Chapter 4 – Data Analysis and Discussion (example)
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Type of Academic Paper – Dissertation Chapter
Academic Subject – Marketing
Word Count – 2964 words
Reliability Analysis
Before conducting any analysis on the data, all the data’s reliability was analyzed based on Cronbach’s Alpha value. The reliability analysis was performed on the complete data of the questionnaire. The reliability of the data was found to be (0.922), as shown in the results of the reliability analysis provided below in table 4.1. However, the complete results output of the reliability analysis is given in the appendix.
Reliability Analysis (N=200)
| Cronbach’s Alpha | No. of Items |
|---|---|
| .922 | 29 |
The Cronbach’s Alpha value between (0.7-1.0) is considered to have excellent reliability. The Cronbach’s Alpha value of the data was found to be (0.922); therefore, this indicated that the questionnaire data had excellent reliability. All of the 29 items of the questionnaire had excellent reliability, and if they are taken for further analysis, they can generate results with 92.2% reliability.
Frequency Distribution Analysis
First of all, the frequency distribution analysis was performed on the demographic variables using SPSS to identify the respondents’ demographic composition. Section 1 of the questionnaire had 5 demographic questions to identify; gender, age group, annual income, marital status, and education level of the research sample. The frequency distribution results shown in table 4.2 below indicated that there were 200 respondents in total, out of which 50% were male, and 50% were female. This shows that the research sample was free from gender-based biases as males and females had equal representation in the sample.
Moreover, the frequency distribution analysis suggested three age groups; ‘20-35’, ‘36-60’ and ‘Above 60’. 39% of the respondents belonged to the ‘20-35’ age group, while 56.5% of the respondents belonged to the ‘36-60’ age group and the remaining 4.5% belonged to the age group of ‘Above 60’.
Furthermore, the annual income level was divided into four categories. The income values were in GBP. It was found that 13% of the respondents had income ‘up to 30000’, 27% had income between ‘31000 to 50000’, 52.5% had income between ‘51000 to 100000’, and 7.5% had income ‘Above 100000’. This suggests that most of the respondents had an annual income between ‘31000 to 50000’ GBP.
The frequency distribution analysis indicated that 61% of respondents were single, while 39% were married, as indicated in table 4.2. This means that most of the respondents were single. Based on frequency distribution, it was also found that the education level of the respondents was analyzed using four categories of education level, namely; diploma, graduate, master, and doctorate. The results depicted that 37% of the respondents were diploma holders, 46% were graduates, 16% had master-level education, while only 2% had a doctorate. This suggests that most of the respondents were either graduate or diploma holders.
Frequency Distribution of the Demographic Characteristics of the respondents (N=200)
| Information of Participants | (N=200) |
|---|---|
Gender
|
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Age group
|
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Annual income
|
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Marital status
|
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Education level
|
|
Multiple Regression Analysis
The hypotheses were tested using linear multiple regression analysis to determine which of the dependent variables had a significant positive effect on the customer loyalty of the five-star hotel brands. The results of the regression analysis are summarized in the following table 4.3. However, the complete SPSS output of the regression analysis is given in the appendix. Table 4.3
Multiple regression analysis showing the predictive values of dependent variables (Brand image, corporate identity, public relation, perceived quality, and trustworthiness) on customer loyalty (N=200)
| Source | R | R2 | Adjusted R2 | β | Significance | t |
|---|---|---|---|---|---|---|
| Regression (ANOVA) | .948 | .899 | .897 | .000 | ||
| Constant | -382 | .005 | -.2.866 | |||
| Brand image | .074 | .046 | 2.012 | |||
| Corporate identity | .020 | .482 | .704 | |||
| Public relation | .014 | .400 | .843 | |||
| Perceived quality | .991 | .000 | 21.850 | |||
| Trustworthiness | -.010 | .652 | -.452 |
Predictors: (Constant), Trustworthiness, Public Relation, Brand Image, Corporate
Identity, Perceived Quality
Dependent Variable: Customer Loyalty
The significance value (p-value) of ANOVA was found to be (0.000) as shown in the above
table, which was less than 0.05. This suggested that the model equation was significantly fitted
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on the data. Moreover, the adjusted R-Square value was (0.897), which indicated that the model’s predictors explained 89.7% variation in customer loyalty.
Furthermore, the presence of the significant effect of the 5 predicting variables on customer loyalty was identified based on their sig. Values. The effect of a predicting variable is significant if its sig. Value is less than 0.05 or if its t-Statistics value is greater than 2. It was found that the variable ‘brand image’ had sig. Value (0.046), the variable ‘corporate identity had sig. Value (0.482), the variable ‘public relation’ had sig. Value (0.400), while the variable ‘perceived quality’ had sig. value (0.000), and the variable ‘trustworthiness’ had sig. value (0.652).
