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A Systematic Review On Perceived Service Quality And Customer Satisfaction

In Fast Food Industry

Article · October 2020

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 International Journal of Advances in Engineering and Management (IJAEM)
Volume 2, Issue 8, pp: 203-210www.ijaem.net ISSN: 2395-5252

A Systematic Review on Perceived Service Quality and

Customer Satisfaction in Fast Food Industry
Shanika Rathnasiri1 ,WarunikaHettiarachchi2
1,2
Department of Marketing Management, Sabaragamuwa University of Sri Lanka, Belihul Oya, Sri Lanka
Corresponding Author: Shanika Rathnasiri

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Date of Submission: 10-10-2020 Date of Acceptance: 27-10-2020
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ABSTRACT:This literature review intended to ServiceVarious researchers defined service

provide a cherished contribution by locating and in different ways. Kotler, Armstrong,Wong, and
combining the paramount existing knowledge Saunders(2008) defined service as any activity or
related to the relationship between perceived service benefit that one party offer to another party which
quality and customer satisfaction in the fast food has intangible behavior According to Lovelock
industry.Twelve papers were included for the review (1991) economic activities that create value and
based on the inclusion criteria which comprise the provide benefits for customers at specific times and
requirements for papers to report empirical studies places identified as a service. Services are produced
published during the period 2000 to 2019 in peer- and consumed at the same time in the presence of
reviewed journal articles in English which are the service producer and the consumer. Because of
related to the fast-food industry.The quality the involvement of the human element in the service
assessment revealed that four studies as high-quality delivery process, the probability of happening
papers and the other eight studies are average in mistakes is higher rather than selling a good to the
quality. All included studies except one have found final consumer. According to Bowen (1986), these
a positive or direct relationship between perceived errors cannot be easily monitored or controlled due
service quality and customer satisfaction in fast food to those intangible behavioral processes. Unlike
industry. This review contributes to gather, analyze, tangible products, services cannot be seen and
and synthesize all reported knowledge relevant to touched, as they are intangible activities. When
the identified review question to one particular compared to tangible goods, services have some
study. unique characteristics such as intangibility,
KEYWORDS:Customer Satisfaction, Fast Food perishability, inseparability, and heterogeneity.
Industry, Perceived Service Quality, Systematic QualityInthe past, most scholars try to
Review define the quality in the service industry with
tangible elements of products such as physical
I. INTRODUCTION appearance, technical specifications, and other
Perceived service quality is critical for the sensory clues. Consumers frequently use these
success of organizations because of its direct link attributes to assess the quality of what is essentially
with customer satisfaction and behavioral intentions intangible. According to Douglas and Connor
(Parasuraman, Zeithaml,&Berry, 1985). (2003), the quality of service is not only evaluated
Furthermore, Cronin and Taylor (1992) through the end result but also how it is delivered
highlighted the importance of studying the topic of during the service process and the ultimate effects
service quality and customer satisfaction as it helps on consumers‟ perceptions are also important.
service providers to improve their business According to Johnston (as cited in Goetsch&Davis,
performance, strengthen core competencies and 1997)quality includes every aspect of the business
position themselves more strategically in the market and it is an emotional experience for the consumer.
place than competitors. According to Szmigin and Consumers want to feel good about their purchases
Bourne (1998), it is very much expensive to acquire and ultimately they need to feel that they have
a new customer than retain an existing one. received the best value for the money they paid.
Therefore, service managers should always try to According to Oakland (2000) quality is a much
understand how customers perceive the service broader concept from its function than assuring
provided and how those perceptions can translate product quality or service quality. Furthermore, he
into customer satisfaction and customer retention. stated that it is a way of managing business

