SERVICE QUALITY AND CUSTOMER SATISFACTION OF BUDGET HOTEL: A CASE STUDY OF DE PALMA HOTEL SHAH ALAM SARWANA ARIFUDDIN KARTHIK A/L RAVI ALFRED MICHAEL HENDRICKS School of Hospitality & Creative Arts, Management and Science University The 1st SHCA Research Colloquium 2016 INTRODUCTION The 1st SHCA Research Colloquium 2016 Satisfaction towards well integrated service marketing mix is expected to affect the customer’s decision of a patient for using the same service in time to come (Rafiq & Ahmed, 1995). Service quality and customer satisfaction are inarguably the two core concepts that are at the crux of the marketing theory and practice (Spreng and Mackoy, 1996). The 1st SHCA Research Colloquium 2016 BACKGROUND OF STUDY Budget hotel is the hotel that focus on customers who are middle and small enterprise business people, leisure and self-help tourists, house prices moderate, small and medium-sized hotel (Xiao et al., 2011). People think that De Palma is a one of the standard hotel and due to the service, rate & services Malaysian Association of Hotel (MAH) consider that De Palma as a budget hotel Identify the marketing mix (8P’s) whether has relationship impact on customer satisfaction & service quality The 1st SHCA Research Colloquium 2016 PROBLEM STATEMENT Investigate the customer loyalty can be proven when the customers or visitors were satisfied with the service quality in the hotel. Collect the demographic & psychographic profile and information about De Palma Hotel Shah Alam. Analyze customer perception toward marketing mix (8P’S) that related to customer satisfaction in the De Palma Hotel, Shah Alam. The 1st SHCA Research Colloquium 2016 RESEARCH OBJECTIVES To study customer perception toward marketing mix (8P’s) that related to customer satisfaction in budget hotel. To study customer satisfaction that related to customer service quality in budget hotel. To study whether the service quality in the hotel will achieve the satisfaction of customer or not. The 1st SHCA Research Colloquium 2016 LITERATURE REVIEW The 1st SHCA Research Colloquium 2016 Marketing mix was the set of marketing tools that use to pursue its marketing objective in the target market (Kolter et al., 1994:23). Customer satisfaction is defined as a result of comparison between what one customer expects about services provided by a service provider and what one customer receives actual services by a service provider (caruana et al., 2000; parasuraman et al., 1988). The quality of service involved with tourism plays an important role in the process of delivery (Wyllie, 2000). The 1st SHCA Research Colloquium 2016 TYPE OF SERVICE QUALITY Tangible – the physically appearance such as communication material & equipment. Assurance – Knowledge, Courtesy, Trust and Confident of the employee. Responsiveness – The willingness to help and provide prompt service to customer. Reliability – Dependably and accurately ability in service to perform. Empathy – Caring and understanding the needed of customer. The 1st SHCA Research Colloquium 2016 FRAMEWORK The 1st SHCA Research Colloquium 2016 RESEARCH METHODOLOGY The 1st SHCA Research Colloquium 2016 RESEARCH DESIGN The information was COLLECTED FROM CUSTOMERS who stayed at the hotel. Using STATISTICAL PACKAGE FOR SOCIAL SCIENCE (SPSS). THIS STUDY CONDUCTED TO INVESTIGATE THE CAUSE AND EFFECT RELATIONSHIP BETWEEN VARIABLES IN THE STUDY. The 1st SHCA Research Colloquium 2016 RESEARCH INSTRUMENT This study using a QUESTIONNAIRE as the method. 100 questionnaires Distributed to respondents. The 1st SHCA Research Colloquium 2016 DATA STRUCTURE PART 1: DEMOGRAPHIC & PSYCHOGRAPHIC PROFILE (15Q) PART 2: CUSTOMER SATISFACTION TOWARD MARKETING MIX (75Q) PART 3: CUSTOMER OVERALL SATISFACTION ON SERVICE QUALITY (14Q) PART 4: CUSTOMER LOYALTY (8Q) The 1st SHCA Research Colloquium 2016 DATA ANALYSIS The 1st SHCA Research Colloquium 2016 47% MALE MALAYSIAN FEMALE NON-MALAYSIAN 2% 53% GENDER 98% NATIONALITY DEMOGRAPHIC PROFILE The 1st SHCA Research Colloquium 2016 BUSINESS VACATION FIRST TIME LEISURE 2-3 TIMES 20% 29% 33% 58% 33% PURPOSE OF STAYING OFTEN OF STAYING PSYCHOGRAPHIC PROFILE The 1st SHCA Research Colloquium 2016 The 1st SHCA Research Colloquium 2016 The 1st SHCA Research Colloquium 2016 PRELIMINARY FINDINGS The 1st SHCA Research Colloquium 2016 ASPECT OF SATISFACTION ACCOMMODATION SERVICES PRICE ENVIRONMENT 20% 19% 12% STAFF FACILITIES 15% 22% OVERALL CUSTOMER SATISFACTION ON SERVICE QUALITY The 1st SHCA Research Colloquium 2016 12% CUSTOMER LOYALTY 6% 3% 39% DISAGREE NEUTRAL 52% AGREE STRONGLY AGREE RETURN GUARANTEE The 1st SHCA Research Colloquium 2016 OVERALL SATISFACTION 8% SATISFIED NON-SATISFIED 92% The 1st SHCA Research Colloquium 2016 CUSTOMER SATISFACTION has a positive relationship with customer SERVICE QUALITY in De Palma hotel. customer perception toward MARKETING MIX (8P’s) has a positive relationship with CUSTOMER SATISFACTION in De Palma hotel. SERVICE QUALITY in the hotel ACHIEVE the SATISFACTION of customer. The 1st SHCA Research Colloquium 2016 CONCLUSION ON SERVICE QUALITY CONTEXT, CUSTOMER ARE SATISFIED WITH THE ASPECT OF 5 DIMENSION OF SERVICE QUALITY WHICH IS TANGIBILITY, RESPONSIVENESS, RELIABILITY, ASSURANCE AND EMPHATHY. THE POSSIBILITY OF 52% OF CUSTOMERS WILL RETURN BACK TO DE PALMA HOTEL. OVERALL 92% OF THE RESPONDENTS ARE SATISFIED WITH THE SERVICE QUALITY AT DE PALMA HOTEL SHAH ALAM. The 1st SHCA Research Colloquium 2016 RECOMMENDATION AGGRESSIVE PROMOTION OF BRANDING TO ENHANCE THE PERCENTAGE OF THE VISITOR ESPECIALLY NON-MALAYSIAN WHICH ONLY HAVE 2% FROM THE TOTAL CUSTOMERS STAYING IN THE HOTEL. HOTEL MANAGEMENT SHOULD REVIEW BACK THE PRICING OF THE BUDGET HOTEL TO ATTRACT MORE GUEST. The 1st SHCA Research Colloquium 2016 The 1st SHCA Research Colloquium 2016
