An analysis of customer satisfaction at shop và go in binh thanh district

RESEARCH PROJECT AN ANALYSIS OF CUSTOMER SATISFACTION AT SHOP & GO IN BINH THANH DISTRICT Professor A Prof NGUYEN PHAN Subject BMBR5103 Name DANG HOANG CHIEU HIEN Class MBAK15A Ho Chi Minh 2015 Dang Hoang Chieu Hien _ MBA K15A ADVISOR’S ASSESSMENT Advisor’s signature Dang Hoang Chieu Hien _ MBA K15A ACKNOWLEDGEMENTS To complete this thesis, the author has received a lot of support and help from schools, agencies, friends and family First, I would like to express appreciation and deep gratitude to Prof Phan Dinh Nguyen, he has won many precious time to take the guided me during implementation Thesis I sincerely thank all teachers has dedicated teaching, impart valuable knowledge for me throughout the course I also thank him / her for taking the time to interview in the research phase and preliminary official Finally, I would like to thank all the family members have motivation and support me throughout the course TP HCM, Dec 14 2015 The implementation of the Thesis Dang Hoang Chieu Hien Dang Hoang Chieu Hien _ MBA K15A Table of Contents ABSTRACT CHAPTER 1: INTRODUCTION 1.1 Problem Statement 1.2 Research Objectives and Research Subjects 1.2.1 Research Objectives 1.2.2 Research Subjects 1.3 Research Questions 10 1.4 Scope of study 10 1.5 Methodology 10 CHAPTER 2: LITERATURE REVIEW 11 2.1 The concept and characteristics of services 11 2.1.1 The concept of services 11 2.1.2 The characteristics of services 11 2.2 Quality service definition 13 2.3 Overview of customers satisfaction 14 2.3.1 Customer satisfaction definition 14 2.3.2 The role and necessity of customers satisfaction 14 2.3.3 Some models of customer satisfaction 14 CHAPTER 3: RESEARCH METHODOLOGY 20 3.1 Research Process 20 3.1.1 Qualitative Research 20 3.1.2 Quantitative Research 21 3.2 Source of information 23 3.3 Sample and Sample design 23 3.4 Adjusting the research model 24 3.5 Building scale 25 3.6 Timing of process research 27 CHAPTER 4: EMPIRICAL RESULTS AND DISCUSSION 28 4.1 Introduction of the convenient market when shopping at Shop & Go 28 4.1.1 Introduction to Shop & Go: 28 4.1.2 Business situation of Shop & Go: 29 Dang Hoang Chieu Hien _ MBA K15A 4.2 Information about the study subjects 31 4.2.1 Information on age and sex 31 4.2.2 Information on educations 31 4.2.3 Assess the level of customer satisfaction 32 4.3 Data Analysis Research 35 4.3.1 Inspection scales 35 4.3.2 Factor Analysis 37 4.3.3 Multiple Regression method 40 4.4 Discuss 43 CHAPTER 5: CONCLUSION, RECOMMENDATION AND LIMITATION 48 5.1 Conclusion 48 5.1.1 In general 48 5.1.2 For Shop & Go 48 5.2 Recommendations 49 5.3 Limitations of the study 49 REFERENCE 50 THE QUESTIONAIRE INTERVIEW 53 Dang Hoang Chieu Hien _ MBA K15A ABSTRACT The purpose of this study indicated that "customer satisfaction" is the key to the success of businesses, especially in the retail environment in Vietnam is growing strongly and rapidly quickly The study also assess some customer satisfaction’ models such as Kano model, 5Gap Parasuraman’s model and many other models, especially models VCSI apply for the survey, as well as systems for the questionnaire survey evaluate the main factors impact on customer satisfaction Moreover, since the impact of these factors, the study also provides some solutions to improve the efficiency of service quality for customers and improve customer satisfaction and customer loyalty when using customer's use of retail services But besides that there are some limitations in the assessment even factor in the sampling process, the use of theory as well as the subjectivity of the process of implementing the survey Keywords: Customer Satisfaction, customer loyalty, Convenience store, Customer saticfaction level Dang Hoang Chieu Hien _ MBA K15A CHAPTER 1: INTRODUCTION 1.1 Problem Statement It can be said that we always mention about many methods and forms of business, commercial introduction, development, processing and finishing of the last stages, different era If the previous, the business activities focus primarily on manufacturing, product and sales The beginning from the 80s of last century a lot of businesses in the world of business method transfer to focus on “customer satisfaction” and “customer loyalty” During system operation, the client's business is considered a central element on the game play is particularly important in determining the success or failure of the enterprise In countries with economies in developed markets, the general trend is to find ways to satisfy customers and build customer loyalty for businesses, from which new businesses have unique insole market the stability maintain in the survival and development Therefore, all efforts from production and distribution to sales activities are for the purpose of satisfying the maximum customer satisfaction Customer satisfaction is the key to the success of any enterprise In the past there have been many studies assessing and modeling of satisfaction as: "Model of Customer Satisfaction by Zeithaml & Bitner (1996)" - According to research by Zeithaml and Bitner (1996), the customer satisfaction is affected by the following key factors: (1) Service quality, (2) Product quality, (3) Price, (4) Situational Factors, (5) Personal Factors "Model of Satisfaction Index Usa (ACSI)"- Based on the model of Sweden (SCSB) ACSI model has been developed by Claus Fornell (Fornell et al, 