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Hypotheses Assessment
Based on the regression analysis, it was found that brand image and perceived quality have a significant positive effect on customer loyalty. In contrast, corporate identity, public relations, and trustworthiness have an insignificant effect on customer loyalty. Therefore the two hypotheses; H1 and H4 were accepted, however the three hypotheses; H2, H3, and H5 were rejected as indicated in table 4.4.
Table 4.4
Hypothesis Assessment Summary Table (N=200)
| Hypotheses | Sig. value | t-Statistics | Empirical conclusion |
|---|---|---|---|
| H1: Brand image has a significant positive effect on customer loyalty. |
.046 | 2.012 | Accepted |
| H2: Corporate identity has a significant positive effect on customer loyalty. |
.482 | .704 | Rejected |
| H3: Public relation has a significant positive effect on customer loyalty. | .400 | .843 | Rejected |
| H4: Perceived quality has a significant positive effect on customer loyalty. |
.000 | 21.850 | Accepted |
| H5: Trustworthiness has a significant positive effect on customer loyalty. |
.652 | -.452 | Rejected |
The insignificant variables (corporate identity, public relation and trustworthiness) were excluded from equation 1. After excluding the insignificant variables from the model equation 1, the final equation becomes as follows;
Customer loyalty = α + 0.074 (Brand image) + 0.991 (Perceived quality) + €
The above equation suggests that a 1 unit increase in brand image is likely to result in 0.074 units increase customer loyalty. In comparison, 1 unit increase in perceived quality can result in 0.991 units increase in customer loyalty.
Cross Tabulation Analysis
To further explore the results, the demographic variables’ data were cross-tabulated against the respondents’ responses regarding customer loyalty using SPSS. In this regards the five demographic variables; gender, age group, annual income, marital status and education level were cross-tabulated against the five questions regarding customer loyalty to know the difference between the customer loyalty of five-star hotels of UK based on demographic differences. The results of the cross-tabulation analysis are given in the appendix. The results are graphically presented in bar charts too, which are also given in the appendix.
Cross Tabulation of Gender against Customer Loyalty
The gender was cross-tabulated against question 1 to 5 of the questionnaire to identify the gender differences between male and female respondents’ responses regarding customer loyalty of five-star hotels of the UK. The results indicated that out of 100 males, 57% were extremely agreed that they stay at one hotel, while out of 100 females, 80% were extremely agreed they stay at one hotel. This shows that in comparison with a male, females were more agreed that they stayed at one hotel and were found to be more loyal towards their respective hotel brands.
The cross-tabulation results further indicated that out of 100 males, 53% agreed that they always say positive things about their respective hotel brand to other people. In contrast, out of 100 females, 77% were extremely agreed. Based on the results, the females were found to be in more agreement than males that they always say positive things about their respective hotel brand to other people.
It was further found that out of 100 males, 53% were extremely agreed that they recommend their hotel brand to others, however, out of 100 females, 74% were extremely agreed to this statement. This result also suggested that females were more in agreement than males to recommend their hotel brand to others.
Moreover, it was found that out of 100 males, 54% were extremely agreed that they don’t seek alternative hotel brands, while out of 100 females, 79% were extremely agreed to this statement. This result also suggested that females were more agreed than males that they don’t seek alternative hotel brands, and so were found to be more loyal than males.
Furthermore, it was identified that out of 100 male respondents 56% were extremely agreed that they would continue to go to the same hotel irrespective of the prices, however out of 100 females 79% were extremely agreed. Based on this result, it was clear that females were more agreed than males that they would continue to go to the same hotel irrespective of the prices, so females were found to be more loyal than males.
After cross tabulating ‘gender’ against the response of the 5 questions regarding customer loyalty the females were found to be more loyal customers of the five-star hotel brands than males as they were found to be more in agreement than the man that they stay at one hotel, always say positive things about their hotel brand to other people, recommend their hotel brand to others, don’t seek alternative hotel brands and would continue to go to the same hotel irrespective of the prices.
Cross Tabulation of Age Group against Customer Loyalty
Afterward, the second demographic variable, ‘age groups’ was cross-tabulated against questions 1 to 5 of the questionnaire to identify the difference between the customer loyalty of customers of different age groups. The results indicated that out of 78 respondents between 20 to 35 years of age, 61.5% were extremely agreed that they stayed at one hotel. While out of 113 respondents who were between 36 to 60 years of age, 72.6% were extremely agreed that they always stay at one hotel. However, out of 9 respondents who were above 60 years of age, 77.8% agreed that they always stay at one hotel. This indicated that customers of 36-60 and above 60 age groups were more loyal to their hotel brands as they were keener to stay at a respective hotel brand.
