An Application of McClelland's Need Theory to the Casual Dining Industry

Purpose The purpose of this study is to explore the impact of Wi-Fi service on the millennial generation’s loyalty to restaurants. Additionally, this study examines the impact of Wi-Fi service on three different types of restaurants (coffee shops, fast-food restaurants and casual dining restaurants). Furthermore, this study examines the similarities and differences that exist cross-culturally between Americans and Koreans. Design/methodology/approach A total number of 480 questionnaires were collected to empirically test the study model. A factor analysis that used a principal components analysis with varimax rotation was performed to condense the loyalty items into a few underlying constructs, and the Cronbach’s alpha was checked to test for reliability. A multiple regression analysis and t-test were performed to test the study hypotheses. Findings The results show that Wi-Fi service has a significant impact on millennials’ loyalty behavior on all three types of restaurants in this study. However, the differences between Americans and Koreans on how they perceive the Wi-Fi services turned out to be significant only for coffee shops. Research limitations/implications The authors used a non-probability convenience sampling method for data collection. The findings cannot be generalized to other types of restaurants, such as fine dining and luxury restaurants. Although the results indicate a positive relation between Wi-Fi usage and a customer’s loyalty, loyalty is a multifaceted concept where a variety of factors, such as frequency or convenience can have an impact. Practical implications The findings should encourage marketers in the restaurant industry to use Wi-Fi as a value-added service for their customers. Originality/value There are limited studies on how significant Wi-Fi service is for the hospitality industry, and in particular, for restaurants. This study builds on the scholarship of Cobanoglu et al. (2012) on the value of the customer loyalty by providing new insights into customers’ views on Wi-Fi service in the restaurant industry.

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Using factor-cluster analysis to segment patrons of casual dining establishments in the United States

British Food Journal ◽

10.1108/bfj-04-2014-0142 ◽

2015 ◽

Vol 117 (4) ◽

pp. 1377-1398 ◽

Cited By ~ 3

Author(s):

Jennifer L. Duncan ◽

Bharath M. Josiam ◽

Young Hoon Kim ◽

Alexandria C. Kalldin

Keyword(s):

Cluster Analysis ◽

Study Groups ◽

The United States ◽

Future Research ◽

Convenience Sample ◽

Content Type ◽

Consumer Demographics ◽

Casual Dining ◽

Diverse Groups ◽

Push And Pull

Purpose – Focussing on behaviors and attitudes of casual dining patrons, the purpose of this paper is to use a factor-cluster approach to segment patrons into market groups and attempts to determine if differences exist in motivational factors among segments. Design/methodology/approach – Factor-cluster analysis is an alternative segmentation method to more traditionally used methods based on consumer demographics. Push and pull motivators were analyzed through factor analysis to determine important groupings. Then, to identify homogenous subgroups, k-means cluster analysis was conducted to segment 559 survey respondents based on factor importance. Findings – Three diverse groups were identified: Fraternizing Kitchen Fearfuls, Functional Feasters, and Foodie Fanatics. The various push and pull factors appeared to affect segments differently, with each cluster ascribing various importance levels to each of the factors used in the clustering approach. Research limitations/implications – Limitations include the use of a convenience sample and on-campus sampling. Future research should use random sampling methods and obtain surveys from sites not associated with a college campus. Practical implications – Though not often used in hospitality research, factor-cluster analysis can be useful to segment diners based on behavioral intentions and attributes, allowing marketers to more accurately target these diverse consumer segments. Marketing implications for casual dining restaurants are suggested. Originality/value – Using the involvement construct with push/pull motivators, this study groups respondents though factor-cluster analysis. Though used in tourism studies, factor-cluster analysis has yet to be studied in the context of casual dining restaurant patrons.

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