McDonald's Restaurant Customer Experience Analysis - Case Study Example

Experience Analysis: McDonalds Restaurant Introduction McDonalds is one of the most popular fast food franchises globally. Their main aim is to capture and maintain quality when it comes to serving quality food to their customers. With over 15, 000 units spread over 119 countries; they approximately serve about 68, 000, 000 customers on a daily basis. Providing competent and effective customer service that adds value to crucial in this dynamic and highly competitive market (Golik, 2012). The main challenge that comes with this tailoring of the customer service offered is to ensure that it meets the diverse needs of all the customers. It is important that employees at McDonalds are aware of how customers determine their customer experience and how the elements of value may impact on their perception of value in the delivery of services. In order for there to exist long relationship between the customers and the service providers, efficient knowledge transfer is crucial (Brox, 2010). In addition, management of the relationship before, during and after the customer service is also a determining factor on the kind of relationship to exist between the service providers and the customers. This essay will point out various customer experience issues and the main areas which the management ought to put emphasis. In addition, the essay will also mention a number of recommendations for the management in order to improve the customer experience. The paper will give an “outside view” of the restaurant and show that indeed there are certain customer experience issues within and without McDonalds control that directly affects how their service is viewed by many (Lindsay & Chadee, 2008). Background The hospitality industry’s backbones are based on the element of customer service. How good the staff is at handling the customers is one of the key determinants of the business’ success in this industry. Food and beverages are the main elements of the hospitality industry. Fast food restaurants have been around since time immemorial for the most of human civilization. However, in the past they mostly catered to travellers. In ancient Rome, inns and taverns were set up to serve food to individuals who had a reason to be away from home. This trend continued for a while until relatively recently. It is no secret that most people globally love fast foods. The business is one of the fastest rising in the industry and has gained worldwide popularity in most states globally. Fast food is highly consumed due to its unique traits such as convenience, cheap price and taste. Although the food served across different fast foods vary globally, the most common food served include pizzas, burgers, noodles, chicken and pasta. Most people believe that the first fast food restaurant is the White Castle founded in Wichita, Kansas in 1921. Before people grew accustomed to the idea of fast foods, most of them perceived fast food as nothing more than low-quality food given the popularity of burgers at circuses, fairs and lunch counters. In addition, people often construed that the meat used in hamburger was nothing more than scraps from the slaughterhouse and spoiled meat (Humphreys, 2008). The most important bit about the fast food industry is about the kind of service offered. It is, therefore, important for employees and managers at these establishments to take note of the fact that customer service plays a major role in customer retention and attracting new customers into the establishment (Natti & Ojasalo, 2008). There are more than plenty fast food restaurants in America and at the end of the day the one that most customers choose to frequent will all depend on the customer service that they receive. The exceedingly spirited nature of the industry has made it imperative for most managers to look for ways in which to ensure that the services offered at their establishment meets the expectations of the customers. This is in order to retain them and hopefully attract new ones (Parker, 2012) Customer Service Analysis When conducting the customer experience analysis (CEA) for McDonalds, the essay used my last experience while I visited the restaurant a few months back. I tried not to compare them with other fast food restaurants I had been to, given that I wanted an independent view on the matter. I completed two customer analysis sheets, one relating to my experience at the restaurant and the other on the company itself. I chose to do this because there are certain aspects of the customer experience that McDonalds cannot handle but they can do something on in order to improve customer experience (Appendix 1 and 2). The two CEA’s show the different relations encountered as well as the score for each operation and the emotion felt. Also, it clearly indicates the overall experience in an easily understandable and comparable manner. There exists a slight disparity between the two outlines CEAs. In the first one, it is independent of all outside influences, and the overall experience was negative. This is as a result of all the negatives such as the long wait before being served, the poor service while being attended to by the employees and the rude manner in which my complaint was handled that McDonalds has no control over (Shockleys, 2012). Areas for Management Attention Employees need to understand the value that customer experience hold for the organization. Etiquette while serving the customers is very important in order to build a rapport with them. Whether or not a customer chooses to frequent the establishment all boils down to the kind of customer experience they got the last time they were there. It is evident from my experience and the other complaints in McDonald’s website that the employees do not take much consideration when handling customers, especially when complaining about an issue they may have with the restaurant (Macdonald, 2013). Although there are instances