed requests and utilize a wide scope of administrations offered by a
business.
The need to fulfill customer for accomplishment in any business venture is exceptionally self-
evident. The income of every single business venture is gotten from the payments got for the
products and services to its external customers. Customer are the sole purpose behind the
presence of business foundations. For consumer loyalty, it is important to build up and keep
up certain imperative attributes like quality, reasonable costs, and great client dealing with
aptitudes, proficient conveyance and genuine thought of client grievances. The most ideal
approach to discover whether customer are fulfilled is to ask them. What to ask the customer
is vital and how when and how frequently you make these inquiries are additionally
imperative. Anyway the most critical thing about leading a consumer loyalty review is your
main thing with their answers.
Daffodils hotel also emphasizes good customer services and has established a customer care
desk for its customers demand and guidance. The hotel has a customer care service policy that
caters for customers activities.
The activities for which the policy was build include efficient and timely delivery of services,
hotel guides, security, customer attention, parking space, 24 hours front desk services,
sensitivity and attention to customer needs. However, with the existence of all efforts to
ensure the best services for its customers, the hotel continues to lose customers to its
competitors like serene and creation of new customers is below target. The report revealed
that, the customers have complained of high prices for accommodation and customer neglect.
This situation has led to customer dissatisfaction and as a result, they are shifting their

demands and loyalty to other organization providing similar services in a manner meeting
their expectations.

 LITERATURE REVIEW
INTRODUCTION
This includes the existing literature put forward by different scholars and personalities on
customer care and customer satisfaction as well.
CUSTOMER CARE/SATISFACTION CONCEPT
 Kotler (1998) described customer care as an administration in any action or advantage

that one gathering can offer to another that is basically immaterial and does not result in
the responsibility for.
 As indicated by Nghua (2001), customer care can be characterized as any great
administration rendered to a customer during the time spent moving a result of
administration, Nghau further clarifies customer care as the 'exercises' which are offered
to deal or are given in association the closeout of merchandise.
 As indicated by Balunywa (1995) any administration rendered to a customer is the one
alluded to as customer care. To be sure such huge numbers of researchers have
endeavored to portrayed customer care yet the substance of the entire idea of customer
care from such definition above is that any one in business must not just focus on the item
the person is putting forth, yet should go with it with incredible support of the focused on
clients. Balunywa saw that the idea of customer care is still new and most chiefs are yet to
embrace it.
 M bonigaba (1995) composed that there is a need to make customer fulfilled since they
assist business with earning. In many workplaces, customer care begins with the front
office assistants. The secretaries at the front office ought to be made to welcome the
significance of the customer care since this is the most obvious opportunity for any
business to make the initial introduction of good support of its customer.
 Kotler (1998) saw that customer loyalty relies upon the degree to which clients
assumptions regarding the administrations are satisfied and these desires are not
static.Kotler noticed that great customer service in addition to other things involves
keeping the guarantees made to customer and not ensuring things that can't be
conceivable given the idea of the working condition. To give an astounding
administration to customer, the association should deliver to convey past the desires for
the customer.

 Santon (1999) contends that, to give great customer benefits, the association in structuring
must concentrate entirely on the customer. This conveys us to who really is the client. A
customer is an individual or association that settles on a buy choice.
 Drucker (1994) distinguishes client creation as one of the real targets of the business.
Without a customer, different parts of association won't be practical for long.
Organizaions in this way structure client care programs looking to secure new clients,
give unrivaled client satisafaction and build customer loyalty.
 Knutson, 1988; Pizam, 1994). A satisfied guest promotes positive WOM at no cost for
the enterprise and with effect and credibility that are superior to those of conventional
advertising (Lee et al., 2006, Tarn, 2005, Villanueva et al., 2008). WOM effect is also
amplified by the World Wide Web.
 Dominici, 2009; Trusov et al. 2009

