CUSTOMER EXPERIENCE

MEASUREMENT OF
RESTAURANT INDUSTRY IN
WESTERN AHMEDABAD

BY
HITUL MISTRY
SOHAM KHIMANI
“If you can not measure it, you can
not improve it”
-Lord William Thomson Kelvin (1824-1907)
 Customer Experience
• Customer experience is the sum of all
experiences a customer has with a supplier of
goods or services, over a duration of their
relationship with supplier.
• Customer experience ranges from positive to
negative.
• Loyalty of customer is driven by his/her
experience with the supplier
 Customer Experience Measurement
(CEM)
• The goal of CEM is to move customers from
satisfied to loyal and from loyal to advocate.
 CEM relation to CRM
• Customer Relationship Management is a
business strategy to acquire, grow and retain
profitable customer relationships.
• CEM is an integral part of CRM.
• CRM is a tool which is important in making
favorable experiences for the customer.
 Mystery shopping
• Mystery shopping or mystery consumer is a
tool used to measure quality of service or
gather specific information about product or
services.
• It is a method to collect information without
the knowledge of the owner of the shop.
 Information points of mystery shopping
• Number of employees in the store on entering
• How long it takes before the mystery shopper is greeted
• Whether or not the greeting is friendly, ideally according to objective
measures
• The questions asked by the shopper to find a suitable product
• The types of products shown
• Whether or how the employee attempted to close the sale
• Whether the employee invited the shopper to come back to the store
• Cleanliness of store and store associates
• Speed of service
• Compliance with company standards relating to service, store
appearance, and grooming/presentation
 Service in Restaurant Industry
• A restaurant prepares and serves food, drink
and dessert to customers.
• Service in a restaurant is of the most
importance.
• It is the differential factor in restaurant
industry as product(i.e. food) is getting more
and more homogenous
• It is difficult to control quality in service due to
intangibility and heterogeneity
 Customer expectations
• Customer Expectations are of two types -
Expressed and Implied.
• Expressed Customer Expectations are those
requirements that are written down in the
contract and agreed upon by both parties.
• Implied Customer Expectations are not
written or spoken but are the ones the
customer would 'expect' the supplier to meet
nevertheless
 Why CEM in Restaurant Industry
• CEM lets to translate and quantify customer’s
requirement and expectations into
measurable targets
• CEM can help in getting customer loyalty. It is
far less costly to keep existing customers than
to win new ones.
• CEM helps restaurateur to keep on improving
to meet the changing demands of the
customers.
 CEM in Restaurant Industry
• This project attempts to address the key issue
in customer satisfaction namely, the
relationship between
– Customer Satisfaction
– Customer purchase intention
– Restaurant performance
This also helps in how to relate customer
expectations to organizational goals and business
performance.
 Parameters for measuring Customer
Experience
• External appearance: The outside appearance of the
restaurant and the facilities outside the restaurant such as
banner visibility, parking space, waiting lounge etc.
• Internal appearance: The interiors of the restaurant which
comprises of sitting arrangement, floor lay-out, lighting, music,
cleanliness of tables, chairs, cutlery etc.
• Food served: The presentation of food and appropriate
utensils for serving it.
• Service: The attentiveness, knowledge and appearance of wait
staff.
• Wash-room amenities: Cleanliness and hygiene of washrooms
 Attributes in each parameter
External Internal Food served service Wash-room
appearance appearance amenities
-Location -Watchman -Containers -Waiter -Cleanliness
identifiable opens door -Garnishing dressing -Smell
-Board visibility -Greets you -Cutlery -Soft spoken -Sanitizer
-Parking space -Time display -Knowledge -napkins
-Spit marks -Temperature -Attentive
-Waiting facility -Lighting -Exit greetings
-Waiting -Music -Opens door
service -Volume
-Over-all -Layout
appearance -Seating
-Cleanliness
-Menu
 Restaurants selected for CEM
Honest Abhilasha
Topaz Urban spoon
Six strings Saffron
Tomatoes Navrang
Freezeland Dhaba 902
Upper crust Kalash
Dinner bell Bawarchi
Epicurean alley Jungle bhookh
Bon homie Zodiac
Tulsi Mirch Masala
 Research Methodology

