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African Journal of Business Management Vol.5 (18), pp.

7732-7739, 6 September, 2011


Available online at http://www.academicjournals.org/AJBM
ISSN 1993-8233 ©2011 Academic Journals

Full Length Research Paper

A study on the relations between the brand image and


customer satisfaction in catering businesses
Lin Chien-Hsiung
Department of Hospitality Marketing and Event Management, National Kaohsiung University of
Hospitality and Tourism, 1 Sung-Ho Rd. Hsiao-Kang Kaohsiung Taiwan R. O. C. Taiwan.
E-mail: axel@mail.nkuht.edu.tw. Tel: +886- 886-7-8060505.
Accepted 25 January, 2011

Facing with keenly competitive environment and vigorous change, sparing no efforts to keep customers
has become the objectives of competition and the rare resources for catering businesses. Through
service innovation, catering businesses gain the most trust of customers, win the extensive support of
the society, and set up the brand image completely to acquire customers’ satisfaction and loyalty, as well
as treat customers as existent value, the premise of the existence, and the foundation of development.
This research aims to analyze the relations between brand image and customer satisfaction in catering
industry. The samples contained the consumers who had the consuming experiences in the chain stores
of a catering business. Questionnaires were distributed in the major business areas in Taipei City. With
convenience sampling, 360 questionnaires were distributed and 264 were valid with the retrieval rate
(73.33%). Having empirical analysis, brand value and brand characteristics presented positive relations to
customer satisfaction, while brand association did not reveal notable relations. In addition, some
demographic variables appeared interference on brand image and customer satisfaction in catering
industry. The research findings are expected to provide some suggestions and reference for catering
businesses.

Key words: Brand image, customer satisfaction, brand value, brand characteristic, brand association.

INTRODUCTION

Along with the vigorous change of the competitive would cost five to seven times higher than maintaining an
environment, catering businesses regard attracting more old customer in catering industry (Berry and
customers as the final objective and the rare resources. Parasuraman, 1991). Besides, when 5% service defect
Webster (1994) indicated that, due to the change of the was reduced, 100% profits would be increased
environment, customers had already become the most (Reichheld and Sasser, 1990). It shows that keeping a
important strategic resources for catering businesses. To long-term relationship with an old customer presents
increase the number of customers has become an greater financial contribution than attracting a new
important indicator for catering businesses to manage customer. Swan and Oliver (1989) showed that most dis-
and make profits. With the promotion of service quality satisfied customers did not complain. Nevertheless, when
and the perceived value of customers, customers who those customers who turned to purchase in other stores,
have been served before are satisfied by the demands to expressed their dissatisfaction to their relatives and
enhance and further keep the satisfaction. This kind of friends, or complained to a third party, the enterprise did
competitive advantage will become the key to make not only lose the profits from re-visit, but the enterprise
profits for catering businesses. Fonvielle (1997) pointed image being damaged would be more severe for catering
out that, for sustainable management, catering businesses. A brand provides customers with various
businesses had no other alternatives but to enhance the clues, including the business, the culture, the appea-
customer satisfaction in such competitive market. rance, the employees, the work process, and the
Research indicated that, attracting a new customer trademark. Once a brand is accepted by customers,
Lin 7733