DOI: 10.35629/5252-0208203210 | Impact Factor value 7.429 | ISO 9001: 2008 Certified Journal Page 203
 International Journal of Advances in Engineering and Management (IJAEM)
Volume 2, Issue 8, pp: 203-210www.ijaem.net ISSN: 2395-5252

processes to ensure consumer satisfaction at every premises or in designated eating areas shared with
internal and external stage. other foodservice operators or for consumption
Perceived Service QualityService quality elsewhere (Anand, 2011).” Due to the convenience
is complex, subjective, and abstract. Different and their home-oriented approach, fast food chains
scholars defined it in different ways. Popular are becoming more popular among people and
scholars, who were interested in service quality and hence the industry is growing rapidly rather than
the general area of services marketing defined other sectors. Though in past, people arranged
service quality as the difference between expected eating out just to celebrate any special occasion in
service and the actual service received (Parasuraman their life today it becomes a part of their busy
et al., 1985). lifestyles. Roberts and Wortzel (1979) stated that “a
Service quality assesses the customer‟s large number of women working outside the home
perception of employee knowledge, skill, and had less time to cook food at home so; the women‟s
training as well. That means, this construct time was considered to be an important factor in
emphasizes the overall ability of the firm to provide raising the demand for fast food consumption in
a desirable service level to their target consumers. developing countries” (Senauer, Sahn,&Alderman
Especially, this construct deals with the customer‟s 1986). Urbanization is also one of the major factors
perception of the employees to perform the leading to alter “lifestyles and increased income and
promised service consistently and precisely independence of young people, as it had been stated
(Parasuraman, Zeithaml,& Berry, 1988). In a that demand for food is associated with the lifestyle
general sense, the construct emphasizes the overall of urban areas (Pingali, 2004)” and when income
facility cleanliness, decor, and shopping experience, level of developing countries increased, the
yet it also captures the customer perception of the consumption of western-style food has increased
service complexity in relation to service timing and (Regmi& Dyck, 2001).
appropriate communication between the customer
and service provider (Chase & Zhang, 1998). II. AIM OF THE STUDY
Research suggests variable communication and Yet to date, there is no any systemtic
service timing that is inconsistent with the review that brings together and synthesizes the
complexity of the task will affect the customer‟s evidence-based relating to the relationship between
perception of quality in a negative manner. perceived service quality and customer satisfaction.
Especially, variation in service delivery time can In the absence of such a systematic review different
have the biggest impact on perceptions of service types of contradictory models and dimesions are
quality. As the variability in the service encounter used to analyzethis phenomena. Therefore, the aim
increases, then the perceptions regarding the of this systematic literature review is to o identify
consistency of service will decrease. whether perceived service quality has a direct or
Customer SatisfactionCustomer satisfaction is“the indirect relationship with customer satisfaction in
extent to which a product‟s perceived performance fast food industry.
matches a buyer‟s expectations” (Kotler &
Armstrong, 2009) “with expectations viewed as III. METHOD
predictions about what is likely to Inclusion and Exclusion Criteria
happen”(Parasuraman et al., 1988).Customer Articles published in peer-reviewed
satisfaction should be the vital goal of all firms journals in English were considered. Other
because both theoretical and empirical research information sources like newspapers, government
links a firm‟s business performance to the reports and indexes, newspaper articles, and grey
satisfaction of its customers (Morgan, Anderson, & literature were not included in this literature review.
Mittal, 2005). Articles that are written between 2000- 2019 were
Fast Food IndustryThefast food inustrywhich was only used. The research studies which are written all
emerged from Southern California during the 1940s, over the world are accepted for this study hence no
not only changed the eating habits of Americans, but geographical restrictions are formed when
also those in many other countries around the world, determining inclusion and exclusion criteria.
including Asian countries (Schlosser, 2001). Especially, articles were selected which are related
“Nowadays, fast food centers can be found on the to service quality and customer satisfaction in fast
corners of streets, airports, shopping food industry or fast food restaurants by excluding
malls,department stores, schools, universities, gas other industries like banking, hotel, healthcare, and
stations, and even in hospitals.” retail sectors. As well as, quantitative and non-
The fast food market is defined as “the sale of food experimental studies were only utilized for this
and drinks for immediate consumption either on the sytematic review.
DOI: 10.35629/5252-0208203210 | Impact Factor value 7.429 | ISO 9001: 2008 Certified Journal Page 204
 International Journal of Advances in Engineering and Management (IJAEM)
Volume 2, Issue 8, pp: 203-210www.ijaem.net ISSN: 2395-5252

