Chapter 1 5
Chapter 1 5
MARK RANIELLE DY
Marketing Management
2017
2
A Thesis
Presented to the Faculty of the College of Business Administration
Polytechnic University of the Philippines
Sta. Mesa, Manila
by
Mark Ranielle Dy
March 2017
TABLE OF CONTENTS
Page
3
TABLE OF CONTENTS ii
LIST OF FIGURES . iv
LIST OF APPENDICES.. v
Introduction . 1
Background of the Study .. 3
Theoretical Framework . 4
Conceptual Framework . 7
Statement of the Problem . 9
Hypothesis .. 10
Scope and Limitations .. 10
Significance of the Study .. 10
Definition of Terms 11
Foreign Literature .. 12
Local Literature .. 14
Foreign Studies . 16
Local Studies .. 18
Synthesis of the Reviewed Literature and
Studies . 19
Summary of Findings.. 36
Conclusions.. 37
Recommendations.. 38
BIBLIOGRAPHY 39
APPENDICES 41
LIST OF FIGURES
3 Disconfirmation Theory 8
4 Research Paradigm 8
LIST OF APPENDICES
Chapter 1
Introduction
This study is about the customer service of a fast food chain called, Dominos
Pizza. Fast-food chains have been a part of many peoples lives. Especially
A fast food restaurant, also known as a quick service restaurant within the
industry, is a specific type of restaurant characterized both by its fast food cuisine
and by minimal table service. And this specific fast-food restaurant, which is the
Dominos Pizza, is what the researcher chose to study about. Pizza has been
So lets focus on the problem and that is about the customer service of this
Customer service is the support you offer your customers both before and
after they buy your product that helps them have an easy and enjoyable
experience with you. Its more than just providing answers; its an important part
of the promise your brand makes to its customers. And its a critical to the
Customer service can have a big impact on your bottom line. It is certainly
cheaper to keep existing customers than to find new ones. And its true: bad
customer service is a very bad thing for your company. Prioritizing customer
Customer service can also ruin or make your reputation. Customers are quick
to share negative experiences, even in the internet. Now the products and
services you offer are only as good as the service you back them with so its
And customers are willing to pay more for a better experience. Focusing on
the customer experience isnt just the latest trend its also smart business. It
turns out that making the service great doesnt just make the customers love you;
it can also increase your profits. Surveys have shown that 86 percent of
consumers would pay more for a better customer experience. You may decide to
tier your customer base if some are willing to pay more for premium experiences,
including support, early access to features, or other benefits. Either way, your
themselves, the researcher decided to conduct a study about it. This study might
help people (especially fast-food crews and servers) to understand that a good
customer service is one of the keys to maintain a good reputation and make
Park (the campus being owned by Domino's Pizza co-founder Tom Monaghan) in
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Ann Arbor Charter Township, Michigan, United States, near Ann Arbor, Michigan.
1965, Tom Monaghan had purchased two additional pizzerias; he now had a total
of three locations in the same county. Monaghan wanted the stores to share the
same branding, but the original owner forbade him from using the DomiNick's
name. One day an employee returned from a pizza delivery and suggested the
name Domino's. Monaghan immediately loved the idea and officially renamed the
business Domino's Pizza, Inc. in 1965.The company logo originally had three
dots, representing the three stores in 1965. Monaghan planned to add a new dot
with the addition of every new store, but this idea quickly faded, as Domino's
experienced rapid growth. Domino's Pizza opened its first franchise location in
alluding to the earlier pledge but stopping short of promising delivery in half an
hour. The company continues to offer the 30 minute guarantee for orders placed
in its stores situated in Colombia, India, Vietnam, Mexico and Turkey.In Malaysia
Voucher.
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their products and especially their customer service are satisfying the customers,
because all people that are buying from any fast food restaurant want to be
served well.
Through this research, the researcher, readers of this study, fast food
managers and owners and future customers will have an idea about the
customer service of Dominos pizza. It gives a mind-set to the future and aspiring
Theoretical Framework
Measurement of Satisfaction
The heart of the satisfaction process is the comparison of what was expected
with the product or services performance this process has traditionally been
ofor experience with the product or service produces a level of perceived quality
will occur, and the shortfall in the perceived performance will be exaggerated.
12
and objective factors (e.g. product and service features). Applying to the
hospitality industry, there have been numerous studies that examine attributes
and customer satisfaction are distinct concepts, although they are closely related.
Atkinson (1988) found out that cleanliness, security, value for money and
by Akan (1995) claimed that the vital factors are the behaviour of employees,
cleanliness and timeliness.11 On the other hand the study by Choi and Chu
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(2001) concluded that staff quality, room qualities, and value are the top three
explaining the state of discomfort buyers are often in after they made a purchase.