marketing the “service” would become easier. When most and price factor.
catering businesses provide similar merchandise or
service, the management of image, identity, and brand of
the company has become an important method to Brand image
distinguish a catering business from the others.
Brand image is indispensable for marketing where
customers infer the quality of products by the brand
image and are further stirred up the behavior of
LITERATURE REVIEW purchasing. Ballantyne et al. (2005) defined brand image
as the material property associated with the brand, such
Customer satisfaction as the product name and the packing, which could make
profits or sense for customers and help or increase
Customers are likely to be affected psychologically by the describing the characteristics. Ballantyne, et al. (2005)
decisions of the marketing organization, such as custo- proposed reducing conceptual model verification with the
mer satisfaction, perceived service quality, perceived effects of brand image and brand attitude. Three routes,
value, trust, and commitment. The concept of overall in the model, were proposed to connect to brand right
evaluations is often used by specific manufacturers to directly through the brand image and the brand attitude,
briefly explain the knowledge and experiences of and indirectly from the brand attitude through the brand
customers and then lead them to following actions. For image. Dobni (1990) treated brand image as the brand
decades, customer behaviors have been predicted by concept that customers held; and, Robert and Patrick
overall customer satisfaction. Kotler and Keller (2006) (2009) stated that most brand image was subjectively
suggested that the satisfaction of a customer depended perceived image, which was interpreted from the
on the performance of the goods conforming to the rationality or the sensitivity of customers. In addition,
expectation of the customer after purchasing. Joewono brand image did not exist in the technology, the function,
and Kubota (2007) pointed out that customer satisfaction and the product but affected by relevant marketing
resulted from the measurement of products and service programs, campaign context, and the characters of the
according to the customer's previous experiences as well accepters. Wu and Fu (2009) said that while referring to a
as the overall evaluation on the consuming experience. brand image, the perception presented by the fact would
Lin (2007) indicated that an enterprise providing a good be more important than the fact itself.
service quality could really satisfy the diverse needs of Roth (1994) explained that brand image held by
customers, and customer satisfaction was the overall customers was the reactions mixed with marketing pro-
evaluation of the product and the service based on the grams by the manufacturer. Magid and Cox (2006) also
customer's past experiences. Chi (2007) mentioned that thought that brand image included customer responses to
customer satisfaction was the result of the customer brand name, sign, or impression and also represented
purchase and the use of service. When the customer the symbol of the product quality. Meanwhile, Magid and
showed better satisfaction with the service quality, it Cox (2006) considered brand image as a set of assets
indicated that the customer felt satisfied, and vice versa and liabilities linked with brand name and sign that the
(Mevhibe and Erdo an, 2009). assets and liabilities increased or reduced the value by
Ostrom and Iacobucci (1995) thought that there were the enterprise providing products or services for custo-
many dimensions in measuring customer satisfaction, mers. Brand image included the customer responses to
including (1) price of goods, (2) service efficiency, (3) the brand name, sign or impression, and also
attendant attitude, (4) overall performance of the represented the symbol of the product quality.
company, and (5) the closeness to the ideal company. Porter and Claycomb (1997) measured brand image
Czepiel et al. (1974) proposed that satisfaction could be from two dimensions, namely the symbol and the
seen as an overall evaluation, representing the sum of function. With adjectives to measure the two dimensions,
customers’ subjective reactions to the different attributes the measuring items mainly focused on the utility of the
of the product. Furthermore, Day (1977) claimed that brand regarding the function, while words like symbolic,
satisfaction was a kind of overall and summary pheno- reputable, status symbol, and identifiable were contained
menon which could understand customers’ overall usage in terms of symbolic image. Positive and negative adjec-
of the product by measuring the satisfaction with a single tives, such as simple, romantic, successful, common,
overall product. Zeithaml and Bitner (2000) considered ordinary, obedient, calm, and elegant, were utilized to
customer satisfaction as an overall evaluation on the describe the characteristics of users. Aaker (1996)
actual product and the intangible service that service believed that brand image could be measured through
quality simply focused on the measurement of single three dimensions, including: (1) Brand value, in relation to
dimension while customer satisfaction was multi- functional benefits, also the basic condition required by
dimensional measurements, which included service the brand, (2) Brand characteristics, the connection
quality, product quality, scenario factor, personal factor, between brand characteristics and customer perception
7734 Afr. J. Bus. Manage.

