The current issue and full text archive of this journal is available on Emerald Insight at: www.emeraldinsight.com/0959-6119.htm IJCHM 28,1 Customer satisfaction and its measurement in hospitality enterprises: a revisit and update 2 Received 2 April 2015 Revised 12 May 2015 Accepted 13 June 2015 Abraham Pizam Rosen College of Hospitality Management, University of Central Florida, Orlando, Florida, USA Valeriya Shapoval Department of Tourism, Events and Attractions, Rosen College of Hospitality Management, University of Central Florida, Orlando, Florida, USA, and Taylor Ellis College of Business Administration, University of Central Florida, Orlando, Florida, USA Abstract Purpose – This paper aims to review and discuss customer satisfaction and its application to the hospitality and tourism industries. This paper defines the concept and analyzes its importance to services in general and to hospitality/tourism services in particular. This paper is a revision and update of an article previously published by Pizam and Ellis (1999) on customer satisfaction measurements. Design/methodology/approach – The most recent research on customer satisfaction measurements and scales is summarized and presented in the paper. Findings – Following a discussion on the dimensions and attributes of satisfaction, the main methods of measuring satisfaction are listed, and cross-cultural issues that affect satisfaction are reviewed. Finally, the paper concludes with a comprehensive review of the current online tools and techniques available for measuring customer satisfaction. Research limitations/implications – This summary gives a good overview to researchers who require a comprehensive review of the available research measurements and scales for customer satisfaction. Originality/value – For the past decade, a considerable amount of research has been conducted in customer satisfaction. Finding the appropriate measurements and scales for customer satisfaction can be time-consuming and confusing. This paper provides a comprehensive overview of the best-known measurements and scales in customer satisfaction research. The paper also provides innovative online tools and techniques available for research. Keywords Tourism, Service quality, Customer satisfaction, Hospitality, Online surveys, Measurement scales Paper type General review International Journal of Contemporary Hospitality Management Vol. 28 No. 1, 2016 pp. 2-35 © Emerald Group Publishing Limited 0959-6119 DOI 10.1108/IJCHM-04-2015-0167 An earlier version of this article was published by Pizam and Ellis (1999) in the International Journal of Contemporary Hospitality Management (IJCHM). This current version is a revision and update of the authors’ previous work on customer satisfaction measurement. Measuring service quality via customer satisfaction Customer satisfaction is the leading criterion for determining the quality that is actually delivered to customers through the product/service and by the accompanying servicing (Vavra, 1997, 2002; Ganguli and Roy, 2011; Gil et al., 2008). Simply stated, customer satisfaction is essential for corporate survival. Several studies have found that it costs about five times more time, money and resources to attract a new customer than to retain an existing customer (Naumann, 1995; Helm et al., 2010; Xu and Goedegebuure, 2005). This creates the challenge of maintaining high levels of service, awareness of customer expectations and improvement in services and products. Knowledge of customer expectations and requirements, Hayes states, is essential for two reasons: “it provides understanding of how the customer defines quality of service and products, and facilitates the development of customer satisfaction questionnaires” (Hayes, 1997, p. 7). Furthermore, customer satisfaction is important to all commercial firms because of its influence on repeat purchases and word-of-mouth recommendations (Berkman and Gilson, 1986; Tsao and Hsieh, 2012; Abubakar and Mavondo, 2014; Kwun et al., 2013; Ha and Hyunjoo, 2012): Satisfaction reinforces positive attitudes toward the brand, leading to a greater likelihood that the same brand will be purchased again […] dissatisfaction leads to negative brand attitudes and lessens the likelihood of buying the same brand again (Assael, 1987, p. 47). Or as others suggested: […] if consumers are satisfied with a product or brand, they will be more likely to continue to purchase and use it and to tell others of their favorable experience with it […] if they are dissatisfied, they will be more likely to switch brands and complain to manufacturers, retailers, and other consumers about the product (Peter and Olson, 1987, p. 512). Customer satisfaction is also the cheapest means of promotion (Kozinets et al., 2010; Ha and Hyunjoo, 2012). Various researchers have found that this ratio ranges from about 10 to 1 (Knutson, 1988, p. 17) to 5 to 1 (Naumann, 1995, p. 22). There are several ways to assess the quality of services and customer satisfaction through subjective, or soft, measures of quality, which focus on customer perceptions and attitudes instead of more concrete objective criteria. These soft measures include customer satisfaction surveys and questionnaires to determine customer attitudes and perceptions of the quality of the service (Hayes, 1997, p. 2; Vavra, 2002). Because the extent to which goods or services meet customers’ needs and requirements is the index by which quality is determined, customers’ perceptions of service are vital in identifying customer needs and satisfaction. To be successful, a customer satisfaction measurement (CSM) program must come from and be incorporated into the firm’s corporate culture (Naumann, 1995, p. 12). In today’s competitive environment, one of the most important goals of corporate cultures is retaining and satisfying current and past customers. Experience shows that only “consumer-oriented” corporations can achieve this goal. These companies focus on the needs and wants of specific target groups and then work hard to maximize satisfaction with the product or service being offered (Vavra, 1997, p. 12, 2002). Instead of waiting for customer complaints to let the company know when something is not satisfactory or is wrong, a “consumer-oriented” corporate culture seeks continual feedback from customers through repeated CSMs (Vavra, 1997, p. 13, 2002). Customer satisfaction 3 IJCHM 28,1 4 In reality, application of CSM often does not accomplish the objectives of the researcher or company. The reasons for this shortfall are numerous. First, organizations often set customer satisfaction goals without any clear understanding of the current customers’ satisfaction levels (Dutka, 1994; Ograjenšek and Gal, 2012). Second, companies that measure customer satisfaction do not always act on the results obtained (Dutka, 1994; Ograjenšek and Gal, 2012; Fecikova, 2004). Finally, as organizations become more experienced with CSM, problems become increasingly apparent. For example, Jones and Sasser (1995) observed that satisfaction data do not always correlate highly with organizational performance. This was supported by customers who responded that they were satisfied with the organization but purchased goods and services elsewhere. Finding a strong relationship between satisfaction scores and performance does not ensure economic success. In the long run, the level of satisfaction may decline; customers’ attitudes and desires change, and new competition may emerge. Quality may no longer provide a clear competitive advantage. Butz and Goodstein (1996) found that an increasing number of managers reported that product innovation and quality no longer provided a competitive advantage. Because of this situation, the search for a competitive advantage has shifted from internal processes and structure to markets and customers. As a result, an increasing number of organizations are reorienting their strategy for superior value delivery (Band, 1991; Gale, 1994; Ryu et al., 2012). These authors usually cite one or more of the following four types of evidence to support their position: (1) widely publicized success stories (e.g. AT&T, Federal Express, Xerox, Eastman Chemical Company); (2) analysis of profit impact of marketing strategy data that shows a strong relationship among quality, market share and profitability (Gale, 1994); (3) studies that show a positive relationship between market orientation and organizational performance (Jaworski and Kohli, 1993; Griffin and Edwards, 2012; Narver and Slater, 1990; Qu, 2014); and (4) analyses of costs demonstrating that customer retention is substantially less expensive than customer acquisition (Birch, 1990; Hennig-Thurau, 2004). Because of the overwhelming number of authors encouraging organizations to provide customer value, the question becomes, how to do it? This article will provide valid methods that an organization can use to measure the value it provides to customers. What exactly is customer satisfaction? Customer