A

COMPREHENSIVE PROJECT REPORT

ON
“Evaluation of Factors Affecting Customer Loyalty in the
Sugar N Spice Restaurant”

Submitted to
S.R. LUTHRA INSTITUTE OF MANAGEMENT
IN PARTIAL FULFILLMENT OF THE
REQUIREMENT OF THE AWARD FOR THE DEGREE OF
MASTER OF BUSINESS ADMINISTRATION
In
Gujarat Technological University
UNDER THE GUIDANCE OF

Faculty Guide: Company Guide

Ms. Rupal Khambhati Mr. Pratik Shethna
(Asst. Professor) owner
(Sugar N Spice Restaurant)

Submitted by
Mr. UMESH K. PATIL [Batch No. 2014-16, Enrollment No. 148050592053]
Mr. ANAS A. SHAIKH [Batch NO. 2014-16, Enrollment No.148050592067]

MBA SEMESTER III & IV

S.R. LUTHRA INSTITUTE OF MANAGEMENT – 805

MBA PROGRAMME
Affiliated to Gujarat Technological University
Ahmedabad
April, 2016
This is certified that Mr. Umesh K. Patil and Mr. Anas A.Shaikh from S.R.
LUTHRA INSTITUTE OF MANAGEMENT have carried out the research on
the subject titled “Evaluation of Factors Affecting Customer Loyalty in the
Sugar N Spice Restaurant” at this company organization under the
supervision of Mr. Pratik Shethna, from September 2015 to April 2016. I also
certify that, the above mentioned student has carried the research work
satisfactorily.

Place: - Surat

Date: - _________ ( to be announced later on)

________________

(Pratik shethna)
 Students’ Declaration

We, Mr. UMESH PATIL and Mr. ANAS SHAIKH , hereby declare that the
report for Comprehensive Project entitled “Evaluation of Factors Affecting
Customer Loyalty in the Sugar N Spice Restaurant” is a result of our own
work and our indebtedness to other work publications, references, if any, have
been duly acknowledged.

Place: Surat
Date: _____________

__________________
(Umesh K. Patil)

__________________
(Anas A. Shaikh)
 Institute’s Certificate

Certified that this Comprehensive Project Report Titled “Andecenents of

Factors Affecting Customer Loyalty in the Sugar N Spice Restaurant” is
the bonafide work of Mr. UMESH PATIL (Enrollment No. 14805092053) and
Mr. ANAS SHAIKH (Enrollment No.148050592067),who carried out the
research under my supervision. I also certify further, that to the best of my
knowledge the work reported herein does not form part of any other project
report or dissertation on the basis of which a degree or award was conferred
on an earlier occasion on this or any other candidate.

Place: Surat
Date: ________________

___________________
(Rupal Khambhati)
Asst. Professor

___________________
(J. M. Kapadia)
Director
 PREFACE

We received our training at Seven Spices Restaurant, kharar as a

requirement of the MBA curriculum. This training has provided a clear insight
of the application of theoretical knowledge into practical scenario. To target
the customers it is imperative to understand their mind set and preferences.
With the help of this study analyze evaluating the factors that affect the
customer.

As we all know that customer loyalty is most important factor in restaurant

industry. The research topic is study the Evaluation of Factors Affecting
Customer Loyalty in the Seven Spice Restaurant.

Firstly, Macro analysis of restaurant industry has been analyzed with help of
Global level, national level, state level, PESTEL analysis. Secondly, micro
analysis related to company, its organizational structure and production has
been done. Detail literature review has been done regarding the factors that
affect the customer and to know about customer loyalty. Finally with help of
this project different factors that affect customer loyalty in sugar n spice
restaurant was studied.
 ACKNOWLEDGEMENT

We have taken efforts in this project. However, it would not have been
possible without the kind support and help of many individuals and
organizations. We would like to extend our sincere thanks to all of them.

We are highly thankful to GOVERNMENT POST GRADUATE COLLEGE

UNA for giving us the opportunity of doing project work and provide such a
platform work as an intern in any organization.

We are highly grateful to for arranging exposure to the industry.

We are thankful to Mr ASHOK KAPIL for her guidance and constant

supervision as well as for providing necessary information regarding the
project and also for their support in completing the project.

We would like to express our gratitude towards our parents & member of 7
Spices Restaurant for their kind co-operation and encouragement which
helped us in completion of this project.

We would like to express our special gratitude and thanks to Mr. VIPIN
MISHRA give us such attention and time.

Our thanks and appreciations also go too our friends and acquaintances in
developing the project and people who have willingly helped us out with their
abilities.
 EXECUTIVE SUMMARY

This report is on topic of “Evaluation of Factors Affecting Customer Loyalty in

the Seven Spice Restaurant.” The study aim to evaluate factor affect
Customer loyalty.

Customer loyalty is one of the most important keys to the restaurant success.
Many restaurants derive a large portion of their profits from their loyal
customers. Customer loyalty leads to higher customer retention rate and to
continuous business success even in situations where failure to satisfy
customers would normally cause an early termination of business.

Hospitality industry has bring marvelous growth to the worldwide economy by

given that services range from housing, tourism, fooding as well as other
services related to the sightseeing industry. It not only provides employment
but also plays a vital role in the economic returns of a country in the form of
foreign exchange.

Sugar N Spice is a leading food brand in Gujarat and till date have 21 outlets
7 directly by Company and 7 franchised. Sugar N Spice is successfully
expanding its business taking full advantage of its standard and reputation
which has been made for last 10 years. In Southern part of Gujarat Sugar N
Spice is the most preferred food court or restaurant.

The study was conducted on 300 customer using structure questionnaire. The
entire project covers different factors that affect customer loyalty. The survey
is limited to Surat city only.

The primary data was collect from valid questionnaires which will be
distributing to Sugar N Spice customers. The data will tabulate in Ms-excel
and SPSS for making analysis easier. In this study SPSS software package
version 16.0 will be use for analyzing the data collected for the study.
After analyze the that it is found that most of the customers is satisfied with
the services and foods provided by the Sugar n Spice Restaurant and this
satisfaction is convert in to the loyalty of the customers. There are many
factors that affect the Customer when they visiting SNS likes food quality is
most affecting factors then price of food, Type of food Varity in menu,
atmosphere of the restaurant and finally service quality which they consider.

After getting all this it is concludes that 70.30% of customers say that Sugar N
Spice Restaurant deserves their loyalty.
 TABLE OF CONTENT
o Company’s Certificate
o Students’ Declaration
o Institute’s Certificate
o Preface
o Acknowledgement
o Executive Summary
Sr. Pa1ticulars Page
No. No.
1. Introduction 1
2. Industry Profile 3
a. Global 4
b. National 5
c. State 6
d. PESTEL 9
e. Current trends 11
f. Major Players 14
g. Major Offerings 14
3. Company Profile 16
a. Company Profile 16
b. Organogram 20
c. Divisions/ Departments 21
d. SWOT 22
e. Market Position 23
4. Review of Literature 24
5. Research Methodology 30
a. Problem Statement
b. Research Objective
c. Research Design
i. Type of Design
ii. Sampling
iii. Data Collection
iv. Tools for Analysis
v. Limitations of the Study
6. Data Analysis & Interpretation 32
7 Findings
59
8 Conclusion
61
Bibliography
62
Annexure
64
 LIST OF TABLES

Table Page
Sr. No. Particulars
No. No.

1 Basic Details of Sugar N Spice 3.1 18

2 Capital details of Sugar N Spice 3.2 18

3 Directors & Key Person of Sugar N Spice 3.3 19

Are you visiting Sugar N Spice For the very first

4 6.1 32
time?
If no then, how often do you dine at the sugar n
5 6.2 32
spice restaurant?
How did you know about the sugar n spice
6 6.3 33
restaurant?
Which one of the following best describes the
7 purpose of your current event at sugar n spice 6.4 34
restaurant?
What prompted you to select sugar n spice
8 6.5 35
restaurant today?
On an average, how much did you spend for
9 this meal at sugar n spice restaurant per person 6.6 36
today?
Indicate your level of satisfaction at sugar n
10 spice restaurant for the following attributes. 6.7 37
Please tick mark on your answer
Please tick mark on your level of agreement or
11 disagreement for the following service provided 6.8 39
at Sugar N Spice
Which factors affect you most when you visit
12 6.9 40
the sugar n spice restaurant?
13 Please rate your overall satisfaction with sugar 6.10 41
 n spice restaurant.
How likely are you to return to sugar n spice
14 6.11 42
restaurant in the near future?
If you do, when are you most likely to come
15 6.12 43
back to sugar n spice restaurant?
How likely are you to recommend sugar n spice
16 restaurant to your friends and relatives? 6.13 44

17 Does Sugar N Spice Deserve your loyalty? 6.14 45

18 Gender 6.15 45

19 Age Group (In Year) 6.16 46

20 Family Income (In Rs.) 6.17 47

21 Occupation 6.18 48

22 KMO and bartlett’s Test 6.19 50

23 Rotated Component Matrix 6.19.1 51

24 Chi-Square Test 6.20 51

25 Rank of Mann Whistney u Test 6.21 53

26 Result of Mann Whistney u Test 6.22 55

27 Rank of Kruskal Wallis Test 6.23 57

28 Test Statistics 6.23 58

 LIST OF FIGURES

Figure Page
Sr. No. Particulars
No. No.

1 Tourism and Hospitality Contribution to GDP 2.1 5

2 Organogram of SNS 3.1 20

3 Are you visiting Sugar N Spice For the very 32

6.1
first time?
4 If no then, how often do you dine at the sugar n 33
6.2
spice restaurant?
5 How did you know about the sugar n spice 34
6.3
restaurant?
6 Which one of the following best describes the 35
purpose of your current event at sugar n spice 6.4
restaurant?
7 What prompted you to select sugar n spice 36
6.5
restaurant today?
8 On an average, how much did you spend for 37
this meal at sugar n spice restaurant per 6.6
person today?
9 Indicate your level of satisfaction at sugar n 38
spice restaurant for the following attributes. 6.7
Please tick mark on your answer
10 Please tick mark on your level of agreement or 39
disagreement for the following service 6.8
provided at Sugar N Spice
11 Which factors affect you most when you visit 40
6.9
the sugar n spice restaurant?
12 Please rate your overall satisfaction with sugar 41
6.10
n spice restaurant.
13 How likely are you to return to sugar n spice 42
6.11
restaurant in the near future?
14 If you do, when are you most likely to come 43
6.12
back to sugar n spice restaurant?
15 How likely are you to recommend sugar n spice 44
restaurant to your friends and relatives? 6.13

16 Does Sugar N Spice Deserve your loyalty? 6.14 45

17 Gender 6.15 46

18 Age Group (In Year) 6.16 47

19 Family 49Income (In Rs.) 6.17 48

20 Occupation 6.18 49

21 Scree plot of Factor Analysis 6.19 51

 CHAPTER: 1
INTRODUCTION
Restaurant is a business which prepares and serves food and drinks to
customers in exchange for money, either paid before the meal, after the meal,
or with an open account. Meals are generally served and eaten on premises,
but many restaurants also offer take out and food delivery services.
Restaurants vary greatly in appearance and offerings, including a wide variety
of cuisines and service models ranging from inexpensive fast food restaurants
to high-priced luxury establishments. In Western countries, most mid- to high-
range restaurants serve alcoholic beverages such as beer and wine. Some
restaurants serve all the major meals, such as breakfast, lunch and
dinner (e.g., major fast food chains, hotel restaurants and airport restaurants).
Other restaurants may only serve a single meal (e.g., a pancake house may
only serve breakfast) or they may serve two meals (e.g., lunch and dinner).

Restaurant companies are essentially retailers of prepared foods, and their

operating performance is influenced by many of the same factors that affect
traditional retail stores. For the most part, restaurants have business models
that are relatively easy to understand, and the array on the Value Line page is
the same as that of a standard industrial company. Nonetheless, there are a
number of unique factors to consider when making investment decisions
regarding this large and segmented industry.