Search Strategy extraction is also carried out by us. To cross-check

First, the researchers have conducted a the accuracy of data extraction, got the support of
preliminary literature search to determine whether one of our colleagues who completed her MBA.
the selected topic area has suitable and sufficient Finally, narrative synthesis of findings was written
literature for a review. 4799 articles were found at based on the extracted information to draw a
the scoping search. After finalizing the review conclusion.”
question, the main search was conducted using key
search terms. The key search terms are used with Outcomes
Boolean operators to find the more specific In this review, the dependent variable is
literature sources to the topic and 337 articles were customer satisfaction and the independent variable
identified in this step. Then, duplicates were is service quality. Service quality is measured
removed and left 276 unique citations for screening. through various dimensions such as reliability,
Their titles and abstracts were screened using responsiveness, empathy, assurance, and tangibles.
inclusion criteria. 250 citations were excluded in However, the outcome is the relationship between
this step due to various reasons such as; grey areas, perceived service quality and customer satisfaction.
study the impact of service quality on customer All studies included for the review have measured
satisfaction, some studies are longitudinal instead of this relationship through non-experimental research
cross-sectional and the majority of articles are not studies.
relevant to the setting of fast food. After that, full-
text papers of the remaining 26 articles were Research Benefits
downloaded and apply inclusion criteria. In this Conducting research work brings massive
step, 14 full-text citations were excluded; four full- advantages to various parties in society. Likewise,
text papers could not be obtained, eight did not this systematic literature review also brings benefits
examine the appropriate intervention and two to the external parties such as fast food restaurant
studies used qualitative or mix research strategy. owners, employees in fast food restaurants,
customers of fast food restaurants, government, and
Information Sources future researchers as well. This systematic literature
To find out the journal articles which are review studied the relationship between service
relevant to this systematic review, a bibliographic quality and customer satisfaction. The findings of
databases have used. Emerald Insight and JSTORare this review emphasize the importance of service
the bibliographic databases which are employed to quality to build consumer satisfaction. This result is
find research articles. Google Scholar is the main helpful to fast food restaurant owners to make
academic search engine used to download articles to decisions regarding the quality of service provided.
address the review question. As well as, reference These business owners can develop their businesses
lists from retrieved articles are used heavily to find based on the significant findings of the research
good research articles in the same topic area. works.These research benefits are not only retained
with business owners, those are also important to
Selection Process customers as well. The findings of research work
Researchers are responsible to carry out all support consumers to behave as a rational consumer
the steps of the systematic literature review in the marketplace. The consumers‟ knowledge
therefore each step of the systematic review (i.e., about the business aspects will reduce unethical
screening based on inclusion/exclusion criteria, practices of business people. According to the
quality assessment, data extraction, narrative findings, the most important service quality
synthesis) were completed by us. Quality of each of dimension is reliability. That means consumers of
the included article for the review is assessed. fast food expect reliability from fast food providers
According to Khan et al. (as cited in Perera, 2018) rather than the other service quality dimensions.
quality assessment decrease bias and errors in its Therefore, consumers should demonstrate and
design, conduct and analysis. If all the articles behave in a way that they expect reliability at every
included in the review are in good or high quality, it moment from fast food service providers.Future
confirms the credibility of the findings on those researchers who are willing to conduct research on
studies. “Customized quality assessment tool is service quality and customer satisfaction in fast food
developed to assess the quality of the studies. restaurants can use this systematic review as a
Independent reviewer who has expertise knowledge secondary data source for their piece of work. This
in this area checked all the quality assessment forms review gathersthemost comprehensive literature
to evaluate whether our quality ratings are correct or related to review question from 2000 to 2019 into
not. The next step of systematic review, data one particular document. This will provide

