Service Quality, Customer Satisfaction, and Behavioral Intentions-Q2
Service Quality, Customer Satisfaction, and Behavioral Intentions-Q2
Service Quality, Customer Satisfaction, and Behavioral Intentions-Q2
www.emeraldinsight.com/1756-669X.htm
IJQSS
1,1 Service quality, customer
satisfaction, and behavioral
intentions in fast-food restaurants
78
Hong Qin and Victor R. Prybutok
Information Technology and Decision Sciences Department,
College of Business Administration, University of North Texas,
Denton, Texas, USA
Abstract
Purpose – This study aims to explore the potential dimensions of service quality, and examine the
relationship among service quality, food quality, perceived value, customer satisfaction and
behavioral intentions in fast-food restaurants (FFRs).
Design/methodology/approach – The construct reliability and validity was assessed using
exploratory factor analysis and confirmatory factor analysis. Structural equation modeling was
employed to estimate the relationship among service quality, customer satisfaction, and behavioral
intentions.
Findings – Results indicated that five dimensions were significant: tangibles, reliability/
responsiveness, recovery, assurance, and empathy. Service quality and food quality were two main
determinants of customer satisfaction. The insignificance of perceived value is potentially due to the
homogeneous nature of the construct within the FFR group rather than the importance of the
perceived value construct within food service.
Originality/value – The FFR success model, using the original five in the SERVPERF scale and
another new dimension “recovery” to measure service quality, was empirically examined in the fast
food industry. Several potential antecedents of satisfaction, including service quality, food quality and
perceived value were also tested.
Keywords Consumer behaviour, Customer satisfaction, Fast foods, Customer services quality
Paper type Research paper
1. Introduction
Customers’ evaluations of the service quality are critical to service firms that aim to
improve their marketing strategies (Cronin and Taylor, 1992; Jain and Gupta, 2004;
Ofir and Simonson, 2001). Firms that provide superior service quality also have a more
satisfied customer base (Aaker and Jacobson, 1994; Gilbert et al., 2004; Gilbert and
Veloutsou, 2006). Customer satisfaction is viewed as influencing repurchase intentions
and behavior, which, in turn, leads to an organization’s future revenue and profits. As a
result of the direct link with profits, the issue of service quality and customer
satisfaction has become a focus of the hospitality industries. More and more companies
are compelled to assess and improve their service quality in an effort to attract
International Journal of Quality and
customers (Gilbert and Veloutsou, 2006).
Service Sciences There are some academic studies to address the service quality and customer
Vol. 1 No. 1, 2009
pp. 78-95 satisfaction in fast-food restaurants (FFRs) (Brady et al., 2001; Gilbert et al., 2004; Kara
q Emerald Group Publishing Limited
1756-669X
et al., 1995; Lee and Ulgado, 1997; Qin and Prybutok, 2008); however, most of the studies
DOI 10.1108/17566690910945886 are limited to the relationship between customer satisfaction and service quality.
Some other potential determinants of customer satisfaction such as food quality and Service quality
perceived value are ignored. in restaurants
Furthermore, to the best of our knowledge, very few studies have examined the
recovery ability of FFRs, much less of its effect on the perceived service quality or
customer satisfaction. Understanding the interplay between the recovery mechanism
and customer behavioral intentions is important, because better recoveries increase the
customer’s propensity to return to the same service provider whereas ineffective 79
service recovery may reinforce the customer’s dissatisfaction with the service (Harris
et al., 2006). However, service recovery is not considered in the well-known SERVPERF
model even though some findings suggest that recovery dominates formation of
customer satisfaction and behavioral intentions (Spreng et al., 1995).
This study contributes to the investigation of the above issues. First, we seek to
develop a FFR success model by examining the key dimensions of service quality in the
fast food industry. Specifically, another potential dimension, recovery, is incorporated
into the SERVPERF instrument. After establishing sufficient reliability and validity of
this instrument, we proceed with the second objective – to examine the relationship
among service quality, food quality, perceived value, customer satisfaction, and
behavioral intentions.
