Research factors impact on customer satisfaction in Vietnam restaurants
Thu Dau Mot University Journal of Science – Volume 2 – Issue 4-2020
Research factors impact on customer satisfaction in Vietnam
restaurants
by Le Huu Khanh, Trieu Thi My Hanh (National Formosa University, Taiwan)
Article Info: Received 21 Sep 2020, Accepted 20 Nov 2020, Available online 15 Dec, 2020
Corresponding author: lehuukhanh95@gmail.com
ABSTRACT
Along with changes in Economy, Tourism and the influence of foreign waves, the
market of Food Service in Vietnam has also changed to meet the needs of customers.
At many restaurants in Vietnam, customer satisfaction can greatly affect restaurant
revenue. Therefore, it is essential to determine which perceived quality factors affect
customer satisfaction. The survey was conducted through questionnaires collected
from 329 respondents, who experienced in restaurant services in Vietnam. In this
paper, four factors are found that have influence on customer satisfaction in
restaurants: Service quality, Product quality, Environment and Price. In addition,
the research also gives some contributions based on the research results, helping
businesses understand customers and meet customer satisfaction requirements in the
restaurant.
Keywords: customer satisfaction, regression, STASTISTICA 10, Vietnam Restaurants
1. Introduction
By definition on the Cambridge dictionary, restaurant is a business place where people
can choose meals prepared and served at the table, and customers usually pay after using
the service.
Vietnam is known as a country in Southeast Asian with unique culinary culture,
impressing the palate not only for domestic tourists but also international ones (Le, 2010).
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One of the reasons why Vietnam tourism has been growing strongly is the fantastic
cuisine (Vu, 2013). Gordon Ramsay, the chef who owns golden hands with 16 prestigious
Michelin stars, once admitted that he would only be a coward if he was born in Vietnam.
That once again confirms the subtlety and finesse to create a Vietnamese cuisine and
shows that the great value of Vietnamese cuisine has contributed to the development of
the hospitality industry, thus opening up a great potential to generate revenue for
restaurants.
According to the statistics of the Vietnam National Administration of Tourism, in 2018,
there were 2,400 new accommodation establishments in operation, including 83
registered accommodation establishments rated from 3 to 5 stars. Also in 2018, 5-star
hotel room rates continued to increase at 4.1%, 4-star hotel room rates fell at 2.3%. In
tourism, the restaurant service sector is an integral part of the destination product
portfolio and an important component of national socio-economic development strategies
(Grosspietsch, 2006). Due to the large number of employees employed and low start-up
costs compared to other industries, this field is an accessible business choice for many
people. The function of tourism is to provide restaurant service businesses with benefits
that not only help them increase net income, but also contribute to the sustainable
development of the hospitality industry.
2. Literature review
2.1. Customer Satisfaction
According to Kotler et al. (2002), customer satisfaction is the degree to which a person's
emotional state stems from a comparison of results obtained from the consumption of
products and customer expectations. In a time when the market is fiercely competitive,
regardless of the industry, to survive and develop, it is necessary to have a strategy to
attract and serve customers well to achieve customer satisfaction. Restaurants need to
recognize the importance of meeting customers' needs and expectations, putting their
needs and desires into the center of marketing research and business activities.
2.2. Perceived quality
In the restaurant industry, it is extremely difficult to ensure that customers who come after
meals with satisfaction will surely return to that restaurant. However, the quality of
perceived service is considered as a factor that strongly influences both customer
satisfaction and intention to return (Haque & Khan 2013). Customer satisfaction is
imperative for service organizations because of a positive correlation with their
customers' future attitudes, intentions and behaviors. According to research by Susskind
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and Chan (2000), there are three components that positively impact on customer
satisfaction in restaurants: good food, good service and pleasant surroundings. Meals
have become an integral part of people' lifestyles, customer demands are increasingly
rigorous, and competition between restaurants is more fierce, forcing businesses to think
of the best ways to satisfy their customers.
2.3. Service quality
Service quality is always appreciated by the restaurant in the process of serving customers.
This is reflected in the choice of uniforms, the way to communicate and serve from the
manager to the staff because they are the face of the restaurant (Kang, 2009). Moreover,
the staffs always contact with customers directly, make customers feel comfortable until
the payment time. Therefore, the role and influence of the service staff on the quality of
products in restaurants is enormous. Along with the purpose of improving the quality of
services in the hotel, the facilities in the restaurant are also focused on investment
(Oyewole, 2008). From design, decoration, interior of the restaurant to utensils such as
bowls, chopsticks, plates, cutlery, toothpicks, glasses ... are all efforts of the restaurant to
increase the quality of the restaurant, further make a difference for their businesses.