1996) So far ACSI model has been applied in 10 economic sectors and in 41 different industries It can be said evaluation of customer satisfaction is so much aimed at fields, and one of them for retail service industry, customer satisfaction has been the key factor for the development of this sector, especially in Vietnam Nowadays the trend of economic globalization is developing quickly, the life of the people is increasing, but their criteria set out in life are more likely to move from "warm and well fed "through the concept of" good food and nice clothing" So they have a high and increasing demand for rigorous daily use products, especially for food items As we all know, the Dang Hoang Chieu Hien _ MBA K15A current situation of food safety is very complex movements, consumers lose confidence in the product in a commodity market and the roadsides and finally stops their main supermarkets where consumers can complete peace of mind for the quality of the goods they need Currently, the system of supermarkets in Vietnam generally quite developed and extensive reporting Retail Development Index Global 2006, Kearney has ranked Vietnam ranks 3rd on the first level of appeal retail investment in thirty retail market The results of the Vietnam retailers are encouraging but need to recognize that the challenges are still a lot of retailers in the country Especially after Vietnam joined the WTO and domestic supermarkets starting pressure of the leading supermarket is preparing to penetrate the Vietnam market The systems at the international supermarkets and big retail systems from foreign investors with domestic retail system has helped the retail market in Vietnam is becoming more active and attractive However, in recent years if the previous model of traditional markets with large and small supermarkets dominate the retail market in Vietnam is now the appearance of the convenience store system has been threatened to the position of the model, to overcome the disadvantages of traditional markets as well as supermarkets, convenience stores may be overtaken on the retail market in the near future The first biggest advantage of the convenience stores, in addition to the quality and origin of the product is a display (focusing on essential goods) and uptime (open almost 24/24) These stores are located in residential areas intermingled, creating convenient channel for people in remote capital supermarket and not want to go to traditional markets, grocery stores Secondly, it can be said that traditional markets with consumers tend convenient and fast However, consumers in traditional one are exposed many weaknesses as food quality cannot be guaranteed, there is no clear origin, affecting people's health, particularly special pricing is not stable making people increasingly lost confidence in the food market So buying in large supermarkets have become habits of the majority of consumers in major cities, convenient sales channel has exposed many advantages In addition to ensuring the quality of goods, which consumers are assured by stable price, but sometimes the busy work of making consumers not have enough time in the big supermarkets and shops whereby utilities are born and crept in residential areas, roads upon facilities and we have solved the problem of time as well as concerns about food safety and hygiene of the judging consumer goods Dang Hoang Chieu Hien _ MBA K15A SHOP & GO was established on 26 th April 2005 and the company runs the convenience store chain's largest in Ho Chi Minh City and Ha Noi The first store of Shop & Go was officially operational on 3rd December, 2005 at 74A1 Hai Ba Trung Street, District 1, HCMC From one store in 2005, currently has 126 Shop & Go stores (June 8th 2015) In the coming years will continue to Shop & Go system expansion in convenience stores nationwide to meet the increasing demands of the people of the country SHOP & GO gives customers convenient services, consistent with the needs of each residential area around each store, including automated teller machine ATM, telephone recharge cards, phone cards long distance IDD card For customers of Shop & Go is the aim for convenient and quick in service style; high quality, new with reasonable prices of products, environment-friendly, clean and modern in store With an area of moderate (60-150 m2) in the attractive location, visible, each shop has more than 2,000 different types of items, chosen carefully to suit the needs of the people local as well as tourists 1.2 Research Objectives and Research Subjects 1.2.1 Research Objectives With the situation of the retail market in Vietnam and the recent appearance of the system of the convenient stores for considering the customer satisfaction and the overall goal of these studies is to examine main factors which affect customer satisfaction To achieve this overall goal requires meeting the following specific objectives: Identify the components should be customer satisfaction Through surveys to assess customer satisfaction For a number of solutions to enhance customer satisfaction when using services from Shop & Go convenience store 1.2.2 Research Subjects Topics focused on the quality of business, sales of Shop & Go convenience stores, through which assess the level of satisfaction of customers when shopping at Shop & Go, and Dang Hoang Chieu Hien _ MBA K15A research subjects is all the customer has used the service at Shop & Go in