INTERNATIONAL SCHOOL OF BUSINESS AND MEDIA, PUNE

SUBJECT - MARKETING MANAGEMENT I

SUBMITTED TO – PROF. AJAY RAMDASI

GROUP NAME – SAMVAAD

SECTION B

TOPIC – CUSTOMERS PERCEPTION OF SERVICE

OUTLET – OPUS RESTAURANT & LOUNGE

NAME ROLL NO.

ANIMESH KUMAR SINGH N20232040

AMISHA MANGNANI N20233024

ANSHUMAN SINGH N20231066

SNEHA MARBAL N20233026

VIVEK SIPANI M20232126

 CONTENTS

1. Title of the Research Study

2. Operational Definitions
3. Introduction
4. Executive Summary
5. Managers Approval
6. Research Problem (Purpose for selecting the topic under study)
7. Research Objectives
8. Secondary data collection
9. Development of an approach to the problem
10. Primary data collection through designed questionnaire
i. Questionnaire I – For Customers
ii. Questionnaire II – For the Team at Opus Restaurant & Lounge
TITLE OF THE RESEARCH STUDY

“Study of the Customers Perception of Service for a Restaurant and Lounge in Pashan, Pune”

OPERATIONAL DEFINITIONS

1. Restaurant (Definition) - A restaurant is an establishment that serves the customers

with prepared food and beverages to order, to be consumed on the premises. This
includes a multiple venue and a diverse cuisine. Restaurants are also projected as an
important feature of a large hotel or other residential facility that provides dining for
the convenience of the residents and for the hotel to non-resident guest.
2. Restaurant & Lounge (Considered for Research) - Restaurants are typically known
for their focus on food, while lounges are known for their focus on drinks and
socializing. Restaurant and lounges typically offer a full menu of food and drinks,
including appetizers, main courses, desserts, and alcoholic and non-alcoholic
beverages. They may also offer live music, entertainment, or other special events.
3. External Research - External research involves gathering information from outside
your business using market surveys, customer focus groups and competitor analysis to
gain insights about your brand's market position, customer preferences and how
you're perceived.

INTRODUCTION

The purpose of this study is to provide an information regarding the challenges of our
selected outlet, Opus Restaurant & Lounge and the customer review about their food and
service and what are the things they need to resolve, how they are planning to resolve it and
what can be more added from our point of view after concluding all the information that is
required. The concept of 'Customers' Perception of Service' serves as a cornerstone in
understanding the dynamics of customer satisfaction and loyalty. This project embarks on a
journey to understand the intricacies of how customers perceive service quality.

A definition of Food and Beverage Services is as follows,

“The process of preparing, presenting and serving food and beverages to the

customers”
EXECUTIVE SUMMARY

Opus Restaurant & Lounge, a prestigious F&B-Fine Dining establishment centrally located in
our city, offers an unparalleled dining experience. With its meticulously crafted menu and
sophisticated ambiance, Opus redefines luxury dining. This venue boasts an extensive range
of international cuisines, from Italian to Chinese, complemented by a curated selection of
premium wines and spirits. The inviting lounge area is ideal for relaxation and socializing
with friends. Opus prides itself on a friendly and attentive staff, ensuring exceptional service.
As part of our marketing project on customer perceptions of service, Opus Restaurant &
Lounge is a prime example of an establishment that excels in delivering an outstanding
dining experience, leaving customers with positive impressions and memories.

1. MANAGERS APPROVAL

To convince the manager to grant permission for this research, we highlighted the benefits of
the research. We explained that the findings will provide valuable insights into improving the
overall customer experience, which in turn can lead to increased customer satisfaction,
loyalty, and ultimately, higher revenue for the business. We emphasized that the research aims
to support the growth and success of Opus Restaurant and Lounge.

Furthermore, we assured the manager that the research will not disrupt the daily operations of
the establishment. We will conduct the research during specified time slots agreed upon with
the manager, ensuring minimal interference with the regular business activities.

To address any concerns the manager may have, we will also outline the research
methodology. We will explain that we will gather data through various methods, such as
surveys, interviews, and observations.