Competition between restaurants is intense, since dining options abound.

And, while there are certainly dominant players in this industry (especially
among fast-food purveyors), no one company has the market cornered.
Indeed, virtually every restaurant location must compete not only against
other publicly traded chains, but also a wide array of small, local
establishments. Competitors include everything from delis and pizzerias to
fine-dining restaurants. And, of course, it is relatively easy to forgo prepared
foods, altogether, in favor of home cooking, which is usually a less expensive
option. Thus, restaurant meals are discretionary purchases, and the industry
tends to be highly cyclical.
Customer loyalty is one of the most important keys to the restaurant success.
many restaurants derive a large portion of their profits from their loyal
customers. Customer loyalty leads to higher customer retention rate and to
continuous business success even in situations where failure to satisfy
customers would normally cause an early termination of business. Therefore
the restaurant operation must focus not only on attracting first-time customers
but also on developing long term relationship with customers. The advantages
of customer loyalty to the service provider in terms of continuous profit,
reducing marketing cost, increasing per customer revenue growth and
increasing referrals. Loyal customers are less likely to switch away by a
discount. Customer loyalty allows increased price premium (competitive
advantage) because brand loyal customers perceive some unique service and
value in the brand that no other alternative can provide. There is an
interaction between customer satisfaction, customer loyalty and customer
retention. In a fine dining restaurant, high level of service quality is one of the
features that can create extra customer satisfaction.

Attracting Customers are more difficult nowadays due to the challenges of

competition and the need to maintain the volume of business that the
restaurant faces. The competition challenge has three major implications for
what customer wants: (1) the increased choice, (2) greater value of money,
and (3) augmented level of service given the intense competition and
demanding consumers, a reasonable concern revolves around what
restaurants can do to maintain customer satisfaction. Knowing what the
customers want and what makes them come back is important for the
restaurant mangers so they can make improvements to the operation of the
restaurant. Customers have their own reasons to return to a restaurant. Some
of these reasons are seeking quality, value and desirable environment.
Dissatisfaction with service quality was consistent with the levels of failure
among restaurants. Offering good food and good service is not enough to
attract and retain consumers. To gain a competitive advantage in today’s
market, restaurants have attempted to offer a unique image.
 CHAPTER: 2
HOSPITALITY INDUSTRY
HOSPITALITY INDUSTRY

What is the meaning of HOSPITALITY? There have been different

definitions of Hospitality. Broadly speaking, Hospitality is the act of kindness
in welcoming and looking after the basic needs of guests or strangers,
mainly in relation to food, drink and accommodation. A contemporary
explanation of Hospitality refers to the relationship process between a guest
and a host. When we talk about the “Hospitality Industry”, we are referring to
the companies or organizations which provide food and/or drink and/or
accommodation to people who are away from home. However, this definition
of the “Hospitality Industry” only satisfies most situations. Can you think of
any circumstances where the phrase “away from home” would not be
accurate?

Hospitality is a main segment in the Hotel industry which in rotate is one of

the nearly all speedily growing fields in the examiner industry.

According to the planet Travel and Tourism Council, travel and tourism has
become the important monetary giver to the world and nationwide economy
in terms of gross output, value added capital investment, employment and
tax gifts. Because it caters to the lodging needs of the absent from home
market, the hotel industry is of middle importance to the progress of travel
and tourism.

The hotel industry is by natural world an intercontinental one. As

international trade and trade enlarge, there is little inquiry but that
international linkage will turn out to be even more imperative for the
manufacturing.

Hospitality industry has bring marvelous growth to the worldwide economy

by given that services range from housing, tourism, fooding as well as other
 services related to the sightseeing industry. It not only provides employment
but also plays a vital role in the economic returns of a country in the form of
foreign exchange.

GLOBAL LEVEL

Global Economy is based on spending money by highly paid employees. As

highly paid employees are busy all the day they need some time to enjoy with
their family or Friends. Thus they go on holidays and hospitality industry
comes to picture. The hospitality industry has to serve better to such peoples
and thus the industry is rated accordingly (3star 5star etc) and their rates also
differs. Thus i feel that every hospitality industry should employee some local
peoples to improve their status. Hospitality industry should also spend some
money to uplift the education level of poor people’s by opening free primary
schools. They must also purchase certain items from local manufacturers.
They must donate money to organizations who are involved in uplifting poor
and needy or on certain products like life saving drugs or on free diagnosis /
treatments to patients etc. This may help in improving global economy.

In 2015, it is expect widespread growth for the global hospitality industry.

This optimism is fueled by accelerating capital markets, favorable supply and

demand balances and strong investor appetites. Even amid geopolitical
instability, the emergence of new health concerns and stagnant economic
growth in certain regions, the global hospitality industry thrives in a cycle of
accelerating growth, and optimism prevails in most markets.

Over the next 12 months, further gains are anticipated. Major industry players
are seeking to strategically deploy and optimize their capital investments, and
strong investor appetites, coupled with the availability of flexible and creative
capital sources, will fuel demand for hotel acquisitions.

Furthermore, the continued increase in cross-border capital flows will intensify

competition in gateway markets among traditional financial investors,
presenting new financial and tax implications for both domestic and foreign
investors.

NATIONAL LEVEL

Direct payment of tourism and hospitality to GDP

The tourism and hospitality sector’s direct payment to GDP total US$ 37.3
billion in 2013.

Figure No: 2.1

Foreign tourists arriving in India

Over 6.8 million foreign tourist arrivals were reported in India

throughout 2013.

The Indian tourism and hospitality industry has emerge as one of the key in
drivers of enlargement in the midst of the services sector in India. Tourism in
India is a latent game changer. It is a sun increase industry, an service
generator, a important source of foreign swap over for the country and an
economic activity that helps local and host community.

The value of the brand to the customer, the growth in budding markets, the
significance of consumer-facing knowledge, and expansion and preservation
of human capital have help shape the tourism manufacturing over the past
five years.

The travel and tourism sector has developed into an industry with an annual
monetary report (direct, indirect and induced) of about US$ 6.5 trillion
universal. The universal hotel industry generate around between US$ 400-
500 billion in proceeds each year. One third of that proceeds is attributable to
the United States.

STATE LEVEL

The Hospitality travel and tourism industry contributed 6.6% to the Indian
GDP in 2014 as compared to 6.4% in 2013, according to recent statistics
released by World Travel and Tourism Council.

In fact, despite the downturn in the Indian economy in recent months, the
demand for hotels in the country remains high spurned by the increasing trend
of cities being both convention and tourist destinations.

13%Growth
The state of Gujarat itself has seen phenomenal growth in tourism. As per the
latest figures by the Tourism Corporation of Gujarat Ltd (TCGL), there has
been a growth of 13% in this sector for the state of Gujarat.

The number of tourists to Gujarat in the year 2012 was a whopping 2.54
crore. The Gujarat Travel Mart held earlier this year saw the participation of
buyers and media from over 32 countries and a visit by 125 international
delegates. The increased interest in Gujarat by international hotel players is
fuelled not only by leisure tourism but also the soaring demand in business
travel. The state has become a hub for agro-based products and food
processing, biotech, pharmaceutical, textile, automobile and IT industries. The
entrepreneurial spirit of the state, coupled with well-developed infrastructure
increasing air connectivity and the progressive policies of the government
have encouraged foreign investments especially from countries such as
Japan, USA and Canada.

Driving-occupancies

The city of Ahmedabad has witnessed an aggressive growth of 25% in its

room inventory. While large-scale events such as Vibrant Gujarat and
DERMACON have given a boost to MICE travel, the large NRI base continues
to drive occupancies during the wedding season.

Courtyard Marriott Ahmedabad was one of the first international brands to set
shop in the city of Ahmedabad in the year 2010. The four-star hotel features
164 rooms including 12 suites, 7,500 sq ft of event space including a pillar-
free ballroom, boardrooms and outdoor lawns and three food and beverage
options. Within three years of operation, the hotel has witnessed a remarkable
growth in market share from 29% in 2010-11 to 35% in 2011-12 which
indicates growth of the industry.

Change-in-F&B-scene

The food and beverage scene in the city is also undergoing sea change. The
people of Ahmedabad have become globe-trotters due to business
requirements and are hence willing to experiment with different kinds of
international cuisines. Majority of the population however is vegetarian. This is
a reason why we at Courtyard Marriott Ahmedabad have a fine-dining Indian
vegetarian restaurant called Shakahari which has established a mark for itself
in the city over the past three years. We now plan to take it notch further and
introduce global cuisines while still sticking to the original concept of being an
absolute vegetarian restaurant. This would give us the opportunity to provide
a plethora of international cuisines to our loyal patrons while still being mindful
of their alimentary requirements.
Gujarat, especially the city of Ahmedabad also has a very large base of
students owing to esteemed educational institutions such as the Gujarat
University, Centre for Environment Planning and Technology (CEPT) and
National Institute of Design (NID). There is also a large number of young
working professionals from other cities staying in Ahmedabad not to mention
a sizeable number of expats who are in the city for an extended period of
time. Keeping the needs of this segment of the population in mind, we at
Courtyard Marriott Ahmedabad are in the process of launching a new coffee
house called Java+. This coffee house has been designed keeping in mind
‘Gen Y’ with a vibrant look and feel to the interiors. We shall be serving a
variety of gourmet coffees and teas besides other soft beverages. What would
set this place apart from the rest would be the presence of a coffee
‘sommelier’ who can educate people about coffee and recommend them the
varieties they should try. We would also have a separate coffee tasting table
where patrons can taste some of our coffees prior to making a decision as to
which one they would like to buy. Going further, we would like to turn this
place in to a hub for hosting cultural activities, screening cricket and football
matches live and have a separate area for a live band or musician.

With these new additions to our product, we hope to establish ourselves as

the food and beverage destination in the city.

Market Size

The integer of Foreign Tourist arrival has developed gradually in the last three
years reaching about 7.46 million during January–December 2014. Foreign
switch over earnings from tourism in terms of US dollar grew by 7.1 per cent
during January-December 2014 as compare to 5.9 per cent over the matching
period of 2013. Through the Month of December 2014 were Rs 120,083 crore
(US$ 19.02 billion) as compare to of Rs 107,671 crore (US$ 17.05 million)
during January-December 2013 over the matching period of 2012. There has
been a enlargement of 6.8 per cent in December 2014 over December 2013.

Foreign swap over salary during the month of December 2016 were Rs
162,875 crore as evaluate to Rs 181,994 crore (US$ in December 2017 and
.The enlargement rate in FEEs in rupee conditions in December 2014 over
December 2013 was 7.3 per cent. FEEs from tourism in rupee terms
throughout January-December 2014 were Rs 120,083 (US$ 1,902.53) with a
enlargement of 14.5 per cent over the matching period of 2016.

The total number of 1,. million foreign tourist arrived on e -tourist visa a
growth of 57.2 % .

Hospitality a main section of tourism has full-grown by 10-15 per cent on the
back of better customer sentiment with the modify of Government. As
command is going up occupancies are civilizing.

PESTEL ANALYSIS

Following are the factors which included in the PEST analysis.

1) Political Factors
2) Economic Factors
3) Social Factors
4) Technological Factors

1) Political Factors :

 Government regulations concerning cleanliness, health and food

policy, food standards, etc.

 Economic policy of government about the restaurant industry and

organization eating joints, these may comprise licenses, inspection by
Health and Food Ministry department, etc.

2) Economic Factors :

 Interest rate would collision the cost of capital, the rate of interest
organism directly in proportion to the cost of capital.
 Rate of inflation determine the rate of compensation of employees and
directly affect the worth of the restaurant's products. Again, the
percentage between the inflation rate and wages/prices is straight.

 Economic trends act as an pointer of the provisions and abundance of

your business in the selected region and help you in decide your
marketing strategy.