Binh Thanh District, Ho Chi Minh City 1.3 Research Questions Make this topic we pose the following research questions in order to clarify the research objectives of this topic: The Factors that create customer satisfaction when you go shopping at the system of convenient stores like Shop & Go The Level of customer satisfaction for the elements that like To raise the level of customer satisfaction, it should have the solution 1.4 Scope of study Study of indicators to assess customer satisfaction of residents who shopping and using the service at Shop & Go in areas at Binh Thanh District, Ho Chi Minh City 1.5 Methodology Determining the information to be collected for survey and identifying the information gathering with types of sources such as primary sources through the interview table for customer who residents in Binh Thanh district and secondary source from the newspapers, internet, diagrams and index which were made by the previous studies In addition, doing the preliminary studies using qualitative research and qualitative research for the variables which are determined for the customer satisfaction, all information and data analysis will be processed by SPSS software 10 Dang Hoang Chieu Hien _ MBA K15A unfortunate situations occur and the dilemmas for employees as well as customers The emulation mode for the employees in supermarkets should be regularly organized and easy to set standards should apply and implement in order to attract the participation of all staff such as staff with the friendliness weekly Goods sold in the store to ensure the quality and duration is guaranteed, Strengthening the innovation content and form of promotions to customers Improving the inspection system as input both functions and tasks, selection of quality merchandise for sale Building a quality control system as well as the duration of the period of use of goods and timely handling of expired goods from stalls Requires specialized personnel to inspect labels, packaging of goods every workday Continuous updating of goods, to meet the increasing needs of customers through the ballot poll of customer satisfaction in the place of promotions Provide adequate information and promotions to customers this information accessible to Renewal content and promotions for customers in many different directions, avoid boredom for customers Improving the quality of promotions with gifts or merchandise quality, avoid giving customers the products of inferior quality or defective products Focus on developing and upgrading the quality of services Open these services free of charge to customers as free gift wrapping, gift for the holiday customers, selling phone scratch cards Moreover, Shop & Go need to have a separate ATM card to avoid capture customer to go again and again takes time For a payment to the employees should have experience in the payment card ever will then guide and training of new human resources At the bar should include clearly defined how the payments required for the cardholder to avoid confusion Ensure the mechanical systems of supermarkets are in good operating condition, especially not faulty cash register systems, billing machine, the machine scans the product to ensure accuracy high as possible When the malfunction or damage must be replaced promptly and corrective measures immediately not affect the operation of customer service The staff is 45 Dang Hoang Chieu Hien _ MBA K15A always available for duty when the problem will be handled in solution Development and diversification of the type of customer service: Need to boost services through phone orders and home delivery as these are two types of services are attracting the attention of customers the most Home delivery service: For services to the convenience store to arrange for deliveries more people are guaranteed the right time to have appointments with clients, especially on the weekends or holidays and hours customer preparation of rice Perform membership card for customers to buy more time and perennial In the winter there is a need to allocate human resources appropriately to avoid not enough people to make customer service a long wait At each stall, supermarkets need to add a phone to the customer should ask price or ask for information about the product, the service desk staff can move the machine to the counter where customers want to see If you are able to orders at the counter so that the worker can recognize the orders directly from customers and then edit the goods according to customers' requirements and brings checkout This helps to save time and not have to wait long for customers that wish to contact the counters Order by phone: When receiving orders via telephone Notes ensure the accuracy of the information of clients and commodities such as design, type, weight and feedback to customers quickly if unavailable or out of stock The procedures for delivery, barter must be carried out quickly, to avoid annoying customers In addition, selling services over the phone and taking advantage of supermarket sites to advertise products The website should include a description of commodity groups, and information about pricing and promotions to customers ease of navigation and includes the order to the customer can easily use For products not available or promotion of worker should have notified the counter service to customers purchased over the phone, the customer will respond immediately