2. RESEARCH PROBLEM (Purpose for selecting the topic under study)

Common reasons for Restaurant failure are low initial capital, less on the knowledge of
competition, inappropriate location, poor or no efforts on promotion, no hold on inventory
and lacking in staff management. In addition, wrong calculation of time period required to
achieve Break Even Point. In any business, market research and study of competition in the
market will increase chances for success. In India, restaurants fail at a distressingly high rate.
Up to 80 to 85% of new restaurants close shop within the first year. Even worse, even if you
make it past the first year, 80% of restaurants end up going bankrupt within 5 years. Owning
a restaurant is by no means an easy task. (Source: The Economic Times: Here are the reasons
why restaurants run out of steam so soon)

In our enquiry with the management and some customers of the outlet, we acknowledge that
several challenges have come to our attention, each representing a unique facet of our
customers' perception of service. These challenges include the ambiance, cleanliness,
customer perceptions of offers, and the growing importance of online services, all within the
context of our promotional efforts.

Place / Location is another important factor to consider for the success of a restaurant
business. The location might help to decide a menu, potential customers, needs and
purchasing possibilities and competition in the market. Our restaurant faces a problem with
the number of parking places, visibility and traffic around the location.

3. RESEARCH OBJECTIVES

The research objective is to identify challenges faced by the outlet and work on finding
practical solutions to those problems and contribute to resolve whatever we can for the outlet.

4. SECONDARY DATA COLLECTION

The data has been collected by communicating to the manager, staff members and to the
customers. We will conduct surveys in the future.

Observations

I. Ambiance – The ambiance of a large sets the tone for the entire lounge experience. It
can evoke specific moods and emotions. The problem that our outlet faced was that some
customers complained about excessive noise from loud music or overcrowding and lighting,
which was satisfactory for many but some customers complained to make the lighting
brighter.

II. Cleanliness – Cleanliness and Hygiene is very important to the customer. Our outlet,
which has a heavy inflow of customers around the weekends finds it very difficult to
continuously keep the lounge clean because of pressure on staff. Sometimes customers get
very upset if they find a table unclean for some reason or another.

III. Wrong perception of offers – Sometimes customers get wrong perception of offer and
the create problem at the time of billing.
IV. Online service – Online service is very important these days for a business to reach
more customers. The outlet we studied has faced challenges while offering service online on
two fronts: -

a) Swiggy and Zomato – In the monsoon period it is very likely that orders get delayed
because the delivery agent faces various challenges and also due to run down of their
vehicles; the customer cancels the order at many a times this creates negative perception of
the outlet. Also due to delay in services/delivery, food gets cold and brings negative reviews
from the customers.

b) Seat Booking – The outlet offers online seat booking service so as to avoid customer
dissatisfaction on rush hours but due to technological glitches and misinterpretations on the
staff’s side, same seat has been allotted to two customers and has created ruckus.

V. Promotion – The outlet wants to reach more people and create impression but it has
reached a stage where it is facing challenge to grow beyond it.

VI. Location – The restaurant faces a problem with the number of parking places,
visibility and traffic around the location.

Customer Reviews

i. Music – The music is sometimes repetitive and loud.

ii. Ambience – The ambience is gloomy and for some customers they feel that the
lighting is dim given they prefer full lights while dining.
iii. Menu – The cocktails were overpriced and there is lack of variety in the menu
iv. Hospitality - Staff needs to improve on their part in order to show bit more hospitality
to the guests
v. Weekends – On weekends the place gets so crowded sometimes that people cannot
even walk.
vi. Overwhelmed staff: Overwhelmed staff in a Rush Hours can arise due to high demand
and inadequate staffing. The staff was slow at times.
vii. Long wait time/Lead time: long wait times in Rush Hours.
viii. Seating – Some customers felt that the seating was uncomfortable.
 5. DEVELOPMENT OF AN APPROACH TO THE PROBLEM:
 Identify the information needed. We will identify the information needed to answer
our research questions and test our hypotheses. This information may come from a
variety of sources, including surveys, interviews, focus groups, and secondary data
analysis.
 Formulate an objective or theoretical framework. This will involve identifying the key
factors that contribute to customer satisfaction and loyalty, and developing a
framework for understanding how these factors can be improved.
 Develop research questions: We will develop research questions to guide our data
collection and analysis. This will help us to identify the specific areas where we need
to gather more information and to test our assumptions.
6. PRIMARY DATA COLLECTION THROUGH DESIGNED
QUESTIONNAIRE:

Preparing the Questionnaire

Considering the objectives of the research and findings from interviewing the management
staff and some customers at the restaurant and lounge, and based on those observations we
prepared a close ended questionnaire using 5-point Likert scale and other generic questions
for both the participants of study i.e., Customers visiting restaurants and Restaurant Managers
/ Staff at the Restaurant. Questionnaire used are as follows,

Questionnaire I: For Customers visiting Opus Restaurant & Lounge

Questionnaire II: For Restaurant Managers / Staff at the restaurant

Questionnaire I: For Customers visiting Opus Restaurant & Lounge

Dear valued customer,

Thank you for taking the time to participate in our survey. Your feedback is essential in
helping us improve our services at Opus Restaurant & Lounge.

1. Did the lounge meet your expectations in terms of atmosphere and decor?
A. Yes, exceeded my expectations
B. Yes, met my expectations
C. No, fell below my expectations
2. How satisfied were you with the music selection at the lounge?
A. Very satisfied
B. Satisfied
C. Neutral
D. Unsatisfied
E. Very unsatisfied

3. Were the drinks and beverages to your liking?

A. Loved them! Great variety and taste.
B. They were okay. Some were good, others not so much.
C. Not impressed. The drinks were below average.
D. Disappointed. The drinks were terrible for the price.
4. How would you rate the quality of service you received from the staff?
A. Exceptional service
B. Good service
C. Average service
D. Poor service
E. Very poor service

5. Did you find the seating arrangements comfortable?

A. Very comfortable
B. Comfortable
C. Neutral
D. Uncomfortable
E. Very uncomfortable

6. How satisfied are you with the cleanliness and hygiene standards maintained at our
lounge?
A. Very Satisfied
B. Satisfied
C. Neutral
D. Unsatisfied
 E. Very Unsatisfied

7. How would you rate the overall ambiance of our lounge in terms of setting the right
mood and atmosphere for your visit?
A. Excellent
B. Good
C. Neutral
D. Needs Improvement
E. Poor

8. How would you rate the hospitality and friendliness of our staff during your visits?
A. Excellent
B. Good
C. Neutral
D. Needs Improvement
E. Poor

9. Were the prices of the drinks and food items reasonable for the quality offered?
A. Very reasonable
B. Somewhat reasonable
C. Neutral
D. Somewhat overpriced
E. Very overpriced

10. How likely are you to recommend this lounge to a friend or colleague?
A. Very likely
B. Likely
C. Neutral
D. Unlikely
E. Very unlikely

11. Have you experienced any delays, cold food, or negative experiences related to
online orders from our lounge?
A. Yes
 B. No

12. How often do you frequent lounges or similar establishments?

A. Regularly
B. Occasionally
C. Rarely
D. This was my first time

13. Would you consider visiting this lounge again in the future?
A. Definitely
B. Maybe
C. Not sure
D. Probably not
E. Definitely not

14. How often do you use online food delivery platforms like Swiggy or Zomato to order
from our lounge?
A. Frequently
B. Occasionally
C. Rarely
D. Never

Questionnaire II: For Restaurant Managers / Staff at the restaurant

Dear Opus Restaurant & Lounge team member,

Your insights and experiences are crucial in helping us enhance the quality of service we
provide. Rate you answer on a scale of 1 to 5.

1. How would you rate the Overall satisfaction with your role at Opus Restaurant &
Lounge?

Ans.

2. How would you rate Opus Restaurant & Lounge's commitment to customer service?
Ans.

3. In your opinion, what are the top three strengths of Opus Restaurant & Lounge in
terms of customer service?
A. Location
B. Service
C. Food
D. Family Friendly
E. Good Management

4. How would you rate the overall satisfaction of customers you have interacted with?

Ans.

How effectively do you think Opus Restaurant & Lounge addresses customer feedback and
concerns?

Ans.

5. How would you rate Opus Restaurant & Lounge's approach to addressing challenges
related to location (e.g., parking or visibility)?

Ans.