2.4. Product quality
The core product provided by the restaurant is the food and beverage service. Food and
drink is the restaurant's flagship product, also a powerful weapon and the soul of a
restaurant (Yulisetiarini, 2014). Many restaurants are known for special and unique food
and drinks and few places can imitate the special taste (Khan, 2011). One of the main
goals for a restaurant is to satisfy the needs of the restaurant, and the quality of what goes
through the customer's taste buds is of utmost importance.
2.5. Environment
The restaurant environment will be reflected in the choice of the location of restaurants,
many restaurants choose places that are tourist places, beautiful and clean landscapes,
near the city center ... where restaurants can find potential customers that can come to
their restaurants (Canny, 2014). Inside the hotel, the decorations and music are also
researched and considered by hotel owners to give their restaurant an environment that
meets as many customers as possible.
2.6. Price
In the current competitive period, customers are always looking for high-class restaurants
with delicious food and drinks, but also affordable prices. Restaurants also recognize that
so they offer a lot of promotions, discounts to drive customers to their restaurants
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Le Huu Khanh, Trieu Thi My Hanh– Volume 2– Issue 4-2020, p.389-400.
(Rahman et al., 2012). In addition, restaurant managers must calculate all expenses,
offering reasonable prices to customers but still earning revenue. In the context of many
restaurants changing up, owners have applied methods of calculating the cost of food
based on competitors to create competition and save calculation time. Accordingly,
restaurant owners will set the price of food equal to or lower than that of competitors to
attract customers. However, this calculation of food cost puts a great pressure on the
kitchen department because they have to balance the ingredients and ingredients so that
the food cost of the food reduces but still has to be guaranteed.
Figure 1. Proposed Model
3. Methodology
3.1. Collect data and questionnaire
Three hundred twenty nine people who have had dining experience in a restaurant in
Vietnam will be selected to take part in answering the questionnaire in this study. In addition
to supporting research, other information is also collected from the respondent: Gender, Age,
Marital status, Education Level, Monthly income and Frequency of going to restaurants.
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Thu Dau Mot University Journal of Science – Volume 2 – Issue 4-2020
3.2. Data analysis
3.2.1. Exploratory Factor (EFA):
The factors in the EFA are determined through statistical analysis results, not from the
theory, and the name of the selected statistics after completing the analysis. The EFA is
implemented when it is not known how much it is, and what conditions are affected.
3.2.2. Confirmatory factor analysis (CFA):
The factor analysis method asserts that CFA accepts the hypotheses of the researchers,
determined by the relationship between each variable and one or more factors. In this case,
the CFA works to review the suitability of the existing model for the number of research
data. In other words, the CFA seeks to determine the appropriateness of the existing
rational model for the number of research data.
3.2.3. Regression analysis:
This is a statistical method that the expected value of one or more random variables is
predicted based on the condition of the other variables. Regression analysis coincides not
only with the curve but also with a model with random components and determined
(deterministic and stochastic components).
3.2.4. Descriptive Statistics:
STATISTICA 10 is applied to describe and understand the properties of a particular data
set by providing brief summaries of the sample and its parameters.
4. Result
4.1. Demographic statistics
In this study, 329 sample questionnaires were collected from respondents who lived and
worked in Vietnam. Participants who answer the questionnaire will also be those who have
had experience using the restaurant services. The gender difference of the respondents was
not significantly different: The number of male is 159 (48.3%) and the number of Female is
170 (51.7%). The age group below 19 has the lowest number in this survey (24 respondents,
10%), the remaining age groups have a certain similarity in the percentage. Regarding the
marriage status of respondents, 194 people are single (59.0%) and 135 are married (41.0%).
The education level of the participants who fill out the questionnaire is mostly bachelor level
(139 people, 42.2%). Regarding occupation, the people in this survey are evenly distributed:
Student
(64 people, 26.8%), Self - Business (71 people, 29.7%), Company-employee
(60 people, 25.1%), Housewife (44 people, 18.4%). The income of respondents in this
research is also high: 149 people with income from USD $1000-2000 and most will go to the
restaurant every month to use services.
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Le Huu Khanh, Trieu Thi My Hanh– Volume 2– Issue 4-2020, p.389-400.