where maybe the customers may come out rude and unpleasant, the employees need always to keep their calm given that they are a the representatives of the business (Natti, Hallinen & Hanttu, 2006). The second issue that seems to be a major problem with McDonalds is how customer complaints are handled. In any given establishment, customer complaints are anticipated and how the management deals with this will determine the success or downright failure of the establishment (Dawson, 2010). Given the nature of the business, people’s experience on the kind of service they got at the restaurant is likely to impact on other people’s decision to visit the restaurant or not. Most of the people who air their complaints online often sign out claiming that they will never set foot in the restaurant. Owing to the heavy competition, it would help to have a team that handles any online complaints in order to at least give the customers the sense that the company cares about their experience, and will do something to change any issues they may have with the restaurant (Natti & Osajalo, 2008). Recommendations for Management Improving customer experience should be a top priority for all managers working in the hospitality industry. Customer satisfaction often occurs when the restaurant’s service, as perceived by the customer, meets the expectation of the customers (Reid & Bojanic, 2010). However, there are ways in which to ensure at least that the customer experience at the restaurant is pleasant and that you get to retain more customers and hopefully attract more. A customer audit is essential in ensuring that the customers needs are always met. Managers need to move around, especially during rush hours, in order to ensure that employees maintain the company image (Johnson & Clerk, 2008). Customers in a way are a form of marketing for the business, if they get good service they are likely to share this with other people even on social media, which in turn will reflect in the addition of new customers for the restaurant. A good reputation is vital of any business hopes to survive in this highly competitive industry. Concerning how complaints are handled, it would help if all employees were well aware of how to handle any complaints the customers may have. Although some issues may be too complicated for some employees to handle, there are others that can easily be resolved without necessarily involving the management (Tice, 2012). Furthermore, employees need to understand that given the nature of the business they are likely to come across very many different characters who all perceive situations rather differently. What may seem petty to one individual may be a big deal to another individual. No individual should ever be dismissed given the common knowledge among most business people that the customer is always right (Anderson & Narrus, 2004). Hiring competent staffs who understand the great pressure and expectations required of them in the service industry would go a long way in ensuring that customers get treated the way they expect. In most cases, management simply hires anyone without necessarily taking into consideration their skills (Laws, 2004). Maybe this is why most establishments have an issue when it comes to customer service. Employees need training on how to deliver the best customer care service and on how they need to handle the customers. Additionally, it is essential to note that most people who frequent fast food restaurants do so because they are not looking to make long queues. This, therefore, implies that speed is of the essence in this industry. The expectation for lovers of fast food restaurant is quite simple, to get quality foods fast (Descanctis, 2013). This, however, does not mean that customers as so rigid as to not wait for the queue. As long as the queue is moving, most people will most likely wait to be served. However, it is imperative for management to ensure that all employees in the establishment are well trained and fast enough to handle the pressure that comes with handling large crowds at a fast rate. Managers can take the initiative to observe the daily operational procedures as a way or trying to determine exactly how long it takes from the preparation of the food to delivery to the customer. This will help in implementing changes in the training procedures for the personnel in order to ensure that they are fully equipped and competent to meet the requirements of the customers (Eggert, & Ulaga, 2002). Thirdly, the management can look for ways in which to ensure that all customer complaints are handled in a satisfactory manner, even if the complaints are aired online. We live in a rather digitalized world, and it is no surprise that most people share their experiences about most stuff online. As would be expected, most people nowadays get their views on a varying number of things, including restaurants, online from their peers. It is important if the management kept track of their online world to uphold a good status for the business (Homburg et al, 2005). Given the highly competitive nature of the food industry, a good reputation would go a long way in giving McDonalds competitive advantage over other fast food restaurants in the industry. If customers were also made aware of the outcomes of their complaints, it would also help them in regaining their faith and trust that the business has their best interest at heart. I would also recommend that the management finds a way to come up with a system that can easily function even in their absence. The employees should not be so dependent on their manager such that in case something happens and he stepped out they would not have to wait for him to come back and the business is not left at a standstill. The process in place ought to be repeated over-and-over again such that even when the manager is unavailable, the service delivery at the restaurant still gets to continue effectively. Conclusion In conclusion, any effective business should aim to