Customer satisfaction is the starting point to build customer loyalty, therefore a long-term
relationship. This creates a loyalty's stock in the enterprise which improves corporate
image. The consolidation of relations with guests leads to repeated patronage. On the
other hand, an unsatisfied customer may represent a danger for the enterprise.
 A research, conducted by Cherubini (1997), shows that only 4% of unsatisfied customers

complains to the business explaining the reason of their unsatisfaction, and each client
who doesn't officially complain generates a negative WOM which can involve also 1000
people.
 CARY FORTH OTAL (1990), lists the factors of good customer satisfaction,
 To gain new customers and retain old customers.
 To obtain customer loyalty.
 To enhance the image of the organization.
 As per Bara (2001) , the main purpose behind organizations to exist is to serve a
customer. A customer is an individual who empowers individuals to acquire a living and
furthermore empowers government to exist and capacity. Along these lines, there is need
quality customer administration to fulfill the customer. Quality customer care is related
with a frame of mind, a state of mind and a reasoning of working together that

accentuates a solid responsibility and true commitment to fulfilling clients.( Nghau 2001)
advocates for making consumer loyalty a need of the organization . It requires the
selection of a client introduction.
 Ngahu (2001) and Balunywa (1995) concur that, the primary reason customer pick one
item over another is most likely in light of the fact that it better addresses their issue in
such a route as usability, administration or capacity to do what it guarantees to do. Nghau
(2001) further noticed that another motivation to wind up customer driven is to construct
piece of the overall industry. Research demonstrates that you can't keep up piece of the
overall industry with one of kind highlights alone, as your rivals will mirror you. Practical
piece of the overall industry development is accomplished through faithful customer and
fantastic administration. To be customer driven intends to position clients at the core of
your tasks and to give their necessities a chance to manage every one of your choices,
polices and methodologies.
 As per Zike (2001), In this research of what makes an organization amazing, he met 43
high performing organizations. He needed to discover what makes them so effective in an
undeniably changing condition where numerous organizations are confronting
conclusion. he discovered that all high performing organizations share a lot of essential
working standards , some of which underlined client driven administration. He found out
that excellent companies provide unparalleled customer service, quality and reliability.In
addition, they display a solid pledge to consumer loyalty and will in general adhere to the
business they know.
 Client introduction is reflected in the quality that clients get at all dimensions of the
organization (Ekpei 2001).Customer consideration upgrades the corporate picture, client
relations, operational proficiency, upper hand and gainfulness. Also, it empowers to adapt
to a quickly changing condition and very requesting clients. These are acknowledged in
light of the fact that organization that is client arranged underscores the arrangement of
what clients require that is quality and proficiency in administration.
 As indicated by Mulwana in paper introduction at Uganda maker's workshop, he noticed
that client benefit is a noteworthy instrument for market infiltration. Mulwana like
Balunywa noticed that organizations dependably anticipate win, to build their turnover
each other time and this requires essential systems that can draw in and hold clients and
the real apparatus is excellent client administrations. Mulwana underscored that great
client care pleases and fulfills clients and the greatest advantage is that it makes faithful

clients. Mulwana accordingly noticed that the procedure of client care implies conveying
quality administration that can fulfill the client. Nonetheless, organizations regularly
neglect to perceive the significance of staff care, who are likewise organization clients
(Balunywa1995). Balunywa recognized two sorts of clients who appreciate the
associations benefits that is, the outer individuals who purchase from the business and
those inside to the association, who are the representatives, those that can get things going
in the association and manage the outside ones. Balunywa called the principal type
"rulers" and the second sort as "sovereignty". He said that the triumphant associations are
portrayed by a submitted client base, sound benefits and cheerful individuals.
 Balunywa then indicated that customers will get the best services when the employees are
happy with the work what they are doing. Superiors who makes the employees feel like
king are more likely to have a committed and motivated human resource that are
interested and willing to provide the quality delivery.Balunywa further noted that
customers are likely to receive good service if the staff delivering them are happy with
their work. Employers who treat their staff like kings are more likely to have a motivated
and committed workforce that is interested and willing to deliver quality service.
 BENEFITS OF CUSTOMER CARE

Hasket Otal (1994) says that development and benefits are animated essentially by
consumer loyalty which has a huge bearing on client reliability. Client steadfastness is an
immediate after effect of consumer loyalty that is to a great extent impacted by the
estimation of client care gave along or item or administration to the client. A fulfilled
client is one whose desires have been met and with such a client associations will in
general advantage in the accompanying ways:
Positive verbal: clients are bound to prescribe a high support of their companions,
relatives and partners. The business will subsequently blossom with solid and positive
picture.
Makes an aggressive edge: incredible client care offers an a lot more prominent focused
edge than contenders to a great extent since constructive administration separation
involves enhancing every one of the general population part of professional preparing,
and inspiration which are largely hard to duplicate and accomplish.

