Research of Business and Management

p-ISSN/e-ISSN: 2986-3732/2986-2825
Homepage: https://sanscientific.com/journal/index.php/rbm
2(2) 67-76 (2024)
https://doi.org/10.58777/rbm.v2i2.215

Research Article
Identify Attributes of Service Quality Factors and
Other Factors Affecting Calla SPA Customer
Satisfaction
Nguyễn Văn Nhân1*, Hồng Thị Thu Trang2, Trần Thị Thúy Vân3
1,3
Asia & World Enterprise Resources Center
2 Business
Management student at the University of Zimbabwe

Received: 01-04-2024; Accepted: 13-05-2024

Abstract
This research aimed to identify the factors influencing customer satisfaction at Calla SPA, focusing
on service quality attributes such as Tangibility, Reliability, Ability to meet expectations, and
Assurance, as well as other factors like price and location of Calla SPA offices. Both qualitative
and quantitative methods were utilized, including document research, in-depth interviews, group
discussions, and surveys. Results indicated that service quality (β3) had the strongest impact on
satisfaction, followed by price (β1) and location of the SPA (β2). SPSS testing confirmed the
reliability of the scale (α = 0.70 to 0.95), with total correlation coefficients above 0.3, KMO values
between 0.5 and 1, and significance levels (Sig) below 0.05. These findings provide a foundation
for Calla SPA's management to enhance customer satisfaction through service quality
improvements, thereby aiding in market share retention, market expansion, and revenue growth.
Furthermore, the research contributes to the theoretical understanding of service quality and
customer satisfaction within the SPA industry.

Keywords: Spa Beauty, Service quality, Price, Location, Satisfaction, Calla Spa.

JEL Classification: M1, M19, M31

How to cite: Van Nhan, N., Hong Trang, T. T., & Thuy Van, T. T. (2024). Identify attributes of
service quality factors and other factors affecting Calla Spa customer
satisfaction. Research of Business and Management, 2(2), 67–76.

Corresponding author: Văn Nhân Nguyễn ([email protected])

This is an open-access article under the CC-BY-SA international license

1. Introduction
Customer satisfaction with service quality has been a concern of many researchers, scholars and
businesses. Researchers such as Brady and Cronin (2001); Parasuraman (1988); Cronin and Taylor
(1994); Van Nhan et al (2023); Nhan and Luc (2023) have conducted research on service quality
with specific factors and attributes in many different fields. According to Kotler and Armstrong
(2010), Services are activities or benefits that businesses can devote themselves to customers in
order to establish, strengthen and expand long-term cooperative relationships with customers.
Good service quality that meets customer requirements will bring customer satisfaction (Van Nhan
et al., 2023). Service quality is a strategic tool in business operations of company (Nhan et al.,
2023).

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In today's beauty SPA service industry, demand is increasing rapidly, women's beauty needs play
an important role (Sari, 2017). Because of the massive opening of SPA services, high requirements
for service quality from customers force customers to choose a beauty unit for themselves.
Satisfaction is the result of the balance between benefits and costs incurred by the product (Nhan
et al., 2023); (Sirgy et al., 2006); (Thúy vân et al, 2023). Therefore, customers will choose units that
provide good services and meet their expectations to use the service (Indah, 2019).

With Calla SPA's current operations, the number of customers coming in is 300 in the third quarter
of 2023 and 350 in the fourth quarter of 2023 (of which 100 return customers, accounting for 35%).
In the morning of the first quarter of 2024, the number of visitors is 200 (return visitor rate is 4%).
Thus, it can be seen that. The number of returning visitors is decreasing.

Based on data recorded from Calla Spa's customer care department, (2023) on feedback about calla
spa's service quality, feedback about prices being too high or parking location being uncomfortable.
Therefore, the author conducted this research with this goal (1) Find out the factors that affect
customer satisfaction at Calla SPA. (2) Explore the relationship between those factors and customer
satisfaction in the SPA field. Thereby, improving customer satisfaction with the service quality of
calla SPA facilities and the results of this research will partly help managers and leaders of SPA
businesses have more advanced solutions. satisfaction. of customers through the service quality of
SPA.

