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A PROJECT REPORT ON CUSTOMER SATISFACTION IN DOMINOS PIZZA

Guided by: Ms Gunjan Budhlani (lecturer)

Submitted By: Sumit Kharb Roll No: 01811301709

BERI INSTITUTE OF TECHNOLOGY TRAINING AND RESEARCH TIKRI KALAN, DELHI (AFFILIATED TO GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY)

OBJECTIVES OF THE STUDY

To find out the customer gap , i.e., what customers expect from company on various parameters and what they actually receive.

To find out the motivational factor which insist customers to choose Dominos.

To understand general spending habit of consumers. To understand important satisfaction factors.

The Comparison of expenditure done by the consumers on eating out and on Dominos.

To know the various factors or services where Dominos is supposed to work hard in order to improve the overall experience of the customers.

INTRODUCTION
Fast food is one of the worlds largest growing food types. Indias fast food industry is growing by 40%. The multinational segment of Indian fast food industry is up to Rs 20.billion, a figure which is expected to zoom more than Rs.30 billion by 2010. In last 6 years, foreign investment in this sector stood Rs.3600 million which is about one-fourth of the total investment made in this sector. Because of the availability of the raw material for fast food, global chains are flooding into the country. The percentage share held by foodservice of total consumer expenditure on food has increased very low base to stand at 2.6% in 2001. Eating at home remains very much ingrained in Indian culture and changes in eating habits are very slow moving with barriers to eating out entrenched in certain sector of Indian society. The growth is neculear families, particularly in urban India, exposure to global media and western cuisine and an increasing number of women joining workforce have had an impact on eating out trends. Major players in fast food are: McDonalds KFC Pizza Hut Dominos Pizza Caf coffee day Barista Subway

The main reason behind the success of multinational chains is expertise in product development, sourcing practices, quality standard, service level and standardized operating procedures in their restaurant, a strength that they have develop over years of experience around the world. The home grown chains have in the past few years of competition with the MNC s, learnt a few things but there is still a lot of scope for improvement.

Review literature

of

Customer satisfaction is just that, a customers sense of satisfaction. Speaking


simply, customer satisfaction is a measure of expectations being exceeded, met, or not met. Thats it. When thinking of customer satisfaction measurement, want to know that are meeting or exceeding customer expectations,want to believe that have satisfied customers and that this will lead to their loyalty and improve revenues. Unfortunately, customer satisfaction has little to do with customer loyalty. Spent time with several organizations who had invested considerable time and resources to survey the satisfaction levels of their customers . The results were in and overall they were very positive aggregate scores. Satisfied customers will stay until there is a better alternative offered to them even if there expectations are exceeded! This is true for both external and internal customer groups. When ex-customers are surveyed in exit interviews, they typically reveal that they left because they received a better deal or offer. They did not feel committed to the prior company. No emotional investment or connection. On the other hand, loyal customers are a different breed. Loyal customers will stay with a product or service provider through thick and thin.

The mistake make is confusing loyal customers with satisfied customers. Much research over the years has indicated that there is no connection between customer loyalty and customer satisfaction because a customer indicates a high level of satisfaction does not mean that they are or will be loyal. Customer loyalty entails an emotional connection. Have embedded yourself in the heart and mind of that customer. Mathew W Augustine, 1999 The quality of interaction between customer and service provider influences customers perception of Service quality. In services, a single employee may affect service efficiency and consequent customer satisfaction with the service.

Markovic and Horvat 1999 Studies looked at what measures are used by service companies for measuring customer satisfaction. Studying how financial sector measures customer satisfaction Edge tt and Snow (1997) showed that even though it is mostly traditional (financial) measures that are being used by the sector, they do not provide a sufficient basis for innovation in services and multidimensional approaches need to be devised. The two most often used types of measures in service companies are the increase in the number of customers and increase in portfolio dollars. However, the most useful types were direct personal interviews with customers and measure of customer expectations and perceptions. Surprisingly, companies use traditional quantitative measures, but perceive qualitative measures as the most useful. Authors concluded that financial institutions are not satisfied that the traditional accounting-type measures are presenting the full performance picture for new products (Edgett and Snow 1997). (Hayes 1998), CUSTOMER SATISFACTION SURVEY Customer satisfaction surveys are a questionnaire based information collection tool to determine the level of satisfaction with various product or service features. Developing a good questionnaire is the key to collecting good quality information. Questions must be short and concise, well formulated, easy to interpret and answer, and facilitate unbiased responses. Survey techniques and questionnaire designs are well known to research community and multiple guidance from different disciplines exist. Barnard 2002. Even customers own involvement and participation in the service delivery affect customer satisfaction. Due to the differences in production and provision of products and services, customers evaluate quality and attributes of material goods and services in different ways.