Employment fulfilment: a lovely and favourable air exuding from great client care won't
just outcome into enhanced good duties yet additionally enhanced consumer loyalty
consequently less grievances. Great client care would lessen work turn over. Heart
manifestations and truancy.
 BENEFITS OF GIVING STAFF CUSTOMER CARE FOCUS.
Associations depend on HR to perform and accordingly have the capacity to contend with
others. Where human asset is poor, the execution of the association may likewise be poor.
(Pearn and Kandala 1993). To deal with clients, associations must deal with those (staff) that
deal with clients and this can be accomplished by giving staff client centered preparing.(
Kother. p )further investigations have demonstrated that conduct of a laborer in an association
is vital (Miner 1992 and Muchinsky 1993). Associations need to get people who know their
frames of mind, conduct and experience over some undefined time frame. The individual can
direct an occupation examination of the association which can empower him to confine awful
mentalities, practices and encounters and advance great ones that are client centered. A few
ascribes will in general be repetitive in through a people life.
 ATTENDING TO CUSTOMER COMPLAINTS.
When customer gives complaints it clearly reflects that the customer is dissatisfied and there
is some defect in the service. Encouraging customer complaints is of strategic key and it
should be handled with huge care and attention. An USA researcher had the following results
 An unhappy customer will tell 9-10 people about his problem with you.
 An unhappy customer who is listened to is twice likely to do business with you again
than one who is ignored.
 Out of the customers who complain, 70% will do business with you again if the
complaint is resolved in their favour.
 The organization should create and open avenues for customer complaints. Some of the
usual avenues for customer surveys include putting in place suggestion box and telephone
help lines.

Conceptual framework for customer satisfaction philosophy.

The customer satisfaction philosophy acknowledges supremacy of the customer. “The
marketing concept holds that the key to achieving organizational goals consists of
determining the needs and wants of target market and delivering the desired satisfaction more
efficiently and effectively than competitors”.(kotler2001)
From the above definition, one can say that the idea of consumer loyalty calibrates the
promoting idea on client needs and needs. The worry for the client and his involvement with
the organization ought to plague way and vital craft of its logic and usher the idea of
consumer loyalty. Consumer loyalty has turned into a business word for associations that
look for qualification and magnificence from others. The idea that the client is vital dates far
back when business the executives thinks about perceived advertising as a basic Discipline
(Davidson 1972). Notwithstanding, in Uganda, it is still new and a few associations are yet to
grasp it. Be that as it may, a fulfilled client will do the accompanying:
Will educate great concerning the item on market.
Will purchase once more
Will give less consideration on other contending items
Will leave different items and begins expending one with more fulfilment.
Because of extreme interest for specific administrations, the suppliers end up self-important
and after that frame of mind resembles accept the only choice available. Be that as it may, the
supply request decrease has changed because of the plenitude of substitute items and
administrations to look over. One can thusly declare that the client is a ruler, in Ugandan
market and any association that overlooks him stands to lament as far as cost deals and the
destruction of such a firm will come sooner than later.

PARTS OF CONSUMER LOYALTY
Consumer loyalty has been delineated as the recognizable proof and the board of critical
point in time. Zemice and Albrecht, who embraces the rationality of ful fillment, distinguish
three segments of truth to be specific:
THE ADMINISTRATION SYSTEM.( SERVICE STRATEGY)
Administration system is the choice about an administration that will give it an interesting
character visa-Vis rivalry. It's additionally a methods for making shared an incentive through
the association binding together reason for the board and administration needs for the staff
individuals. To encourage consumer loyalty introduction, an administration system ought to
be client focused, empowering the business to address the issues, desires and inspiration of
target showcase.
THE FRAMEWORK
The framework speaks to the way in which an administration is being conveyed. A consumer
loyalty framework ought to be intended to give a most extreme dimension of
straightforwardness and comfort to clients. This could be accomplished by directing an
errand investigation that recognizes the administration and empowers the staff to practice the
execution required to ful fill the client.
THE GENERAL POPULATION (WORKERS)
Workers are urgent segment existing apart from everything else of truth. Representatives
decide the nature of the administration to be conveyed. The nature of contact and
administration given, disposition and presence of the workers are urgent.