to save time The staff at the service desk should also know about the information of some simple common items such as bottled water, laundry detergent to respond to customers, limiting the call for management or supervisor, this makes professional working style and there is a link between the parts in the supermarket Always have to have the questionnaire on quality customer service staff monthly deliveries so that can detect individual excellence to encourage timely reward, as well as individuals are not good to reminders as well as appropriate remedies 46 Dang Hoang Chieu Hien _ MBA K15A Other forms Improving social responsibility is promotion the image of the supermarket to many classes of people in society There by attracting more customers to shop 47 Dang Hoang Chieu Hien _ MBA K15A CHAPTER 5: CONCLUSION, RECOMMENDATION AND LIMITATION 5.1 Conclusion 5.1.1 In general Nowadays, the trend of the economy is growing strongly, the needs of people is increasing The introduction of a range of convenient shopping center quickly made the competition becomes fiercer than ever before so that was difficult to attract customers that keep customers loyal to their harder more difficult Therefore, the operation is to find out the needs of customers and the state of customer service in supermarkets becoming more urgent We can say the big supermarkets and small, the system model of the convenience store are identical in form, organization, goods, but what the customer is interested in the of each type of service from the supermarket, offering members of the bank, the customer benefits, as well as the attitude of the supermarket for customers will be the local "magnet" entice customers back in the next time 5.1.2 For Shop & Go With the theme "Assessing THE CUSTOMER SATISFACTION WHEN SHOPPING AT THE SHOP & GO'S SYSTEM OF CONVENIENT STORES at the Binh Thanh District, Ho Chi Minh city," the paper has studied and indicates the factors affecting the quality of customer service supermarket through surveys of customers in the most objective method of descriptive statistics, reliability analysis, regression analysis and then give the solutions and recommendations to improve quality customer service at Shop & Go stores Evaluation of customer satisfaction while shopping at convenience stores Shop & Go The result of the study showed that the system stores already meet the needs of the majority of customers in so that the level of satisfaction of the customer is always good Research has shown us that the important factor as The Attitude of Staff; Promotions - Other Support Services; Goods are the key factors affecting customer satisfaction shopping In addition, some factors such as age and education level also effects customer satisfaction In addition to the factors affecting customer satisfaction, research also shows characteristics such as shopping habits, expectations of customers when shopping at Shop & Go Through this study also provides some solutions to enhance customer satisfaction Although there are restrictions on knowledge, but the author hopes that through the comments, realistic 48 Dang Hoang Chieu Hien _ MBA K15A assessment of the customer while shopping at Shop & Go, the solution we proposed will fit with the actual situation of stores and shops to help identify strengths, gaps and limitations of customer service to have remedies thoroughly to create a network of stores convenience synchronous nature and longterm sustainability as a basis for improving the quality of customer service more 5.2 Recommendations Control, an objective evaluation of staff service attitude, and on that basis to draw the default limit in the process of customer service, creating favorable conditions for the adoption of measures to improve quality of service of employees, thereby enhancing customer satisfaction To strictly control the quality of goods by the test system input and output for the product as well as during storage of goods to consumers is the quality of goods Focus promote Marketing, customer care in a professional manner in order to promote the image of the system as a convenience store chain Shop & Go in the minds of customers and improve their satisfaction 5.3 Limitations of the study Research faces many constraints sample (sampling methods, sample size) the ability to generalize the results of the study will be higher if done more research is a form of research for the next topic Research has examined the impact of a number of group composition factors of service quality on customer satisfaction, while there may be many other factors contribute to explain to the satisfaction of customers This is an issue to consider for the next research direction 49 Dang Hoang Chieu Hien _ MBA K15A REFERENCE Berry L., Parasuraman A & Zeithaml V (1998), “The Service-Quanlity Puzzle” Business Horizone, Sep-Oct, pp 30-50 Brown, S.W., & Bond, E.U III (1995), “The Internal/External Framework an Service Quality: Toward Theory in Services Marketing”, Journal of Marketing Management, February, 20-41 Brysland, A & Curry, A (2001), “Service Improvements in Public Services Using SERVQUAL”, Managing Service Quality, Vol 11, No.6, pp 380-405 Freeman, K D & Dart, J (1993), “Measuring the Perceived Quality of Professional Business Services”, Journal of Professional Services Marketing, Vol 9, No 1, pp 25-49 Frost, F A & Kumar, M (2000), “Intservqual: An Internal Adaptation of the GAP model in a large