2. Literature Review and Hypothesis

2.1. Product price
According to Sihombing et al., (2023). Price is the value of the product that brings the brand image
to the company and is also the final value of consumer behavior related to purchasing decisions
and services. and can refer to products that deliver experiences and create value as well as generate
positive feedback from customers. With Kotler, Philip and Kevin Lane Keller. (2012). The price of
a product or service is the value that a customer exchanges for the benefit of purchasing or using
the good or service that is still realized by the buyer and seller through agreements or fixed by the
seller at a level Same price for all buyers. Price is determined based on attributes such as (1)
Affordable price; (2). Conformity of price with service quality; (3) Power of price; (4)
Correspondence between price and benefits. Thus, Price is the overall sacrifice a consumer is
willing to make to obtain a particular product or service (Tjiptono, 2017). With Achrol & Kotler
(2016) said that price is the amount of money paid for a product or service or the total value that
customers exchange to obtain benefits from owning or using the product service. Based on the
above statements, hypothesis H1 is:
H1: Product price positively affects customer satisfaction.

2.2. Business location SPA

Business location plays a very important role in reaching customers, expanding markets in business
operations, it directly impacts the company's sales, survival and development. businesses (Van
Nhan et al., 2023). According to Kotler (2012) different locations or areas of operation of the
business will make the items produced or sold meaningful and accessible to the target market.
Choosing a location plays the most important role in starting a service or product business and
ensuring long-term success. Location is especially important with foot traffic, accessibility,
atmosphere and the right clientele. Tjiptono (2019) introduced indicators to measure location fit
including attribute factors (1) Visibility refers to the distance consumers visit the company; (2)
Parking area, with convenient parking; (3) Environment is the condition and state of the
environment surrounding the company. With the above statements, hypothesis H2 is:
H2: Business location positively affects customer satisfaction.

2.3. Service quality

Service quality lies in the quality of products and services, expressed through customer satisfaction.
Customers form their perceptions of service quality on the basis of performance evaluations at
multiple levels and ultimately combine these evaluations to arrive at an overall perception of service
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quality (Brady and Cronin et al. events, 2001); (Van Nhan et al., 2023); ( Nhan et al., 2023). With
scholars Parasuraman et al. (1985) proposed five basic dimensions of service quality and service
quality is a comparison between two main factors: customer perception of actual service received,
perceived service and service quality. expectation. If the actual service is better than expectations
then the service is of high quality, if the actual service meets the requirements then it is considered
satisfactory, if the actual service does not meet expectations then the service is considered
satisfactory. is of low quality (Parasuraman et al., 1998). On the other hand, with Tjiptono (2015),
service quality is seen in issues such as (1) Tangibility is the external expression of administrative
qualities, which can be offices, hardware, staff and actual correspondence. (2) Specific capacity for
reliability to demonstrate or perform management that has been demonstrated to be consistent and
reliable. (3) Responsiveness, especially willingness to help customers and provide provide
appropriate support. (4) Assurance, especially information, courtesy and representative
competence to provide confidence and certainty to the customer so that the customer has a feeling
of trust or security. (5) Consensus Empathy is personal concern or understanding of the customer.
For Van Nhan and Thuy Van (2023), service quality is viewed according to factors and attributes
(1) Attitude (Friendly; Caring; Ready; Listening); (2) Tangible (Uniforms; Facilities; Modern
equipment; Product appearance); (3) Experience (Exciting; Great; Positive; Comfortable); (4)
Technology (Reduce time; Complex products; Improve product accuracy; Sufficient contact
information; Product simulation); (5) Design (Impression; Expectation; Quality; Creativity;
Surprise); Thus, it can be seen that service quality will be perceived and evaluated by customers
based on implementation at many different levels. Today, increasing competition in the market has
caused many companies to consider service quality as a strategic tool in their operations (Van Nhan
et al., 2023). Service quality can differentiate an organization from other organizations and it will
ultimately give the organization a competitive advantage (Kartika et al., 2020); Tjiptono (2015).
Therefore, hypothesis H3 is:
H3: Service quality positively affects customer satisfaction.

2.4. Satisfaction
Satisfaction is a consumer's satisfied response to a perceived feature of a product or service, or the
product or service itself has provided (or is providing) (Van Nhan et al., 2023). The level of
satisfaction related to consumption includes the level of undersatisfaction or oversatisfaction. For
Kotler et al. (2009), customer satisfaction develops when customers compare the perceived value
of a service against their expectations (Kotler et al., 2009). Customer satisfaction is closely linked
to service quality (Cronin et al., 2000). According to Panjaitan (2016), customer satisfaction and
loyalty are measured through attribute factors such as (1) Meeting service quality expectations; (2)
Satisfaction compared to similar products and (3) No complaints or complaints.

