CUSTOMER REPURCHASE BEHAVIOUR: A CASE STUDY OF AN UPSCALE RESTAURANT
By Janice Yip
11403022
BACHELOR’S DEGREE in
BUSINESS ADMINISTRATION - HOTEL AND TOURISM MANAGEMENT concentration
FACULTY OF BUSINESS AND COMMUNICATION
SWISS GERMAN UNIVERSITY The Prominence Tower
Jalan Jalur Sutera Barat No. 15, Alam Sutera Tangerang, Banten 15143 - Indonesia
August 2018
Revision after the Thesis Defense on July 24, 2018
Janice Yip STATEMENT BY THE AUTHOR
I hereby declare that this submission is my own work and to the best of my knowledge, it contains no material previously published or written by another person, nor material which to a substantial extent has been accepted for the award of any other degree or diploma at any educational institution, except where due acknowledgement is made in the thesis.
Janice Yip
___________________________________________
Student Date
Approved by:
Esa Theodore Mbouw, BBA, M.Si
___________________________________________
Thesis Advisor Date
Dr. Nila K. Hidayat SE., MM.
___________________________________________
Dean Date
Janice Yip THE EFFECT OF A RESTAURANT’S PHYSICAL ENVIRONMENT ON
CUSTOMER REPURCHASE BEHAVIOUR: A CASE STUDY OF AN UPSCALE RESTAURANT
By Janice Yip
Esa Theodore Mbouw, BBA, M.Si, Advisor SWISS GERMAN UNIVERSITY
With the increasing number of restaurant opened every year, restauranteurs now not only pay attention to food and service but also to atmosphere. This study will use DINESCAPE as the theory for physical environment. It aims to find out the factor of DINESCAPE towards customer repurchase behavior in an upscale restaurant. This research is a quantitative descriptive research and uses questionnaires to obtain its data.
132 data from questionnaires are obtained from customers that have dined at Restaurant X. Restaurant X is an upscale restaurant located in the heart of Jakarta. Multiple linear regression is used to analyze the data and obtained the result. Result shows a strong relationship of 67,9% from physical environment towards customer repurchase behavior. Each hypothesis regarding the factors of DINESCAPE are accepted and shows that there is a relationship between each factor of DINESCAPE and customer repurchase behavior. Suggestion that is recommended for Restaurant X focus on improving lighting that will also affect facility aesthetics, along with adjusting temperature of the restaurant and the restaurant’s service staff.
Keywords: DINESCAPE, Physical Environment, Customer Repurchase Behavior
Janice Yip
© Copyright 2018 by Janice Yip All rights reserved
Janice Yip DEDICATION
I dedicate this work to myself and my family.
Janice Yip ACKNOWLEDGEMENTS
First and foremost, to the one who listens to my prayer every night, thank you.
To the most important people in my life: my family. Thank you for the constant support and endless advice that made me who I am today.
To Mr. Esa Mbouw, BBA, M.Si as my advisor/friend who has been nothing but helpful these past months. Thank you for your guidance and the continuous feedback so that my thesis is finally complete. Also, thank you to the Hotel and Tourism Department for the support since 2014.
To my HTM 2014 family especially the faces I met every day for the past 4 years;
Clarissa, Dila, Mideki, Sisca, Vena, Basu, Gideon, and Hendry – Here’s to us finally graduating!
To my high school sweethearts; GMT+9 – for always making me laugh, for the deep talk, the inside jokes, and random meetups, I couldn’t ask for a better group of friends than you guys ☺
To Ales; a good friend that I cherish. Thank you for being a good listener and always giving me your advice and for making me look at things differently. To Jek; I love you and hope our friendship goes on throughout the year.
Finally, to everyone else whose name isn’t mentioned here; thank you to you too!