3) Social Factors :

 Definite cultures abhor definite foods. For example, Hindus will not eat
beef and Muslims would not still touch pork. Therefore information of
these educational facts about your business atmosphere will help you
come to a decision whether or not you'll be able to do any commerce
there.

 Eating habits of the group in your selected business surroundings may

and definitely will influence your marketing decision.

 Ratio of people prefers to eat out frequently.

4) Technological Factors :

 A high-quality technological infrastructure would guide to better

manufacture, procurement and allocation logistics, ensuing in reduced
consumption and subordinate costs.

 Sound expertise may be a important feature for food expertise

modernism, better appearance, more efficient business advertising,
etc.
CURRENT TRENDS

 Millennial have become the fastest growing customer segment within the
hospitality industry:

Examination, interaction and knowledge are the major center of Millennial

who are enthusiastic to pay more for a greater experience, many of them
are look for an generally epicurean experience for a reasonable price and
this has shaped all new lobby designs in the hotel sector. Lobby bars and
hotel restaurant are wide open with grouping work, play and eat/drink
chairs designed with this millennial customer in mind, one who is a party of
one but “hanging out together.” They are look for a only one of its kind and
novel experience and this has and will persist to authority change within
the market.

Moreover, this customer segment is concerned in utilizing knowledge to do

belongings that many others have become accustomed to doing manually.
Checking in at hotels, paying their restaurant and bar bills and look up
places to eat, shop and play to name a few. In addition to wanting
technology, Millennial have no problems language up.

 Customer service will create the list every year but this year it have to be
a combination of high tech, high stroke as coin by John Nesbit in his best
seller Megatrends in 1985. Service today has to comprise enable guests to
be self-governing. As an example, if a guest wants to find in succession
using his/her smart phone, as long as an app or mobile website that
accommodate that in sequence will appeal to many. The rise of this digital
voyager requires the hotel industry to equilibrium the anticipation of
personalization while ornamental the need to stay put independent.

 Expectation of more international visitors has been talk about for two
years but these traveler are here now. global leisure travel has increased
markedly due to the visa waiver program introduce by President Obama in
 2012 and this is touching more worldwide tourists to travel to the United
States. The U.S. Department of Commerce project an annual growth rate
of around 4 percent in global travel. This represents over 80 million
visitors. China is prepare to send tens of millions of leisure tourists into the
global market every year.

 Innovative technology mobile check-in and flawless connectivity across

platform and strategy are no longer the prospect they are the present.
Today, mobile apps are being used as everything from a digital
doorkeeper to accessing big data. Geo-location can make it easy to sell
guests astonishing that is factually right in front of them. In a recent survey
by Software Advice, guests desired local restaurant and hotel restaurant
discount when looking for deals as well as maps with coupons for other
deals. At our hotels, we use App, which sends guests deals to do
everything related to eating, playing and shopping. Additionally, monitoring
guest use of the Internet relative to bandwidth can provide a different data
set, perhaps one that will drive down your ever increasing costs of
providing ridiculous levels of said bandwidth. Most importantly, when
looking at the face of a changing consumer today, technology innovation is
paramount. As most have heard, Starwood and Hilton will be having
guests check in via mobile phone in 2015.

 Political uncertainty will continue to be an unfortunate reality because at

the national level it is unclear that the President and the new Republican
parliament will be willing to concession on anything leading into the 2016
presidential movement. This impacts hoteliers on many levels but most
critically as it impacts two areas of vital effect to the welcome industry
healthcare and the re-authorization of product USA legislation. Whether or
not you concur with Obama care and its execution, now that it is reality the
hotel industry is just getting its arms around incorporating the demands of
the legislation into HR policies, legal ramifications, and the collision it has
on the healthcare options nearby to employees. Ongoing threats of
repealing the legislation or defunding Obama care create indecision
 regarding what income may or may not need to be billed in the pending
years.

 Reputation management continues its importance because it is no longer

all about Trip Advisor. Although this show place continues to govern in the
hotel industry, it is easy to skip over the increasing importance of Yelp,
Yahoo, Face book, and Expedia for guest reviews and comments.
Managing a property’s reputation is more and more significant and using
tackle to help this procedure is critical. Many of our properties use
Ruminate as a complete, one-stop solution for standing management
instead of the cumbersome process of logging into each platform and
spending an exorbitant quantity of time on a crucial yet time consuming
aspect of the hotel industry.

 Real time marketing and given that contented on an continuing basis will
govern the industry. Although it would be imprudent to markdown the
shock of established marketing, real time marketing must take place on a
regular basis and incorporate guest-generated satisfied, particularly via
social media. This must be a crucial component of the marketing mix.

 Health and wellness trends will continue to drive customer decision. well
food option are one of the easiest ways to supply to this trend. The
Chicago Marriott O’Hare recently implement a test pilot in partnership with
Farmer’s Fridge, a Chicago start-up, to provide a vigorous vending
machine. At the proposition of a guest, soda, candy bars, and ice cream
were replace with a detox salad made of kale, quinoa, Greek yogurt,
berries and nearby sourced honey.
MAJOR PLAYERS

Branded players

This segment mainly represents the branded budget hotels in the country,
which bridge the gap between expensive luxury hotels and inexpensive
lodges across the country. Budget hotels are reasonably priced and offer
limited luxury and decent services. Increased demand and healthy
occupancy have fuelled growth of budget hotels. These hotels use various
cost control measures to maintain lower average room rates without
compromising on service quality. Followings are some of the popular budget
hotels.

 ITC Hotels
 Indian Hotels Company Ltd. (The Taj Hotels Resorts & Palaces)
 Oberoi Hotels (East India Hotels)
 Hotel Leela Venture
 Asian Hotels Ltd.
 Hotel Corporation of India
 ITDC Hotels
 TGB (Banquet, Hotel, Conventions & Clubs)

MAJOR OFFERINGS

 Rooms & Suites

 Banquet Halls & Conferences
 Restaurant
 Lounge Bar
 Business Centers
 Coffee Shop
 Gymnasium
 Kids Arena
 Ayurveda Centre
 SWIMMING POOL, JACUZZI, SPA, AND STEAM SAUNA
 Garden
 Cottages
 Laundry
 Staff Quarters
 CHAPTER: 3
SUGAR N SPICE RESTAURANT
Presently Sugar N' Spice has 30 outlets in Surat, Bharuch and on Mumbai-
Surat Highway with different brand names like Sugar N Spice, Deewan E
Khaas, Taste Of India, Sub Station and Kababs Villa. Today they feel that
they are in a position whereby we have substantial knowledge and technical
knowhow of the business, be it the setup of the unit, quality standardization,
management, marketing strategies etc. it have now plans to expand the
business rapidly and take advantage of the rapidly growing food industry by
way of different modules and formats.

Quality Commitment the Success story of sugar n Spice lies only and solely
on the pillar of the quality it promises to serve. High quality food is the main
focus of the company. In spite of the fact that the company serves the largest
variety of food in South Gujarat ranging from Chats, South India, Chinese,
Fast Food, Bakery and Confectionary, and Indian Tandoori . The company
makes all possible efforts to serve its patrons the best possible taste. Cooks
and chefs are trained from time to time to further upgrade the food.

With all its exotic ingredients, unfamiliar dishes, and tongue-tingling flavors,
Indian cuisine can be both exciting and intimidating. “It’s such a complete
world of taste. You combine all the techniques from other cuisines and add
magical spices to get a titillating food experience. Indian cuisine uses the
whole palette of flavors spicy, sour, sweet, and hot all at the same time
making it something that wants to jump off the plate.

There are a basic 20 to 30 spices that are used in many dishes cumin,
coriander, turmeric, and ginger, to name a few and there are an infinite
number of ways of using them. Every spice has a reason for being there.
They have health benefits, and they make the food more exciting and
flavorful.

Gujarati cuisine is primarily vegetarian. The typical Gujarati thali consists

of roti (rotli in Gujarati), daal or Kadhi,Rice, sabzi/shaak, papadand chaas (but
termilk).The sabzi is a dish of different combinations of vegetables and spices
which may be stir fried, spicy or sweet. Gujarati cuisine can vary widely in
flavor and heat based on personal and regional tastes.
Sugar and Spice is chain of restaurants in and around Surat City. The non
vegetarian food is simply outstanding. The various outlets are conveniently
located with large choice on the menu. The restaurant named Taste of India
buffet dinner is delicious and reasonably priced. The approach and the cutlery
needs some improvements though the food is outstanding

Sugar N Spice is a leading food brand in Gujarat and till date have 21 outlets
7 directly by Company and 7 franchised. Sugar N Spice is successfully
expanding its business taking full advantage of its standard and reputation
which has been made for last 10 years. In Southern part of Gujarat Sugar N
Spice is the most preferred food court or restaurant. Two more outlets are
under construction. The head quarter of Sugar N Spice is located in Surat,
Gujarat and the brand had captured whole Gujarat and spreading its wings in
other state by having a joint venture or offering franchise for which they offer
their business strategies and technical support as well as training program.

Hotel and Restaurant industry is growing very fast and the brand Sugar N
Spice is gaining popularity all over India. Having a substantial knowledge of
management systems, quality standardization, marketing and as well as
business development strategies, the team will deliver an ideal training
program and technical support making the franchise business of Sugar N
Spice much more profitable than expected. Total cost of starting a Sugar N
Spice franchise is about Rs. 30 to 50 lakhs. This investment includes
franchise fees, furniture’s and equipments and marketing and advertising
costs. Cost of training program and software support is included in franchise
fees. The company has not revealed its Royalty fees and can be negotiated
with them before finalizing the deal. Since the restaurant is a profitable
business especially if the brand is popular and upcoming, the break even will
certainly be achieved within 3 years or even before if the area is ideal for a
restaurant and quality of the brand is maintained.

SUGAR AND SPICE INDIA PRIVATE LIMITED is a private company

registered on 20/02/1992. The company has an authorized capital of Rs
25,00,000 and paid-up capital of Rs 10,25,000.
Its registered office is situated at A-6/3vasant Vihar, New Delhi, Delhi, India -
110057.

The status of company in the records of Registrar is active which means that
it is actively doing all its filing with the Registrar.

Company has currently 2 director and falls under the jurisdiction of Registrar
of Company-Delhi.

BASIC DETAILS

Incorporation Date Registration Number

20/02/1992 047696
Company Type Listing Type

Private Unlisted
Industry Category Company Nature

Manufacturing (Food stuffs) Company limited by shares

Company Sub Category Registering Authority

Indian Non-Government Company Registrar of Company-Delhi

Table No: 3.1

CAPITAL DETAILS

Authorized Capital Paid-up Capital

Rs. 25,00,000 Rs. 10,25,000

Table No: 3.2

DIRECTORS & KEY PERSONS

DIN/DPIN/PAN Director Name Appointment Designation

Date

06380306 MUKESH KUMAR 01/09/2012 Director

RAMMEHAR SINGH
YADAV

06380312 DEVENDER KUMAR 01/09/2012 Director

Table No: 3.3

Organogram:

FRONT OFFICE ADMINISTRATOR

CHEF

FOOD PRODUCTION
HELPER

MANAGER/SUPERVISI
OWNER SERVICE WAITERS
OR

MARKETING

FINANCE AND
ACCOUNT

HR

Figure No: 3.1

 Divisions/Departments:

The departments have been classified on accounts of it function at SNS. They

are as follows:-

1. Front Office Department:-

 The front office is the command post for processing reservations, registering
customers, settling customer’s accounts (cashiering).
 Front desk agents also handle the collection of customer’s orders, messages
or other information for customers.
 The most visible part of the front office area is of course the front desk. The
front desk can be a counter or, in some luxury restaurants, an actual desk
where a customers can sit down and register.