The organization of this paper includes another five sections. The theoretical
foundation of perceived service quality and its dimensions are reviewed in the next
section, followed by the research methodology including the development of the
instrument. Then, the data analysis and findings of this study are presented, followed
by the conclusions and managerial implications. The paper concludes with a section on
the limitations of this work and potential future research.
2. Theoretical foundation
The importance of service quality is substantially addressed in the fast-food
management literature. Superior service leads to satisfied and loyal customers whose
continued patronage is essential to the success of FFRs. Conversely, poor service quality
increases customer dissatisfaction and the likelihood that customers dine at a
competitor’s FFR and/or become an active champion in persuading others to go
elsewhere (Gilbert et al., 2004). Hence, it is crucial for service managers to understand
how customers perceive the service they provide, and what components might
determine the nature of the perceived service quality in FFRs.
Cronin and Taylor, 1992; Meuter et al., 2000; Oliva et al., 1992; Olorunniwo and Hsu, 2006;
Olorunniwo et al., 2006; Zeithaml et al., 1996). Within this research area, numerous
empirical studies have reported the positive relationship between customer satisfaction
and behavioral intentions (Cronin et al., 2000; Kivela et al., 1999; Olorunniwo et al., 2006).
Consistent with the prior research, the first hypothesis in this study is that:
IJQSS H1. Customer satisfaction directly and positively influences behavioral intentions.
1,1 An ongoing debate in the marketing literature relates to the direction of the quality/
satisfaction causal relationship – whether customer satisfaction is an antecedent or
consequence of service quality (Andaleeb and Conway, 2006). One group of researchers
refers to service quality as a global evaluation of a particular service setting and
consistent with this theory service quality is the consequence of satisfaction incidents
82 over time (Parasuraman et al., 1985, 1988). The European and American customer
satisfaction indices models, however, suggest that service quality is a component of
satisfaction (Fornell et al., 1996). Bagozzi (1992) proposes that service quality evaluation
of a product or a service encounter leads to an emotive satisfaction assessment that in
turn drives behavioral intentions. Although there is no consensus in the literature on the
causal order of these two constructs, the converging opinion is that service quality
perceptions lead to customer satisfaction (Cronin et al., 2000). Building upon these
findings, we posit that service quality is the antecedent of customer satisfaction. As a
result, our second research hypothesis is:
H2. Service quality directly and positively influences consumer satisfaction.
Customer Behavioral
Food Quality H3 H1 Intentions
Satisfaction
(FQ) (CS) (BI) 83
knowledgeable faculty and experts in the field of service quality management. The next
step was to administer a pilot test to 30 doctoral students. Based on all the feedback,
several modifications were made to the items so that they better fit the FFR context.
Following that effort, the FFR success instrument with 40 conceptual items and
several demographic questions was administered via an online survey. The
respondents were college students in a large southwestern university in the USA.
The online survey format was used instead of the traditional paper survey because it is
cheaper, faster, and offers a flexible format. College students were selected as subjects
because of the ease in accessing them and because they dine at FFRs frequently, and
possess an intuitive understanding of service quality in FFRs.
A total of 305 responses were received, and 23 of them were determined to be
unusable. Of the 282 usable responses, 45.7 percent were completed by male
respondents. More than 55.7 percent of the respondents were between 21- and 25-years
old. This is in consistence with our use of college students as the sampling frame. All
the respondents surveyed had dined at a FFR in the last month, and around 60 percent
of respondents had dined in a FFR more than five times within about one month. Over
45 percent of the respondents have a monthly income less than $800. The detailed
demographic information is provided in Table II.
