EFFECT OF PERCEIVED QUALITY ON CUSTOMER SATISFACTION IN SMALL HOTEL INDUSTRY: EVIDENCE FROM KUDUMBASREE HOTELS IN KERALA

Customer satisfaction is an important aspect of the hospitality industry and contributes significantly to restaurant success. Therefore, hotels or restaurants must prioritize offering high-quality services, maintaining their facilities, and ensuring their workforce and business organization are in good working order. This empirical study based on a survey of 163 customers evaluates customer satisfaction towards Kudumbashree hotels in Kerala across six dimensions: food quality, responsiveness, empathy, assurance, reliability, and tangibles. While the comparison of satisfaction levels revealed no statistically significant differences between male and female customers, the examination of age groups also showed no significant variations in satisfaction. According to the results excluding the factor responsiveness, all other factors considered namely, food quality, empathy, assurance, reliability, and tangibles are found to be significant positive predictors of satisfaction. As there has been little research into customer satisfaction in respect of small hospitality businesses, especially those run by women-run hotels this study would facilitate broadening the understanding regarding the influence of perceived quality on customer satisfaction in respect to small hospitality enterprises in general and women-run outlets in particular.