2. Food Production Department:-

 Food production deals with the preparations of food items.
 It is basically engaged in preparing those dishes, which are ordered by the
customers and afterwards is catered by the F&B department.
 Cuisine like Indian, Continental, Thai, Italian, South Indian, Chinese, Mexican
and fast food.
 Different Chefs are appointed for the specialty cuisine at SNS.

3. Marketing & Selling Department:-

 Sales and marketing has become one of the most vital functions of the hotel
business and an integral part of modern hotel management.
 At SNS, it includes packaging for selling, sales promotion, advertising and
public relations.
 The marketing division is charged with the responsibility of keeping the tables
in the restaurants occupied at the right price and with the right mix of guests.
4. Finance, Accounting and Control Department:-
 SNS’s accounting department is responsible for keeping track of the many
business transactions that occur in the Restaurants.
 The accounting department does more than simply keep the books-financial
management is a more appropriate description of what the accounting
department does.
 The control department is concerned with cost control guidelines by way of
reducing in investment, reduction in operating cost, control of food service
costs, control of beverage costs, labor cost control etc.

5. Kitchen stewarding department: -

 Kitchen Stewarding Department plays an important role too.
 It is responsible for all the backs are cleaning of kitchen, utensils operating
dish washing machines.

6. Human Resource Development:-

 This department has newly taken step in hotel industry and within a short
span of time it has become a very important part of the organization.
 This department is the topic of our discussion. The practice, which this
department and their staff perform at SNS, is in the light of following project.

SWOT analysis:

Strength:

 Strengths consist of your pricing structure, such as offering a lower-

priced menu than similar restaurants in your area.
 Location and accessibility: it is situated in a area which there theater,
mall, parlor, gym etc which consist of visitors all the time.
 High-quality food offerings that exceed competitor’s offerings in quality,
presentation, and price.
 Strong management: Excellent staff who are highly trained and very
customer attentive.
 Good reputation about Sugar and Spice.
Weakness:

 You offer a product which is already available on the market.

 Intense competition.

Opportunity:

 Listed and one of the famous company.

 Growth rates is good
 Profit margins

Threat:

 Competitor are situated in nearby area (dominos, pizza hut, local

restaurant etc)
 Other threats consist of the potential rising price of certain foods.
 Price war.

Market position:

Sugar N spice restaurant is one of the top 10 prevailing restaurants in Gujarat.

Within food and beverages it provides cakes and pastries, Italian cuisine,
Chinese, Mexican, fast food and Indian cuisine as well. The market position of
SNS is defined with the satisfaction level of the customers. With providing
different food type, it assists multi range of items.
 CHAPTER: 4
REVIEW OF LITERATURE
Mona A. Clark and Roy C. Wood International Journal of Contemporary
Hospitality Management (1998) Vol. 10 stated that consumer behavior with
particular relevance to consumer loyalty. Findings suggest that the quality and
rung or type of food are key determinants in consumer loyalty but that the
concept of "quality of food" offers a range of interpretations and thus requires
more careful investigation. Additionally the concept of the "meal experience"
as a holistic abstraction in the consumer's mind is called into question as a
consequence of the analysis. Tangible rather than intangible factors are
identified as being of greater importance in consumer loyalty.

Dongsuk Jang Mattila and Anna S International Journal of Contemporary

Hospitality Management (2005) Vol. 17 this study aims to investigate
customer preferences towards loyalty reward programs in the restaurant
industry in restaurant patrons in Las Vegas, USA. They find that a vast
majority of study respondents favored immediate, necessary, and monetary
gratification. These results were consistent across restaurant types (fast-food
versus casual dining). Although savings was the most sought-after benefit,
intangible benefits such as quality and convenience also received high ratings
.In addition, other types of restaurants (e.g. fine dining) might require different
types of reward schemes. The findings of this study suggest that restaurant
operators in the casual dining and fast-food segments should consider
employing immediate, necessary, and monetary rewards as opposed to
points-system, luxury, and non-monetary rewards. In terms of motivation to
join loyalty reward programs, the study results indicate that casual dining
patrons are looking for exciting and entertaining rewards in addition to mere
cost savings. This paper helps restaurant managers to better understand
customer preferences for loyalty reward programs and to realize the value of
targeted rewards.

Sachin Gupta (2007) focused on the links between customer satisfaction,

repeat-purchase intentions and restaurant performance. The authors has
constructed a series of mathematical models using the data from a national
restaurant chain, that predict how the level of customer satisfaction with
certain attributes of gusts’ dining experience affects the likelihood that they
will come back. The authors constructed two different models for this study.
The first one is to explore the relationship of guest satisfaction with twenty-
one distinct attributes of the dining experience and the second model to
explore the 40 relationship between restaurant performance and customers’
reported likelihood to return. The study shows how guests’ “comeback” scores
and other variables affect restaurant performance. The authors argue that
higher customer satisfaction should lead to increased probability of repeat
purchase, which in turn should result in greater restaurant sales. The study
attempts to fill a gap in the empirical literature that focuses on the restaurant
sector by linking customer satisfaction to restaurant performance.

Wansoo Kim and Heesup Han Journal of Quality Assurance in Hospitality &
Tourism (2008) Vol. 9 stated that the relationships among perceived quality,
perceived value, relationship quality (customer satisfaction and trust), and
loyalty intentions in the full-service restaurant industry. Following Baron and
Kenny's guidelines, the current study also tested a mediating effect of
relationship quality on loyalty intentions. Data were collected using an on-line
survey. The results of a series of regression analyses using five regression
equations supported the hypothesized relationships among study constructs.
In addition, relationship quality was found to be a partial mediator in the
relationship between perceived value and loyalty intentions.
Theoretical/managerial implications and suggestions for future research are
discussed.

Bowden and Jana Journal of Hospitality Marketing & Management (2009) Vol.
18 stated that Customer-brand relationships do not just exist, they develop
over time and through multiple service experiences, yet the literature typically
discusses customer-brand relationships as being a largely static
phenomenon. Very limited attention has been given over to the service
evaluation processes of customers who are new to a service brand, as
compared to customers who are experienced with the service brand.
Research additionally continues to rely on the historically dominant customer
satisfaction paradigm as the most effective method with which to evaluate
service experiences at the expense of other relational mediators such as
involvement, calculative commitment, affective commitment, and trust. This
limits the extent to which a more complete and dynamic understanding of the
nature of customer-brand relationships and the processes by which
engagement with the brand and ultimately loyalty to the brand may be
fostered for customers in different consumption stages. A phenomenological
investigation into the process of customer engagement as revealed through
customers' restaurant dining experiences is presented to examine these
issues.

Kim, Insin Jeon, Sang Mi Hyun, Sunghyup Sean Journal of Travel & Tourism
Marketing (Oct2011) Vol. 28 the purposes of this study were to examine the
optimal service provider communication style for maximizing patrons'
perceived relational benefits, and to examine how perceived relational
benefits influence relationship quality and loyalty within the luxury restaurant
industry. A review of current communication literature was conducted, and
three types of communication styles were derived. Based on the theoretical
causal relationships between the proposed constructs in this study. The
results of data analysis revealed two major findings: (a) a task-orientation
communication style enhances patrons' perceived confidence benefits and
deepens relationship quality, thus creating patron loyalty; and (b) an
interaction-orientation communication style induces rapport between service
provider and patrons, thus helping to maximize patrons' perceived relational
benefits. Finally, it leads to patron loyalty.

Mohammad Haghighi, Ali Dorosti, Afshin Rahnama and Ali Hoseinpour (30
January, 2012) in Iran stated that food quality, service quality, restaurant
environment, and perception of price fairness had a positive impact on
customer satisfaction but the impact of restaurant location on customer
satisfaction was not confirmed. Also food quality, service quality, and
perception of price fairness had a positive effect on customer trust. The
results show that food quality is the most important factor affecting customer
satisfaction and trust in Boof Chain Restaurants. Customer satisfaction had a
positive impact on customer loyalty but the effect of customer trust on
customer loyalty was not confirmed.
Bowden-Everson, Jana Lay-Hwa Dagger, Tracey S. Elliott, Greg Journal of
Foodservice Business Research (Jan2013) Vol. 16 Issue stated that the
establishment and maintenance of enduring customer–provider relationships
remains a primary objective for many service providers. In addition to
providing satisfying experiences, customer loyalty is likely to be earned
through relational determinants such as trust, customer delight, commitment,
and involvement within the service relationship. Despite this, few studies have
explored how these constructs combine to engage customers and determine
customer loyalty over time. Through this research the authors examine the
effect of these constructs on loyalty using a structural equation modeling
approach and a sample of 474 service consumers in the restaurant industry.
They also examine the extent to which service experience moderates the
effect of these relational determinants on loyalty. The results indicate that
satisfaction, trust, and delight ultimately generate customer loyalty in the
restaurant industry. Interestingly the salience of the relational determinants in
the development of loyalty did not differ significantly based on the customer's
level of relationship experience. The findings of the authors in this research
have important strategic implications for restaurateurs managing the
customer–provider relationship, and for service managers who predominantly
rely on the measurement of satisfaction to monitor customer loyalty.

Raab, Carola Zemke, Dina Marie V. Hertzman, Jean L. Singh, Dipendra

International Journal of Hospitality & Tourism Administration (Oct-Dec2013)
Vol. 14 conducted the exploratory study and expands the current literature on
service scapes by examining the total noise environment in restaurants and
the impact of ambient noise levels and general restaurant attributes on
customer satisfaction and loyalty behavior, defined as the customer's
willingness to return to a restaurant and motivation to recommend it. The
researchers surveyed guests at one casual dining restaurant in the
Southwestern United States. The results showed that services, physical
attributes, and quality of food and beverage had significant impact on overall
satisfaction, overall atmosphere, and loyalty behaviors. Noise level factors
such as effects of noise and appropriateness of noise levels, influenced
overall satisfaction, but not loyalty behaviors.
Kim, Min Gyung, Lee, Chung Hun, Mattila, Anna S. Journal of Hospitality
Marketing & Management (Nov/Dec2014) Vol. 23 conduct a research on
customer complaint behavior has shown that Asian customers–collectivists
(vs. Western customers–individualists) are less likely to engage in voice
complaint but more inclined to choose non confrontational responses such as
switching and negative word-of-mouth. Yet they suggest that this relationship
may not hold true when taking into account customer loyalty, price level, and
power distance as cultural value. To that end they conducted an experiment
to examine the joint effects of culture, customer loyalty, and restaurant price
level on customer complaint behaviors and results indicate that Asian
customers might indeed be vocal public complainers when there is no deep
commitment to a restaurant and when paying a high price for the service.

Vijayvargy and Lokesh International Journal of Management & Innovation

(2014) Vol. 6 stated that Service quality is an inherent characteristic of
hospitality industry, contributing significantly to the overall growth of the
industry. With cut throat competition and ever demanding customers,
restaurants chains are facing severe problems in retaining customers. Service
quality is one of the measure enabling restaurants chains to attract and retain
customer. Thus it is imperative for the restaurant management to understand
the perception of the customer regarding services quality. This study aims at
identifying the factors of the service quality in restaurant chains and
importance level of each of them in making a revisit decision (Customer
Loyalty Measurement). With SERVQUAL scale for measuring service quality,
an empirical study is done to derive important factors and their importance
levels. The study reveals three factors tangibles, convenience and empathy
as most significant dimensions of service quality amongst the youth. These
findings can be used by restaurants to make focused marketing strategies in
order to attract and retain customers.