Disconfirmation Theory
Conceptual Framework
The input includes the profile of the respondents and the respondents level of
The second frame contains the process of how the researcher will conduct the
The third frame which is the output contains the possible result of this
research and what the researcher wants to happen. The researcher wants to
know the solutions and how to improve the poor customer service.
This study aims to know about the customer service of Dominos Pizza.
1.1 Age
1.2 Sex
2.2 Employees.
2.3 Food
Hypothesis
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level of satisfaction in the customer service of dominos pizza when they are
we chose the cities Muntinlupa, Sampaloc and Tondo. The people I chose to be
respondents are those who are financially stable and capable enough to answer
questions. People who are 15 years old and below were not included in this
This study may help people running fast food restaurants improve their
For restaurant managers, this study will help them improve the training of the
present and future employees. They might get some ideas regarding on how to
For crews and servers (employees), this study will help them improve their
service and satisfy customers even more. This will give them motivation so their
For customers, this study will help them know the proper service they
deserve. High expectations are not bad if many fast food restaurants can reach
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or even exceed them. They might also get extra information about the history of
Dominos Pizza.
Lastly, for future researchers, this study will help as a reference for future
similar studies.
Definition of Terms
Customer service is the act of taking care of the customer's needs by providing
and delivering professional, helpful, high quality service and assistance before,
Bottom line is a financial report that shows the net profit or loss.
regard as.
belief or hypothesis.
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Chapter 2
Foreign Literatures
https://www.zomato.com/ncr/dominos-pizza-sector-18-noida/reviews
hundreds of outlets in over 73 countries today. They are known, of course, for the
pizzas which they have adapted to the Indian palate very well, artfully playing
around with sauces and desi-style toppings. Dominos does rocking business at
all times because they have figured out how to cater to every kind of preference
in the market. They have almost everything from the delightfully excessively
cheese burst to the new thin-crust refine variety. The barbecue chicken and
pepperoni are by far the most popular as is the age-old classic margarita. The
sheer convenience of always having an outlet ready for delivery some anywhere
pizzas and a specialty bake chicken at 5:30 pm on 8/16 for delivery and received
confirmation to be delivered within 20-30 minutes. After an hour the pizza still
hasnt arrived so he decided to call them again and was put on hold for 40
20
Alexis comes to him and says that the driver has already left with the pizza. But
when he called home, it was still not delivered. So Alexis offered to make new
pizzas but her husband threatened Ajay but he ignored him. Then Alexis started
to make the pizzas but she is not wearing any gloves and was getting the
toppings from a pit/dump under the table but she completely denied it when she
was questioned and handed the pizzas. Ajay then left the boxes on the trash bin
This is a prime example of a store that is run so very badly, defying all forms
of food safety and clean operating procedures. If a manager can do this, I dont
Anita of Burnaby (Aug. 18,2016) always orders from Dominos and has never
had a problem until one night. She ordered a large 4 topping pizza. When she
got home she took the pizza out and the box broke, it opened at the end and the
pizza fell out. She called immediately and the girl that placed the order said "oh
no. Come back we'll make you a new one." She brought the pizza back and told
him this hasn't happened before. One of the workers was telling another worker
what happened and was laughing. The pizza was done and I went back to the
counter. Thedriver Kenny called hernames while walking out the door and said
"next time don't drop the box." She said "pardon? What did you say?" He came
back in and said "You heard me. Next time don't be an idiot and drop the box
then harassed her. The manager stopped Kenny and he left. She said if she sees
him again she'll press charges. Then the manager gave her the pizzas for free.
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The manager did the right thing but keeping employees like that was a bad
decision.
Sara of Albuquerque, NM (April 23, 2016) ordered a pizza online two hours
before closing but the pizza never arrived. She called again after an hour and the
lady she spoke with lied and claimed that the driver had tried to call her multiple
times but didn't get an answer. She said that her phone reception is fine and she
did not receive any calls from them. She then decided to ask the woman if the
driver tried the doorbell, to which she responded that he had. But her house had
Lying to a customer is not a good thing if you want to keep them. But if they
served her well they wouldnt have to lie in the first place. But still, telling the truth
Reference: https://www.consumeraffairs.com/food/dominos.html
Local Literatures
minutes late but he still paid for the pizza. He recently ordered two pizzas from
Domino's for his team. There's a promo on pizza chains that your order would be
free if it didn't arrive within 30 minutes. His location is a building within the Ortigas
CBD and he knew that the nearest Domino's branch in which his order will come
from is at SM Megamall. They waited for an hour before he tried to call their
hotline again, then the delivery guy arrived suddenly. The pizza was already
barely warm.