satisfaction is a psychological concept that involves the feeling of well-being and pleasure that results from obtaining what one hopes for and expects from an appealing product and/or service (World Tourism Organization, 1985). Social psychologists, marketing researchers and students of consumer behavior have studied customer satisfaction and dissatisfaction extensively. The increasing importance of quality in the service and manufacturing industries has also created a proliferation of research, with tens of thousands of academic and trade articles published on this topic within the past three decades (Peterson and Wilson, 1992). Several conferences have been devoted to the subject, and extensive literature reviews have been published (Barsky, 1992; Day, 1977; Oh and Parks, 1997; Ross et al., 1987; Ariffin et al., 2012; Kilic and Bekar, 2012; Cronin et al., 2000; Djekic et al., 2014; Lin and Mattila, 2010; Deng et al., 2013; Szymanski and Henard, 2001). The result of all this research has been the development of nine distinct theories of customer satisfaction. The majority of these theories are based on cognitive psychology; some have received moderate attention, while other theories have been introduced without any empirical research. The nine theories include expectancy disconfirmation, assimilation or cognitive dissonance, contrast, assimilation-contrast, equity, attribution, comparison level, generalized negativity and value precept (Oh and Parks, 1997). Numerous researchers have attempted to apply customer satisfaction theories developed by consumer behaviorists to lodging (Barsky, 1992; Ekinci and Riley, 1998; Bilgihan et al., 2014), restaurant (Dube et al., 1994; Oh and Jeong, 1996; Lee et al., 2012; Weiss et al., 2005), airline (Elkhani et al., 2014), foodservice (Almanza et al., 1994; Lee et al., 2012) and tourism (Hudson and Shephard, 1998; Pizam and Milman, 1993; Zehrer et al., 2014) to investigate the applicability of customer satisfaction to the hospitality and tourism industries. Although various approaches explain customer satisfaction and dissatisfaction, the most widely used is the one proposed by Oliver (1980), who proposed the expectancy disconfirmation theory. According to this theory, which has been tested and confirmed in several studies (Oliver and DeSarbo, 1988; Piercy, and Ellinger, 2015; Tong, and Walther, 2015; Lankton, and McKnight, 2012; Hsu, 2003), customers purchase goods and services with pre-purchase expectations about anticipated performance. Once the product or service has been purchased and used, outcomes are compared against expectations. When the outcome matches expectations, confirmation occurs. Disconfirmation occurs when there are differences between the expectations and the outcomes. Negative disconfirmation occurs when product or service performance is less than expected. Positive disconfirmation occurs when product or service performance is better than expected. Satisfaction is caused by confirmation or positive disconfirmation of consumer expectations, and dissatisfaction is caused by negative disconfirmation of consumer expectations. Customer satisfaction can also be defined as satisfaction based on an outcome or a process. Vavra’s (1997, p. 4) outcome definition of customer satisfaction characterizes satisfaction as the end state resulting from the experience of consumption. This end state may be a cognitive state of reward, an emotional response to an experience or a comparison of rewards and costs to the anticipated consequences. Vavra also defined customer satisfaction based on a process, emphasizing the perceptual, evaluative and psychological processes that contribute to customer satisfaction (Vavra, 1997, p. 4). In this definition, satisfaction is assessed during the service delivery process. Several researchers believe the satisfaction process is subjective in expectations but objective in perceptions of product attributes, or outcome. Thus, Klaus (1985, p. 21) defined satisfaction “[…] as the customer’s subjective evaluation of a consumption experience, based on some relationship between the customer’s perceptions and objective attributes of the product”. Others point out that what is perceived (outcome) and what is expected are subjective and, therefore, psychological phenomena – not reality (Maister, 1985; Tsitskari et al., 2009). The importance of the subjective nature of the process cannot be overstated. As expectations and perceptions are psychological phenomena, they are susceptible to external influences and manipulation. As an Customer satisfaction 5 IJCHM 28,1 illustration of how expectations can be explicitly manipulated, Sasser et al. (1979, p. 89) noted: Some restaurants follow the practice of promising guests a waiting time in excess of the expected time. If people are willing to agree to wait this length of time, they are quite pleased to be seated earlier, thus starting the meal with a more positive feeling (Maister, 1985, p. 114). 6 An example of creating low customer expectations is a restaurant in Orlando, Florida, which calls itself Warm Beer and Lousy Food. Once a customer has experienced a reasonable meal at this restaurant, he or she is pleasantly surprised and leaves satisfied. Manipulating perceptions of outcome is also a common practice in some hotels where front-office clerks mention nonchalantly that a particular suite in the hotel is the favorite of a famous personality. The intention is to influence the customer’s perception and suggest that the hotel must be good, as an “expert” frequents it. Satisfaction is not a universal phenomenon, and not everyone gets the same satisfaction out of the same hospitality experience. Customers have different needs, objectives and experiences that influence expectations. To a student on a limited budget, a lunch composed of fast-food items in the crowded and noisy school cafeteria may be a highly satisfying experience, while the same experience may be perceived as completely unsatisfying by an affluent executive discussing a business transaction. The same customer may also have different needs and expectations for different meal occasions or at different times of the day (Davis and Stone, 1985, p. 31). The student in our previous example will not be highly satisfied if his college friends take him out for a “birthday meal” celebration at the school cafeteria. Therefore, it is important to gain a clear idea of customer needs and objectives that correspond to different kinds of satisfaction. This requires segmenting the market, because no service or product can offer everyone the same degree of satisfaction (World Tourism Organization, 1985). To summarize, an individual’s satisfaction with outcomes of a hospitality experience is due to a comparison of these outcomes with expectations. Expectations are a mutable internal standard based on many factors, including needs, objectives, personal or vicarious experiences with the same establishment restaurant, with similar establishments and the availability of alternatives (i.e. are there any other establishments in town?). This view is supported by Mazursky (1989, p. 338), who suggested: Experiences beyond those with the focal brands may lead to different normative standards employed by consumers in evaluating performance. Possible norms, according to this view, include perceived best brand, the most recently used brand, a brand used by a reference person, products competing for the same needs, and the like. Changes in satisfaction with a meal experience may result from changes in the perception of the actual quality of outcomes received, or from changes in the expectations against which these outcomes are compared. Changes in expectations can result from a change in needs (i.e. hungry vs full; tired vs rested), change in objectives (i.e. business trip vs leisure trip), new personal or vicarious experiences (i.e. recently had a superb hospitality experience at another hotel) and any other influences that make salient a particular quality of outcomes (i.e. it is a very hot day and the restaurant is not air-conditioned) (McCallum and Harrison, 1985; Gan and Lu, 2012). Research in customer satisfaction and service quality has led to increasing research efforts to look at new ways to evaluate these concepts. Historically, scholars assumed that a linear relationship exists between satisfaction or dissatisfaction and disconfirmation or performance evaluations. Researchers such as Oliva et al. (1992) proposed a catastrophe model that theorized the nature of the relationship of satisfaction with transaction costs and brand loyalty. This theory hypothesizes that satisfaction and dissatisfaction occur at different points; specifically, these behaviors are associated with transaction costs and brand loyalty, and are not monotonic. Various authors (Cadotte et al., 1987; Kisang et al., 2012; Cronin and Taylor, 1992; Oliver and Swan, 1989; Kim and Li, 2009; Matzler et al., 2006; Mavlikaeva et al., 2014; Seto-Pamies, 2012) used structural