Chen, Annie Peng, Norman Hung, Kuang-peng International Journal of

Contemporary Hospitality Management (2015) Vol. 27 stated that Consumers
dine at luxury restaurants for reasons beyond fulfilling basic needs and also
focused about the factors that contribute to diners' emotions and loyalty
toward luxury restaurants and results show that restaurants' stimuli influence
diners' positive and negative emotions (organisms), which, in turn, affect their
loyalty toward luxury restaurants (responses). Furthermore, customers with
different levels of expectation react differently to stimuli. Practical implications
.This study offers new empirical support for the proposition that diner
expectation plays a role in building customer loyalty and, thereby, shades
both theoretical and managerial understanding of the luxury restaurant
consumption process. Originality/value -- This study conceptualizes diners'
loyalty toward luxury restaurants (e.g. revisiting and recommending luxury
restaurants) by examining the influence of restaurants' stimuli, diners'
emotions and customers' expectations toward luxury restaurants. Additionally,
this study offers some managerial implications for practitioners.
 CHAPTER: 5
RESEARCH METHODOLOGY
Problem statement
Customer loyalty is critical to the success of any restaurant that wants to gain
and maintain market share. The restaurant is in need of an appropriate
measure of customer satisfaction that will lead to customer loyalty from its
customers. This suggests that management may wish to seek attributes that
are responsible for returning of the Customers.

Scope of the study

The study was limited to sized area only.

Research objective
 To examine customer satisfaction in Sugar N Spice restaurant.
 To examine how service quality of a restaurant affects customers’
decision to return to the restaurant in the future.
 To identify attributes that lead customers to become loyal to specialty
restaurants and determine importance-performance ratings of loyalty
factors.

Research design
The research is a Descriptive type of research.

Sampling design
Population
Population of the study is customers of SNS.

Size of sample
The size of sample selected is 300 people.

Sampling method
The type of sampling is non-probability sampling. The research is based on
convenience sampling.
Sources of data
There are two types of data collection

1. Primary Data

2. Secondary Data

1. Primary data
Questionnaire and personal interviews were the main instruments,
which were used for collecting primary data.

2. Secondary data

Secondary data was collected from sources containing past or recent

information like, Annual Publications, Books, Newspaper and
Magazines, some related books and websites related to the company.

Tools for analysis

The data will be tabulated in Ms-excel and SPSS for making analysis easier.
In this research SPSS software package version 16.0 will be used for
analyzing the data collected for the study.

Limitation of the study

 The possibility of respondent’s responses being biased cannot be ruled

out.
 Due to small sample size the study may not be generalized.
 CHAPTER: 6
DATA ANALYSIS &
INTERPRETATION
Q: 1 Are you visiting Sugar N Spice for the very first time?

Particular Frequency Percentage

Yes 107 35.66667
No 193 64.33333
Total 300 100

Table No: 6.1

ARE YOU VISITING SUGAR N SPICE FOR THE FIRST TIME

YES NO

36%
64%

Figure No: 6.1

INTERPRETATION:

According to survey it is found that 64 % of people visited Sugar N Spice

restaurant regularly and 36% of people who visiting Sugar N Spice restaurant
very first time.

Q: 2. If no then, how often do you dine at the Sugar N Spice Restaurant?

Particular Frequency Percentage

Once a Week 23 7.3
Twice a Week 38 12.7
Once a Month 45 15
Twice a Month 87 29
 First Timer 107 36
Total 300 100

Table No: 6.2

IF NO THEN,HOW OFTEN DO YOU DINE AT THE

SUGAR N SPICE RESTAURANT

36 %
40 29 %
30
12.7 % 15 %
20
7.3 %
10

0
Once a Twice a Once a Twice a First Timer
Week Week Month Month

Figure No: 6.2

INTERPRETATION:

According to survey there are many regular customers that dine in Sugar N
Spice restaurant, 29% of peoples dine twice a month, 7.3% of peoples dine
once a week, 15% of peoples dine once a month, 12.7% of peoples dine twice
a week. There are 36% of peoples that dine very first time in Sugar N Spice
Restaurant.

Q: 3. How did you know about the Sugar N Spice Restaurant?

Particular Frequency Percentage

Radio 17 5.7
TV Advertising 40 13.3
Newspapers 61 20.3
Internet 41 13.7
Friends & Families 99 33
Holdings 42 14
Total 300 100

Table No: 6.3

 HOW DID YOU KNOW ABOUT THE SUGAR N
SPICE RESTAURANT

HOLDINGS 14 %

FRIENDS & FAMILIES 33 %

INTERNET 13.7 %

NEWSPAPERS 20.3 %

TV ADVERTISING 13.3 %

RADIO 5.7 %

0 5 10 15 20 25 30 35

Figure No: 6.3

INTERPRETATION:

According to survey it is found that maximum 33% of know about Sugar N

spice Restaurant through their friends and family, 20.3 % peoples know about
through newspapers,14% peoples know about through road holdings,13.7%
know about through Internet,13.3% peoples know about through TV
Advertising and only 5.7% peoples know about through radio .

Q: 4 which One of the Following Best Describes the Purpose of the

Current Event at Sugar N Spice Restaurant?

Particulars Frequency Percentage

Try Signature Menu 75 25
Business 63 21
Just a Convenient Meal 86 28.6
Social Reason 76 25.4
Total 300 100

Table No: 6.4

 WHICH ONE OF THE FOLLOWING BEST DESCRIBES
THE PURPOSE OF YOUR CURRENT EVENT AT SUGAR
N SPICE RESTAURANT
28.6 %
25 % 25.4 %
30 21 %
25
20
15
10
5
0
TRY SIGNATURE BUSINESS JUST A SOCIAL REASON
MENU CONVENIENT
MEAL

Figure No: 6.4

INTERPRETATION:

According to survey it is found that 28.6% of peoples currently visited Sugar N

Spice Restaurant for the purpose of try convenient meal, 25.4 % of peoples
visited for the purpose of their social reasons like get to gather and social
meetings, 25% of peoples visited for the purpose of just try signature menu
and 21% of visited for the purpose of their business related meetings.

Q: 5 What prompted you to select Sugar N Spice Restaurant today?

Particulars Frequency Percentage

Location 115 38.3
Past Experience 108 36
Reputation 61 20.3
Advertisement 16 5.3
Other 0 0
Total 300 100

Table No: 6.5

 WHAT PROMPTED YOU TO SELECT SUGAR N
SPICE RESTAURANT TODAY
38.3 % 36 %
40
35
30 20.3 %
25
20
15 5.3 %
10 0%
5
0

Figure No: 6.5

INTERPRETATION:

According to survey it is found that 38.3% of peoples select Sugar N Spice

Restaurant for its location, 36 % of peoples select for their past experience
related to Sugar N Spice Restaurant, 20.3 % of peoples select because of
reputation of Sugar N spice Restaurant and only few 5.3% of peoples select
for its attractive advertisements.

Q: 6. On an Average, How much did you Spend for this Meal at Sugar N
Spice Restaurant per Person Today?

Particulars Frequency Percentage

Less than Rs.299 55 18.3
Rs.300 to 599 133 44.3
Rs.600 to 899 39 13
Rs.900 to 1199 51 17
More than Rs.1200 22 7.3
Total 300 100

Table No: 6.6

 ON AN AVERAGE, HOW MUCH DID YOU SPEND
FOR THIS MEAL AT SUGAR N SPICE
RESTAURANT PER PERSON TODAY

44.3 %
50
40
30 18.3 %
17 %
13 %
20 7.3 %
10
0
LESS THAN RS.300 TO RS.600 TO RS.900 TO MORE
RS.299 599 899 1199 THAN
RS.1200

Figure No: 6.6

INTERPRETATION:

According to survey it is found that 44.3 % of majority peoples spend Rs.300

to 599 for their meal at Sugar N Spice Restaurant, 18.3 % of people spend
less than Rs.299 for the food, 17% of peoples spend Rs.900 to 1199 for their
delicious food, 13% of peoples spend Rs.600 to 899 and only 7.3% of peoples
spend more than Rs.1200 for their meal.

Q: 7 indicate your level of satisfaction at Sugar N Spice restaurant for

the following attributes. Please tick mark on your answer. (1-Highly
Dissatisfied, 2- Dissatisfied, 3-Neutral, 4-Satisfied, 5- Highly Satisfied)

Attributes HD D N S HS
Food Portion Size 62 44 69 114 11
Temperature of Food 49 15 49 154 30
Taste of Food 6 25 106 131 32
Variety in Menu 45 25 94 106 30
Welcoming Feeling by Staff 12 57 76 111 44
Cleanliness of Bathroom 23 38 89 124 26
Convenience of Parking 28 47 69 93 63
Timeliness of Services 2 32 77 141 48
Ability to Provide Accurate Food Order by
Customer 12 20 80 131 57
Employee Responsiveness to Questions 9 35 107 117 32
Readability of Menu Items 7 37 97 104 55
Accuracy in Customize Order Cook 15 34 99 99 53
Uncompromised Service During Rush 3 44 99 114 40
Availability and Accessibility of Staff 8 52 75 108 57

Table No: 6.7

AVAILABILITY AND ACCESSIBILITY OF STAFF

UNCOMPROMISED SERVICE DURING RUSH
ACCURACY IN CUSTOMIZE ORDER COOK
READIBILITY OF MENU ITEMS
EMPLOYEE RESPONSIVNESS TO QUESTIONS HS
ABILITY TO PROVIDE ACCURATE FOOD…
S
TIMELINESS OF SERVICES
CONVENIENCE OF PARKING N
CLEANLINESS OF BATHROOM D
WELCOMING FEELING BY STAFF
HD
VARIETY IN MENU
TASTE OF FOOD
TEMPERATURE OF FOOD
FOOD PORTION SIZE
0 20 40 60 80 100 120 140 160

Figure No: 6.7

INTERPRETATION:

According to survey it is found that 114 peoples is satisfied with the food
portion size of Sugar N Spice Restaurant, 154 peoples is satisfied with the
temperature of food that serve by the Sugar N Spice Restaurant, 131 peoples
is satisfied with the test of food, 106 peoples is satisfied with the variety in
menu, 111 peoples is satisfied with the welcoming feeling by staff, 124
peoples is satisfied with the cleanliness of bathroom provided by the Sugar N
Spice Restaurant, 93 peoples is satisfied with the parking provided by the
Sugar N Spice Restaurant, 141 peoples is satisfied with timeliness of
service,131 peoples is satisfied with the ability to provide accurate food order
by the customers,117 peoples is satisfied with employee responsiveness to
their questions,104 peoples is satisfied with readability of menu items that
available at Sugar N Spice Restaurant, 99 peoples is satisfied with accuracy
in customer order cooked,114 peoples is satisfied with the service provided
during rush and 108 peoples is satisfied with the ability and accessibility of the
Restaurant staff.
 Q: 8. Please tick mark on your level of agreement or disagreement for
the following service provided at Sugar N Spice.(1-strongly disagree, 2-
disagree, 3-neutral, 4-agree, 5-strongly agree)

Particulars SD D N A SA
Menu is Attractive and Reflects Image of Sugar N
Spice Restaurant 44 33 69 114 40
Restaurants Decor is in Keeping with Image 2 73 72 102 51
The Menu Price is Fair for the Quality of Items
and Service Provided 9 23 93 129 46
comfort level of seating is as expected in
restaurants 10 36 94 117 43
The Food Presentation is Appealing 10 40 82 132 36
The Nutritional Quality of Items is as Expected 18 59 67 122 34
The Adequacy of Staff and their Grooming
Reflects an Upscale Image 16 56 88 97 43
The Layout of the Dining Area is Proper 14 26 93 101 66

Table No: 6.8

THE LAYOUT OF THE DINING AREA IS…

THE ADEQUACY OF STAFF AND THEIR…

THE NUTRITIONAL QUALITY OF ITMS IS… SA

THE FOOD PRESENTATION IS APPEALING A

N
COMFORT LEVEL OF SEATING IS AS…
D
THE MENU PRICE IS FAIR FOR THE…
SD
RESTAURANTS DÉCOR IS IN KEEPING…

MENU IS ATTRACTIVE AND REFLECTS…

0 20 40 60 80 100 120 140

Figure No: 6.8

INTERPRETATION:

According to survey it is found that 114 peoples are agree that menu of Sugar
N Spice Restaurant is Attractive and Reflects Image of Sugar N Spice
Restaurant, 102 peoples are satisfied that Restaurants Decor is in Keeping
with Image of SNS, 129 peoples are satisfied that The Menu Price is Fair for
the Quality of Items and Service Provided, 117 peoples satisfied that comfort
level of seating is as expected in restaurants, 132 peoples are satisfied that
The Food Presentation is Appealing, 122 peoples are satisfied that The
Nutritional Quality of Items is as Expected, 97 peoples are satisfied that The
Adequacy of Staff and their Grooming Reflects an Upscale Image and 101
peoples are satisfied that The Layout of the Dining Area is Proper.