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Reference: https://www.reddit.com/r/Philippines/
Branches must not guarantee a delivery time if they cant fulfill it. Its
Renz Fortaleza Pural (January 2017) went there to avail the buy one, take
one. Once he got to the line, the cashier wasn't even listening to him and his
friend and was rather distracted so it took them more than 5 minutes to finish up
the order. Moving on, there was no regular sized pizza so there was no choice
but to just order a family sized one even though they originally didn't plan for it
but the pizza was good and tasty so they really had no regrets ordering the
pepperoni and bacon cheeseburger. Wished customer service was a tad bit
better.
Reference: https://www.zomato.com/manila/dominos-pizza-sampaloc-
manila/reviews
According Gracia M., the service was very poor. They gave her plastic plates,
plastic fork and plastic knife for dine-in and the pizzawas in the box when served.
Spaghetti was in a foil container, buffalo wings did not look fresh and the lava
Reference: https://looloo.com/p/dominos-pizza-a-venue
Good and great service is really an expected thing from any fast food restaurant
anywhere. But we must not expect too much so we would not be disappointed
that much.
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Foreign Studies
Reference:https://www.era.lib.ed.ac.uk/handle/1842/1553
customers and gain or poach new ones, competing for customers on a globalized
market like never before. One of the many sets of tools aimed at aiding the
organizations build individual relationships in such a way that both the firm and
the customers get the most out of the exchange, providing both parties with long
Reference: https://pure.ltu.se/ws/files/31170801/LTU-EX-10111-SE.pdf
researchers in the last several decades. More and more scholars and managers
fierce competition environment, it is not enough to just follow the tradition rules of
Reference: pure.au.dk/portal-asb-student/files/46073601/Master_Thesis.pdf
Young people spend more than any other age group on meals much of it on
They are the generation saddled with more student debt than ever before, yet 16
to 24-year-olds are spending more on food than any other age group because
Jane Sixsmith, director of the food education charity Focus on Food, said:
Theres something about this generation which makes them know less about
cooking. That might be just because its easier because of time, but also the
Reference: http://www.independent.co.uk/news/uk/home-news/16-to-24-year-
olds-spend-more-on-food-than-any-other-age-group-says-research-
a6678596.html
Its a no-brainer that customer loyalty is the main stimulator of profit and
growth. That loyalty can only come about through customer satisfaction, and this
is traced back to the value of the service that guests receive. This value is
Reference: https://www.hotelschool.co.za/2013/09/food-chain-employee-
customer-satisfaction
Local Studies
profile and customer satisfaction, and propose plan of action to improve the
Reference: http://research.lpubatangas.edu.ph/wp-
content/uploads/2015/04/APJARBA-2015-1-001-Customer-Satisfaction-on-the-
Quality-Services-of-one-Department-Store-in-Batangas-City.pdf
Achieving a high level of service quality has always been a primary concern
for banks worldwide. Due in part to intense competition, the commercial banks in
Reference:http://www.dlsu.edu.ph/conferences/dlsu_research_congress/2013/_p
df/LCCS/LCCS-II-013.pdf
Cofee (TMC) to the products and service quality, are significantly related to the
quality of the factors, which TMC achieved. Though there are some factors that
26
Reference: http://lpulaguna.edu.ph/wp-content/uploads/2016/08/Strategy-
Innovation-For-Taza-Mia-Coffee-Philippines.pdf
researcher with some insights about customer service and its importance to
service quality in order to satisfy more and more customers. They need to know
more about the feelings and thoughts of their customers in order to serve them
better. They might need to read most of the complaints so they will have ideas on
how to improve their services. Providing better training for employees might also
need to know how to serve a customer properly if they applied to job like this.
They need to know what makes customers happy and what makes them stay.
The study of Jens Berfenfeldt is the most important of these studies. Building
a relationship with your customers can result in an increase in your overall profit.
You need to know them better so you can serve them better. Having long-term
and good customers with you is one of the best strategies to make a business
successful.
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Chapter 3
RESEARCH METHODOLOGY
Research Method
In this chapter, the design and procedures undertaken during the conduct of
the study will be discussed. It will present the research method used,
This study used the descriptive method of research. The descriptive research
The technique that was used under descriptive method is the normative
insights.
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As used in this study, the data gathered are the respondents age, sex, civil
encountered.
On the population size of 1,488,264, the researcher set the 400 respondents
to be the sample size for the study which was determined by the technique of
random sampling.