that appeared differences; (3) Brand associations, the of characteristics, from a target market, to the attributes
associations the customers presented to the brand that and the advantages of the product, the use situation, the
the customer would expand to other merchandise and users, and the manufacturer/marketing personnel that
service of the brand. Graeff (1996) mentioned the method people thought and felt after seeing and hearing the
to measure brand image being that the customer made brand name. Consequently, it was substantially a set of
the evaluation with the scale which contained a series of associative thoughts that the customer learned about the
languages with different meanings (Shahbaz et al. 2009). brand. Therefore, customer satisfaction and brand image
It combined the dimensions with personality charac- revealed notably positive relation (Hong Quang Zong,
teristics to create a section with overall brand image, or Hong Quang Yuen far, Zhu Zhi Zhong's, etc. translation,
made descriptive explanations on typical users’ image to 2008). Customers tend to explain the internal and
each brand. In the research, 16 items of languages with external attributes of products and the viewpoint of
different meanings were applied, including, economy vs. image, as well as the viewpoints of feeling and percep-
toleration, easily excited vs. composure, comfortable vs. tion. Brand image constructs measurement variables with
uncomfortable, tough vs. gentle, young vs. mature, thrifty user image, product image, and enterprise image that
vs. wasted, colorful vs. dull, boring vs. interesting, customer satisfaction and brand image show remarkably
modern vs. old-style, extrovert vs. introvert, active vs. positive relation (Zhang and Mo, 2008).
passive, joyful vs. not joyful, contemporary vs. not Huang (2000) regarded four dimensions in measuring
contemporary, self-confident vs. not self-confident, leader customer satisfaction, as (1) customer expectation which
vs. followers, and cooperative vs. competitive. Biel (1992) reflected the expected product performance of customers
considered three elements of brand image, namely the whose previous consuming experiences before
maker’s image (enterprise image), the product image, purchasing would become the expectation on product
and the image of competitor's brand. All of the three had performance; (2) product performance, as a kind of
great impact on customers’ image of brand while brand comparison standard that customers would compare the
image would then have influence on user image. actual product performance after purchasing with the
expectation before purchasing; (3) disconfirmation, as a
kind of major agent variable that a person's expectation
Relevant studies on brand image and customer would be confirmed to correspond the product perfor-
satisfaction mance to his/her expectation, and (4) customer
satisfaction, as an output after purchasing that, when the
Aaker (1991) and Rory (2000) pointed out that, with the actual product performance was larger than or equal to
construction of good brand image, customers were likely the expectation before the act, the customer would feel
to increase the satisfaction of usage, and would like to satisfied; or, when the actual product performance was
recommend to others. Gensch (1978) considered brand smaller than the expectation before the act, the customer
image as having more influence on the purchase inten- would feel dissatisfied (Emel and Nafiz, 2009). Besides,
tion and the satisfaction of customers while the product customer satisfaction and brand value appeared
attribute was not easily defined. Graeff (1996) mentioned remarkable relation. Chen (2008) considered that the
that, when the customer’s self-image was more similar to measuring dimensions of customer satisfaction contained
the brand image, customer satisfaction would be the satisfaction with professional level and customer
affected. Romaniuk and Sharp (2003) found the positive interaction, and the overall customer satisfaction and
relation between brand image and customer satisfaction. brand image presented significant relation.
Many scholars, such as Su (2005), Zhi (2005), Lin Chen (2001) classified brand association into functional
(2005), Chen (2005), Xu (2006), Shi (2006), Lin (2006), association (product attribute association), and non-
Yang (2006), and Zhang (2007), also confirmed the functional association (non-product related attribute asso-
positive relations between brand image and customer ciation). In addition, brand association also paid attention
satisfaction. to organization association. Consequently, products were
Yang (2002) proposed that customer satisfaction re- associated with functional attributes and non-functional
ferred to the pleasant attitude when a customer accepting attributes, while organizational association was divided
certain deal or service; and, customer satisfaction and into company ability and social responsibility association,
brand value appeared notably positive relation. Gu (2005) and customer satisfaction and brand association revealed
suggested that customer satisfaction and brand notably positive relation (Seyed et al., 2009).
characteristics presented significantly positive relation Aaker (1991) defined brand image as a set of brand
that customer satisfaction was the provided service association types which were normally organized in a
higher than the expectation of the customer so that the meaningful way. Brand association was divided into 11
customer was satisfied (Sang, 2009). Whereas, if the kinds of characteristics, as product characteristic,
provided service was lower than the service expectation invisibility, customer benefit, relative price, usage/
of the customer, he/she would then feel very dissatisfied. application, user/customer, famous people/persons, life
The schema memory of a brand included the interpretation style/personality, product variety, competitors, and countries/
Lin 7735