TABLE 1. Demographic statistics
Gender
Frequency
Percent
48.3%
51.7%
Percent
10.0%
39.3%
36.8%
22.6%
28.9%
Percent
59.0%
41.0%
Percent
42.2%
33.1%
9.1%
Male
159
Female
170
Age
Frequency
Under 19
24
19-25
94
26-35
88
36-45
54
Over 45
69
Marital status
Single
Frequency
194
Married
135
Education level
Bachelor
Frequency
139
Master
109
Doctor
30
Others
51
15.5%
Percent
26.8%
29.7%
25.1%
18.4%
Percent
33.1%
45.3%
21.6%
Percent
17.6%
35.0%
17.3%
30.1%
Occupation
Student
Frequency
64
Self – Business
Company-employee
Housewife
Monthly income
Lower than USD $1000
USD $1000-2000
More than USD $3000
Frequency of going to restaurants
Weekly
71
60
44
Frequency
109
149
71
Frequency
58
Monthly
115
57
Quarter day
Once a year
99
4.2. EFA and CFA evaluation
The KMO coefficient (Kaiser-Meyer-Olkin) is the index used to consider the suitability
of factor analysis. A high KMO value means that factor analysis is appropriate. In the
research results of collected data, KMO index was reached 0.753, expressed the
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Thu Dau Mot University Journal of Science – Volume 2 – Issue 4-2020
appropriateness of factor analysis. The Bartlett test is a statistical quantity used to
consider the hypothesis of non-correlated variables in the population. If this test is
statistically significant (Sig. <0.05), the observed variables are correlated with each other
in the population, hence the result Sig = 0.00 in this research has met the standard.
TABLE 2. KMO and Bartlett's Test
KMO Test
0.753
Chi Square
df
Bartlett's Test of Spherisity
2934.132
210
Sig
0.00
TABLE 3. Rotation Sums of Squared Loadings results
Total
% of Variance
Cumulative %
2.913
2.151
2.115
2.062
1.778
15.331
11.323
11.132
10.854
9.359
15.331
26.655
37.786
48.64
57.999
In this study, five independent variables are predicted that have influence on the attitude
of buying men's grooming products in Vietnam, so in the table Rotation Sums of Squared
Loadings results only has five factors are rotated. Cumulative value indicates Total
Variance Explained reached 57,999%, met the standard (greater than 50%). From that
result, 57.999% of the change in factors explained by the observed variables.
Regarding the Rotated Component Matrix, we can see that variable P3 has 2 loading
factors with the difference of 0.533 - 0.335 < 0.3, so the variable P3 is not qualified and
removed. The remaining variables all yield greater than 0.4, so we can conclude that this
model has 4 independent variables: SQ (Service Quality): SQ1, SQ2, SQ3, SQ4, SQ5; P
(Price): P1, P2, P4, P5, E (Environment): E1, E2, E3, E4, E5 and PQ (Product Quality):
PQ1, PQ2, PQ3, PQ4, PQ5.
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Le Huu Khanh, Trieu Thi My Hanh– Volume 2– Issue 4-2020, p.389-400.
TABLE 4. Rotated Component Matrix
1
2
3
4
SQ4
SQ1
SQ3
SQ5
SQ2
P1
0.805
0.739
0.728
0.698
0.611
0.907
0.904
0.536
0.533
0.516
P4
P2
P3
0.335
P5
E5
0.895
0.485
0.718
0.631
0.576
E4
E2
E1
E3
PQ1
PQ2
PQ3
PQ5
PQ4
0.901
0.646
0.772
0.705
0.667
After running Cronbach’s alpha, all items have factor loading over the recommended
number of 0.3, which means all factors are satisfactory. Besides, for reliability, greater
than 0.6 as the minimum value for Cronbach’s alpha (Nunnally, 1978).