In short, customer satisfaction plays a very important role in business operations, especially SPA
businesses, it greatly affects business performance and business profits. Therefore, customer
satisfaction is the main determining factor ensuring the success or failure of a business (Nhan and
Van, 2023). Customer satisfaction is assessed after purchase and based on the experience of
consuming the product or service (Van Nhan et al., 2023); (Mittal and Kamakura, 2001); (Zeithaml
and Bitner, 2006). Satisfaction is closely related to the sustainable development of the industry
because it is a measure of the service provided (Cronin et al., 2000).

2.5. Research hypothesis and model proposal

With the above research presentations and hypotheses, they are summarized in Table 1 and Figure
1 below

Table 1: Summary of Hypoyhesis

H1 Product price positively affects customer satisfaction.
H2 Business location positively affects customer satisfaction.
H3 Service quality positively affects customer satisfaction.
Service quality includes attributes (Tangible; Reliability;
Responsiveness; Assurance and Care)

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Model proposals

With the above research presentations and hypotheses. The research model proposed by the
authors is as shown in Figure 1 below:

PRICE
H1

BUSINESS LOCATION

H2 CUSTOMER
SATISFACTION

Tangibility

Reliability
H3

Responsiveness

Warranty

Attention

SERVICE QUALITY

Figure 1. Proposes a research model

3. Data and Method

Van Nhan and his colleagues combined qualitative and quantitative research methods in this study.
With qualitative research, we use a set of research questions using the interview method, followed
by group discussion and building a proposed research model.

With quantitative research, conduct a survey with customers of Calla SPA in Dong Nai province
and Ho Chi Minh City. The scale used by the author is a 5-point Likert scale, surveyed with an
infinite number of customers, and selected valid responses. The software used is SPSS to check the
reliability of the scale and analyze multiple linear regression data.

3.1. Alpha Reliability Cronbach's Alpha

Results of testing the reliability of the Service Quality, Price, Business Location and Satisfaction
scales show that the scales all have Cronbach's Alpha coefficients in the range of 0.70 ≤ alpha. ≤
0.95 and the Corrected Item-Total Correlation coefficient of observed variables in each scale is
greater than 0.3 (> 0.3). Therefore, the observed variables in each scale are correlated with each
other and the scale is highly reliable.

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3.2. T-Test
t-test to determine the linear relationship between the independent variable and the dependent
variable. The results obtained are shown in Table 2 as follows:

Table 2. t-Test results

Variables t Sig
Constant 2.230 0.029
Service quality 2.076 0.041
Price 2.062 0.043
Business location 2.500 0.015
Source: The authors processed the data

With the results in table 2, we see that

• Service quality has Sig=0.041 < 0.05 and t-count = 2.076 > 1.99167. Thus, Service quality
has an impact on customer satisfaction, and H1 is accepted.
• Price has Sig=0.043 < 0.05 and and t-count= 2.062 > 1.99167. Thus, Price has an impact on
customer satisfaction, and H2 is accepted.
• Business location has Sig=0.015 < 0.05 and t-count = 2.500 > 1.99167, so it can be concluded
that business location has an impact on customer satisfaction, and H3 is accepted.

3.3. F-Test
To accurately evaluate model fit through hypothesis testing. To test the suitability of the regression
model, the thesis author will hypothesize H0: R2=0. Consider the following two hypotheses:
• Hypothesis H0: Coefficient of determination R2=0
• Hypothesis H1: coefficient of determination R2≠0

If Sig<0.05, the author rejects the hypothesis H0, meaning that when R2≠0 is statistically
significant, the regression model is appropriate. The results obtained are shown in Table 3 as
follows:

Table 3. F-Test results

Content F Sig
Regression 10.247 0.000b
Residual
Total
Source: The authors processed the data

Table 3 shows that the value F=10.247 at the significance level Sig=0.000 is very small (sig=0.000
<0.05). And value F=10.247> Table F=2.72 Therefore, the author can conclude that R2≠0 is
statistically significant, the regression model is appropriate, and there is an impact of service
quality. service, price, business location to customer satisfaction

