Applying DANP to Explore the Critical Factors for Building Taiwan Restaurant Industry’s Customer Loyalty

Abstract

The restaurant industry in Taiwan embeds a characteristic of easy entrance and lower imitation barriers that results in a fierce competition in nature. How to build customer loyalty for encouraging customers to visit repeatedly is an essential challenge for every restaurant manager. This article employs the DANP method to explore the criteria and their priority for building restaurant customer loyalty. The thirteen evaluation criteria are firstly extracted from past literature and are categorized into four clusters; then consult with ten scholars/experts who are excellent in restaurant industry; finally, interview with another fourteen senior restaurant managers to collect their practical opinions. The research results reveal that Differentiation Cluster is the “main cause-factor” while Brand Image Cluster is the “main effect-factor” among the clusters. Customer Experience Cluster has the significant relationship with other clusters and locates at the central role among the four clusters. This article also distinguishes the restaurants into two groups: national-wide chain restaurants and the well-known local independent restaurants. For the national-wide chain restaurants, the top three important criteria are Trust, Product Quality, and Product Innovation; the last three criteria are Customer Satisfaction, Price Effectiveness, and Atmosphere. While the top three important criteria for the well-known local independent restaurants are Reputation, Trust, and Product Quality; the last three criteria are Product Innovation, Social Media Marketing, and Atmosphere. This article also finds that the focuses of the national-wide chain restaurant managers are pursuing the consistent service for all branch restaurants while the well-known local independent restaurant managers insist in maintaining traditional uniqueness.



Author Information
Yu-Jen Cheng, National University of Kaohsiung, Taiwan
Shin-Ya Tsai, National University of Kaohsiung, Taiwan

Paper Information
Conference: ACSS2023
Stream: Economics and Management

This paper is part of the ACSS2023 Conference Proceedings (View)
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To cite this article:
Cheng Y., & Tsai S. (2023) Applying DANP to Explore the Critical Factors for Building Taiwan Restaurant Industry’s Customer Loyalty ISSN: 2186-2303 – The Asian Conference on the Social Sciences 2023: Official Conference Proceedings https://doi.org/10.22492/issn.2186-2303.2023.5
To link to this article: https://doi.org/10.22492/issn.2186-2303.2023.5


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Posted by James Alexander Gordon