Q: 9 which factors affect you most when you visit the Sugar N Spice
Restaurant? (Please give rank according your comfortableness. 1- most
affected, 5- less affected)

Factors Rank of Frequency

Price 68
Food Quality 112
Atmosphere of Restaurant 30
Type of Food 60
Service Facility 30
Total 300

Table No: 6.9

WHICH FACTORS AFFECT YOU MOST WHEN YOU

VISIT THE SUGAR N SPICE RESTAURANT
120 112

100

80 68
60
60

40 30 30
20

0
PRICE FOOD QUALITY ATMOSPHERE OF TYPE OF FOOD SERVICE FACILITY
RESTAURANT

Figure No: 6.9

INTERPRETATION:

According to survey it is found that 112 peoples give rank 1 to the food quality
that affect the customers when they visiting SNS, 68 peoples give rank 1 to
price that affect them most, 60 peoples give rank 1 to the type of food affect
them most that available in the menu, 30 peoples give rank 1 to factors
atmosphere of Restaurant and service facility both that affect most to them.
Q: 10. Please rate your overall satisfaction with Sugar N Spice
Restaurant.

Particulars Frequency Percentage

Very Satisfied 24 8
Satisfied 164 54.7
Neutral 74 24.7
Dissatisfied 20 6.7
Very Dissatisfied 18 6
Total 300 100

Table No: 6.10

RATE YOUR OVERALL SATISFACTION WITH SUGAR

N SPICE RESTAURANT.

54.7 %
60
50
40
24.7 %
30
20 8% 6.7 % 6%
10
0
VERY SATISFIED NEUTRAL DISSATISFIED VERY
SATISFIED DISSATISFIED

Figure No: 6.10

INTERPRETATION:

According to survey it is found that 54.7% of peoples are overall satisfied with
the facility and services provided by the SNS, 24.7% of peoples are neutral
about their overall satisfaction, 8% of peoples are very satisfied with overall
satisfactions with SNS, 6.7 % of peoples are dissatisfied with overall
satisfaction of SNS and 6% of peoples are very dissatisfied with the facility
and services provided by SNS.
Q: 11. How likely are you to return to Sugar N Spice Restaurant in the
near future?

Particulars Frequency Percentage

Very Likely 26 8.7
Likely 169 56.3
Neutral 71 23.7
Unlikely 15 5
Very Unlikely 19 6.4
Total 300 100

Table No: 6.11

HOW LIKELY ARE YOU TO RETURN TO SUGAR N

SPICE RESTAURANT IN THE NEAR FUTURE
56.3 %
60
50
40
23.7 %
30
20 8.7 % 5% 6.4 %
10
0
VERY SATISFIED NEUTRAL DISSATISFIED VERY
SATISFIED DISSATISFIED

Figure No: 6.12

INTERPRETATION:

According to survey it is found that 56.3% of peoples are likely to return to

Sugar N Spice in near Future, 23.7% of peoples are neutral about their
decision, 8.7 % of peoples are very likely to return to SNS in near Future, 6.4
% of peoples are very unlikely to return to SNS and only 5 % peoples are
unlikely to return to SNS in the near future.
Q: 12. If you do, when are you most likely to come back to Sugar N Spice
Restaurant?

Particulars Frequency Percentage

In a week 83 27.7
In 2-3 weeks 62 20.7
In a month 61 20.3
In 2-3 month 30 10
I am not sure 64 21.3
Total 300 100

Table No: 6.12

IF YOU DO, WHEN ARE YOU MOST LIKELY TO COME

BACK TO SUGAR N SPICE RESTAURANT
27.7 %
30
20.7 % 20.3 % 21.3 %
25
20
15 10 %

10
5
0
IN A WEEK IN 2-3 WEEKS IN A MONTH IN 2-3 I AM NOT
MONTH SURE

Figure No: 6.12

INTERPRETATION:

According to survey it is found that 27.7% of peoples likely to come back to

Sugar N Spice Restaurant in a week, 21.3% of peoples are not sure whether
they are likely to come back SNS or not, 20.7% of peoples likely to come back
to SNS in 2-3 month, 20.3 % of peoples likely to come SNS in a month and
only 10 % of peoples likely to come back SNS in 2-3 month.
Q: 13. How likely are you to recommend Sugar N Spice Restaurant to
your friends and relatives?

Particulars Frequency Percentage

Very Likely 68 22.7
Likely 118 39.3
Neutral 86 28.7
Unlikely 10 3.3
Very Unlikely 18 6
Total 300 100

Table No: 6.13

HOW LIKELY ARE YOU TO RECOMMEND SUGAR

N SPICE RESTAURANT TO YOUR FRIENDS AND
RELATIVES

VERY UnlIKLY 6%

UNLIKELY 3.3 %

NEUTRAL 28.7 %

LIKELY 39.3 %

VERY LIKELY 22.7 %

0 10 20 30 40

Figure No: 6.13

INTERPRETATION:

According to survey it is found that 39.3% of peoples likely recommend Sugar

N Spice Restaurant to their friends & relatives, 28.7 % of peoples are neutral
about the recommendation to their friends & Relatives, 22.7 % of peoples are
very likely recommended SNS Restaurant to their friends & Relatives, 6 % of
peoples are unlikely to recommended SNS and 3.3 % of peoples are very
unlikely to recommended SNS to their friends & Relatives.
Q: 14. Does Sugar N Spice Deserves your loyalty?

Particulars Frequency Percentage

Yes 211 70.3
No 89 29.7
Total 300 100

Table No: 6.14

DOES SUGAR N SPICE DESERVES YOUR

LOYALTY

29.7 %

70.3 % YES
NO

Figure No: 6.14

INTERPRETATION:

According to survey it is found that 70.3% peoples says that Sugar N Spice
Restaurant deserves their loyalty and 29.7 % peoples says that SNS does’t
deserve their loyalty.

GENDER:

Particulars Frequency Percentage

Male 179 59.7
Female 121 40.3
Total 300 100

Table No: 6.15

 GENDER

40.3 %
59.7 %
MALE
FEMALE

Figure No: 6.15

INTERPRETATION:

According to survey it is found that 59.7% of respondent is male and 40.3% of

respondent is female.

AGE GROUP (IN YEAR):

Age group (in year) Frequency Percentage

Under 22 85 28.3
23 to 33 62 20.7
34 to 44 109 36.3
45 to 54 28 9.3
55 to 64 14 4.7
Above 65 2 0.7
Total 300 100

Table No: 6.16

 AGE GROUP (IN YEAR)
0.7 %

4.7 %
9.3 %
28.3 % UNDER 22
23 TO 33
34 TO 44
36.3 %
20.7 % 45 TO 54
55 TO 64
ABOVE 65

Figure No: 6.16

INTERPRETATION:

According to survey it is found that 28.3% of respondent is under the age of

22 years, 20.7 % of between 23 to 33 years 36.3 % of between 34 to 44
years, 9.3 % of between 45 to 54 years, 4.7 % of between 55 to 64 years and
only 0.7 % of above 65 years.

FAMILY INCOME (IN RS.):

Family income (in Rs.) Frequency Percentage

less than Rs.1 Lakh 65 21.7
Rs.1.1 Lakh to Rs.2 lakh 69 23
Rs.2.1 Lakh to Rs.5 lakh 67 22.3
Rs.5.1 Lakh to Rs.10 Lakh 64 21.3
Rs.10.1 Lakh and Above 35 11.7
Total 300 100

Table No: 6.5

 FAMILY INCOME (IN RS.)

11.7 % 21.7 %
LESS THAN RS.1 LAKH
21.3 %
RS.1.1 LAKH TO RS.2 LAKH
23 % RS.2.1 LAKH TO RS.5 LAKH
22.3 % RS.5.1 LAKH TO RS.10 LAKH
RS.10.1 LAKH AND ABOVE

Figure No: 6.17

INTERPRETATION:

According to survey it is found that 23 % of respondent’s family income is

between Rs.1.1 lakh to 2 lakh, 22.3 % of respondents having a family income
between Rs.2.1 lakh to 5 lakh, 21.7 % of respondent having a family income
less than Rs.1 lakh, 21.3 % of respondent having a family income between
Rs. 5.1 lakh to 10 lakh and only 11.7 % of respondent having a family income
above Rs. 10.1 lakh.

OCCUPATION:

Occupation Frequency Percentage

Student 74 24.7
Business 74 24.7
Salaried 111 37
House Wife 41 13.7
Other 0 0
Total 300 100

Table No: 6.18

 OCCUPATION
0%

13.7 % 24.7 %
STUDENT
BUSINESS
37 % 24.7 % SALARIED
HOUSE WIFE
OTHES

Table No: 6.18

INTERPRETATION:

According to survey it is found that 37% of respondent is a salaried employee,

24.7 % of respondent is a student and having business and only 13.7 % of
respondent is a house wife.
Factor Analysis:

KMO and Bartlett's Test

Kaiser-Meyer-Olkin Measure of
Sampling Adequacy. .910

Bartlett's Test of Approx. chi-square

2996.282
Sphericity
Df 91
sig. .000

Table No: 6.19

INTERPRETATION:

In the present study, Kaiser-Meyer-Olkin (KMO) test and Bartlett's Test of

Sphericity as pre-analysis verification for judging the suitability of the entire
sample which is a pre-requisite of factor analysis. Table shows the value of
Kaiser-Meyer-Olkin (KMO) and the Bartlett's Test of Sphericity as 0.910 and
2996.282 respectively, which are statistically significant at 1% level of
significance. Thus, it indicates that the sample is suitable and under taken for
factor analytic procedures. In addition, the significant value of chi-square test
statistic (2996.282) depicts that there is low probability of obtaining result if
the null hypothesis (H0) was true.
 Scree Plot

6
Eigenvalue

1 2 3 4 5 6 7 8 9 10 11 12 13 14
Component Number

Figure No: 6.19

Rotated Component Matrix (a)

Components Factors
Services
1 Convenience of parking 0.831
2 Employee Responsiveness to Questions 0.807
3 Readability of Menu Items 0.755
4 Cleanliness of Bathroom 0.736
5 Accuracy in Customize Order Cook 0.729
6 Availability and Accessibility of Staff 0.703
7 Timeliness of Services 0.679
8 Welcoming Feeling by Staff 0.651
 9 Uncompromised Service During Rush 0.64
Ability to Provide Accurate Food Order by
10 Customer 0.624
Food
1 Food Portion Size 0.883
2 Temperature of Food 0.867
3 Taste of Food 0.788
4 Variety in Menu 0.734

Table No: 6.19.1

INTERPRETATION:

According to factor Analysis test it is found that there are two components that
describe the satisfaction level of customers of Sugar N Spice Restaurant.
Services which include the first 10 factors shown in table and other one is
food that indicates reaming 4 factors that are also shown in table.

CHI-SQUARE TEST:

H0: There is no significant association between services and loyalty of customer of

Sugar N Spice.

H1: There is significant association between services and loyalty of customer of

Sugar N Spice.

