Customer Experience and Service Quality as Determinants of Customer Retention in Restaurants Employing People with Disabilities

Abstract

This descriptive-correlational research investigates the role of customer experience and service quality in influencing customer retention in restaurants that employ individuals with disabilities. Respondents of this study were 288 customers of a restaurant with employees with disabilities. Specifically, his study aimed to understand the demographic profile of customers, assess their experiences with the physical features of the restaurants and the service performance of employees with disabilities, evaluate the service quality provided by these employees, and examine customer retention. It also sought to identify any significant differences in customer perceptions based on demographic variables and determine the relationship between customers' experiences, service quality, and customer retention. Results of this revealed that the majority of the respondents belonged to Generation Z, were male, unmarried, had a college degree, and with a household income of Php 21,194 or below. Interestingly, the demographic characteristics of customers did not significantly influence their perceptions of the restaurant's physical features or the service performance of employees with disabilities. This suggests that the positive customer experience is consistent across different demographic groups. Moreover, a significant relationship was found between customers' experience and their perception of service quality. Positive experiences, influenced by both the physical environment and the service performance, reinforced customers' perception of high service quality. Employees with disabilities can significantly contribute to service quality, leading to higher customer retention rates. Individuals with disabilities can effectively work in the restaurant industry, provided they receive adequate education and job training. Based on these findings, a framework to improve the customer experience and PWD employees’ service quality to increase customer retention was crafted.