DOI: 10.35629/5252-0208203210 | Impact Factor value 7.429 | ISO 9001: 2008 Certified Journal Page 205
 International Journal of Advances in Engineering and Management (IJAEM)
Volume 2, Issue 8, pp: 203-210www.ijaem.net ISSN: 2395-5252

convenience for future researches to find and access another study in 2009 for the same setting and found
existing and most updated literature on service a positive relationship between service quality and
quality and customer satisfaction in fast food customer satisfaction which is a contrasting result to
industry. their study carried in 2008. Among the twelve
studies, four studies take their target population as
IV. RESULTS fast food consumers and choose college students as
Quality Assessment their sample. Though they bring a number of
The overall quality of the included studies justifications for choosing college students as
is average. Among all tweleve studies, four studies sample, it is a limitation of those studies. The
are of high quality, and remainingeight studies are assumption behind the sample selection is wrong
medium in quality according to the customized because all fast food consumers are not only college
quality assessment tool used for this literature students even though the majority of fast food
review. All studies included were cross-sectional consumers are college students according to the
which means data are collected from several people statistical data they showed. The research design of
at one point in time. The review question formed by all included articles for the review is cross-sectional.
the researcher is to find a relationship between two A cross-sectional research design is fine for
variables hence only cross-sectional studies should studying relationships than longitudinal studies.
be included. All twelve studies included here did not Hence, the researcher did not set any inclusion or
obtain ethical approval. Obtaining ethical clearance exclusion criteria on geographical characteristics,
is an essential part of good research practice. the research conducted in any country can be taken
Anyway, the researcher is not able to find any single into consideration for example USA, India,
word to state that these studies have obtained ethical Malaysia, Pakistan, and South Africa. All studies
approval from any ethic review committee who have included sample profiles in a satisfactory level.
maintain standards for quality enhancement in Except one study, other all studies found a positive
research. All studies have used an adequate sample or direct relationship between perceived service
size when compared with the population and also quality and customer satisfaction in fast food
methodology and statistical analysis are described industry.
satisfactorily. Excluding one study, the other eleven
studies have stated the purpose of the study clearly. V. DISCUSSION
Almost all the studies have been measured the Findings
reliability and validity of the independent variables, The most popular model to measure service
five studies did not measure the reliability and quality is SERVQUAL. But, SERQUAL model has
validity of the dependent variable. There are four heavy criticisms for its both theoretical and practical
studies that did not take a representative sample perspective. Some researchers (Cronin and Taylor,
from the target population may have selection bias 1992; Jain and Gupta, 2004) found that SERVPERF
and therefore results cannot be generalized to the or performance-only instrument is an excellent fit
target population. Though these four studies have model to measure service quality than SERQUAL
generalized their findings to the population-based on model. Though it is an excellent fit model, some
evidence for doing it, it was also mentioned under a researchers (Andaleeb&Conway, 2006;Olorunniwo,
limitation of the study as well. However, any Hsu, & Udo, 2006) suggest this model also need
included study did not exclude from the review after some necessary modifications according to the
quality assessment because all articles have reached industry it applied for.
at least to the medium level in quality according to In addition to the five service quality
the overall ratings given by the researcher. dimensions in SERVPERF model (tangibles,
reliability, assurance, responsiveness, and empathy),
Narrative Synthesis some researchers (Olorunniwo et al., 2006; Qin
The twelve studies included for the review &Prybutok, 2009) add „recovery‟ as one of the
measures the relationship between perceived service important dimension of perceived service quality.
quality and customer satisfaction using different Because, failure itself does not lead to customer
models such as SERVQUAL, SERVPERF and dissatisfaction, but if fails to handle recoveries may
DINSERV. However, SERVQUAL scale lead to lost customers and spread of negative word
(Parasuraman et al., 1988) was utilized in most of mouth (Heskett, Jones, Loveman, Sasser,
studies. All included studies except one &Schlesinger,1994). Drawing from the findings of
(Qin&Prybutok, 2008) have found a relationship Qin and Prybutok (2009), the importance of
between perceived service quality and customer handling customer complaints in a timely
satisfaction. However, the same authors carried
DOI: 10.35629/5252-0208203210 | Impact Factor value 7.429 | ISO 9001: 2008 Certified Journal Page 206
 International Journal of Advances in Engineering and Management (IJAEM)
Volume 2, Issue 8, pp: 203-210www.ijaem.net ISSN: 2395-5252