modeling and found underlying causal dynamics among the customer service model constructs. The components of satisfaction Unlike material products or pure services, most hospitality experiences are an amalgam of products and services. Therefore, satisfaction with a hospitality experience such as a hotel stay or a restaurant meal is the sum total of satisfaction with individual elements or attributes of all products and services that make up the experience. Marketing experts do not agree about classifying the elements of service encounters. Reuland et al. (1985, p. 142) observed that hospitality services consist of a harmonious mixture of three elements: (1) the material product in a narrow sense, which in the case of a restaurant is the food and beverages; (2) the behavior and attitude of the employees who are responsible for hosting the guest, serving the meal and beverages and come in direct contact with the guests; and (3) the environment, such as the building, the layout, the furnishing, the lighting in the restaurant, etc. Czepiel et al. (1985, p. 13), however, suggested that satisfaction with a service is a function of satisfaction with two independent elements: the functional element (the food and beverage in a restaurant) and the performance-delivery element (the service). To prove the independence of the two elements, the authors claimed that restaurant clients can respond separately to elements that differ one from the other: “‘the service was great, the food poor’ or conversely”. Davis and Stone (1985, p. 29) divided the service encounter into two elements: direct and indirect services. For example, direct services may be the actual check-in/check-out process in hotels, while indirect services include parking facilities, concierge, public telephones for guests’ use, etc. Lovelock (1985, p. 272) sorted service attributes into two groups: core and secondary. Airline service provides a good example. Customers first make inquiries and reservations, then check their baggage, get seat assignments, check-in at the gate, receive on-board service in flight and retrieve their baggage at the destination airport. Each activity is an operations task that is secondary to the core product of physically transporting passengers and their bags between two airports. However, these secondary tasks have more potential to generate customer dissatisfaction if they are performed poorly. In a restaurant situation, Lovelock’s core attribute is composed of the food and beverage, while his secondary attribute is everything else, including service, environment, etc. Customer satisfaction 7 IJCHM 28,1 8 Lewis (1987), too, classified service encounter attributes into two groups: essential and subsidiary. The essential attributes are identical to Czepiel’s functional, Davis and Stone’s direct, Reuland and colleagues’ product and Lovelock’s core, that is the food and beverage in the meal experience. However, Lewis’ subsidiary attributes are more comprehensive than Davis and Stone’s indirect, Czepiel’s performance delivery or Lovelock’s secondary, and include such factors as accessibility, convenience of location, availability and timing and flexibility, as well as interactions with those who provide the service and with other customers. This is equivalent to a combination of the behavior and environment elements in the Reuland et al. (1985) model. Other researchers support the idea that service encounter attributes are situation-specific and thus cannot be classified into universal elements. For example, Fiebelkorn (1985) conducted a study at Citibank and found that overall satisfaction with Citibank as one of a customer’s banks (or his or her only bank) was based on satisfaction with the last encounter with the bank in five main areas: teller encounter, platform encounter, automatic teller machine encounter, phone encounter and problem encounter. He concluded that the common thread running through all five service-encounter types is that customers want “prompt service by people who know what to do and how to do it, and who care about them as valued customers” (Fiebelkorn, 1985, p. 185). McMullan and O’Neill (2010) suggested a different approach to customer satisfaction by analyzing the impact of emotions and dissonance on tourist satisfaction and future behavioral intentions. The authors created the following six scales that examine different attributes of customer satisfaction with a tourist destination: cognitive dissonance (CD), which included items measuring conflicting emotions about the destination; cognitive product satisfaction (CPS), which measures satisfaction with specific products at the destination such as shopping, restaurants, beaches, etc.; cognitive service satisfaction (CSS), which is concerned with measuring satisfaction with services such as hours of operation, staff willingness to help and accessibility to local sites; emotional satisfaction (ES), which reflects more people’s confidence in their destination choice as well as items that create positive or negative feelings such as people’s friendliness and hospitality at the destination, a good variety of attractions or the cleanliness of the destination; future behavioral intentions (FBI); and overall visitor satisfaction (OVS). McMullan and O’Neill claimed that their scales present a more accurate approach to measuring customer satisfaction and demonstrate a higher predictive power. Dimensions of satisfaction The following models assess the quality of services. SERVQUAL In service organizations, the quality of a service is assessed during the actual delivery of the service – usually an encounter between the customer and a service contact person. Parasuraman et al. (1985, 1988, 1991) identified the following five generic dimensions of service quality (SERVQUAL) that must be present in the service delivery for customer satisfaction: (1) Reliability: The ability to perform the promised services dependably and accurately. (2) Responsiveness: The willingness to help customers and provide prompt service. (3) Assurance: The knowledge and courtesy of employees as well as their ability to convey trust and confidence. (4) Empathy: The provision of caring, individualized attention to customers. (5) Tangibles: The appearance of physical facilities, equipment, personnel and communication materials. Customer satisfaction The model conceptualizes service quality as a gap between customers’ expectations (E) and the perception of the service providers’ performance (P). According to Parasuraman et al. (1985), service quality should be measured by subtracting customers’ perception scores from customer expectation scores (Q ⫽ P – E). The larger the positive score, the larger the positive amount of service quality or vice versa. The gap that may exist between the customers’ expected and perceived service is not only a measure of the quality of the service but also a determinant of customer satisfaction or dissatisfaction. Measuring the gap between expected and perceived service is a routine method of utilizing customer feedback. Zeithaml et al. (1988) suggested a model that details the gaps between customer expectations and the actual service delivered (Figure 1). Vavra (1997, 2002) identified a sixth gap, namely, the difference between customers’ desired service and their expected service. Since being introduced in 1988, SERVQUAL has been used in hundreds of studies, including numerous studies in the hospitality and tourism industries (Fick and Ritchie, 1991; Lee and Hing, 1995; Luk et al., 1993; Basfirinci, and Mitra, 2015; Altuntas et al., 2012; Seto-Pamies, 2012; Hansen, 2014). SERVQUAL was also used by Knutson et al. (1991) to create a lodging-specific instrument called LODGSERV, a 26-item index designed to measure consumer expectations for service quality in the hotel experience. LODGSERV, however, is not as popular among hospitality and tourism researchers as 9 Figure 1. Hospitality service quality gap IJCHM 28,1 10 SERVQUAL and was used in a limited number of studies (Ekinci et al., 1998; Patton et al., 1994). However, SERVQUAL has also been criticized (Babakus and Boller, 1992; Brown et al., 1993; Carman, 1990; Finn and Lamb, 1991; Smith, 1995; Yoon and Ekinci, 2003; Torres, 2014). The main criticisms of the model involve the application of expectations and the gap scoring. First, the conceptualization of expectation as a comparison standard in the model is difficult to measure. Second, if the variables are difficult to measure, then, by implication, the gap score becomes that much less secure as a measurement. Third, some methodological issues arise. Finally, scholars have doubted the universal quality of the dimensions (Ekinci et al., 1998, p. 355). ECOSERVE ECOSERVE is an extension of SERVQUAL with eco-tangible dimensions. ECOSERVE was introduced by Khan (2002) as a measure of the service quality of an ecotourist destination. ECOSERVE is a 30-item scale presented in the following six generic dimensions of service quality that should