CareComplnt 0.825
RecoverySkills 0.809
RecoveryCompensation 0.793 85
Apology 0.748
PrmptMtgProms 0.732
TimelyService 0.720
Promptness 0.689
Dependability 0.429 0.642
EmplyAvailability 0.409 0.614
AccurateCharge 0.606 0.435
EmplyWillingness 0.412 0.605 0.421
Trust 0.439 0.726
SafeTransaction 0.695
EmplyFriendly 0.437 0.660
EmplyKnowledgeable 0.405 0.599
ConvenientLocation 0.828
ConvenientHours 0.801
UtensilsAvailability 0.595 0.417
Parking 0.718
Seating 0.709
ClnDiningArea 0.431 0.621
WellDressedEmly 0.525 0.563
Mean 4.69 5.17 4.79 5.65 5.16
Standard deviation 1.45 1.24 1.35 1.32 1.23
Percentage of explained variance
(post-rotation total ¼ 77.64
percent) 19.02 18.86 14.98 13.19 11.58 Table III.
Factor loadings for
Notes: Extraction method: principal component analysis. Rotation method: varimax with Kaiser service quality in FFR
normalization. Rotation converged in six iterations success model
value of 1.0, which supports the discriminant validity of these constructs as well
(Anderson and Gerbing, 1988). Given their good measurement properties (reliability and
validity), the average score for each latent construct that comprised service quality was
employed in the hypothesis testing procedures. This is identical to the technique used by
Paswan et al. (1998) where the scale items were averaged to establish composite scores
for the purposes of hypotheses testing.
A second-order CFA was employed to examine the relationship among service
quality, its five main dimensions and all indicator variables. From the standardized
factor loadings shown in Figure 2, we could see that all the dimensions have a significant
and positive relationship with the latent variable service quality. Specifically, the path
coefficient of 0.83 between the added dimension recovery and service quality is
significant, which supports our modification of the SERVPERF instrument. All the
previously selected fit indices presented in Table VII (Model B) indicate that the
measurement model of service quality is deemed acceptable.
IJQSS
Construct and items Standardized solution t-valuea
1,1
Recovery
Apology 0.87 22.36
CareComplnt 0.92 _b
RecoverySkills 0.92 25.45
86 RecoveryCompensation 0.80 18.55
Reliability/responsiveness
PrmptMtgProms 0.82 18.65
Dependability 0.82 18.69
TimelyService 0.84 19.17
AccurateCharge 0.76 16.05
EmplyAvailability 0.88 _b
Promptness 0.87 20.94
EmplyWillingness 0.85 19.66
Assurance
Trust 0.83 18.61
SafeTransaction 0.82 17.99
EmplyFriendly 0.88 _b
EmplyKnowledgeable 0.82 17.98
Empathy
UtensilsAvailability 0.71 13.58
ConvenientHours 0.89 _b
ConvenientLocation 0.86 17.69
Tangibles
ClnDiningArea 0.82 _b
WellDressedEmly 0.76 13.33
Seating 0.68 11.65
Table IV. Parking 0.57 9.66
First-order CFA for the
FFR success Notes: at-values are from unstandardized solution. bt-values are unavailable because the loadings are
model – Model A fixed for scaling purposes
Reli/Res 0.94 a
Recovery 0.73 * 0.93 a
Table V. Empathy 0.68 * 0.53 * 0.86 a
Correlation matrix of Assurance 0.80 * 0.75 * 0.56 * 0.90 a
perceived service Tangibles 0.74 * 0.59 * 0.65 * 0.64 * 0.80 a
quality-FFR success
model Notes: aThe diagonal elements are composite reliability scores. Significance at *p , 0.01 level
model and the structural model. It cannot only address measurement errors but also
allows the examination of the factor analysis and hypothesis testing together (Gefen
et al., 2000). Model C in Figure 3 includes all the proposed relationships in this study.
For model evaluation emphasis was placed on x 2/df, standardized root mean square
residual (SRMR), adjusted goodness of fit index (AGFI), normed fit index (NFI),
non-normed fit index (NNFI), CFI and parsimonious normed fit index (PNFI), reported
in Table VII (Model C). The x 2/df is 3.03, slightly higher than the cutoff value of 3.0.