- Sampling Design:
Population: Restaurants
Sampling Frame: Restaurants in the western part of
Ahmedabad city
Sampling Unit: A Restaurant
Sampling Method: Random (Probabilistic sampling)
sampling
Sample size: 20 Restaurants
 Data Collection Phase I
• In this phase, the details about the success of
restaurants were collected. The parameter for
the success of restaurant was its occupancy
rate.
• The Disguised questionnaire was used to
collect data in this phase.
• A disguised questionnaire was prepared which
appeared as a questionnaire for the recession
recovery in the restaurants.
Formula for occupancy rate
 Data Collection Phase II
• Information about the various attributes
considered to measure the customer
experience was being evaluated.
• In this phase, concept of mystery shopping
was implemented.
• After the completion of research, all the data
was being entered in the Microsoft Excel and
was further used for analysis using statistical
tools such as Excel and SPSS.
 Analysis
• Each of the parameter was being cross tabbed
against the occupancy rate to find out the
trend and relation between the attribute and
the success of the restaurant.

• Out of all the parameters, the convincing

pattern was observed in the following
attributes
Attribute 1: Parking Space
• Here we can see a positive trend and a direct
relationship between Parking Space and
Occupancy Rate. Higher the Occupancy Rate,
people are more satisfied with its Parking
space and thus it should be an important
parameter for Restaurant owner which might
increase overall Customer Experience.
Attribute 2: Identifiable location of the
restaurant
• Here we can observe a positive trend between
Location Identifiable and Occupancy Rate; this
indicates that Restaurants whose addresses
are easily identifiable have higher occupancy
rates than others.
Attribute 3: Garnishing
• In this cross-tabulation we found that there is
a sparkling co-relation with the Garnishing of
the food and Occupancy Rate. This indicates
that the perceived value of food is higher from
people’s point of view if proper garnishing is
done.
Attribute 4: Layout of Restaurant
• Here, we can see that Layout of the store and
its Occupancy Rate are having a positive trend.
• As the Layout of store is easy to move higher is
the Occupancy Rate of that store. This means
people want spacious layout in the restaurant
to enjoy the experience.
Attribute 5: Waiting Facility
• Here we observed that Waiting Facility had no
relationship with the Occupancy Rate; this
indicates that people have no issues whether
the restaurant provides them with waiting
facility. Though here, a small relationship can
be inferred here which we can see from the
group 45%-49.99%. But though, results are
skewed and we cannot come to any
conclusion.
Attribute 6: External Ambience
• Here, except the first data, other set of data
indicates that there is a positive trend among
the Overall external ambience and Occupancy
rate. This indicates that external design,
patterns, attractiveness of the restaurant
helps to attract people.
Attribute 7: Waiters’ attentiveness and soft
spoken
• Here from both the above given charts, we
can see a positive trend of Occupancy Rate
and Service of waiters. Waiters need to be
soft-spoken and attentive to customer needs.
Being a service industry, both the parameters
were perceived to be important, and research
confirmed the importance of this parameters.
 Conclusions
• The parking space of restaurant is important for
the customer. A restaurant having an ample
parking space is more favorable for the positive
customer experience.
• The restaurant should be at the identifiable
location so that it is easily noticed.
• The food should be served properly and be well
presented so that customer is delighted and is
loyal to the restaurant.
 Conclusions (contd.)
• The layout of the restaurant or the floor plan should be
such that customer is able to move easily in the restaurant.
• The customer should be having proper facilities when he is
waiting.
• External ambience of the restaurant is critical for the
customer. The surroundings should be kept clean and the
signage and entrance should be attractive.
• The wait staff of the restaurant should be attentive to the
customers and they should be soft spoken and behave with
empathy with the customers
THANK
YOU