be present in environment-friendly destinations: (1) Tangibles: Material and appearance of the personnel reflects local influence. (2) Eco-tangibles: Physical facilities and equipment are safe and appropriate to the environment. (3) Reliability: Ability to perform the promised service dependably and accurately. (4) Responsiveness: Willingness to help customers and provide prompt service. (5) Assurance: Knowledge and courtesy of the employees and their ability to convey trust and confidence, and provide necessary information. (6) Empathy: Caring, individualized attention the restaurant provides its customers. The eco-tangible dimension has 11 items that highlight the necessity of using environmental and sociocultural issues to measure tangible dimensions. According to Khan (2002), ecotourists possess a hierarchy in service quality expectations, and eco-tangibles are at the top of this hierarchy. This implies that ecotourists emphasize environment-friendly facilities and equipment. This study was replicated by Khan and Kang Duck (2005) in southwest Korea, and the results were consistent with the previous study, although environment-friendly facilities were less important to Korean ecotourists. RENTQUAL Another SERVQUAL expansion, which was adapted to measure the service quality of the rental car business, is RENTQUAL. Private transportation services play a significant role in tourism where there is a constant requirement of moving from one place to another. According to the US Travel Association (2009), this is especially true in the USA, where travel by private automobiles is the primary means of transportation used by leisure travelers (76 per cent). Ekiz et al. (2009) developed the 18-item RENTQUAL. In this model, the following six dimensions measure customer satisfaction with rental car services: (1) Comfort: Comfort of the car. (2) Delivery: Procedures of vehicle delivery such as pick-up and return location and accessory use. (3) Handling over: Car condition and information. (4) Security: Mechanical and external condition of the car. (5) Ergonomics: Describing mechanical comforts of the car. (6) Accessibility: Employee and company availability and service. The results demonstrated that security was the most important dimension in overall customer satisfaction, followed by delivery procedures. SERICSAT SERICSAT was created by George et al. (2007) to measure customer satisfaction with service recovery. SERICSAT used the SERVQUAL paradigm and justice theory to create a scale measuring the relationship between justice and service recovery satisfaction in tourism. The study identified three dimensions of the SERICSAT scale, which were the following: (1) Recovery Satisfaction with Procedural Justice (RSPJ): A dimension that addresses the investigation of the complaint and the process used in the recovery. (2) Recovery Service with Interactional Justice (RSIJ): A dimension that addresses communication between customer and staff. (3) Recovery Satisfaction with Distributive Justice (RSDJ): A dimension that addresses consequences of the complaint and compensation. The researchers found that although a satisfactory remedy to a complaint results in continual patronage and loyal customers, the downside of a satisfactory conclusion is increased future complaint behavior. Other models Cronin and Taylor (1992) created SERVPERF to measure the performance of the service. The scale is similar to SERVQUAL with the same performance items. Tkaczynski and Stokes (2010) adapted SERFPERF for festivals and named it FESTPERF. Saravanan and Kannan (2012) used SERVPERF for rural retailers. Similarly, Stevens et al. (1995) adapted SERVQUAL for measuring service quality in restaurants and named it DINESERV. Lages and Fernandes (2005) created SERPVAL, a service personal values scale that has three dimensions that are positively related to satisfaction. HOLSAT (Tribe and Snaith, 1998) was used to evaluate holiday satisfaction. The scale was validated by other researchers (Truong and Foster, 2006, 2005; Truong, 2005). Overall satisfaction versus satisfaction with individual attributes In the previous section, we discussed that satisfaction with a hospitality experience is the sum total of satisfaction with the individual elements or attributes of all products and services that make up the experience. Though superficially this statement makes sense, in reality the matter is more complicated. The question is whether when customers experience the attributes of the hospitality experience, they form a set of Customer satisfaction 11 IJCHM 28,1 12 independent impressions of each attribute and compare them with expectations of the same attributes. Is the overall level of satisfaction determined by the arithmetic sum total of these impressions? The answer depends on one’s belief about the process of consumer choice. More specifically, the answer is related to whether one believes that consumer choice behavior can be explained by compensatory or non-compensatory models. Non-weighted compensatory models presume that customers make trade-offs of one attribute for another to make a decision; that is, a weakness in one attribute is compensated by strength in another. In the hotel stay example, if the guestroom is small and uncomfortable, but the service is good, the overall satisfaction with the hotel experience might still be high; a small and uncomfortable room is traded-off with good service, because they were of equal importance to the customer. Weighted compensatory models (sometimes referred to as expectancy-value models) also assume that people have a measurement of belief about the existence of an attribute, but that each attribute has an importance weight relative to other attributes. Using this model in our previous example, because the guestroom quality was rated higher in its relative importance than service was, the overall satisfaction with the hotel experience will be dissatisfaction. Non-compensatory models (no trade-offs of attributes) can take one of two forms: conjunctive or disjunctive. In conjunctive models, consumers establish a minimum acceptable level for each important product attribute and make a choice (or become satisfied) only if each attribute equals or exceeds the minimum level. In the restaurant example, each of the three attributes of quality of food and beverage, quality of the service and the ambiance of the restaurant must surpass a threshold before overall satisfaction occurs. If ambience did not pass this threshold, no matter how good the food and the service was, the result is overall dissatisfaction. Disjunctive models are similar to conjunctive models, with one exception. Rather than establishing a minimum level for all important attributes, in conjunctive models, consumers establish such levels only for one or a few attributes, for example the food in the restaurant example (Lewis and Chambers, 1989, p. 157). Data from studies recently conducted in tourism and hospitality enterprises (Cadotte and Turgeon, 1988; Mazursky, 1989) support the disjunctive models. In a 1978 study conducted among 432 foodservice firms representing 22,000 foodservice units, Cadotte and Turgeon asked company executives to list the type and frequency of their guests’ complaints and compliments. As indicated in Table I, the data from the surveys showed that: […] some restaurant attributes are more likely to earn guest complaints than compliments. Availability of parking, hours of operation, traffic congestion, noise level, and spaciousness of the establishment all appear in the top-ten complaint list […] In contrast, guests express appreciation for high performance in some areas, but rarely complain when performance is so-so. The survey results suggested that guests react favorably to a clean neat restaurant, neat employees, ample portions, and responsiveness to complaints. The quality and quantity of service, food quality, helpfulness of the employees, and the prices of drinks, meals, and other services appear on the list of most frequent complaints and the list of the most frequent compliments.” (Cadotte and Turgeon, 1988, p. 47). Attribute Availability of parking Traffic congestion in establishment Noise level Spaciousness of establishment Neatness of establishment Size of portions Employee appearance Responsiveness to complaints Quality of service Food quality Helpful attitude of employees Quantity of service Prices of drinks, meals and service Management knowledge of service Availability of food on menu Beverage quality Variety of service Uniformity of establishment appearance Quality of advertising Convenience of location Quietness of surroundings Accuracy of bill Litter outside restaurant Reservations system Complaint rank Compliment rank 1 2 5 8 11 15 17 20 3 7 6 10 4 23 16 24 21 26 25 15 18 19 22 13 19 26 24 18 5 5 7 9 1 2 3 8 10 11 12 13 14 15 16 17 21 22 23 25 Category Customer satisfaction Dissatisfier Satisfier 13 Critical Neutral Source: Cadotte and Turgeon (1998, p. 46) Following these