3.4. Check the linear regression equation

The process of checking the multiple linear regression equation yielded results as shown in Table
4 as follows:

Table 4: Table 4: Testing results

Content b T Sig(P)
Constant 3.367 2.239 0.029
Quality service 0.127 2.076 0.041

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Price 0.167 2.062 0.043

Business location Spa 0.294 2.500 0.015
Source: The authors processed the data SPSS

From the t-test process and the results obtained from the linear regression equation test recorded in
Table 4 above, we can see the relationship between the independent variables (1) Service quality;
(2) Price; (3) Business location; with the dependent variable being Customer Satisfaction. This is
expressed by the following equation:

CS=3.367+0.127SQ+0.167PR+0.294BL + e (1)

Note: Service quality (SQ);

Price (PR);
Business location (BL);
Customer satisfaction (Cs).

The authors distributed 316 survey questionnaires and received 316 responses, of which 300 were
valid responses. After coding and processing using SPSS and AMOS 20 software for analysis. The
results of the SEM model are shown in Figure 2 below:

3.5. Regression results

The regression coefficients determined for the results are in Table 5 below:

Table 5. Results of testing the regression equation

Model R R Square Adjusted R Std, Error of
Square the Estimate

1 0.537a 0.288 0.260 1.465

a, Predictors: (Constant), SQ, PR, BL

b, Dependent Variable: CS
Source: The authors processed the data SPSS

With the results of Table 5, we see that the R Square value = 0.288, which means that the influence
of service quality, price and business location on customer satisfaction is 28.8%. The other factor
is 0.712 (71.2%) which means that 28.8% of customers are influenced by service quality, price and
business location. And 71.2% of customers are influenced by other factors that were not mentioned
in this study

4. Discussion
The research process at Calla SPA mentioned in the article has identified independent factors
affecting Calla SPA customer satisfaction. Includes (*) Service quality (has attributes (1).
Tangibility is the external manifestation of administrative qualities, which can be offices, hardware,
staff and actual correspondence. ( 2) Specific capacity for demonstrated reliability or management
performance must be consistent and reliable 3) Responsiveness, especially willingness to help
customers and provide ( 4) Assurance, especially information, courtesy and representative
competence to provide confidence and certainty to the customer so that the customer has a feeling
of trust or security is the customer's personal concern or understanding); (**) Price (with attributes
(1) Affordable price; (2). Conformity of price with service quality; (3) Power of price; (4)
Correspondence between price and benefits); (***) Business location (with attributes (1) Visibility
refers to the distance consumers visit the company; (2) Parking area, with convenient parking; (3)
Environment Environment is the condition and state of the environment surrounding the
company.

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The research results have met the initial research objectives of (1) Explore factors affecting
customer satisfaction when choosing to use services at Calla SPA and (2) Explore the relationship
between those factors and customer satisfaction in the SPA field.

The F test result with F value = 10.247 at the significance level Sig = 0.000 < 0.05 will describe the
appropriate scale. With the standardized beta coefficient β3> β1> β2 Therefore, the factor that has
the strongest impact on the dependent factor (satisfaction) is the valuable service quality factor
(β3=0.127), followed by is the price factor (β1=0.167) and finally the location of the SPA center
(β2=0.294). Quantitative results show that the observed variables in each scale are correlated with
each other and the scale is highly reliable.

To improve Calla SPA customer satisfaction, maintain stability and develop sales in business
operations. Calla SPA needs to meet the balance between benefits and costs, Nhu Nhan and
colleagues (2023) stated, Satisfaction is the result of the balance between benefits and costs that the
product brings (Nhan et al., 2023) and Service quality is an important strategy in an enterprise's
business operations (Nhan et al., 2023). With 28.8% of customers being influenced by service
quality, price and business location. And there are another 71.2% of customers affected by other
factors that have not had a chance to be mentioned in this study. With the researched data
mentioned above, the authors propose the following solutions to improve customer satisfaction,
help Calla Spa business maintain the stability of its current customer base, and expand its market.
market to increase sales through new customers coming to Calla Spa.