mannerwas proved with its significance (p<0.01) quality dimensions such as; reliability, tangibles,
and a standardized coefficient of 0.83. assurance, responsiveness, and empathy. The
As mentioned under narrative synthesis, all findings of this study indicate that there is a
studies included except one study have found a relationship (critical ratio = 7.25) between service
relationship (direct or indirect) between perceived quality and customer satisfaction according to the
service quality and customer satisfaction. Though PLS model (if; p <0.10 and critical ration > 1.96)
Qin and Prybutok (2008) found that there is no they used to obtain results for hypothesized
significant relationship between perceived service relationships. In their study, reliability, tangibles,
quality and customer satisfaction in fast food and assurance are very much important service
industry, in contrast, the same authors found a quality dimensions because they have high mean
relationship between perceived service quality and score rather than responsiveness and empathy.It was
customer satisfaction in fast food industry in 2009. found that the importance of service quality
Qin and Prybutok (2008) were measured service dimensions may vary with the consumers in a
quality in fast food restaurants based on five particular country.
dimensions; reliability, responsiveness, empathy, According to the findings of Qin, Prybutok,
tangibles, and employee behaviors. Here, they add and Zhao (2010), empathy and assurance are not
„employee behaviors‟ to the SERVPERF model much important as other service quality dimensions
because it is necessary to modify the model for Chinese consumers. Similar to the above finding,
according to the industry(Olorunniwo et al., 2006) Qin and Prybutok (2009) found that
which is selected for the study. The findings of this reliability/responsiveness, tangibles, assurance, and
study revealed that employee behaviors and recovery are somewhat more important than
tangibles are not much important astheother three empathy in USA as well because its standardized
dimensions of service quality; reliability, loadings are lower than 0.80.
responsiveness and empathy used in this study. Aftab, Sarwar, Sultan, and Qadeer (2016)
Though there is a significant relationship (p < 0.000) have conducted a study to understand the
between those two variables and customer importance of service quality in customer
satisfaction, the standardized coefficients of satisfaction in fast food restaurants in Pakistan.
tangibles and employee behaviors are 0.63 and 0.75 They took service quality dimensions such as
respectively which are somewhat lower than the reliability, responsiveness, tangibles, empathy, and
other three dimensions standardized coefficients. assurance as predictor (independent) variables and
Moreover, the findings revealed that service quality customer satisfaction as a dependent variable. They
is not an important antecedent of customer conducted a survey using a questionnaire and
satisfaction but service quality as an antecedent of distributed among customers of fast food
customer behavioral intentions. The researcher restaurants. Under correlation analysis, they have
provided his suggestions to the above outcome as found that all five independent variables have a
students form their indented behaviors based on the strong relationship with customer satisfaction.
speed of service and closeness of the location to Tangibility has the highest correlation (r = 0.868)
their college. and other four variables; responsiveness, reliability,
Brady, Cronin, and Brand (2002) have conducted a empathy, assurance also have significant (p = 0.01)
replication and extension study to Cronin and Taylor and strong correlations 0.738, 0.586, 0.683, 0.499
(1992) and found that service quality as an respectively. According to their findings, customers
antecedent of customer satisfaction using their new attract more to fast food restaurants due to its
data set as well. Both studies 2 and 3 are statistically ambiance, location, and lighting.
significant (p ≤ .01) and obtain substantial LISREL To studytherelationship between customer
estimates for every case range from 0.62 to 0.77. satisfaction and behavioral intentions in the fast
Therefore, this replication study with a new data set food restaurants Rana, Lodhi, Butt, and Dar (2017)
also supports the findings of Cronin and Taylor have conducted a study. They developed direct five
(1992) hence it further confirmed the relationship hypotheses and conducted a survey to get the
between customer satisfaction and perceived service responses from their sample which was selected
quality. based on their target population. Service quality,
Bougoure and Neu (2010) have studied the food quality, and price-value ratio were
relationship between service quality, overall service consideredas independent variables and customer
quality, customer satisfaction, and repurchase satisfaction as a dependent variable.
intentions of fast food industry in Malaysia. This Murad and Ali (2015) investigated the
study employed DINESERV instrument to measure service quality and its impact on customer
service quality which is also consisted of service satisfaction of fast food restaurants in Pakistan.