TABLE 5. Cronbach’s alpha Results
Constructs
Items
Factor
loading
Cronbach's
alpha
Constructs
Items
Factor
loading
Cronbach's
alpha
Service Quality
0.952
Product Quality
0.944
SQ1
SQ2
SQ3
SQ4
SQ5
0.922
PQ1
PQ2
PQ4
PQ5
0.697
0.863
0.895
0.914
0.893
0.723
0.721
0.702
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Thu Dau Mot University Journal of Science – Volume 2 – Issue 4-2020
Environment
0.970
Price
P1
P2
P3
P4
0.771
E1
E2
E3
E4
E5
0.824
0.835
0.793
0.775
0.797
0.926
0.865
0.864
0.906
0.525
P5
Customer satisfaction
0.963
CS1
CS2
CS3
CS4
CS5
0.689
0.557
0.628
0.648
0.571
4.3. Regression analysis results
Regression coefficients for the independent variables must be less than 0.05 to be
meaningful to explain the dependent variable. The regression equation:
0.919 Service Quality
(2.102)
+ 0.403 Product Quality
(5.838)
Customer Satisfaction
=
(0.006)
(0.042)
+ 0.653 Environment
- 0.001 Price
(-10.450)
(0.027)
(1.312)
(0.031)
TABLE 6. Regression Model
Model
Coefficients
T value
P value
(Constant)
Service Quality
Product Quality
Environment
Price
0.000
6.392
2.102
5.838
2.450
1.312
0.077
0.006
0.042
0.027
0.031
0.519
0.403
0.653
- 0.001
Through the analyzed results, it is noticeable that: Service Quality (P = 0.006), Product
Quality (P = 0.042), Environment (P = 0.027) and Price (P = 0.031) have positive
influence on customer satisfaction in restaurants in Vietnam.
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Le Huu Khanh, Trieu Thi My Hanh– Volume 2– Issue 4-2020, p.389-400.
TABLE 7. Results of Regression
Model
P value
0.006
0.042
0.027
0.031
Result
Service Quality
Product Quality
Environment
Price
Supported
Supported
Supported
Supported
5. Discussion and Conclusion
5.1. Discussion of results
H1: Service quality positively affects customer satisfaction in the restaurant. The feeling
of customers who used the service is the most accurate assessment. If a restaurant
receives a lot of good feedbacks from customers about the quality of the products, it
proves that the level of customer satisfaction is at a high level for the restaurant's service
quality. From the perspective of a restaurant manager, in order to get the best assess the
quality of the service of their restaurants, they always stand on the perspective of
customers to understand their wishes and requirements. This is also the reason why
restaurants focus on training the service staff in a methodical manner.
H2: The quality of products through the analysis results shows that there is a positive impact
on customer satisfaction in the restaurant. Food quality is the most important thing affecting
the feel and satisfaction of customers about a restaurant. In case there are many customers
commented on the deliciousness of the same dish, the restaurant must consider and validate
the problem immediately, find the cause and provide appropriate solutions. The reason may
be because the raw material is not fresh, improper cooking procedures or food presentation is
not pleasing ... Regardless of any reason, the information received should have a timely
solution to please customers who have used the service and future customers. In addition,
ensuring hygiene and safety in food service business is also an important thing, all stages
from supply, inspect, preliminary processing, storage and serving must comply with follow
strict rules and procedures. Every waiter and chef should have specific responsibilities in
ensuring food is hygienic and does not affect consumers' health.
H3: The analysis results show that Environment is also an extremely important factor,
contributing to customer satisfaction in the restaurant. If the restaurant environment is
built with comfortable and modern facilities, high aesthetics, hygiene and safety, it will
make customers feel comfortable and bring satisfaction to customers. Not only that, good
facilities will be the premise for the restaurant staffs to show more professionalism, meet
the high requirements of customers. In contrast, lack of facilities, unhygienic, will make
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Thu Dau Mot University Journal of Science – Volume 2 – Issue 4-2020
customers have bad impression and make disadvantages for businesses in fierce
competition.
H4: Price is also an important factor, reasonable prices will positively affect customer
satisfaction. Although people who tend to go out to eat and drink at restaurants are usually
good earners, the price is still a great concern of customers when the competitive
environment in the restaurant industry is increasingly harsh. Restaurants continually offer
attractive prices and special promotions to stimulate customers' needs but still have to
ensure good revenue for the restaurant. This is extremely difficult task for restaurants,
requiring the observation, understanding and calculation mind of the investor.
5.2. Limitations and Further research
This study aimed at delving into the factors that satisfy customer satisfaction in restaurants in
Vietnam. Further studies will explore more about the factors affecting on customer revisit
intention and factors affecting on restaurant revenue in Vietnam. This is an important factor
determining the success and development of the restaurant. However, in addition to customer
satisfaction, there are other factors that also significantly affect the revenue of the restaurant.
Some force majeure factors such as natural disasters (storms, floods ...), epidemics (SARS, A
/ H5N1, H1N1, Covid 19 ...) push restaurants into situations with no workarounds and being
forced to temporarily suspend operations for a long period of time.
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