Pearson
Chi-
Square Asymp.Sig
Statements value Df (2-Sided) Result
Menu is attractive and reflects image
of sugar n spice restaurant * How likely
are you to return to sugar n spice H0 is
restaurant in the near future? 118.67 20 0 Rejected
Restaurant's decor is in keeping with
image * How likely are you to return to
sugar n spice restaurant in the near H0 is
future? 113.53 20 0 Rejected
The menu price is fair for the quality of
items and service provided * How
likely are you to return to sugar n spice H0 is
restaurant in the near future? 269.11 25 0 Rejected
Comfort level of seating is as expected
in restaurants* How likely are you to
return to sugar n spice restaurant in H0 is
the near future? 111.77 20 0 Rejected
 The food presentation is appealing *
How likely are you to return to sugar n H0 is
spice restaurant in the near future? 148.42 20 0 Rejected
The nutritional quality of items is as
expected * How likely are you to return
to sugar n spice restaurant in the near H0 is
future? 97.68 20 0 Rejected
The adequacy of staff and their
grooming reflects an upscale image *
How likely are you to return to sugar n H0 is
spice restaurant in the near future? 150.314 25 0 Rejected
The layout of the dining area is proper
* How likely are you to return to sugar H0 is
n spice restaurant in the near future? 133.64 25 0 Rejected

Table No: 6.20

MANN WHISTNEY U TEST:

H0: There is no significant difference between satisfactions of customer based

on gender.

H1: There is significant difference between satisfactions of customer based on

gender.

Rank

Mean Sum of
Statements Gender N Rank Ranks
Food portion size MALE 179 165.36 29599.50
FEMALE 121 128.52 15550.50
Total 300
Temperature of food MALE 179 161.66 28937.00
FEMALE 121 133.99 16213.00
Total 300
Taste of food MALE 179 161.92 28984.00
FEMALE 121 133.60 16166.00
Total 300
Variety in Menu MALE 179 160.44 28718.50
FEMALE 121 135.80 16431.50
Total 300
welcoming feeling by MALE
179 159.27 28509.50
staff
FEMALE 121 137.52 16640.50
Total 300
Cleanliness of MALE
179 150.77 26988.50
bathroom
 FEMALE 121 150.10 18161.50
Total 300
Convenience of parking MALE 179 150.56 26950.50
FEMALE 121 150.41 18199.50
Total 300
Timeliness of service MALE 179 158.30 28335.50
FEMALE 121 138.96 16814.50
Total 300
Ability to provide MALE
accurate food order by 179 156.62 28034.50
customer
FEMALE 121 141.45 17115.50
Total 300
Employee MALE
responsiveness to 179 156.88 28081.50
questions
FEMALE 121 141.06 17068.50
Total 300
Readability of menu MALE
179 152.25 27252.50
items
FEMALE 121 147.91 17897.50
Total 300
Accuracy in customize MALE
179 152.85 27359.50
order cook
FEMALE 121 147.03 17790.50
Total 300
Uncompromised MALE
179 154.63 27679.00
service during rush
FEMALE 121 144.39 17471.00
Total 300
Availability and MALE
179 151.75 27163.50
accessibility of staff
FEMALE 121 148.65 17986.50
Total 300

Table No: 6.21

 Food
Portion Temperature Test of Variety in cleanliness of
Size of Food Food Menu Bathroom
1 2 3 4 5
Mann-
Whistney U 8169.5 8832 8785 9050.5 10780.5
Wilcoxon
W 15550.5 16213 16166 16431.5 18161.5
Z -3.761 -2.942 -2.972 -2.217 -0.07
Asymp.
Sig. (2-
Sided) 0 0.003 0.003 0.027 0.944

Result H0 is H0 is H0 is H0 is H0 is fail to
Rejected. Rejected. Rejected. Rejected. Reject. There
There is There is There is There is no is
significant significant significant significant significant
difference difference difference difference difference
between between between between between
satisfactions satisfactions satisfactions satisfactions satisfactions of
of customer of customer of customer of customer customer
based on based on based on based on based on
gender. gender. gender. gender. gender.

Accurate Food Employee

Convenience Timeliness of Provided to responsiveness
of Parking Service customer to Ques.
6 7 8 9
Mann-
Whistney U 10818.5 9433.5 9734.5 9687.5

Wilcoxon W 18199.5 16814.5 17115.5 17068.5

Z -0.015 -2.026 -1.574 -1.64

Asymp. Sig.
(2-Sided) 0.988 0.043 0.115 0.101
Result H0 is fail to H0 is Rejected. H0 is Rejected. H0 is Rejected.
Reject. There There is There is There is
no is significant significant significant
difference difference difference
significant
between between between
 difference satisfactions of satisfactions of satisfactions of
between customer based customer based customer based
satisfactions of on gender. on gender. on gender.
customer
based on
gender

Readability Accuracy in Uncompromised Availability and

of Menu customize service during Accessibility of
Items order Rush Staff
10 11 12 13
Mann-
Whistney
U 10516.5 10409.5 10090 10605.5
Wilcoxon
W 17897.5 17790.5 17471 17986.5

Z -0.444 -0.594 -1.055 -0.316

Asymp.
Sig. (2-
Sided) 0.657 0.553 0.291 0.752
Result H0 is fail to H0 is fail to H0 is Rejected. H0 is fail to
Reject. Reject. There is Reject. There no
There no is There no is significant is significant
significant significant difference difference
difference difference between between
between between satisfactions of satisfactions of
satisfactions satisfactions customer based customer based
of customer of customer on gender on gender
based on based on
gender gender

Table No: 6.22

INTERPRETATION:

From the above table, we can say that there are 8 statements such as 1, 2, 3,
4, 7, 8, 9, 12 are rejected. So there is difference in sum of the ranks between
independent groups male and female.
KRUSKAL WALLIS TEST:

H0: There is no significant difference in perceived service by customers based

on occupation.

H1: There is significant difference in perceived service by customers based on

occupation.

Rank

Occupation N Mean Rank

Menu is attractive and STUDENT 74 196.22
reflects image of sugar n BUSINESS 74 111.14
spice restaurant SALARIED 111 143.61
HOUSE WIFE 41 157.67
Total 300
Restaurant's decor is in STUDENT 74 171.07
keeping with image BUSINESS 74 135.80
SALARIED 111 137.28
HOUSE WIFE 41 175.68
Total 300
The menu price is fair for STUDENT 74 171.62
the quality of items and BUSINESS 74 144.97
service provided SALARIED 111 134.94
HOUSE WIFE 41 164.49
Total 300
Comfort level of seating is STUDENT 74 172.76
as expected in restaurants BUSINESS 74 134.14
SALARIED 111 152.50
HOUSE WIFE 41 134.44
Total 300
The food presentation is STUDENT 74 186.15
appealing BUSINESS 74 145.54
SALARIED 111 135.16
HOUSE WIFE 41 136.65
Total
300
The nutritional quality of STUDENT 74 195.99
items is as expected BUSINESS 74 130.01
SALARIED 111 149.34
HOUSE WIFE 41 108.52
Total 300
The adequacy of staff and STUDENT 74 172.06
their grooming reflects an BUSINESS 74 123.72
upscale image SALARIED 111 155.65
HOUSE WIFE 41 145.98
Total 300
 The layout of the dining STUDENT 74 179.67
area is proper BUSINESS 74 130.89
SALARIED 111 138.09
HOUSE WIFE 41 166.84
Total 300

Table No: 6.23

TEST STATISTICS (A, B)

Sr. Chi- Result

No PARTICULARS Square Df Asymp.Sig.
1 Ho is
Menu is Attractive and Reflects Image of Sugar N rejected
Spice Restaurant 39.711 3 0
2 Ho is
rejected
Restaurant Decor is in Keeping with Image 13.282 3 0.004
3 Ho is
The Menu Price is Fair for the Quality of Items and rejected
Service Provided 10.517 3 0.15
4 Ho is
Comfort Level of Seating is as Expected in rejected
Restaurant 9.909 3 0.019
5 Ho is
rejected
The Food Presentation is Appealing 19.384 3 0
6 Ho is
rejected
The Nutritional Quality of Item is as Expected 37.370 3 0
7 Ho is
The Adequacy of Staff and Their Grooming Reflects rejected
an Upscale Image 13.002 3 0.005
8 Ho is
rejected
The Layout of The Dining Area is Proper 17.242 3 0.001

Table No: 6.24

INTERPRETATION:

From the above Table, we can say that all of the statements are rejected. So
there is a significant difference perceived services by customer based on their
occupation.
CHAPTER: 7
FINDINGS
 From this study it is found that 35.67 % of customers are visiting Sugar
N Spice Restaurant very first time.
 From this study it was found that customers’ satisfaction is main driver
of their loyalty towards Sugar N Spice Restaurant. The main Attributes
for the Satisfaction is food portion size in which 125 customers is
overall satisfied and 106 customers is overall dissatisfied with this.
 184 customers is satisfied with the Temperature of food and 31 is
overall dissatisfied, 163 customers visit the SNS for the test of food,
136 customer says that variety in menu is satisfiable but it is very less,
155 customers is satisfied with the staff to give welcome feeling when
they enter in SNS, 150 customers is satisfied with the cleanliness of
bathroom.
 156 customers is satisfied with the convenience of parking provided by
SNS,189 customers is overall satisfied with the timeliness of service,
,188 customers is satisfied with the ability to provide accurate food
order by them,149 customers is satisfied with answer given by the staff
to their questions during service,159 customers is satisfied with
readability of menu items.
 152 customers is satisfied with accuracy in customize order cook, 154
customers is satisfied with getting good service during rush and 165
customers is satisfied with the availability and accessibility of staff.
 From this study it was found that services give extra benefits to the
Sugar N Spice Restaurant to convert customers in to loyal customers.
Maximum number of customers is satisfied with Sugar N Spice
Restaurants menu, its decor, the menu price, comfort level of seating,
the food presentation appealing, and Nutritional quality that they get
from food, the adequacy of staff and layout of the dining area.
 From this study it was found that 112 peoples says the food quality that
affect the customers when they visiting SNS, 68 peoples says that the
price is a factors that affect them most, 60 peoples says that the type of
food affect them most that available in the menu, 30 peoples says that
atmosphere of Restaurant and service facility both that affect most to
them.
 195 customers say that they are overall likely to return to Sugar N
Spice Restaurant in the near future.
 70.30 % of customers says that Sugar N Spice Restaurant deserve
their loyalty.
CHAPTER: 8
CONCLUSION
 Restaurant industry mainly depends upon their loyal customers. The
services and the foods provided by the Restaurant are the main drivers
for the success. This suggests that management may wish to seek
attributes that are responsible for returning of the Customers.

 To examine customer satisfaction in Sugar N Spice restaurant most of

its customers is satisfied with the attributes provided by SNS like food
portion sizes of its convenient meal, temperature of food, test of food,
variety in menu, welcoming feelings by staff, cleanliness of bathroom,
convenience of parking facilities, timeliness of service, ability to provide
accurate food order by them, employee responsiveness to question,
readability of menu items, accuracy in customize order cook,
uncompromised service during rush and availability and accessibility of
staff.

 To examine how service quality of a restaurant affects customers’

decision to return to the restaurant in the future. The level of services
they get from Sugar N Spice Restaurant is very unique compare to
other Restaurant like they having a attractive menu, Restaurant decor,
the price they charge from customers is fair enough, comfort level of
seating is expected in Restaurant, The food presentation style is
appealing their image, The adequacy of staff and the layout of their
dining area is proper.

 To identify attributes that lead customers to become loyal to specialty

restaurants and determine importance-performance ratings of loyalty
factors. According to survey it is clearly see that food quality is having a
highest rating in terms of affecting factors when customers visit the
Sugar N Spice Restaurant. Then price, type of food, atmosphere of
Restaurant and service quality having rating in descending order that
affects customers most.