DOI: 10.35629/5252-0208203210 | Impact Factor value 7.429 | ISO 9001: 2008 Certified Journal Page 207
 International Journal of Advances in Engineering and Management (IJAEM)
Volume 2, Issue 8, pp: 203-210www.ijaem.net ISSN: 2395-5252

They especially carried this research work with the Though, the significant strengths are there
aim of making these fast food restaurants healthy with the included studies, they are bound to be
and good for people due to the increase demand of certain limitations. The findings obtained through
fast foods in Pakistan. Data has been collected from these all studies are trying to generalize them
sample of 152 fast food consumers. After analyzing towards a broader population group. But three
the results, they found a significant positive studies included here used sample pool as college
relationship between service quality and customer students though their target population is all fast-
satisfaction in the relevant industry. food consumers within the particular country. This
Kanta and Srivalli (2014) there is a is one of the major limitations of those studies
significant positive relationship between perceived because they are a relatively homogenous group
service quality and customer satisfaction.“They available in that particular industry. And also, most
have conducted a survey using 284 customers from of the studies included for the review employed
full-service restaurants in Southern India. They have convenience sampling as the sampling technique.
carried out this study to find the relationships of The results or findings obtained by using
perceived service quality, customer satisfaction and convenience sampling or any other non-probability
repeat patronage. sampling method do not have the ability of
Terblanche and Boshoff (2010) have generalization its findings to broader population.
conducted a study by doing 533 interviews. In order These all studies included are investigated the
to be eligible for the sample, respondent should have general determinants of service quality in fast food
an experience of meal from a fast food restaurant restaurants without concerning the service quality
last month prior to the interview. Interviewees are factors relevant to the specific country. Therefore, it
selected from seven major metropolitan areas of is worthwhile, if researchers can modify these
South Africa and all interviews were conducted at models by adding new dimensions which determine
respondents‟ home. Finally, they also find a positive the service quality of that particular country or
and significant relationship between perceived region. Then, it allows future researchers to do
service quality and customer satisfaction among fast comparisons of the service quality factors across
food consumers in South Africa. different countries.
Shariff, Omar, Sulong, Majid, Ibrahim,
Jaafar, and Ideris (2015) have conducted a piece of Strengths and Limitations of the Review Process
research work to study the relationship among The main strength of the review process is
service quality, product quality with customer the quality assessment results which each of the
satisfaction. This study was conducted in Malaysia study was obtained. All twelve articles included for
with a sample size of 360 fast food consumers. The this review score high or medium results for its
findings of this research study showed that there is a quality assessment. The high quality of the included
positive and significant (p = 0.044) relationship studies makes me confident about the credibility of
between service quality and customer satisfaction. the findings of those particular studies. The key
Not only that, they found there is a significant (p = search terms and Boolean operators helped to find
0.021) positive relationship between food quality the relevant and sufficient number of literature to
and customer satisfaction as well. All p values are the review question formed. Moreover, the reference
less than 0.05 hence can conclude these two lists of selected articles helped to gather more
identified relationships are significant. relevant articles on the subject of service quality and
customer satisfaction in the fast food industry. The
Strengths and Limitations of the included Studies inclusion and exclusion criteria and Prisma flow
The main strength of the included studies is diagram enhanced the reliability of the systematic
the usage of the most popular and reliable review.
conceptual models or frameworks to measure the Not only strengths, but there are also
perceived service quality. And also, all studies limitations related to the review process. After
included for the review check its internal downloading full-text papers, the researcher has to
consistency (reliability) and at least one type of remove eight studies because those are examined the
validity of the dependent variable or independent impact of service quality on customer satisfaction.
variable(s) or both. When considering all studies, That means most of the studies are conducted to
one of the major elements seen in every study is the examine the impact of service quality on customer
careful and logical explanation of the purpose of the satisfaction rather than finding the relationship
study, sample size and main findings through strong between those two variables in fast food industry.
statistical analysis. Only two databases were utilized to search for
articles due to the inaccessible of certain databases.

DOI: 10.35629/5252-0208203210 | Impact Factor value 7.429 | ISO 9001: 2008 Certified Journal Page 208
 International Journal of Advances in Engineering and Management (IJAEM)
Volume 2, Issue 8, pp: 203-210www.ijaem.net ISSN: 2395-5252

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