CUSTOMER SATISFACTION MODEL.

In a maiden research on the subject of customer satisfaction, a Lancaster team (Caruana,
Legrand, Omajor 1986) grouped the various moments of truth into file interfaces namely;
The management - customer interface. Top management does not often come into contact
with most customers. However, when dealing with key clients, there is contact. It is therefore
of utmost importance that these contacts be well managed. Management would do well to be
cognitive of the general rule which states that the bulk of the company’s business comes from
a small number of its customers.
The staff-customer interface. The staff that comes into contact with customers on a
continuous basis or by job occupation should consider and understand the customer needs on
an individual basis. Furthermore, staff that does not come into direct contact with customers
should be made to realize that they are supporting those who do come into direct contact with
customers.
The management - staff interfaces. Any organization is only as good as the Caliber of the
people it employs. Due came must therefore be paid to the recruitment, training and
commitment to employees. Welfare is order to foster a customer satisfaction orientation.
The customer system interface. This refers to the process of delivering the services to the
customers. Management has the responsibility of designing and establishing a service
delivery process that is satisfactory to its actual and potential clientele. Management should
also make sure that the environment within the customer is to be pleasant and portrays the
desired image. The customer satisfaction model place emphasis on an active information
linkage (feedback) top management and the market management needs to know what
customers want.
Assessment of the performance of the product/ service bought. Dissatisfaction, complaints

and suggestions should be put into consideration.

FOSTERING CUSTOMER OPINIONS AS A MEANS OF CUSTOMER

SATISFACTION
Customers are the lifeblood of any business. Customer care therefore is paramount. The ways
in which services to publish can be improved are numerous and organizations should incur
considerable expense researching then servicing image and reputation. The public relations
department at an organization usually has the main task of ensuring that the mainstream
marketing efforts are fully supported through winning the esteem of customers and the public
at large. Without a good reputation for understanding customer problems and requirements,
an organization will lose existing customers and fail to attract at least its market share of new
business. Customers who are not given an opportunity to business can do damage to the
organization by the word of mouth, because of influence they have on the existing potential
customers. A complaints department is essential for the success in any service business
responsive to complaints and diligent in finding out facts.
RESEARCH GAP
The Hotel industry is characterized by presence of many hotels which present a wide range of
customer care services to their customers. Customer care is considered as a major tool for
customer satisfaction (Kotler 1998).However, Daffodils hotel is still not perfect at certain
customer care service for example in 2015 number of customers reduced from 70 percent to
65 percent in aspects and has not made it on international standards hence cannot fully
compete with other hotels on both local and international scene. This made it necessary for
immediate intervention to save the hotel from losing its customers.


CHAPTER 3

RESEARCH DESIGN
The study was descriptive which was undertaken to ascertain and be able to describe the
characteristics of variables of interest in a situation, and analytical based on qualitative and
quantitative data both from primary and secondary sources. The study was based on the
views of respondents to make conclusions and recommendations.
STATEMENT OF PROBLEM
The Hotel industry is characterised by using presence of many resorts which present a huge
range of client care offerings to their clients. Customer care is considered as a main tool for
client pride (Kotler 1998).However, Daffodils inn continues to be not best at positive client
care service as an instance in 2015 wide variety of customers reduced from 70 percentage to
sixty five percent in aspects and has no longer made it on worldwide requirements
consequently cannot completely compete with other resorts on each neighborhood and global
scene. This made it vital for instant intervention to store the lodge from losing its clients.
 OBJECTIVES OF THE STUDY

 To get practical exposure in the corporate world.
 To have a proper balance between the theory and practical knowledge
 To know the customer expectations and preferences.
 To know the ways and means of how customers are satisfied.
 To establish the degree of association between perceived service quality and
satisfaction of the customers.
 NEED OF THE STUDY

 To know the customer preferences.
 To know the strategies used by the hotel to satisfy the customers.
 To know the relationship between customer care and customer satisfaction
 To examine the variation in behavioural intentions among dissatisfied and satisfied
customers.