findings, Cadotte and Turgeon divided the attributes into the following four categories: […] satisfiers, dissatisfiers, critical, and neutral. Satisfiers were attributes in which unusual performance apparently elicited compliments and satisfaction, but an average performance or even the absence of the feature did not cause dissatisfaction or complaints. Large food portions, smartly dressed employees, and clean and neat restaurants are all examples of a restaurant satisfier. Normal food portions, regularly dressed employees, and not as neat restaurants do not cause dissatisfaction. In contrast, large food portions and well-groomed and smartly dressed employees please restaurant guests. Satisfiers represent an opportunity to shine, to move ahead of the pack, and to stand out from the crowd (Cadotte and Turgeon, 1988, p. 51). Dissatisfiers were more likely to earn a complaint for low performance or the absence of a desired feature than anything else. However, an operation that exceeds the threshold performance standard does not receive compliments on the attribute. Parking and excessive noise are good examples of dissatisfiers; they must be provided and maintained at a minimum or sufficient level. However, efforts to achieve a higher performance level will not be appreciated by customers or cause them satisfaction. Dissatisfiers in particular require management control to prevent poor performance. Minimum standards should be established, and the focus should be on maintaining Table I. Comparative rankings of food service attribute compliments and complaints IJCHM 28,1 14 these standards: “Be as good as your competition, but do not waste resources trying to be better” (Cadotte and Turgeon, 1988, p. 51): Critical attributes elicit complaints (dissatisfaction) and compliments (satisfaction), depending on the situation. Quality of service, food quality, and helpful attitude of employees ranked high in eliciting complaints and compliments. Critical factors deserve special attention, because of their potential for hurting and helping a business. Similar to dissatisfiers, minimum standards must be set to avoid negative responses to your service. For the critical attributes, the objective is to raise performance beyond the norm (Cadotte and Turgeon, 1988, p. 51). Neutral attributes received neither many compliments nor many complaints, which probably indicated that these attributes were either not salient to guests or easily brought up to guests’ standards. Cadotte and Turgeon observed that the classification of these factors is not permanent but constantly changes. Some dissatisfier-type attributes were probably critical at one time. Higher industry standards, though, may have improved performance to the extent that most restaurants meet guest requirements for these factors. For example, in warm climates, the availability of reliable air-conditioning in hotels or restaurants was a critical factor; today, with the advent of modern refrigeration technology, all hotels and restaurants in such climates have it. Having more will not satisfy anyone, but when the air-conditioning breaks down, suddenly everyone becomes dissatisfied. If Cadotte and Turgeon’s findings are confirmed by other studies, we might revise the prevailing theory about the nature of customer satisfaction and dissatisfaction and reject the notion that satisfaction and dissatisfaction are two extremes on one continuum. Instead, we might accept a modification of a theory advanced many years ago about job satisfaction. In this theory, Herzberg et al. (1959) proposed that job satisfaction and dissatisfaction are two extremes on two continua. On one continuum (the motivation continuum), we have satisfaction versus no-satisfaction, while on the other (the hygiene continuum), we have dissatisfaction versus no-dissatisfaction. In Herzberg’s opinion, the variables, the presence or absence of which cause satisfaction or no-satisfaction, are not the same that cause dissatisfaction or no-dissatisfaction. Although Herzberg confirmed his theory by using a particular research method (the critical incident), few other researchers managed to duplicate his results by using alternative methods. In most cases, although some variables operate solely on one continuum (i.e. working conditions were found to be a hygiene factor, or dissatisfier), others (i.e. salary) appeared in the hygiene (dissatisfier) continuum as well as the motivator (satisfier) continuum. Applying the same rationale to Cadotte and Turgeon’s findings, one might conclude that if supported by other studies, customer satisfaction or dissatisfaction could also be explained as a process that operates in three continua: the first for satisfaction, the second for dissatisfaction and the third (critical) for common factors that can cause satisfaction as well as dissatisfaction. However, until then, we must still operate under the assumption that satisfaction and dissatisfaction are two extremes that operate on one continuum. Therefore, we propose that customers’ overall satisfaction with a hospitality service encounter is the sum total of the difference between their perceived outcome and expectations related to a group of weighted attributes, some of which carry minimum thresholds, plus an additional mysterious factor that Gronroos (1984) called image and Lewis called overall feeling (Lewis, 1987, pp. 84-85). The following equation (modified from Lewis and Chambers, 1989, p. 157) gives a mathematical depiction of overall customer satisfaction: Aijk ⫽ 兺 n wikBijk Customer satisfaction with Bijk ⬎ I Where, Aijk wik Bijk n i 15 ⫽ consumer k’s overall satisfaction score for hospitality enterprise j; ⫽ the importance weight assigned by consumer k to attribute i; ⫽ consumer k’s rating of the amount of the attribute I offered by enterprise j; ⫽ the number of product/service attributes; and ⫽ a minimum level (threshold). As to the question of identifying the individual attributes in the hospitality experience, and determining their relative importance weights as well as their minimum threshold levels, the answer must be determined by each enterprise for each customer segment. However, based on previous research findings, these attributes can be identified, and their relative importance determined among consumers of certain products or services. By using importance–performance analysis, hospitality and tourism researchers such as Evans and Chon (1989), Green (1993), Chacko and Dimanche (1994), Martin (1995), Duke and Persia (1996), Opperman (1996), Mount (1997), Go and Zhang (1997), Oh and Parks (1998), Hudson and Shephard (1998), Feng et al. (2014), Chen, (2013), Kong (2014), Sheng et al. (2014), Griffin and Edwards (2012) and a few others identified not only the gaps between the customer’s and the service provider’s perception of quality but also determined the gap between importance and performance. Following Reuland et al. (1985), we suggest that a hospitality experience consists of the following three groups of elements: the material product, the environment and the employees’ behavior and attitude. For example, in the restaurant case, the material product is the food and beverage, the environment is the physical attributes of the restaurant and the behavior and attitude are the restaurant’s staff conduct before and during the meal (Table II). Measuring customer satisfaction Key measurement issues CSM serves two roles, providing information and enabling communication with customers. Perhaps the primary reason for measuring customer satisfaction is to collect information, either regarding what customers say that should be done differently or to assess how well an organization is currently meeting its customer needs (Vavra, 1997, 2002). A secondary, but no less important, function of CSM in hospitality enterprises is that by surveying customers, an organization demonstrates its interest in communicating with them – finding out their needs, pleasures, displeasures and overall well-being. Although measuring the satisfaction of every customer is impossible, those whose opinions are solicited and others who observe this process are given a sense of importance and recognition. The reasons for measuring customer satisfaction may vary from organization to organization. Naumann (1995), however, believed that the following five objectives are the most common: IJCHM 28,1 Material product Environment Behavior and attitude 16 Quality of F&B Portion size Variety of menu choices Food and beverage consistency Range of tastes, textures, aromas, colors Correct F&B temperatures Appearance of F&B Price of meal/drinks/service Availability of menu items Cleanliness of restaurant Location and accessibility Size and shape of room Furniture and fittings Color scheme Lighting Temperature and ventilation Acoustics (noise level) Spaciousness of restaurant Neatness of restaurant Employees’ appearance Availability of parking Hours of operation Friendliness Competence Courtesy Efficiency and speed Helpfulness Professionalism