This realization has initiated a discussion on the need for special tools for evaluating more diverse and less tangible services. Responding to the growing demands for developing specific and reliable ways to measure customer satisfaction in service industries, a number of studies have been conducted that suggested methodological frameworks for measuring customer satisfaction. Bateson and Hoffman 1999 The time period between service production and consumption is considerably shorter than for products. Most of the services are produced on a spot in an interactive process, in which customers and company employees meet. Satisfaction with service quality depends on a large number of dimensions - both tangible and intangible attributes of the productservice offer. The impact of intangible dimensions on consumer satisfaction is of particular interest at this point.

Customer Expectations
Customer is defined as anyone who receives that which is produced by the individual or organization that has value. Customer expectations are continuously increasing. Brand loyalty is a thing of the past. Customers seek out products and producers that are best able to satisfy their requirements. A product does not need to be rated highest by customers on all dimensions, only on those they think are important. Customer Satisfaction a Critical Component of Profitability Exceptional customer service results in greater which in turn results in higher profitability. Customer loyalty is a major contributor to sustainable profit growth. To achieve success, you contributor to sustainable profit growth. To achieve success, you contributor to sustainable profit growth. To achieve success, you sustainable profit growth. To achieve success, you contributor to sustainable profit growth. To achieve success, you

employee satisfaction, value creation, customer satisfaction, customer loyalty, and profit and growth links all the critical dynamics of top customer service.

Sadly, mature companies often forget or forsake the thing that made them successful in the first place: a customer-centric business model. They lose focus on the customer and start focusing on the bottom line and quarterly results. They look for ways to cut costs or increase revenues, often at the expense of the customer. They forget that satisfying customer needs and continuous value innovation . This creates opportunities for new, smaller companies to emulate and improve upon what made their bigger competitors successful in the first place and steal their customer.

Customers for Life By: Brian Tracy


The purpose of a business is to create and keep a customer. If a business successfully creates and keeps customers in a cost-effective way, it will make a profit while continuing to survive and thrive. If, for any reason, a business fails to attract or sustain a sufficient number of customers, it will experience losses. Too many losses will lead to the demise of the enterprise. According to Dun and Bradstreet, the single, most important reason for the failureof businesses in America is lack of sales. And, of course, this refers to resales as well as initial sales. So your companys job is to create and keep a customer, and your job is exactly the same. Remember, no matter what your official title is, you are a salesperson for yourself and your company

Customer Satisfaction: A Meta-Analysis of the Empirical Evidence By David H. Henard North Carolina State University
The growing number of academic studies on customer satisfaction and the mixed findings they report complicate efforts among managers and academics to identify the antecedents to, and outcomes of, businesses having more-versus less-satisfied customers. These mixed findings and the growing emphasis by managers on having satisfied customers point to the value of empirically synthesizing the evidence on customer satisfaction to assess current knowledge. To this end, the authors conduct a meta-analysis of the reported findings on customer satisfaction. They document that equity and disconfirmation are most strongly related to customer satisfaction on average. They also find that measurement and method factors that characterize the research often moderate relationship strength between satisfaction and its antecedents and outcomes. The authors discuss the implications surrounding these effects and offer several directions for future research.

An assessment of the relationship between service quality and customer satisfaction in the formation of consumers' purchase intentions
Steven A. Taylor , Thomas L. Baker Service quality and customer satisfaction are widely recognized as key influences in the formation of consumers' purchase intentions in service environments. However, a review of the existing literature suggests that the specific nature of the relationship between these important constructs in the determination of consumers' purchase intentions continues to elude marketing scholars (c.f. Bitner and Hubbert 1994; Bolton and Drew 1994; Gronroos 1993; Rust and Oliver 1994). The study reported here was designed to aid in the understanding of these relationships by empirically assessing the nature of the relationship between service quality and consumer satisfaction in the formation of consumers' purchase intentions across four unique service industries. The results of the current research, coupled with the weight of the evidence in the emerging services literature, suggest that consumer satisfaction is best described as moderating the service quality/purchase intention relationship. The managerial and research implications of the reported study are discussed.