geographic districts. However, even if these associations in catering industry will reveal notable difference
are equally classified, various associations present cha- because of “customer occupation”.
racteristics with different strength (Jose and Mohammad, H7: The relativity of brand image and customer
2009). Therefore, various associations will appear satisfaction in catering industry will show great difference
different effects on brand image, but various brand because of “customer educational background”.
associations present significantly positive relation with H8: The relativity of brand image and customer satis-
customer satisfaction. faction in catering industry will appear significant different
Gensch (1978) thought that a market could simply be because of “customer monthly income”.
won by winning customers. With service innovation, the
biggest trust of customers was obtained, the extensive
social support was won, and the brand image was RESEARCH METHODS
completely set up to acquire customer satisfaction and
The research framework
loyalty. Besides, regarding customers as the value of
enterprise existence, the premise of existence, and the This research was undertaken according to domestic and
foundation of development, the entire company would international scholars’ literatures on brand image and customer
have consensus. Therefore, customer satisfaction and satisfaction. The overall customer satisfaction was the dependent
brand image appear significantly positive relation. variable and three brand images, including brand value, brand
China Unicom takes customer satisfaction as an characteristics, and brand association, were the independent
variables. The correlations between each brand image and
objective with explicit customer orientation and pursues customer satisfaction were discussed as shown in Figure 1.
the ideal realm of total customer satisfaction (TCS). With
service innovation, it gets affirmation from customers,
acquires customer loyalty, and pushes brand image to Research subject and sampling method
develop forward. Apparently, customer satisfaction and
This research chose “Wang Pin Formosa Plastics Steak” as the
brand value reveal notably positive relation. Based on the
research subject. ”Wang Pin’s Steak” symbolizes high-level service
aforementioned depiction, the following hypotheses are and establishes the impression of good service but reasonable
proposed in this study: price. With internal service replication, the high-level service is
continued. Due to the diverse product modes and the establishment
H1: The “brand value” in brand image and customer of brand, “Wang Pin” has been credited as a superb catering group,
satisfaction in catering industry presents notably positive which meets a completely demanding standard of service quality.
What’s more, “Wang Pin” combines high-level service with
relation. reasonable price to create a dominating catering business. “Wang
H2: The “brand characteristics” in brand image and custo- Pin” aims to meet customers’ various needs with its strategy of
mer satisfaction in catering industry appears remarkably developing close interaction with customers. Predictably, “Wang
positive relation. Pin” leaves much positive impression to its customers. Therefore,
H3: The “brand association” in brand image and customer this research chose “Wang Pin's steak” as the research subject.
satisfaction in catering industry shows notably positive Besides, the samples of this research, were the customers with
consuming experiences in Wang Pin's chain stores. The question-
relation. naires were distributed in the major business areas in Taipei City.
With convenience sampling, total 360 questionnaires were distri-
buted and 264 were valid with the retrieval rate reaching 73.33%.
Demographic variables

Studies on customer satisfaction indicated that younger ANALYSES AND DISCUSSION


generations and customers with higher educational
background and higher income tended to higher custo- Factor analysis of brand image
mer satisfaction (Day and Landon, 1977; Zaichowsky and
Liefeld, 1977; Bearden and Mason, 1984). Singh (1990) In this research, the brand image scale was based upon
found that, beside ages, demo-graphic variables had the dimensions and the questionnaire proposed by
limited explanation. Que (1990) showed in his research Aaker’s (1996). With factor analyses, three dimensions
that the demographic variables had no notable relation to were obtained. The Cronbach of each dimension was
the satisfaction of customers. This research puts forth 0.83 (brand value), 0.88 (brand characteristic), and 0.81
some hypotheses as follows: (brand association). The sample questionnaire was fur-
ther proceeded factor analyses and oblique rotation; the
H4: The relativity of brand image and customer
explained variance was 83.864% as shown in Table 1.
satisfaction in catering industry will present significant
difference because of “customer gender”.
H5: The relativity of brand image and customer The analyses of the correlation between brand image
satisfaction in catering industry will appear remarkable and customer satisfaction
different because of “customer age”.
H6: The relativity of brand image and customer satisfaction With Pearson correlation analysis, the three dimensions ×
7736 Afr. J. Bus. Manage.

Demographic variables
Brand value

Brand characteristic
Customer satisfaction
Brand association

Figure 1. Research framework.

Table 1. Factor analyses of brand image.