The researcher chose people randomly but specifically those who are capable
experience.
pizza regarding their opinion on the branches of fast food restaurant. The
respondents were students and employees who have experienced eating at least
Instrument Used
In this study, the instruments used are questionnaires, which are a necessity
for descriptive method. The contents of the questionnaire were composed of the
The questionnaire is divided into two parts: (1) profile of the respondents and,
(2) their level of satisfaction with the customer service of Dominos Pizza.
Upon the approval of the questionnaire, the researcher asked permission from
the chosen respondents. After the asking permission, the researcher carefully
questionnaires were retrieved. The data that was gathered were tallied, tabulated
The information the researcher got through the questionnaire was further
analyzed using statistical tools. The application of these statistical tools was
deemed appropriate to the nature of the problem and of the data gathered.
survey. It was used to show the degree of relevance of every answer given
by the respondent relative to the total population. The formula used in the
Where:
% = percentage
f = frequency
n = total number of sampling population
2. Weighted Mean
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in the various parts of the survey questionnaire used. The method was
used in conjunction with the Likert Scale. It was solved by the formula:
x=
fx
n
Where:
x = weighted mean
3. Slovins Formula
is used to calculate the sample size (n) given the population size (N) and a
The Likert Scaling Technique was used in the study. It assigns one
Disagree/Very Often Not Met which is equal was 1. The total assigned
systems for each item must be such a high score consistently reflects a
response.
Chapter 4
This chapter presents the analysis and interpretation of data obtained from a
Dominos Pizza and the significant difference. The following are the results of the
study:
1.1 Age
Table 1
Respondents by Age
Table 1 shows that of the 400 respondents of this study, 291 or 72.8% are aged
16 to 21 years old, 60 or 15.0% are aged 22 to 27 years old, 30 or 7.5% are aged
28 to 33 years old, 11 or 2.7% are aged 40 years old and above, and 8 or 2.0%
are aged 34 to 39 years old. The results may indicate that Domino Pizzas
research reveals that 16 to 24-year-olds are spending more on food than any
other age group because they know so little about cooking. She quoted Sixsmith
who said that this generation knows less about cooking not only because they
have no time but also because of the availability and cheapness of ready meals.
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1.2Sex
Table 2
Respondents by Sex
Table 2 shows that of the 400 respondents, 163 or 40.8% are male, and 237
or 59.2% are female. Conducted by Smart Flour Foods and the Center for
Generational Kinetics, the study was compiled from 10-minute surveys filled out
by 1,004 adults whose practice of ordering pizza from restaurants (or buying
frozen pizza) every month classified them as "pizza lovers." The results were
pretty surprising: not only were 63% of all pizza lovers women, but 41% of those
women fell into the "Millennial" age bracket. What's more, 68% of pizza lovers
actually reported exercising at least two times per week, a far cry from the
pleasures of pizza. Just how important are those pizza pleasures? 8% of pizza
lovers said they'd rather go a year without sex than without pizza, which only
reinforces the fact that most pizza lovers are undoubtedly female.
Table 3 shows that of the 400 respondents, 324 or 81.0% are single, and 76
or 19.0% are married. This shows that single people are more likely to eat at
Table 4
Table 4 shows that of the 400 respondents, 103 or 25.8% buys once a month,
47 or 11.7% buys 2-3 times a month, and 250 or 62.5% buys occasionally. This
shows that most of the respondents buys or eats at Dominos Pizza just
occasionally.
Table 5
Numerical
Description Verbal
Facilities and Equipment (Weighted Mean) Description
Comfort Room 3.74 Satisfied
Air Conditioning 3.82 Satisfied
Tables and Chairs 3.75 Satisfied
Floor Cleanliness 3.78 Satisfied
Ambiance 3.77 Satisfied
GRAND MEAN 3.77 Satisfied
Table 5 shows that the respondents are satisfied on the customer service of
Satisfied) and Tables and Chairs (ND of 3.75 and VD of Satisfied). According to
KisangRyu and Heesup Han (2011), study showed that facility aesthetics,
loyalty.
2.2 Employees
Table 6
Numerical
Description Verbal
Employees (Weighted Mean) Description
Grooming/Attire 3.86 Satisfied
Behavior/ Courtesy 3.85 Satisfied
Service 3.82 Satisfied
GRAND MEAN 3.84 Satisfied
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It can be seen from Table 6 that the respondents are satisfied on the
may imply that the companys leadership place importance not only on the
According to the article The food chain of employee and customer satisfaction
(2013), customer loyalty can only come about through the value of the service
that they receive from the employees. The employees, on the other hand, derive
2.3 Food
Table 7
Numerical
Description Verbal
Food (Weighted Mean) Description
Taste 4.04 Satisfied
Appearance 3.99 Satisfied
Freshness 4.00 Satisfied
GRAND MEAN 4.01 Satisfied
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Table 7 shows that the respondents are satisfied on the customer service of
Dominos Pizza in terms of the foods Taste (ND of 4.04, VD of Satisfied) and
professional chefs know that part of the secret of delivering delectable food is the
sent off by the waiter to the diner, to ensure that it fulfills its visual purpose.