Customer Satisfaction Illusion and Trap


Today, "it would be difficult to find a company that doesn't proudly claim to be a customer-oriented, customer-focused, or even-customer driven enterprise. But look closer at how these companies put their assertions into practice, and often you discover an array of notions and assumptions that range from superficial and incomplete to misguided." Some examples of customer satisfaction illusion include:

Believing that by conducting market surveys and focus groups you know all

there is to know about your customers

Believing that investing in awareness programs for employees and putting

customers' pictures on the cover of your annual report is enough to achieve customer satisfaction

Believing that the job of CEO is done by giving his or her direct phone

number to some valued customers All these approaches are well intentioned, but "all of them offer, at best, partial solutions to their customer satisfaction, and all, as a result, fall short."3

There is nothing wrong with the notion of customer satisfaction per se. "The problem comes with its pursuit, which if fraught with peril. Most plans to improve customer satisfaction stand on two shaky and dangerous assumptions."3 What they create is an illusion the customer satisfaction trap.

Customer Grivences:

As with the business, certain grievances would also be arising. Prompt action is taken to remove any irritants so that grievances are reduced at the first place. Main grievances that the unit getsare : Supply of material at short notice period in the season. We do inform, the customers, the minimum time required to supply the materials. Quality related problems are very few and the reasons are. Quality raw materials are used and proper processes are adopted at different stages of manufacture etc.

Customer Feedback:
As a part of ISO-9001:2000 system, the company collects feedback f r o m t h e c u s t o m e r s a t regular intervals. Such feedbacks are by various methods, viz., - By sending a standard format & collecting the data. -From our marketing personnel, while they interact with customers during tour - As and when the customers visit the unit.

Customer Satisfaction in 7 Steps


1. Encourage Face-to-Face Dealings

This is the most daunting and downright scary part of interacting with a customer. If you're not used to this sort of thing it can be a pretty nerve-wracking experience. Rest assured, though, it does get easier over time. It's important to meet your customers face to face at least once or even twice during the course of a project.

2. Respond to Messages Promptly & Keep Your Clients Informed

This goes without saying really. We all know how annoying it is to wait days for a response to an email or phone call. It might not always be practical to deal with all customers' queries within the space of a few hours, but at least email or call them back and let them know you've received their message and you'll contact them about it as soon as possible. Even if you're not able to solve a problem right away, let the customer know you're working on it.

3. Be Friendly and Approachable

A fellow Site Pointer once told me that you can hear a smile through the phone. This is very true. It's very important to be friendly, courteous and to make your clients feel like you're their friend and you're there to help them out. There will be times when you want to beat your clients over the head repeatedly with a blunt object - it happens to all of us. It's vital that you keep a clear head, respond to your clients' wishes as best you can, and at all times remain polite and courteous.

4. Have a Clearly-Defined Customer Service Policy

This may not be too important when you're just starting out, but a clearly defined customer service policy is going to save you a lot of time and effort in the long run. If a customer has a problem, what should they do? If the first option doesn't work, then what? Should they contact different people for billing and technical enquiries? If they're not satisfied with any aspect of your customer service, who should they tell? There's nothing more annoying for a client than being passed from person to person, or not knowing who to

turn to. Making sure they know exactly what to do at each stage of their enquiry should be of utmost importance. So make sure your customer service policy is present on your site -and anywhere else it may be useful.

5. Attention to Detail (also known as 'The Little Niceties')

Have you ever received a Happy Birthday email or card from a company you were a client of? Have you ever had a personalized sign-up confirmation email for a service that you could tell was typed from scratch? These little niceties can be time consuming and aren't always cost effective, but remember to do them.

Even if it's as small as sending a Happy Holidays email to all your customers, it's something. It shows you care; it shows there are real people on the other end of that screen or telephone; and most importantly, it makes the customer feel welcomed, wanted and valued.

6. Anticipate Your Client's Needs & Go Out Of Your Way to Help Them Out

Sometimes this is easier said than done! However, achieving this supreme level of understanding with your clients will do wonders for your working relationship.

7. Honour Your Promises

It's possible this is the most important point in this article. The simple message: when you promise something, deliver. Clients don't like to be disappointed. Sometimes,

something may not get done, or you might miss a deadline through no fault of your own. Projects can be late, technology can fail and sub-contractors don't always deliver on time. In this case a quick apology and assurance it'll be ready ASAP wouldn't go a miss. Customer service, like any aspect of business, is a practiced art that takes time and effort to master. All you need to do to achieve this is to stop and switch roles with the customer. What would you want from your business if you were the client? How would you want to be treated? Treat your customers like your friends and they'll always come back.

RESEARCH METHODOLOGY
The quality and reliability of research studies is dependent on the information collected in a scientific Methodology manner. Scientific planning of designing of research method is a blue print for any research study therefore proper time and attention should be given in designing the plan of research. By proper definition of problem tells the researcher where he was to go, proper design tells him how he should go. The researcher has to think about what procedure and techniques should be adopted in the study. He should arrive at the final choice by seeing that methodology chosen for the project is indeed the best one, when compared with others.