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Cross Tabulation of Annual Income against Customer Loyalty
The third demographic variable, ‘annual income’ was cross-tabulated against questions 1 to 5 of the questionnaire to identify which of the customers were most loyal based on their respective annual income levels. The results indicated that out of 26 respondents who had annual income up to 30000 GBP, 84.6% were extremely agreed that they always stay at one hotel. However, out of 54 respondents who had annual income from 31000 to 50000 GBP, 98.1% agreed that they always stay at one hotel. Although out of 105 respondents had annual income from 50000 to 100000 GBP, 49.5% were extremely agreed that they always stay at one hotel. While out of 10 respondents who had annual income from 50000 to 1000000 GBP, 66.7% agreed that they always stay at one hotel. This indicated that customers of annual income levels from 31000 to 50000 GBP were more loyal to their hotel brands than the customers having other annual income levels.
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Cross Tabulation of Marital Status against Customer Loyalty
Furthermore, the fourth demographic variable the ‘marital status’ was cross-tabulated against questions 1 to 5 of the questionnaire to understand the difference between married and unmarried respondents regarding customer loyalty of five-star hotels of the UK. The cross-tabulation analysis results indicated that out of 122 single respondents, 59.8% were extremely agreed that they stay at one hotel. However, out of 78 married respondents, around 82% of respondents agreed that they stay at one hotel. Thus, the married customers were more loyal to their hotel brands than unmarried customers because, in comparison, married customers prefer to stay at one hotel brand.
To proceed with the cross-tabulation results, out of 122 single respondents, 55.7% were extremely agreed upon always saying positive things about their hotel brands to other people. On the other hand, out of 78 married respondents, 79.5% were extremely agreed. Hence, upon evaluating the results, it can be said that married customers have more customer loyalty as they are in more agreement than singles. They always give positive feedback regarding their respective hotel brand to other people.
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Cross Tabulation of Education Level against Customer Loyalty
Subsequently, the fifth demographic variable, ‘education level’ was cross-tabulated against questions 1 to 5 of the questionnaire to identify which of the customers were most loyal based on their respective education levels. The results indicated that out of 50 respondents who were diploma holders, 67.6% were extremely agreed that they always stay at one hotel. While out of 64 respondents who were graduates, 69.6% were extremely agreed that they always stay at one hotel. Although out of 22 respondents who were masters, 68.8% were extremely agreed that they always stay at one hotel. However, out of 2 respondents with doctorates, 50% were extremely agreed to always stay at one hotel. This indicated that customers who were graduates were more loyal than the customers with diplomas, masters, or doctorates.
Moreover, 66.2% of the diploma holders were extremely agreed that they always say positive things about their hotel brand to other people. In comparison, 64.1% of the respondents who were graduates were extremely agreed. However, 65.5% of the respondents who had masters were extremely agreed, and 50% of the respondents who had doctorates agreed with the statement. Based on this result customers having masters were the most loyal customers of their respective five-star hotel brands.
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Discussion
In this subsection, the findings of this study are compared and contrasted with the literature to identify which of the past research supports the present research findings. This present study based on regression analysis suggested that brand image can have a significant positive effect on the customer loyalty of five-star hotels in the UK. This finding was supported by the research of Heung et al. (1996), who also suggested that the hotel’s brand image can play a vital role in preserving a high ratio of customer loyalty.
Moreover, this present study also suggested that perceived quality was the second factor that was found to have a significant positive effect on customer loyalty. The perceived quality was evaluated based on; service quality, comfort, staff courtesy, customer satisfaction, and service quality expectations. In this regard, Tat and Raymond (2000) research supports the findings of this study. The staff service quality was found to affect customer loyalty and the level of satisfaction. Teas (1994) had also found service quality to affect customer loyalty. However, Teas also found that staff empathy (staff courtesy) towards customers can also affect customer loyalty. The research of Rowley and Dawes (1999) also supports the finding of this present study. The users’ expectations about the quality and nature of the services affect customer loyalty. A study by Oberoi and Hales (1990) was found to agree with the present study’s findings, as they had found the quality of staff service to affect customer loyalty.
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Summary of the Findings
- The brand image was found to have a significant positive effect on customer loyalty. Therefore customer loyalty is likely to increase with the increase in brand image.
- The corporate identity was found to have an insignificant effect on customer loyalty. Therefore customer loyalty is not likely to increase with the increase in corporate identity.
- Public relations was found to have an insignificant effect on customer loyalty. Therefore customer loyalty is not likely to increase with the increase in public relations.
- Perceived quality was found to have a significant positive effect on customer loyalty. Therefore customer loyalty is likely to increase with the increase in perceived quality.
- Trustworthiness was found to have an insignificant effect on customer loyalty. Therefore customer loyalty is not likely to increase with the increase in trustworthiness.
- The female customers were found to be more loyal customers of the five-star hotel brands than male customers.
- The customers of age from 36 to 60 years were more loyal to their hotel brands than the customers of age from 20 to 35 and above 60.
- The customers who had annual income from 31000 to 50000 were more loyal customers of their respective hotel brands than those who had an annual income level of less than 31000 or more than 50000.
- The married respondents had more customer loyalty than unmarried customers, towards five-star hotel brands of the UK.
The customers who had bachelor degrees and the customers who had master degrees were more loyal to the customers who had a diploma or doctorate.
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