 SCOPE OF THE STUDY

 This study will help to build the knowledge and helps to understand and gain more
skills to understand the concept of customer care services.
 The study findings will help to identify and highlight the weakness in customer care
of Daffodils Hotel and how customer care influences customer satisfaction and how
to design an appropriate customer care service programme.
 This will help to provide reference for future researchers and they will be able to
carry out research with ease since this study will provide secondary data.
 It is also expected to add knowledge on the existing knowledge about customer care
services to the public. This will help the public recognize and appreciate customer.
 The public especially customers of the hotels will be able to recognize certain
customer care services they are supposed to receive from service provider.
 RESEARCH METHODOLOGY
Research methodology is the particular strategies or procedures used to recognize, , process,

and analyze information about a topic.
The procedure used to gather data and information to make business decision and the
approach may incorporate distribution look into, interviews, reviews and other research
methods and could incorporate both present and historical information.
 TYPES OF RESEARCH
 Descriptive Research:
It is defined as a research method that describes the characteristics of the population that is
being studied. It primarily focuses on describing the nature of a demographic segment
without focusing on why a phenomenon occurs.

 NATURE OF DATA
Data are facts figures and other relevant materials past and present sewing has a basis for
study and analysis. Without any analysis of factual data no specific inferences can be drawn
on the questions under study. The relevance, adequacy and reliability of data determine the
quality of the findings of a study.
Data from two sources has been collected
 PRIMARY DATA
Primary data are originally sources from which the research directly collects data that
have not been previously collected. In the present study, primary data has been collected
using questionnaires. For collecting the same, 100 respondents have been visited.
The data about consumer satisfaction for Daffodils Hotels was collected through structure
questionnaires from all the customers’ précising.
 SECONDARY DATA
These are the sources containing data which have been collected for other purpose. It
consists of readily available data and already complied statistical statements and reports
whose data may be used by researchers for their studies.
Secondary data has been collected by way of personal meeting with the staff of the hotel
and reports collected from them some information has also been collected form web sites.
 METHODS OF DATA COLLECTION
 SURVEY METHOD: There were face to face interviews with the respondents to
collect data, this involved setting a list of questions in an organized way that guided
in the process of collecting data
 OBSERVATION METHOD: this involved use of all senses to perceive and
understand the experience of interest to the survey. This helped to see what people
actually do rather than what they say they do.

 STUDY POPULATION
The target population was the customers and staff of Daffodils Group, Bangalore.
 SAMPLING METHOD
A representation number of respondents were selected among Daffodils Hotel customers

and staff using purposive sampling method and this method helped to get information by
selecting the population which conforms to certain characteristics that was interested in.
 SAMPLE SIZE
A Sample size is a selection of respondents from a population in such a manner that the
sample represents the total population as closely as possible. Once you have determined
your sample, the total number of individuals in that particular sample is the sample size.
The study involved 100 respondents of which 50 were employees of daffodils Hotel and
50 respondents were customers of the hotel. Using non statistical technique for example
of the study, nature of sampling, nature of respondents and other field conditions.
 LIMITATIONS OF THE STUDY

 More of only marketing perspective.
 The data and policy implemented are subject to only Daffodils hotels Group and
cannot be compared in general with other groups.

CHAPTER 4

DATA ANALYSIS AND INERPRETATION
Data processing, Analysis and Presentation

Data processing. This included editing, tabulation and coding.
Editing; This was done to check the completed responses with purposes of detecting and
eliminating errors and identifying vital information that was essential in coding and
tabulation.
Coding; This was done according to whether or not the response was a representative of the
objective of the study and realistic to the subject matter.
Tabulation; This involved mainly the use of simple statistical techniques like use of tables
and percentages to test significance of the information from which meaning interpretation
was drawn.
Data Analysis.
This involved organization, interpretation and presentation of collected data.
Data presentation This involved presenting findings in a logical and sequential way so that
conclusions can be drawn from them. The data was presented according to research questions
and research objectives. Tables and figures were used to present data.