RESEARCH DESIGN
Research Design is the first and foremost step in Methodology adopted and undertaking research study. It is the overall plan for the collection and analysis data in the research project. Thus it is an organized, systematic, approach to be formulation implementation and control of research project. The research is Exploratory in nature.

An exploratory Research on the other hand, is one in which the researcher aims at finding facts through primary data. In this research, the sample under study is selected by Convenience Sampling.

NATURE AND SOURCES OF DATA


The adequacy of appropriate data in turn depends upon proper method of data collection. A number of methods are at the disposal of the researcher of which one has to select the most appropriate one for visualizing the research objectives. Thus he has to see the method adopted is compatible with the resources and research study. PRIMARY DATA: Data which are collected fresh and for the first time and thus happens to be original in character. Primary data are gathered for specific purposes. the data is collected by the researcher himself using methods such as interviews and questionnaires. SECONDARY DATA: Data that are collected from primary data i.e. they are already exist somewhere. For the purpose of our study we collected both the data. Annual reports of MTNL which are recast and presented in a condensed form. The statement showing total costs under various heads have also been prepared. Some information has been collected through formal as well as informal discussion with various department heads

SAMPLING:
Convenient Sampling method has been adopted for this study. The researcher has chosen are 50 customers. The researcher had prepared a Questionnaire both open and close ended questions to elicit responses for the following areas: i. Location. ii. Age.

iii. Occupation. iv. Monthly Income. v. gender

DOMINOS QUESTIONAIRE
CUSTOMER NAME: CONTACT NO: AGE: GENDER:

Please tick the appropriate option to indicate your degree of satisfaction.

Q1) I Feel difficulties while placing order directly. (a) Strongly Agree (c) Neither Agree nor Disagree (e) Strongly disagree. (b) Agree (d) Disagree

Q2) Rate Dominos for keeping its promise. (a) Extremely Satisfied (c) Neither Satisfied nor Dissatisfied (e) Extremely Dissatisfied. (b) Satisfied (d) Dissatisfied

Q3) Rate Dominos for its 30 minutes nahi to free campaign. (a) Extremely Satisfied (c) Neither Satisfied nor Dissatisfied (e) Extremely Dissatisfied. (b) Satisfied (d) Dissatisfied

Q4) Delivery boy makes lot of queries while delivering the pizza. (a) Strongly Agree (c) Neither Agree nor Disagree (e) Strongly disagree. (b) Agree (d) Disagree

Q5) I am satisfied by the services provide by the Dominos. (a) Strongly Agree (c) Neither Agree nor Disagree (e) Strongly disagree. (b) Agree (d) Disagree

Q6) Dominos always gives value for money. (a) Extremely Satisfied (c) Neither Satisfied nor Dissatisfied (e) Extremely Dissatisfied. (b) Satisfied (d) Dissatisfied

Q7) Dominos sometimes refuses to take order. (a) Extremely Satisfied (c) Neither Satisfied nor Dissatisfied (e) Extremely Dissatisfied. (b) Satisfied (d) Dissatisfied

Q8) Dominos delivers pizzas within reasonable time period. (a) Extremely Satisfied (c) Neither Satisfied nor Dissatisfied (e) Extremely Dissatisfied. (b) Satisfied (d) Dissatisfied

Q9) Rate Dominos for its quality of the pizzas. (a) Extremely Satisfied (c) Neither Satisfied nor Dissatisfied (e) Extremely Dissatisfied. (b) Satisfied (d) Dissatisfied

Q10) Dominos staff is always able to provide me with the information that I require. (a) Strongly Agree (c) Neither Agree nor Disagree (e) Strongly disagree. (b) Agree (d) Disagree

Q11) Dominos would be my First choice. (a) Strongly Agree (c) Neither Agree nor Disagree (e) Strongly disagree. (b) Agree (d) Disagree

Q12) Dominos sometimes serve bad quality of pizzas. (a) Strongly Agree (c) Neither Agree nor Disagree (e) Strongly disagree. (b) Agree (d) Disagree

Q13) Rate Dominos for its order placement system over the phone. (a) Extremely Satisfied (c) Neither Satisfied nor Dissatisfied (e) Extremely Dissatisfied. (b) Satisfied (d) Dissatisfied

Q14) I would recommend Dominos to others. (a) Strongly Agree (c) Neither Agree nor Disagree (e) Strongly disagree. (b) Agree (d) Disagree