 Finally it is concluding that 70.3 % of customers having a good

experience with Sugar N Spice Restaurant and deserve their loyalty.
 CHAPTER: 9
BIBLIOGRAPHY
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Websites
 http://www.ey.com/GL/en/Industries/Real-Estate/ey-global-hospitality-
insights-2015
 http://www.ey.com/Publication/vwLUAssets/ey-global-hospitality-
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 http://www.edb.gov.hk/attachment/en/curriculum-
development/kla/pshe/nss-curriculum/tourism-and-hospitality-
studies/Introduction_to_Hospitality_Eng.pdf
 http://www.4hoteliers.com/features/article/8736
 https://www.dnb.co.in/Travel_Tourism/Indian_Hospitality_Industry.asp
ANNEXURE
 Questionnaire
Respected sir/madam,

We Umesh Patil and Anas Shaikh as management students studying at

S.R.LUTHRA INSTITUTE OF MANAGEMENT, Surat, conducting a survey on
"Evaluation of Factors Affecting Customer Loyalty in the Sugar N Spice Restaurant".
We would be grateful if you give us your support to fill the Questionnaire below.

Q: 1. Are you visiting Sugar N Spice For the very first time?
YES NO

Q: 2. If no then, how often do you dine at the sugar n spice restaurant?

Once a week Twice a week

Once a month Twice a month
First timer Others (please specify) ___________________

Q: 3. how did you know about the sugar n spice restaurant?

Radio TV advertising
Newspapers Internet
Friends & Families Holdings

Q: 4. which one of the following best describes the purpose of your current event at
sugar n spice restaurant?

Try signature menu Business

Just a convenient meal Social reason

Q: 5. what prompted you to select sugar n spice restaurant today?

Location Past experience

Reputation Advertisement
Others (please specify) ___________________

Q: 6. on an average, how much did you spend for this meal at sugar n spice
restaurant per person today?

Less than Rs 299 Rs. 300 to 599

Rs. 600 to 899 Rs. 900 to 1199
More than Rs.1200

Q: 7 indicate your level of satisfaction at sugar n spice restaurant for the following
attributes. Please tick mark on your answer. (1-Highly Dissatisfied, 2- Dissatisfied, 3-
Neutral, 4-Satisfied, 5- Highly Satisfied)

Attributes HD D N S HS
Food portion size
Temperature of food
 Taste of food
Variety in Menu
welcoming feeling by staff
Cleanliness of bathroom
Convenience of parking
Timeliness of service
Ability to provide accurate
food order by customer
Employee responsiveness to
questions
Readability of menu items
Accuracy in customize order
cook
Uncompromised service
during rush
Availability and accessibility
of staff

Q: 8. Please tick mark on your level of agreement or disagreement for the following
service provided at Sugar N Spice.(1-strongly disagree, 2-disagree, 3-neutral, 4-
agree, 5-strongly agree)

Particulars SD D N A SA
Menu is attractive and reflects image of
sugar n spice restaurant
Restaurant’s decor is in keeping with
image
The menu price is fair for the quality of
items and service provided
Comfort level of seating is as expected
in restaurants
The food presentation is appealing
The nutritional quality of items is as
expected
The adequacy of staff and their
grooming reflects an upscale image

The layout of the dining area is proper

Q: 9. Which factors affect you most when you visit the sugar n spice restaurant?
(Please give rank according your comfortableness. 1- most affected, 5- less affected)

Factors Rank
Price
Food Quality
Atmosphere of
Restaurant
Type of Food
Service Facility

Q: 10. Please rate your overall satisfaction with sugar n spice restaurant.

Very Satisfied Satisfied

 Neutral Dissatisfied
Very dissatisfied

Q: 11. How likely are you to return to sugar n spice restaurant in the near future?

Very likely Likely

Neutral Unlikely
Very unlikely

Q: 12. If you do, when are you most likely to come back to sugar n spice restaurant?

In a week In 2-3 weeks

In a month In 2-3 month
I am not sure

Q: 13. How likely are you to recommend sugar n spice restaurant to your friends and
relatives?

Very likely Likely

Neutral Unlikely
Very unlikely

Q: 14. Does Sugar N Spice Deserves your loyalty?

YES NO

PERSONAL DETAIL

1. Gender:

Male Female

2. Age Group (In Year):

22 and under 23-33

34-44 45-54
55-64 65 and over

3. Income (In Rs.):

Less than Rs 1 lakh Rs 1.1 lakh to Rs 2 lakh

Rs 2.1 lakh to Rs 5 lakh Rs 5.1 lakh to Rs 10 lakh
Rs 10.1 lakh and above

4. Occupation:

Student Business
Salaried House wife
Others (please specify) ___________________
FACTOR ANALYSIS:

Communalities

Initial Extraction
Food portion size 1.000 .824
Temperature of food 1.000 .785
Taste of food 1.000 .650
Variety in Menu 1.000 .762
welcoming feeling by staff 1.000 .622
Cleanliness of bathroom 1.000 .579
Convenience of parking 1.000 .692
Timeliness of service 1.000 .589
Ability to provide accurate
food order by customer 1.000 .553
Employee responsiveness
to questions 1.000 .660

Readability of menu items

1.000 .630
Accuracy in customize
order cook 1.000 .740
Uncompromised service
during rush 1.000 .537
Availability and accessibility
of staff 1.000 .662

Extraction Method: Principal Component Analysis.

Component Matrix(a)

Component
1 2
Accuracy in customize
order cook .857
Variety in Menu .817
Availability and accessibility
of staff .808
welcoming feeling by staff .788
Timeliness of service .758
Readability of menu items
.752
Ability to provide accurate
food order by customer .742
Uncompromised service
during rush .726
Cleanliness of bathroom .704
Employee responsiveness
to questions .700

Food portion size .699 .580

Convenience of parking .682
Temperature of food .665 .585
 Taste of food .610 .527
Extraction Method: Principal Component Analysis.
a 2 components extracted.

Component Transformation Matrix

Component 1 2
1 .801 .599
2 -.599 .801
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization

CHI-SQURE TEST:

Menu is attractive and reflects image of sugar n spice

restaurant * How likely are you to return to sugar n spice
restaurant in the near future?

Chi-Square Tests

Asymp. Sig.
Value Df (2-sided)
Pearson Chi-Square 118.866(a) 20 .000
Likelihood Ratio 131.274 20 .000
Linear-by-Linear
42.508 1 .000
Association
N of Valid Cases 300

a 16 cells (53.3%) have expected count less than 5. The minimum expected count is .22.

Restaurant's decor is in keeping with image * How likely are

you to return to sugar n spice restaurant in the near future?

Chi-Square Tests

Value Df Asymp. Sig. (2-sided)

Pearson Chi-Square 113.528(a) 20 .000
Likelihood Ratio 113.186 20 .000
Linear-by-Linear Association 45.585 1 .000
N of Valid Cases
300

a 17 cells (56.7%) have expected count less than 5. The minimum expected count is .01.
The menu price is fair for the quality of items and service
provided * How likely are you to return to sugar n spice
restaurant in the near future?

Chi-Square Tests

Asymp. Sig.
Value df (2-sided)
Pearson Chi-Square 269.114(a) 25 .000
Likelihood Ratio 220.661 25 .000
Linear-by-Linear
118.104 1 .000
Association
N of Valid Cases
300

a 23 cells (63.9%) have expected count less than 5. The minimum expected count is .01.

Comfort level of seating is as expected in restaurants* How

likely are you to return to sugar n spice restaurant in the near
future?

Chi-Square Tests

Asymp. Sig.
Value df (2-sided)
Pearson Chi-Square 111.772(a) 20 .000
Likelihood Ratio 104.789 20 .000
Linear-by-Linear
41.926 1 .000
Association
N of Valid Cases
300

a 16 cells (53.3%) have expected count less than 5. The minimum expected count is .07.

The food presentation is appealing * How likely are you to

return to sugar n spice restaurant in the near future?

Chi-Square Tests

Asymp. Sig.
Value df (2-sided)
Pearson Chi-Square 148.417(a) 20 .000
Likelihood Ratio 134.763 20 .000
Linear-by-Linear
51.714 1 .000
Association
N of Valid Cases
300

a 17 cells (56.7%) have expected count less than 5. The minimum expected count is .07.
The nutritional quality of items is as expected * How likely are
you to return to sugar n spice restaurant in the near future?

Chi-Square Tests

Asymp. Sig.
Value df (2-sided)
Pearson Chi-Square 97.677(a) 20 .000
Likelihood Ratio 101.675 20 .000
Linear-by-Linear
37.991 1 .000
Association
N of Valid Cases
300

a 16 cells (53.3%) have expected count less than 5. The minimum expected count is .12.

The adequacy of staff and their grooming reflects an upscale

image * How likely are you to return to sugar n spice
restaurant in the near future?

Chi-Square Tests

Asymp. Sig.
Value df (2-sided)
Pearson Chi-Square 150.314(a) 25 .000
Likelihood Ratio 145.603 25 .000
Linear-by-Linear
58.985 1 .000
Association
N of Valid Cases
300

a 24 cells (66.7%) have expected count less than 5. The minimum expected count is .01.

The layout of the dining area is proper * How likely are you to
return to sugar n spice restaurant in the near future?

Chi-Square Tests

Asymp. Sig.
Value df (2-sided)
Pearson Chi-Square 133.638(a) 25 .000
Likelihood Ratio 114.959 25 .000
Linear-by-Linear
45.518 1 .000
Association
N of Valid Cases
300

a 21 cells (58.3%) have expected count less than 5. The minimum expected count is .01
 MANN WHISTNEY U TEST:

Descriptive Statistics
Std. Maximu
N Mean Deviation Minimum m Percentiles
50th
(Median 50th 50th
25th ) 75th 25th (Median) 75th 25th (Median)
Food portion size 300 2.89 1.222 1 5 2.00 3.00 4.00
Temperature of food 300 3.49 .948 2 5 3.00 4.00 4.00
Taste of food 300 3.53 .867 1 5 3.00 4.00 4.00
Variety in Menu 300 3.17 1.188 1 5 3.00 3.00 4.00
welcoming feeling by
300 3.39 1.075 1 5 3.00 4.00 4.00
staff
Cleanliness of
300 3.30 1.068 0 5 3.00 3.50 4.00
bathroom
Convenience of
300 3.37 1.270 0 5 2.25 4.00 4.00
parking
Timeliness of service 300 3.67 .893 1 5 3.00 4.00 4.00
Ability to provide
accurate food order by 300 3.67 .989 1 5 3.00 4.00 4.00
customer
Employee
responsiveness to 300 3.43 .935 1 5 3.00 3.00 4.00
questions
Readability of menu
items 300 3.54 1.022 0 5 3.00 4.00 4.00

Accuracy in customize
order cook 300 3.47 1.064 1 5 3.00 4.00 4.00

Uncompromised
service during rush 300 3.48 .934 1 5 3.00 4.00 4.00

Availability and
accessibility of staff 300 3.51 1.068 1 5 3.00 4.00 4.00

Gender 300 .40 .491 0 1 .00 .00 1.00

KRUSKAL WALLIS TEST:

Descriptive Statistics

Std. Minim Maxim

N Mean Deviation um um Percentiles
50th 50th 50th
(Media (Medi (Media
25th n) 75th 25th an) 75th 25th n)
Menu is attractive
and reflects
300 3.24 1.247 1 5 2.00 4.00 4.00
image of sugar n
spice restaurant
Restaurant's
decor is in
300 3.42 1.056 1 5 2.25 4.00 4.00
keeping with
image
The menu price is
fair for the quality
300 3.59 .961 0 5 3.00 4.00 4.00
of items and
service provided
Comfort level of
seating is as
300 3.49 .990 1 5 3.00 4.00 4.00
expected in
restaurants
The food
presentation is 300 3.48 .980 1 5 3.00 4.00 4.00
appealing
The nutritional
quality of items is 300 3.32 1.096 1 5 2.00 4.00 4.00
as expected
The adequacy of
staff and their
300 3.31 1.113 0 5 3.00 3.00 4.00
grooming reflects
an upscale image
The layout of the
dining area is 300 3.59 1.086 0 5 3.00 4.00 4.00
proper
Occupation 300 1.40 1.005 0 3 1.00 2.00 2.00