CHAPTER 5
FINDINGS, SUGGESTIONS AND CONCLUSIONS

SUGGESTIONS:
 Hotels do start successful strides to always improve the nature of administrations gave
to their clients.
 It is seen that the clients are hanging tight for table. In this way, expanding the
quantity of seating offices would take care of the issue and what's more give work to
numerous by expanding the chaperons.
 Medicinal offices and types of gear might be kept prepared consistently at the inn
premises.
 The time taken to convey the support of the clients will be limited to 10 minutes.
 An uncommon markdown in duty might be considered for customary clients.
 The executives could see that tax charged by them is moderate to clients everything
being equal, not settling on their nature of administrations and keeping up great client
relations.
 The inn specialists may make a special effort in serving their clients with the best
sustenance, settlement administrations and realizing adaptability in their
administrations to make their stay a lovely ordeal.
 The administration needs to take endeavors to see that essential offices like sanitation,
adaptability under control in and out timings, cash trade, taxi offices, ticket booking
offices are satisfactory to pull in and hold clients.
 The staffs utilized must be all around prepared. They have to react to their visitors in a
genial way and be speedy in their administrations.
 Appearance of the inn, tidiness kept up in the premises, and the presence of the staff
check, as it were, to support the contending piece of the pie.

 Inn staff might be prepared and roused at standard interims in giving quality
administrations.
 Standard input from their clients expands their nature of administrations and serve
their visitors better.
 The hotel owners provide quality services at reasonable rate. It is one of the ways to
attract the customers among the competitors.
 Necessary steps should be taken by the hotel owners to regularly check the proper
functioning of facilities provided in the rooms.

FINDINGS
 The neat appearance and the appealing physical facilities at these hotels were quite
satisfactory to the customers. Basic services that satisfied customers generally were
facilities like easily accessible reservations, quick check in and checkout facility,
convenient location etc., All these basic services provided at these hotel were
satisfactory to the customers.
 The findings reveal that 43% of the customers were satisfied with the prompt services
provided to them at these hotels. The customers were satisfied with the maintenance
of accurate records. Only 30% of the customers felt that the prices of goods at the
hotel shops were reasonable. Amicable nature of the staff was satisfactory to the
customers.
 Willingness of the staff to help customers and prompt reply to the customer’s
questions were satisfactory to them. Customers were moderately satisfied with the
willingness of the hotel staff to respond to customer’s requests.
 The study reveals that the customers were satisfied with the trustworthiness and
politeness of the staff. The hotels provide the employees with the required support
needed to do their job effectively. Customers were satisfied with the courteousness
and politeness of the staff.
 25% of the customers were satisfied with the individual attention 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 customer at heart.
 Customers were moderately satisfied with the quality of meals provided and with the
laundry services provided by these hotels.

CONCLUSIONS
From the findings, it can be concluded that Daffodils suites has good customer satisfaction
activities which include, training of employees on customer handling, after sales services like
complaint handling, seeking customer opinion, avenues of customer’s complaints, transport
services and replacement. Employee motivation has also played a tremendous contribution
towards increased number of customers at Daffodils suites. However employees need to be
provided with more trainings and motivation to increase on their customer care services
delivery.
From the research findings, the level of customer satisfaction services at Daffodils suites is
good; customer care services such as security, parking space, hotel guides, front desk service
have continously been appreciated by the hotel customers. However services such as hotel
guides should be improved , findings further reveal that that activities at Daffodils suites such
as security, parking space, hotel guides, front desk service ensures customer care satisfaction
However according to the study findings the hotel doesn’t have well defined avenues of
customers complaints handling which at
proportional; the higher the customer care and poor customer times make customers feel
cheated as some of the services they would wish to have are not available.
RECOMMENDATIONS
The hotel should have a well streamlined customer guides to the entire hotel because most of
the customer when asked about the hotel seemed to be only aware of the dining and their
resting rooms The hotel should create a customer complaint desk where customers can
register their complaints and a systematic procedure to handle customer complaints.
Employee motivation should be improved by Daffodils suites administrators to avoid cases of
neglect and little attention provided by some customers to some of the workers at the hotel.
Management should consult the customers while designing customer care service policies so
that a wide number of customer complaints and areas of interests are considered Creativity
should be encouraged so that a wider experience of employees is put to use in designing the
policies concerned with customer care services. Management should put in place strict
guidelines to be followed while dealing with customer complaints so as to eliminate negative
feedbacks from customers From the above research findings, the hotel should have customer
based strategies. In the findings many customers declared that they were satisfied with