Service Organization”, Journal of Service Marketing, 14 (5), 355-379 Garson, G D (2003), “PA 765 Statnotes An online textbook”, Retrieved February 07, 2004 Gronroos C (1984), “A Service Quality Model and its Marketing Implications”, 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Poynter, R (2009), “Quantitative Research Techniques”, Quantitative Research, The Future Place 32 “Qualitative Research Methods Overview”, Qualitative Research Methods- A Data Collector’s Field Guide, Module 1- Family Health International 33 Underhill, P., 2000, “Why We Buy: The Science Of Shopping”, Simon & Schuster, 1st edn ,USA 34 Workbook E (2005), “Conducting In- Depth Interviews”, Workbook 52 Dang Hoang Chieu Hien _ MBA K15A THE QUESTIONAIRE INTERVIEW A General Information How often you go to the supermarket/Convenience Stores every month? 0 time (Stop interview) 1-5 times 5-10 times Over 10 times In the Ho Chi Minh city, especially in Binh Thanh District Which of the market you always go there? BigC Co-op mart Shop & Go Traditional market How often you go to the supermarket with? Family Friends Go alone Other B Customer of Shop & Go The Board usually Shop & Go for what purpose? Tour Shopping 53 Dang Hoang Chieu Hien _ MBA K15A Eating Entertainment When shopping at Shop & Go, you select the type of product? Food Processing Fresh food,fruit and vegetables Cake Consumer Other Do you often go to Shop & Go on the day of the week Weekdays Saturday& Sunday No fixed How often you go to the Shop & Go of the day Morning Noon Afternoon Evening You went Shop & Go in Binh Thanh District for how long? 1 year About months 2-3 Months Recently 54 Dang Hoang Chieu Hien _ MBA K15A How much you usually spend shopping at Shop & Go? Under 50,000 VND About 50-100000 VND About 100-200000 VND Over 200,000 VND Other 10 Please, enter the Tick () of the following degree Degree Result Completely disagree Disagree Neutral Agree Totally agree FACTORS Goods Goods diversity for choosing Goods assure timely and safe use of food hygiene and Safety standards (VSATTP) Goods labeled, clear origin Goods sold in Shop & Go is the product of good quality Always have many new items on display The Attitude of Staff The staff is always ready to serve customers Staff mobility Dedicated staff to answer customer questions Staff were friendly and fun 55 Dang Hoang Chieu Hien _ MBA K15A Staff neatly dressed, elegant Facilities Parking Safety Space supermarket spacious visible Shopping Area airy, clean The stalls are ergonomically designed Lighting, sound good, not too noisy Prices Commodity prices cheaper than other supermarkets The price of goods is not more expensive than the market Commodity prices corresponding with the quality of the product Promotions There are many promotions The attractive promotions and always Other Support Services There are many support services such as packaging, food processing and selling scratch cards Personal assistance services are very good 11 How you feel when using the service at Shop & Go not? Please, enter the Tick () of the following degree Absolutely Uncertain Unknown Sure Absolutely not sure sure 56 Dang Hoang Chieu Hien _ MBA K15A 12 Next time you need to go back again? Please, enter the Tick () of the following degree Absolutely Uncertain Unknown Sure Absolutely not sure sure 13 Are you willing to introduce family or friends come here? Please, enter the Tick () of the following degree Absolutely Uncertain Unknown Sure Absolutely not sure sure 14 Please, enter the Tick () of the following degree Degree Result Completely unsatisfied Unsatisfied Neutral Satisfied Totally Satisfied Group staff Staff parking – protection Cashier Staff customer service desk Staff odd 57 Dang Hoang Chieu Hien _ MBA K15A Please give a reason why you are not satisfied with your team give or points: …………………………………………………………………………………………… …………………………………………………………………………………………… …………………………………………………………………………………………… …………………………………………………………………………………………… …………………………………………………………………………………………… ………………… 15 You mentioned the extent necessary to improve one or more of the following: (Please, enter the Tick () of the following degree) Degree Result No necessary Neutral Necessary No Factor Goods The Attitude of Staff Facilities Prices Promotions Support Services You can suggest what specific elements to improve your score 3: …………………………………………………………………………………………… …………………………………………………………………………………………… …………………………………………………………………………………………… ………………………………………………………………………………… C Personal Detailed Information: 16 Gender: Male 58 Dang Hoang Chieu Hien _ MBA K15A Female 17 Your age group? Under 22 22-35 36-45 On 45 18 Please indicate level of education? High School Intermediate College Postgraduate 19 What’s your JOB? Public servants Student Office staff Small business Common labor Housewife Retired Other 59 Dang Hoang Chieu Hien _ MBA K15A ... affecting customer satisfaction when using the service and shopping at Shop & Go in the region Binh Thanh, Ho Chi Minh City and Part offers some solutions to improve customer satisfaction at the Shop. .. Assurance Empathy Tangibles Price Waiting time The customer will be interviewed all those shopping at Shop & Go in the area of Binh Thanh District, Ho Chi Minh City The contents of the interview:... level of customer satisfaction, it should have the solution 1.4 Scope of study Study of indicators to assess customer satisfaction of residents who shopping and using the service at Shop & Go in