Janice Yip
STATEMENT BY THE AUTHOR ... 2
ABSTRACT ... 3
DEDICATION ... 5
ACKNOWLEDGEMENTS ... 6
TABLE OF CONTENTS ... 7
LIST OF FIGURES ... 10
LIST OF TABLES ... 11
CHAPTER 1 – INTRODUCTION ... 13
1.1 Background ... 13
1.2 Research Problem ... 15
1.3 Research Question ... 16
1.4 Research Objectives ... 16
1.5 Scope and Limitation ... 17
1.6 Significant of Study ... 17
CHAPTER 2 - LITERATURE REVIEW ... 18
2.1 Framework of Thinking ... 18
2.1.1 Restaurant ... 19
2.1.2 Marketing Mix ... 20
2.1.3 Atmospherics / Physical Environment ... 22
2.1.3.1 Facility Aesthetics ... 23
2.1.3.2 Ambience ... 24
2.1.3.3 Layout ... 25
2.1.3.4 Table Settings ... 25
2.1.3.5 Lighting ... 26
2.1.3.6 Service Staff ... 26
2.1.4 Customer ... 27
2.1.5 Consumer Buying Behaviour ... 27
2.1.5.1 Buyer’s Decision Process ... 27
2.1.5.1.1 Customer Repurchase Behaviour ... 27
2.2 Previous Study ... 28
2.3 Study Difference / Similarities ... 32
2.4 Hypothesis ... 32
CHAPTER 3 - RESEARCH METHODS ... 33
3.1 Type of Study ... 33
3.2 Unit Analysis ... 34
Janice Yip
3.3 Population and Sampling Method ... 34
3.3.1 Population ... 34
3.3.2 Sampling ... 34
3.3.3 Sampling Method ... 35
3.4 Type of Data & Collection of Data ... 36
3.5 Research Model ... 37
3.6 Questionnaire Structure ... 37
3.7 Variable Operationalization ... 39
3.8 Data Analysis Technique ... 43
3.8.1 Pre – Test ... 43
3.8.2 Reliability ... 43
3.8.3 Validity ... 44
3.8.4 Post – Test ... 44
3.8.5 Normality test ... 44
3.8.6 Heteroscedasticity Test ... 45
3.8.7 Multicollinearity Test ... 45
3.8.8 Multiple Linear Regression Analysis ... 46
CHAPTER 4 – RESULT AND DISCUSSION ... 47
4.1 Company Background ... 47
4.2 Respondent Profiles ... 48
4.2.1 Gender ... 48
4.2.2 Age ... 49
4.2.3 Monthly Income / allowances ... 50
4.3 Validity and Reliability Pre – Test Results ... 51
4.3.1 Facility aesthetics ... 51
4.3.2 Ambience ... 52
4.3.3 Layout ... 53
4.3.4 Table Settings ... 54
4.3.5 Lighting ... 55
4.3.6 Service Staff ... 56
4.3.7 Customer Repurchase Behaviour ... 57
4.4 Post – Test ... 57
4.4.1 Validity and Reliability Post – Test Results ... 57
4.4.1.1 Facility Aesthetics ... 58
4.4.1.2 Ambience ... 58
4.4.1.3 Layout ... 59
4.4.1.4 Table Settings ... 59
4.4.1.5 Lighting ... 60
4.4.1.6 Service Staff ... 60
4.4.1.7 Customer Repurchase Behavior ... 61
4.4.2 Normality Test ... 62
4.4.3 Heteroscedasticity ... 62
4.4.4 Multicollinearity Test ... 63
4.4.5 Multiple Linear Regression Test ... 64
Janice Yip
4.4.5.2 Hypothesis Testing ... 64
4.4.5.3 Model Summary ... 67
CHAPTER 5 – CONCLUSION AND RECOMMENDATION ... 68
5.1 Conclusion ... 68
5.2 Managerial Implications ... 68
5.3 Future Research ... 69
GLOSSARY ... 71
REFERENCE ... 72
APPENDICES ... 85
Appendix 1 – Questionnaire ... 85
Appendix 2 - Data Tabulation Pre – Test ... 92
Appendix 4 – R table for Validity Pre – Test and Post – Test ... 96
Appendix 5 – T Table for Hypothesis Test ... 97
CURRICULUM VITAE ... 98