services and that they will continue visiting the hotel, although there are some who indicated
that some areas like hotel tours are not well streamlined.
Making follow ups on the services offered help to overcome some of the negative issues and
make proper improvements to increase customer satisfaction. Emphasis on market research,
understanding of the customer needs, expectations and services quality management plans
can be achieved through market research. Therefore top management and customer care
department of daffodils Suites should be able to identify primary objectives of its customers
so that they can best satisfy them .
AREAS OF FURTHER RESEARCH
 Research should be carried out on employee performance and customer satisfaction
 Research should also be carried out on the impact of customer care services on sales
volume.
 Research should be carried out comparing customer satisfaction services of surrounding
hotels
.
BIBILIOGRAPHY
 Annemarie Pucher (2001), Consolidated View of Customer satisfaction , journal

publication
 Balunywa (1995, management of employees in an organization, 2nd edition journal
publication
 Cary forth R and Maureen D (1999) Intermediate business and industrial marketing
 The marketing of services, journal of business logistics
 Mbonigaba (1995), need to make customer satisfaction, marketing management

 Miner (1992), Behaviours of the worker.

5.4. Areas of further research

Research should be carried out on employee performance and customer satisfaction. Research
should also be carried out on the impact of customer care services on sales volume. Research
should be carried out comparing customer care services of surrounding hot


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A Study On Customer Satisfaction: Hke'S SLN College of Engineering (Mba Dept)

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A STUDY ON CUSTOMER SATISFACTION

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 1

EVOLUTION OF HOTEL INDUSTRY:

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 2

Major characteristics of the Indian hospitality industry are:

Quality of manpower is important in the hospitality industry. The industry provides

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 3

INCREASED TOURIST MOVEMENT:

CHANGING CONSUMER DYNAMICS AND EASE OF FINANCE:

MEASURES UNDERTAKEN BY THE GOVERNMENT:

 Allowance of 100% FDI in the hotel industry (including construction of hotels,

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 4

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 5

STRUCTURE OF HOTEL INDUSTRY:

 DoT (Department of Tourism) classified hotels

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 6

 Star category hotels

 STAR CATEGORY HOTELS:

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 7

OTHER SMALLER PLAYERS:

TRENDS IN THE INDUSTRY:

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 8

This is a changing face of business in the city.TreeboDoffodils is a business hotel, and

•students in-ser!ice orientation to a career area they may wish to pursue.

•allow students the opportunity to work in their area of intendedspeciali2ation.

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 9

•enhance students understanding of organi2ational and group processes public service

Hospitality work experiences that qualify as acceptable:

 front office position

 waiter/waitress/server/counter service person at a restaurant

 bartender or beverage waiter/waitress

 cook or assistant cook

 steward or assistant steward

 convention and event planning/management for private clubs, hotels, associations,

 apartment manager or similar position

Hospitality work experiences that do not qualify as acceptable:

 lifeguard or pool manager

 accounting work outside the hospitality industry

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 10

 landscape architecture work

 position in fraternity/sorority house

 position in retail grocery/butcher shop

 retail store clerk

 theme park ride attendant

 dormitory manager or leasing consultant

 ice cream/Smoothie shop (may count up to 200 hours)

 sub-sandwich shop (may count up to 200 hours)

 basic counter salesperson at a bakery, cookie store, or retail food store

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 12

Air Conditioning in all rooms

32 inches high definition LED TVs with digital satellite connection

Free high speed Wi-Fi Access in all areas

Fully Furnished with living area and balconies in suites

HKE’S SLN COLLEGE OF ENGINEERING (MBA DEPT) Page 13

Work desk and chairs

Well-equipped kitchenette in suites

Coffee/ Tea Maker

Daily Housekeeping and linen change

Spacious double wardrobes

Multi-cuisine restaurant specializing in South-Indian dishes

Spacious lobby to relax

Complimentary buffet breakfast

12 noon check-in / check-out