Factor Variable Eigenvalue Factor Explained variance Coefficient of


loading (accumulation reliability
value)
BL05 0.812
BL08 0.738
BL04 0.714
BL01 0.706
1: Brand value BL06 3.541 0.688 43.584 (43.584) 0.83
BL09 0.672
BL02 0.651
BL07 0.638
BL03 0.604

BL12 0.846
BL13 0.822
BL10 0.807
2: Brand 2.314 27.538(71.122) 0.88
BL14 0.769
characteristic
BL11 0.747
BL15 0.733

BL19 0.805
BL16 0.791
Factor 3. BL17 0.773
1.791 12.742(83.864) 0.81
Brand associate BL20 0.758
BL18 0.731
BL21 0.719

further proceeded factor analyses and oblique rotation; (0.247) and brand association (0.203).
the explained variance was 83.864% as shown in Table Through multiple regression analyses to check
1. hypotheses H1, H2 and H3, the results showed that brand
value (t = 2.955, p < 0.01) and brand characteristics (t =
2.467, p < 0.01) appeared significant effects on customer
The analysis of the correlation between brand image satisfaction. In this case, H1 and H2 were agreed; yet, H3
and customer satisfaction was not agreed as shown in Table 2.

With Pearson correlation analysis, the three dimensions


in brand image and customer satisfaction achieved The interference of demographic variables
notably positive relation (p < 0.05), where brand value
presented the highest correlation (0.322) with customer With analyses of variance, it was found that brand value
satisfaction. The followings were brand characteristics (F = 3.846, p < 0.01) and brand characteristics (F = 3.164,
Lin 7737

Table 2. Multiple regression analyses of the factor in theater elements to customer satisfaction.

Non standardized coefficient Standardized coefficient t


Predicted variable
estimate value Standard error distribution
Factor 2.564 0.338 - 8.715
Brand value 0.283 0.089 0.208 2.955**
Brand characteristic 0.138 0.074 0.191 2.467**
Brand association 0.126 0.051 0.029 0.358
*p < 0.05, **p <0.01.

Table 3. Different demographic variables relate to the brand image and customer satisfaction.

Factor to service Gender Age Occupation Educational background Monthly income


Brand value p > 0.05 p < 0.01 p < 0.05 p < 0.01 p < 0.01
Brand characteristic p > 0.05 p < 0.01 p < 0.05 p < 0.01 p < 0.01
Brand association p > 0.05 p > 0.05 p < 0.05 p < 0.05 p < 0.05
The assumption examination H4: Not agreed H5: Partially agreed H6: Agreed H7: Agreed H8: Agreed

3.164, p < 0.01) appeared significant differences CONCLUSION AND SUGGESTION customer-oriented marketing theory requires an
on customer satisfaction. Different occupation enterprise to take customer satisfaction into
presented notable differences on brand value (F = The important point of brand image in catering account when making decisions and establishing
2.916, p < 0.01), brand characteristics (F = 2.167, industry is the customer benefit brought by the brand image. Because the establishment of brand
p < 0.01) and brand association (F = 1.851, p < brand that the brand essence is delivered to the image in catering industry lies in customer
0.05). Different educational background revealed customers. Based on the process to gradually satisfaction, studies on customer satisfaction has
significant differences on brand value (F = 3.061, establish the brand image in catering industry, stu- become the first priority to establish brand image.
p < 0.01), brand characteristics (F = 2.834, p < dies on customer satisfaction and the integration Based on customer demands, studies on custo-
0.01), and brand association (F = 2.539, p < 0.01). of brand image could be applied to the establish- mer satisfaction could help understand, associate,
Different monthly income levels showed notable ment of brand image to thoroughly meet customer and expect the products of the brand in catering
differences on brand value (F = 3.437, p < 0.01), satisfaction. businesses that would further benefit the confor-
brand characteristic (F = 2.831, p < 0.01), and mation of brand image and the development.
brand association (F = 2.069, p < 0.05). There- Study on customer satisfaction
fore, H5 was partially agreed; H6, H7, H8 were Internalize the value of brand image
agreed; however, H4 was not agreed as sown in The brand image target in catering businesses is
Table 3. the targeted customers of the brand. Modern The brand image in catering industry presents
7738 Afr. J. Bus. Manage.

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