Our eyes have been conditioned to see certain foods in a particular way and
while some colors stimulate the taste buds, others are capable of killing the
appetite.
Table 8
Numerical
Description Verbal
Delivery Service (Weighted Mean) Description
Convenience 3.82 Satisfied
Timeliness 3.74 Satisfied
Availability 3.70 Satisfied
GRAND MEAN 3.76 Satisfied
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Table 8 shows that the respondents are satisfied on the customer service of
Hunt, the focus of consumer groups and enterprise awards on delivery services
recognizes their importance in the fulfillment process. Major brand leaders are
already using the service. Smaller e-tailers need to weigh the cost of using a
premium delivery service for their express deliveries, against the positive
3.1 By Age
Table 9
Aspects of Customer
Service F-value p-value Decision Remarks
Facilities and Equipment 2.212 .067 Accept Ho Not Significant
Employees .478 .762 Accept Ho Not Significant
Food 2.018 .091 Accept Ho Not Significant
Delivery of Service .994 .411 Accept Ho Not Significant
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Since all the p-values are greater than the assumed level of significance of .05,
the null hypotheses were accepted. This means that, statistically, the
3.2 By Sex
Table 10
Aspects of Customer
Service t-value p-value Decision Remarks
Facilities and Equipment .900 .368 Accept Ho Not Significant
Employees 1.852 .065 Accept Ho Not Significant
Food -.554 .580 Accept Ho Not Significant
Delivery of Service .587 .557 Accept Ho Not Significant
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obtained an F=.587 with a p=.557 and Food obtained an F=-.554 with a p=.580.
Since all the p-values are greater than the assumed level of significance of .05,
the null hypotheses were accepted. This means that, statistically, the
the same.
Table 11
Aspects of Customer
Service t-value p-value Decision Remarks
Facilities and Equipment -1.426 .155 Accept Ho Not Significant
Employees -.542 .588 Accept Ho Not Significant
Food .899 .389 Accept Ho Not Significant
Delivery of Service -.580 .562 Accept Ho Not Significant
and Facilities and Equipment obtained an F=-1.426 with a p=.155. Since all the
p-values are greater than the assumed level of significance of .05, the null
hypotheses were accepted. This means that, statistically, the respondents levels
Table 12
Aspects of Customer
Service F-value p-value Decision Remarks
Facilities and Equipment 1.537 .216 Accept Ho Not Significant
Employees .590 .555 Accept Ho Not Significant
Food 2.344 .097 Accept Ho Not Significant
Delivery of Service .069 .933 Accept Ho Not Significant
As shown in Table 11, Food obtained an F=2.344 with a p=.933, Facilities and
p=.555, and Delivery of Service obtained an F= .069 with a p=.933. Since all the
p-values are greater than the assumed level of significance of .05, the null
hypotheses were accepted. This means that, statistically, the respondents levels
Chapter 5
questionnaire.
42
Summary
employees, food and delivery service. This study used the descriptive method of
for this study. We gave them out to the customers of Dominos pizza in
Muntinlupa, Sampaloc, and Tondo branches. The statistical tools used are
frequency and percentage distribution, weighted mean, Slovins formula and the
Findings
11.7%.
2. Assessment on Customer Service of Dominos Pizza
As to facilities and equipment, Air Conditioning got the highest with
3.82 weighted mean, whereas Comfort Room got the lowest with 3.75
with 3.86 weighted mean, whereas Service got the lowest with 3.82; as
to food, Taste got the highest with 4.04 weighted mean, whereas
mean, whereas Availability got the lowest with 3.70 weighted mean.
3. Significant Difference
As to age, the hypothesis was accepted; as to sex, the hypothesis was
Conclusions
years old; majority are female; majority are single; and majority
buys occasionally.
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mean is 3.76.
3. Significant Difference
There is no significant difference in the respondents assessment of the
to profile.
Recommendations
given.
1. Since the survey resulted that most customers are 16-20 years old,
they should create a promo for older people so they will keep coming
to their store.
2. As the survey revealed that the tables and chairs got the lowest
weighted mean on the facilities and equipment, maybe they should put
4. The company must maintain or improve their customer service for the
effective.