realize and optimistically surpass the anticipations of the customer. In order for this to be possible, communication is very important among all members of the establishment. A high-quality customer experience needs to be evident all through from the first customer contact with the employee up to after sales practices. Employees need to create a good rapport with the customers to make them feel valued, and that their needs are important in order for them to develop an attachment with the business (Woodall, 2003). References Anderson, J. & Narus, J. (2004). Business market management: Understanding, creating and delivering value. Upper Saddle River, NJ: Pearson Education International. Brox, D. (2010). Fast foods fast. QSR Magazine. October 2010. Retrieved from http://www.qsrmagazine.com/ordering/fast-food-fast Dawson, R. (2010). Developing knowledge‐based client relationships: The future of professional services. Woburn, MA: Butterworth‐Heinemann. Descanctis, L. (2013). The importance of the customer experience – 10 important stats for 2013. Retrieved from http://www.technicallymarketing.com/index.php/2013/05/10/the- importance-of-the-customer-experience-10-important-stats-for-2013/ Eggert, A., & Ulaga, W. (2002). Customer perceived value: a substitute for satisfaction in business markets? Journal of Business and Industrial Marketing; 17 (2/3), 107-118. Golik Klanac, N. (2012). Types of linkages between service characteristics and customer consequences. European Journal of Marketing, 46 (3/4), 313 – 330. Homburg, C., Kuester, S., Beutin, N. & Ajay, M., (2005). Determinants of customer benefits in business-to-business markets: a cross-cultural comparison. Journal of International Marketing, 13 (3), 1-31. Humphreys, P. C., & Institute of Public Administration. (2008). Improving public service delivery. Dublin: Institute of Public Administration. Johnston, R., & Clark, G. (2008). Service operations management: Improving service delivery. Harlow, Essex, England: Prentice Hall. Laws, E. (2004). Improving tourism and hospitality services. Wallingford: CABI Pub. Lindsay, V., & Chadee, D. (2008). Relationships, the role of individuals and knowledge flows in the internationalization of service firms. International Journal of Service Industry Management, 14 (1), 7‐35. Macdonald, S. (2013). Why customer complaints are good for your business. Retrieved from http://www.superoffice.com/blog/customer-complaints-good-for-business/ Nätti, S., & Ojasalo, J. (2008). Loose coupling as an inhibitor of internal customer knowledge transfer: Findings from an empirical study in B‐to‐B professional services. Journal of Business & Industrial Marketing, 23 (3), 213 – 223. Nätti, S., Halinen, A. & Hanttu, N. (2006). Customer knowledge transfer and key account management in professional service organizations. Journal of Service Industry Management, 17 (4), 304‐19. Parker, D. W. (2012). Service operations management: The total experience. Cheltenham: Edward Elgar. Reid, R. D., & Bojanic, D. C. (2010). Hospitality marketing management. Hoboken, N.J: John Wiley & Sons. Shockleys, B. (2012). What is customer experience and why is it important? Retrieved From: http://www.avaya.com/usa/campaign/magazine/2013/cem/what-is- customer-experience- and-why-is-it-important.html Tice, C. (2012). The best and worst in restaurant customer service. Forbes. Retrieved from http://www.forbes.com/sites/caroltice/2012/06/20/whos-improving-and-whos-failing-in- restaurant-customer-service/ Woodall, T. (2003). Conceptualising “Value for the customer”: An attributional, structural and dispositional analysis. Academy of Marketing Science Review, 12, 1-41. Appendices: Appendix 1: Appendix 1 Company Information Organisation: Process: McDonalds Service Concept Scoring System Notes 1=Very Unsatisfactory 2-Un-satisafactory 3=Fair 4=Happy 5=Delighted Lunch at McDonalds Restaurant on a busy Friday afternoon Score 1 2 3 4 5 Transactions Friendliness of Staff × Affordable Food Food met the expectations Pleased Pleased Hygienic and Clean Establishment × Long wait before delivery of order Correct order delivered Frustrated Bombarded Quick service × Hygienic, clean staff and restaurant Pleased Good communication between staff and management × Unapologetic staff with poor customer service skills annoyed Friendliness from entrance to exit from the restaurant × Long wait in order for complaint to be handled Frustrated Affordable Food × General customer service Annoyed Overall Evaluation When the outside factors are not included, the overall customer experience generally improves from 58% to 70 %. The negative experience was mostly due to the service by the McDonalds staff. McDonalds is a customer oriented business and there are only a few areas that need critical attention lest it costs the business their customers. Appendix 2: Customer Experience Analysis of McDonalds Appendix 2 Customer Experience Analysis of McDonalds Restaurant Organisation: Process: McDonalds Service Concept Scoring System Notes 1=Very Unsatisfactory 2-Un-satisafactory 3=Fair 4=Happy 5=Delighted Lunch at McDonalds Restaurant on a busy Friday afternoon Score 1 2 3 4 5 Transactions Food menu delivery × Affordable Food Food met the expectations Pleased Pleased Purchase of food × Forty Minutes wait for order to be served Frustrated Friendliness of Staff × Hygienic, clean staff and restaurant Pleased Wait for service × Unapologetic staff with poor customer service skills annoyed Cleanliness of restaurant × Long wait in order for complaint to be handled Frustrated General customer service Annoyed Overall Evaluation Generally, the overall customer experience was almost average, with the positive encounters taking about 42% and the negative encounters taking about 58%. It is apparent that most of the times that the customers were not pleased with McDonalds it had more to do with the staff than the company. McDonalds would benefit more if they focused on improving the customer experience at the establishment. Read More