Any additional comments or suggestions:

Thank you for your valuable input and dedication to providing excellent service at Opus
Restaurant & Lounge!
7. DATA ANALYSIS

FROM QUESTIONNAIRE 1 (Bases on 20 Respondents)

Atmosphere and Décor

Responses Frequency Percentage

Very Positive 8 40
Positive 7 35
Negative 5 25
Total 20 100

Recommendation: The majority of customers have a positive perception of the atmosphere

and décor, but there is room for improvement. Consider addressing the concerns of the 25%
who had a negative perception by making necessary changes to the ambiance, decor, and
lighting.

Music

Responses Frequency Percentage

Very Satisfied 5 25
Satisfied 4 20
Neutral 5 25
Unsatisfied 4 20
Very Unsatisfied 2 10
Total 20 100

Recommendation: The music selection is a critical aspect of the customer experience. Since
30% of customers expressed dissatisfaction, consider diversifying the music selection to cater
to a broader audience.
Drink and Beverages (Rating & Price)

Responses Frequency Percentage

Very Positive 4 20
Positive 6 30
Neutral 2 10
Negative 5 25
Very Negative 3 15
Total 20 100

Recommendation: Focus on improving the quality of drinks and beverages, especially for the
40% of customers who had a neutral or negative experience. Ensure that pricing matches the
quality offered.

Staff service (Quality of service and Hospitality)

Responses Frequency Percentage

Very Positive 8 40
Positive 7 35
Neutral 4 20
Negative 1 5
Very Negative 0 0
Total 20 100

Recommendation: Continue to maintain the high levels of customer service and hospitality as
perceived by the majority of customers. Train staff to address the concerns of the 25% who
had a neutral or negative experience.

Seating Arrangements

Responses Frequency Percentage

Very Comfortable 6 30
Comfortable 6 30
 Neutral 4 20
Uncomfortable 2 10
Very Uncomfortable 0 0
Total 20 100

Recommendation: Most customers found the seating arrangements comfortable. However,

consider addressing the concerns of the 30% who had a neutral or uncomfortable experience
to ensure all customers have a comfortable seating experience.

Cleanliness and Hygiene

Responses Frequency Percentage

Very Satisfied 7 35
Satisfied 6 30
Neutral 2 10
Unsatisfied 4 20
Very Unsatisfied 1 5
Total 20 100

Recommendation: Maintaining cleanliness and hygiene is crucial. Focus on addressing the

concerns of the 25% who were unsatisfied or very unsatisfied to ensure a consistently clean
environment.

Overall Ambiance

Responses Frequency Percentage

Excellent 4 20
Good 8 40
Neutral 2 10
Needs Improvement 4 20
Poor 2 10
Total 20 100
Recommendation: While the majority rated the ambiance positively, there are still areas for
improvement. Address the concerns of the 30% who felt it needed improvement or was poor
to enhance the overall ambiance.

Likeliness to recommend this lounge to a friend or colleague

Responses Frequency Percentage

Very Likely 5 25
Likely 8 40
Neutral 2 10
Unlikely 4 20
Very Unlikely 1 5
Total 20 100

Recommendation: Encourage satisfied customers (65% of respondents) to recommend the

lounge to friends or colleagues. Address the concerns of the 25% who were unlikely or very
unlikely to recommend.

Delays, Cold food, or negative experiences

Responses Frequency Percentage

Yes 8 40
No 12 60

Recommendation: Address the issues related to delays, cold food, and negative experiences
associated with online orders promptly. It's crucial to maintain the quality of food and service
for online orders.

Will you visit this lounge again in the future?

Responses Frequency Percentage

Very Likely 8 40
Likely 7 35
Neutral 4 20
Unlikely 1 5
 Very Unlikely 0 0
Total 20 100

Recommendation: Focus on retaining the 75% of customers who are likely or very likely to
visit again. Address the concerns of the 25% who are neutral or unlikely to ensure repeat
business.

CONSLUSION

The research project on "Customers' Perception of Service for Opus Restaurant & Lounge in
Pashan, Pune" has provided valuable insights into various aspects of the restaurant and
lounge's performance. It has highlighted areas of strength as well as opportunities for
improvement. Key findings include positive perceptions of ambiance, music, and staff
service, along with areas requiring attention such as drink quality, cleanliness, and online
service challenges.

In conclusion, this research equips Opus Restaurant & Lounge with actionable
recommendations to enhance customer satisfaction and loyalty. By addressing these insights
and continually striving to meet customer expectations, Opus can position itself for sustained
success in a competitive market.