5. Discussion and recommendations

5.1. Business location SPA
With the standardized beta coefficient, β3> β1> β2 and the location of the SPA business center
(β2=0.294) are low. Thus, it can be seen that the chosen SPA business location of Calla SPA is
suitable and convenient for customers. However, the observed attributes in the location factor also
need to be improved to help facilitate and satisfy customers, such as the parking area needs to be
safer and more spacious for customers and the parking area. The surrounding area of Calla SPA
needs to be clean, without scattered trash to make customers feel comfortable. Need support to
guide and help customers when parking. For motorbikes, someone needs to guide the vehicle into
position instead of before, customers guided the vehicle into position themselves. For cars, there is
someone to guide customers to park in the correct location, to avoid the situation where the
customer has already started the car, but is asked to park it in another location, creating
dissatisfaction for the customer.

5.2. Prices of SPA products and services

With the standardized beta coefficient, β3> β1> β2 and the price factor (β1=0.167) is in second
place, having an impact on customer satisfaction. When considering the price factor at Calla SPA
with the attributes (1) Affordable price; (2). Conformity of price with service quality; (3) Power of
price; (4) Correspondence between price and benefits. The author feels that this is a factor that
needs to be paid attention to. Calla SPA needs to promote consulting for customers to clearly
understand the services they choose and the value customers will achieve, thereby helping
customers clearly and deeply understand the value of benefits, which makes customers satisfied
with the costs spent to use services at Calla SPA. And Calla SPA must ensure commitment to
quality, benefits brought to customers when accepting to spend the corresponding costs, meeting
the compatibility of price with service quality, meeting compatibility. Relation between price and
benefits brought to customers.

Therefore, to avoid customer dissatisfaction when paying after using the service at Calla SPA.
Businesses need to improve the customer contact skills and knowledge of employees in charge of
consulting roles for customers. Advise customers to clearly understand the effectiveness and
benefits received after SPA treatments. On the other hand, Calla SPA also needs to have a
competitive pricing strategy suitable for each location and area where Calla SPA is located.

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5.3. Service quality of Calla Spa

With the standardized beta coefficient, β3> β1> β2 Therefore, the factor that has the strongest
impact on customer satisfaction is the service quality factor with the value β3=0.127. In terms of
attributes observed in service quality factors such as Tangibility; Reliability; Responsiveness;
Assurance and Care, Calla SPA needs to improve and enhance aspects of service quality in terms
of aspects. Because based on the t-test results, Service Quality has Sig = 0.041 < 0.05 and t-count
= 2.076 > 1.99167, and thus, Service Quality has an impact on customer satisfaction. Further
improvement in service quality needs to be noted in the aspects of further improving Calla Spa's
administrative procedures, Calla Spa's display and decorative space, especially improving skills.
Communication and consultation of Calla Spa staff with customers. The technician's ability plays
an important role in creating customer satisfaction, which increases customer confidence in Calla
Spa.

Calla Spa's responsiveness to customers, especially its willingness to help customers and provide
appropriate support, consulting on solutions for customers to choose from, helps customers see
their enthusiasm. the love and readiness that Calla Spa provides to customers. The important thing
that needs to be improved and further enhanced is the assurance aspect, especially the information
provided to customers is guaranteed and accurate, avoiding the case of advising on one content,
but when proceeding, it drags out more information. other contents, this causes customers to lose
trust in Calla Spa, which will greatly affect the maintenance of operations in the future. When trust
and certainty for customers are guaranteed, customers have a feeling of trust and security, giving
customers satisfaction.

6. Conclusion
Above are the results of research and proposed to Calla Spa solutions to improve customer
satisfaction of Calla Spa in Dong Nai and Ho Chi Minh City areas. suggestions to improve service
quality and create customer satisfaction, it will help Calla Spa leaders have a clearer view of
operations, pricing strategy, and location of Calla office opening. Spa and service elements. Thanks
to that, the Board of Directors makes the right decisions in Calla Spa's operating strategy.

This research is limited in the number of new customers, focusing only on the Dong Nai and Ho
Chi Minh City areas, Vietnam, in order to understand the factors that affect customer satisfaction
when choosing to use services at Calla Spa and find out the relationship between those factors and
customer satisfaction at Calla Spa. In subsequent studies, scholars and researchers can inherit the
results and select more related studies in the same industry to continue building a questionnaire
with new factors. The number of samples in future studies needs to expand more and have wider
coverage, expanding geographical space to achieve high results. Can be widely applied to spa
centers and facilities in the future.

ORCiD ID: (Nguyễn Văn Nhân) https://orcid.org/0009-0005-3991-3717

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