Responsiveness to special requests Responsiveness to complaints Table II. Product/service attributes in a restaurant meal experience Source: Pizam and Ellis (1999) (1) Get close to the customer: Understand what attributes are the most important to customers, find which attributes affect the customer’s decision-making, the relative importance of the attributes and get a performance evaluation of how well the firm is delivering each attribute. (2) Measure continual improvement: The attributes significant to the customer are linked directly to value-added processes in the firm and are put into a form consistent with the internal measurements used to evaluate the process. (3) Achieve customer-driven improvement: Not all customers are an equally valuable source of innovation. This requires a comprehensive database that tracks not only sales but also sources of innovations. (4) Measure competitive strengths and weaknesses: Determine customer perceptions of competitive choices. This is achieved by surveying possible and future customers as well as current and past customers. (5) Link CSM data to internal systems (Naumann, 1995, pp. 22-27). Attributes to be measured To measure customer satisfaction, one must anticipate which dimensions or attributes of the product or service customers use in their overall quality assessment. In previous sections, we discussed generic service dimensions, such as the ones proposed by Fitzsimmons and Fitzsimmons (1998), Czepiel et al. (1985), Lovelock (1985) and Fiebelkorn (1985), and hospitality-specific dimensions, such as the ones proposed by Reuland et al. (1985), Davis and Stone (1985), Lewis (1987) and Cadotte and Turgeon (1988). The attributes management might want to measure may be unimportant or irrelevant to customers’ needs. Therefore, by surveying customers about the importance of each attribute, managers can obtain valuable and incontestable information about which attribute to include in the measurement. The objective is to balance management’s key information needs with customers’ needs and issues (Vavra, 1997, p. 112). Once the dimensions or attributes that should be measured are chosen, there is a high likelihood that the total number of items in the questionnaire may be too high. Therefore, the list of items must be reduced (Vavra, 1997, p. 114). The most satisfactory and least biased way to reduce the number of items on a questionnaire is through factor analysis. Factor analysis is a statistical technique that identifies correlations among a list of issues or items. This can be used to identify common issues or problems among different groups of customers and grouping them to be dealt with together. In addition to measuring satisfaction with various product service attributes, the customer satisfaction questionnaire should include items related to the customer profile. These can consist of basic demographics (i.e. sex, education, income, profession, geographical origin, etc.), psychographics (lifestyle) and other miscellaneous variables related to the number of individuals in the party, frequency of visiting a hospitality enterprise, frequency of visiting the current establishment, etc. Frequency and method of measurement Questionnaires that contain some of these measurements should be distributed either on a continual or periodic basis to all customers at the end of their experience. Under no circumstances should the questionnaires be left on the table before the meal is completed or in the hotel guestroom before check-out. If the questionnaire is left in advance, it will be completed only by those who had an exceptional experience or a very poor one. At the end of the experience, the staff should distribute the questionnaire and ask the customer to complete it. To increase the completion rate, customers should be given some form of incentive such as a discount on the next restaurant meal, or hotel stay. If the establishment cannot afford to distribute questionnaires to every customer, then a method for random sampling should be devised. For example, every third customer at dinner and every fifth customer at lunch should be approached and asked to complete a questionnaire. In a restaurant, the customers to be approached should be seated throughout the restaurant so that all waitstaff are represented in the sample. Questionnaires should be distributed throughout the seven days of the week, so that weekdays and weekends are included. All questionnaires should be coded in advance for date, and in the case of restaurants, for meal (lunch or dinner) and table number, to enable analysis by day, menu items and waitstaff. Alternatively, customers can be given an URL and asked to complete an online survey at their leisure or given a tablet such as an Apple iPad or Android and asked to complete an online survey on the spot. Data analysis The data should be analyzed weekly, and the results compared with previous weeks. The mean and standard deviation should be computed for the global or overall satisfaction variables as well as for each product or service attribute. To understand better the satisfaction or dissatisfaction of each market segment, separate analyses should be conducted for each identifiable market segment (leisure travelers, business travelers, conventioneers, etc.). To determine the relative importance (weights) of each product or service attribute, an establishment can either conduct a periodic study to determine how customers rate the attributes or run a multiple regression with the global satisfaction variable as the dependent variable and each product or service attribute as the independent variables. The beta weights for each independent variable in the regression will be equivalent to the importance rates of the attributes. As the relative importance of the product or Customer satisfaction 17 IJCHM 28,1 18 service attributes changes from time to time, these weights should be computed at least once a year and if possible more than that. Types of measurement Most CSMs use ordinal and discrete rating scales such as Likert-type scales, which typically contain an odd number of options, usually 5 to 7. One end is labeled the “most positive” end, while the other one is labeled the “most negative”, with “neutral” in the middle of the scale. The labels “most positive” and “most negative” could be replaced with “agree” or “disagree”. For example: How satisfied were you with the quality of food served to you? 1 Highly Dissatisfied 2 3 4 Neither Sat. nor Dissat. 5 Highly Satisfied or alternatively: The quality of food served to me was excellent 1 Strongly Disagree 2 3 4 Neither Agree nor Disagree 5 Strongly Agree However, Likert-type scales might introduce an acquiescence bias, where respondents have a higher tendency to give a positive response. One way to negate this problem is to introduce items in negations, where agreement implies disagreement with the construct. Acquiescence bias might be reduced by reversing items; however, that might introduce other errors, as people may respond differently to solely deleteriously worded items. Friborg et al. (2006) found by using inferential, reliability statistics and structural equations that the semantic format fits measurement modes, model fit and uni-dimensionality better than a Likert-type scale. The semantic differential (SD) scale was originally created by Osgood (1964). The SD measures people’s reactions to stimulus words and concepts in terms of ratings on bipolar scales defined with contrasting adjectives at each end. An example of an SD scale for the “quality of food in a restaurant” would be: The quality of food served to me was: 1 Bad 2 3 4 5 Neither Good nor Bad 6 7 Good Similarly, Ding and Ng (2008) adjusted SD scales by using the theory of personal construct and a full grid technique, which includes in-depth interviews. This approach in developing SD scales includes interviewees’ input and removes researcher bias. Another method for measuring customer satisfaction, needs and requirements was developed by Kano et al. (1984) and is referred to as the Kano model. The Kano model is widely used for understanding customers’ opinions, concerns and/or needs and their impact on customer satisfaction. According to this model, customer needs can be grouped into three categories: basic needs, expected needs and excitement needs. Basic and excitement needs are unspoken, but expected needs are expressed. Basic needs and expected needs are expected, and excitement needs are not. However, meeting customers’ unexpected needs is important (Wang and Ji, 2010), although some unspoken needs are difficult to explain or predict. Kano’s model is valuable in explaining human needs (Kvist and Klefsjö, 2006). More specifically, Kano and his colleagues hypothesized that customer requirements could be classified through customer questionnaires where one question consists of two parts: Customer satisfaction 19 Q1. How do you feel if a certain attribute is present in the product or service (functional)? Q2. How