The other indices support the model fit (AGFI higher than 0.80; PNFI higher than 0.75;
SRMR lower than 0.10; NFI, NNFI, CFI higher than 0.90). These emphasized indices
indicate the acceptability of this structural model.
All the parameter estimates between items and their associated latent variable, as
shown in Table VIII, are significant. H1 posits a direct and positive relationship
between customer satisfaction and behavioral intentions and is supported by a
significant path coefficient. H2, positing a direct and positive relationship between
perceived service quality and customer satisfaction, is statistically significant.
H3 investigates a direct and positive relationship between food quality and customer
satisfaction, and is statistically significant and supported. This result shows that the
improvement of food quality might yield higher level of customer satisfaction.
H4, modeling perceived value as one of the antecedents of customer satisfaction, is
rejected because of the non-significant t-value.
0.56*
Parking
PrmptMtgProms
0.87*
0.83*
Dependability
0.83*
TimelyService
0.83*
0.75* AccurateCharge
Reli/Resa
0.88* EmplyAvailibility
0.86*
Promptness
0.96* 0.83*
EmplyWillingness
SQ Trust
0.83*
0.91* SafeTransaction
0.83*
Assurance 0.88* EmplyFriendly
0.82*
EmplyKnledgeable
0.72*
EssentialAvail
0.71*
ConvenientHours
Empathy 0.88*
0.87* CvntLocation
0.83* Apology
0.87*
0.92* CareComplnt
Recovery
0.92*
RecoverySkills
0.80*
Compensation
Figure 2. a
Notes: Parameter estimates between five dimensions of service quality are omitted. Reli/Res = Reliability/
Second-order CFA for the Responsiveness. * Indicates significance at p < 0.01 level
FFR success model
(Model B)
Tangibles 4 items Tangibles 4 items
Service quality
in restaurants
Reli/Resa 7 items Reli/Resa 7 items
Model A-First-order CFA for the FFR Model B-Second-Order CFA for the FFR
Success Model Success Model
Serv Qualb
with
Recovery
PVc
Model A 505.97 199 2.54 0.00 0.80 0.058 0.98 0.98 0.98 0.84
Model B 511.63 204 2.51 0.00 0.80 0.061 0.97 0.98 0.98 0.84
Model C 436.86 145 3.03 0.00 0.82 0.063 0.98 0.98 0.98 0.83
Table VII.
Notes: Model A: first-order CFA for the FFR Success model; Model B: second-order CFA for the FFR Comparative
success model; Model C: structural model for the FFR Success model. Detailed information about these goodness-of-fit indices
models is shown in Figure 3 among models
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Appendix. Reliability and validity assessment Service quality
In Table VII, several goodness-of-fit indices for this measurement model (Model A) are reported.
The x 2/df is 2.54 for Model A and supports the model fit because the value is lower than the in restaurants
suggested cutoff value 3.0 (Simon and Paper, 2007). An absolute fit index – SRMR was also
examined, and its value of 0.058 is lower than the cutoff value 0.10 that is required to conclude a
reasonable model fit when sample size is around 250 (Sivo et al., 2006). Although Chin and Todd
(1995) and Segars and Grover (1993) suggest that SRMR is preferably below a 0.05 cutoff, Sivo
et al. (2006) recommend this number be moderately increased with smaller sample sizes. The 95
AGFI of this model is right at the cutoff value of 0.80 (Gefen et al., 2000). The PNFI is 0.84, higher
than the benchmark 0.75 (Sivo et al., 2006). Other fit indices included for this measurement model
are the NFI, NNFI, and the comparative fit index. All their values are higher than the benchmark
0.90 (Anderson and Gerbing, 1988; Mulaik et al., 1989). Therefore, the fit indices support the
acceptability of the measurement model.