do you feel if a certain attribute is not present in the product or service (dysfunctional)? Responses range from I like it that way (1), It must be that way (2) and I am neutral (3) to I can live with it that way (4) and I dislike it that way (5). Once the responses are collected, they are classified into one of the six categories: A ⫽ Attractive; M ⫽ Must Be; O ⫽ One-dimensional; I ⫽ Indifferent; R ⫽ Reversal; and Q ⫽ Questionable. Then the results are tabulated according to Kano’s table and ranked. As part of the analysis, mode statistics can be applied (Table III). Some researchers proposed a quantitative analysis of Kano’s model to address customer needs by calculating customer satisfaction and customer dissatisfaction points and plotting relationship curves (Berger et al., 1993). The Kano model was successfully used in hospitality research (Chang and Chen, 2011; Shahin and Zairi, 2009; Gregory and Parsa, 2013), and a combination of Kano’s model and SERVQUAL was used by Tan and Pawitra (2001) as a tool for evaluating customer satisfaction. Basfirinci and Mitra (2015) integrated SERVQUAL and Kano modeling. Kim et al. (2009) integrated DINESERV and Kano modeling. CRs 1. Like 2. Must-be Dysfunctional 3. Neutral 4. Live with 5. Dislike Functional Q R R R R A I I I R A I I I R A I I I R Q M M M Q Notes: A ⫽ Attractive; O ⫽ One-dimensional; M ⫽ Must-be; I ⫽ Indifferent; R ⫽ Reverse; Q ⫽ Questionable 7 Sources: Berger et al. (1993); Kano et al. (1984) Table III. Kano’s model IJCHM 28,1 20 Global issues and cultural differences in customer satisfaction When global CSMs are designed, regional and cultural aspects must be taken into account. When Chadee and Mattsson (1995) and Scott and Shieff (1993) measured customer satisfaction, they found significant cross-cultural differences. Services and products important to Asians may be completely different from those sought by Europeans. Culture has an impact on perception, problem solving and cognition and often leads to differences in satisfaction levels for a single product between different global customers. Global customers may have different expectations, different ways of evaluating performance and differing uses of response scale formats and may be influenced differently by the number of response positions in any question scale (Vavra, 1997, p. 430). The majority of customer satisfaction research has been conducted in industrialized economies, and very little research has been conducted in Africa, the Middle East, South America, Latin America and large portions of Asia. The question therefore is what can be done to avoid confounds and problems of global cross-cultural customer satisfaction research? The satisfaction survey design, process and data must be as comparable across countries as possible. If the results for a country are used only within that country, equivalence is not an issue; if the results are to be used to gain a global picture, compatibility is essential. Differing languages, levels of literacy, interpretations of constructs and cultural behavior must all be taken into account when a foreign customer satisfaction survey is created. Similar survey designs may or may not be usable in different socio-cultural environments or even within a single work environment, as language and culture may not be homogeneous with a customer’s corporation or workplace. To deal with differences in socio-cultural behaviors, Vavra suggests looking into the “emic-etic dilemma”. An emic approach is based on recognition of the differences between cultures and acknowledgment of the importance of each culture’s idiosyncrasies. This requires creating a different survey, with different questions, a different method of measurement and administration for each different culture. An etic approach is based on the belief that certain industry standards, requirements, values and behaviors are continual and transcend. This would allow for a “universal” type of evaluation to be developed and used cross-culturally. Each method has benefits but also inherent problems. In the emic approach, it is much more difficult to compare results from different cultures, and each cultural evaluation could be misinterpreted by evaluators from other cultures. Should the etic approach be used, caution must be used to avoid applying it in an unchecked manner or abuse the measures – imposing them on cultures without the adaptation or sensitivity to use the evaluative materials correctly (Vavra, 1997, pp. 431-432). Whether the etic or emic approach is used to evaluate global customers’ satisfaction, some sort of equivalence must be established within and between surveys. Vavra identified the following two major categories of equivalence that should be considered when creating or administering international customer satisfaction surveys: establishment and measurement. Establishing equivalence • Construct equivalence: This is the most basic form of equivalence. This asks whether a construct or phenomenon exists in another culture. It should never be assumed that a construct exists in another culture without extensive qualitative research demonstrating the construct’s cultural existence. • Conceptual equivalence: Concepts may be culturally hidebound. For example, indifference may not exist within another culture’s parameters. • Functional equivalence: This addresses the question of whether products and services are expected to deliver identical functions across various cultures. Consumer goods may vary in sameness or function. • Category equivalence: The way objects, stimuli and behavior are grouped varies cross-culturally and may influence customer response. An example is making scales with fewer responses more applicable in some cultures. Measurement equivalence • Scalar equivalence: Do corporate chosen scales function similarly in different cultures? It is a good idea to test a scale’s acceptance in a culture before applying the scale. • Item/linguistic equivalence: The items on the questionnaire must be able to be translated accurately so that the linguistic meaning remains similar across cultures. • Sample equivalence: There is a likelihood that there might be a more homogenous sample across cultures because all survey participants will have chosen, purchased and used the same product or service to participate in the customer satisfaction survey. This homogeneity may not exist in other circumstances (Vavra, 1997, p. 434). When global or cross-cultural satisfaction surveys are designed, purchase behavior should also be taken into account. Product or service categories and the appropriateness or relevance of different products vary cross-culturally (Vavra, 1997, p. 439). In addition, the way in which purchases are made is also relevant. For example, in the case of customer satisfaction surveys for food shoppers, the difference between Americans’ weekly supermarket trips and Asians’ daily trips to the market plays a part in how these surveys are constructed and utilized and to whom they are administered. Finally, customers’ attitudes and psychographics must be taken into account when surveys are written. Questions relating to lifestyles and individual values are subject to a wide range of cultural interpretations. Cultural values must be considered when customer satisfaction surveys are written, and common values recognized and a special point made to create allowances for country- or culture-specific concepts or measures. Knowledge of cultural attitudes and taboos helps the surveyor create a courteous, understandable and concise questionnaire (Vavra, 1997, p. 440). A final consideration when administering a questionnaire across multiple cultures is the language to be used. Global customers should be surveyed in their native language; thus, the instrument must be translated into the various languages needed. The four main methods of translating survey instruments are direct, back, de-centered and parallel translation. (1) Direct translation: The use of bilingual translators to translate the original into the required languages. Customer satisfaction 21 IJCHM 28,1 22 (2) Back translation: Translation of the questionnaire by a native speaking bilingual into the desired language followed by a translation back to the original language by another bilingual native speaker. (3) De-centered translation: Successive translations and re-translations, so that the final questionnaires use terms and phasing that are equally meaningful in both languages. (4) Parallel translation: The translation is continually performed by a committee of translators, all equally conversant in both languages, until the committee agrees that the questionnaires have nearly equal meanings in both languages. In conclusion, if properly designed, administered and analyzed, the process of monitoring customer satisfaction can be beneficial to any hospitality enterprise and make the difference between offering a mediocre product and an excellent, quality product. Online surveys Modern technology offers many conveniences and benefits to researchers. Online surveys are easier to distribute, faster, cost-effective and flexible (Wright, 2005). Numerous online companies provide cost-effective services for creating and distributing surveys, collecting data and performing basic analyses through one central system. Any good online survey company lets researchers easily outline the online questions and sends the online link to answer surveys online. However, some companies offer more sophisticated options such as flexible survey look, skip logic, randomization, Web site integration and basic data analysis. The following low-priced online survey tools provide survey-building and viewing reports: SurveyMonkey (www.surveymonkey.com), Zoomerang (www.zoomerang. com) and SurveyGizmo (www.surveygizmo.com). These instruments are useful for simple surveys on a smaller scale that do not require extensive and more sophisticated options such as skip logic or result analysis. Free options have a limited number of questions to be created and number of responses within a certain timeframe. Paid options provide more flexibility. For more advanced survey-building with sophisticated tools such as advanced survey logic, advanced question formats, survey template library and basic data analysis, the following should be considered (Leland, 2011): Qualtrics (2015), QuestionPro (www.questionpro.com), KeySurvey (www.keysurvey. com), ProProfs survey maker (www.proprofs.com), SurveyMoz (www.surveymoz.com) and Survey Face (www.surveyface.com). Innovative online scales of customer satisfaction Paper-based surveys are time-consuming and have design and space limitations. Online surveys provide more engaging opportunities to measure satisfaction, perhaps providing more user-friendly and more organized ways for people to take surveys. Online surveys allow flexibility in the design of scales that was not possible with paper surveys. For example, with online survey, one can use sliding scales, heat maps, graphics, flexible amounts of space for text entries, graphic design and much more. The following are some of the new online scales for measuring customers’ satisfaction. Sliding scales with an A-F grade make it possible for researchers to assign a numerical value for a grade selected by the customer (Figure 2). Sliding scales with multiple attributes give the respondents the opportunity to view their multiple attributes ratings and compare them (Figure 3). A sliding scale with continuous values is a more flexible rating scale that allows rating multiple attributes in decimal values and provides an absolute zero (Figure 4). Visual analog scale (VAS) is a monochrome or color-enhanced graphic scale developed in the medical field to measure a characteristic believed to range across a continuum of values and cannot be directly measured, such as the amount of pain that a patient feels. The VAS can be easily adapted to hospitality satisfaction measurement. The VAS is a straight line (vertical or horizontal) of a given length whose ends are marked by adjectives of two extremes of the experience to be measured. Persons completing a survey make a mark closest to how they feel. Individual visual perception is more extensive than a simple quantitative statement (Pointer, 2003) (Figures 5 and 6). Customer satisfaction 23 Data mining The increasing use of technology in the hospitality and tourism industries has created large quantities of consumer data. However, identifying information in those large quantities of consumer data, consumer expenditure and online customer complaint or feedback can be difficult. A relatively new method by which customer satisfaction data can be measured and analyzed is data mining or big data analysis. “Big Data starts with large-volume, heterogeneous, autonomous sources with distributed and decentralized control and seeks to explore complex and evolving relationships among data” (Wu et al., 2014, p. 99). Data mining extracts meaningful patterns and builds predictive customer-behavior models that aid in decision-making (Magnini et al., 2003, p. 94). Figure 2. Sliding scale with A-F grade Figure 3. Sliding scale with multiple attributes IJCHM 28,1 24 Figure 4. Sliding scale with continuous values 7 orange 6 5 yellow 4 Excellent Colors red pink Highly dissatisfied 8 Good 9 Acceptable Bad Figure 5. Colored enhanced VAS with discrete values Terrible Abhorrent 10 3 2 1 lime green Highly satisfied 0 Source: Created by authors Data mining has advantages over classic statistical model building. As researchers often ignore model assumptions and limitations, traditional statistical models are often biased. Statistical measures of customer satisfaction are often highly correlated, which in turn can create biased results. Furthermore, traditional statistical analyses generally assume normality and a linear relationship, which often is not the case. Data-mining techniques do not have these limitations and are superior to traditional statistical analysis. The ability to handle very large, complex numeric and text data is another advantage of data mining (Magnini et al., 2003). Extensive customer feedback and reviews online are an unmeasured and untapped wealth of information about customer satisfaction. A method that can accurately extract information from databases is needed (Lau et al., 2005). Text data provide reach information in an opaque manner and cannot be analyzed with traditional statistical tools. Unfortunately, human analysis results in Customer satisfaction 25 Figure 6. VAS with continuous values extensive work overload or analysis involves an insignificant amount of information from a database, which leaves a wealth of information intact (Nasukawa and Nagano, 2001). Summary and conclusions We discussed the raison d’être of measuring customer satisfaction as a proxy for determining service quality. We defined the concept in the context of hospitality and tourism and analyzed the various components. We emphasized that most hospitality experiences are an amalgam of products and services, and thus, satisfaction with a hospitality experience is the sum total of satisfaction with the individual elements or attributes of all the products and services that make up the experience. We then listed the various indices proposed for analyzing service quality, such as Parasuraman et al. ’s (1985, 1988, 1991) SERVQUAL; Khan’s (2002) ECOSERVE; Ekiz et al. ’s (2009) RENTQUAL; George et al.’s (2007) SERICSAT; Cronin and Taylor’s (1994) SERVPERF; Tkaczynski and Stokes’ (2010) FESTPERF; Lages and Fernandes’ (2005) SERPVAL; Stevens et al.’s (1995) DINESERV; and Tribe and Snaith’s (1998) HOLSAT. We then discussed the issue of overall satisfaction with a service experience versus satisfaction with individual attributes. We asked whether when customers experience the attributes of the hospitality experience, they form a set of independent impressions of each and compare them with the expectations of the same attributes and then the resultant overall level of satisfaction is determined by the arithmetic sum total of these impressions. We suggested that the answer to this question depends on whether consumer choice behavior could be explained by compensatory or non-compensatory models. A major portion of the article was devoted to the actual measurement of customer satisfaction. This was done by first listing the roles of CSMs, such as providing information to management and enabling communication with customers. Second, we analyzed the different attributes that should be measured, followed by the frequency and the specific methods of measurements that are appropriate for hospitality establishments. Finally, the subject of data analysis was depicted, and the uses of various statistical techniques were enumerated. We examined various scales that are used to measure customer satisfaction, such as Likert, Osgood semantic differentia (Osgood, 1964), Kano (Kano et al., 1984) and Berger (Berger et al., 1993). IJCHM 28,1 26 The measurement of customer satisfaction across different countries and nationalities was addressed in the next portion of the article. This was achieved by discussing the “emic-etic dilemma” and its relevance to the design of customer satisfaction surveys across the world. Issues such as cross-cultural equivalencies and methods of translating the wording in questionnaires were examined. Finally, the subject of measurements via online surveys was addressed, and a partial listing of basic and advanced online survey tools, such as SurveyMonkey, Zoomerang, SurveyGizmo, Qualtrics, QuestionPro, KeySurvey, ProProfs survey maker, SurveyMoz and Survey Face, was provided. 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Corresponding author Valeriya Shapoval can be contacted at: Valeriya.Shapoval@ucf.edu For instructions on how to order reprints of this article, please visit our website: www.emeraldgrouppublishing.com/licensing/reprints.htm Or contact us for further details: permissions@emeraldinsight.com Customer satisfaction 35