Abstract:
Customer relationship management (CRM) has currently become one of the hottest
issues and a focal-center in the business field. In fact, due to the competitive
environments among hotels sector, it is essential that hotels should adopt new strategy
such as CRM. Based on this the study aimed at assessing the impact of customer relation
management on customers retention in hotels in the Takoradi Metropolis. A descriptive
survey research design was used. The research covers a population of customers and
staff of five (5) hotel in Takoradi Metropolis. A sample of 150 customers and 110 staff
members were selected. Purposive and convenient sampling technique were employed
for this study. Questionnaire was used as data collection instrument. The study
discovered that 78.4% of hotels and 76.2% had adopted commitment strategy, and
customer-centered strategy. Also, it appeared that 69.3% had adopted process-driven
approach, whereas 70.4% of the hotels had adopted reliability strategy and 72.7% of
the hotels had adopted technology orientation strategy in retaining its customers. The
study showed that inconsistent and inaccurate customer data, and frequent changes of
hotel management are the major challenges to effective implementation of CRM
strategies. The study found that hotel commitment is found to have the greatest
influence on customer retention (β=0.358, t=4.704, p=0.00<0.01). Hence, hotel
commitment is a significant predictor of customer retention. The next contribution is
made by customer-centered (β=0.124, t=2.293, p=0.024<0.05), process-driven
approach (β= 0.357 t=2.154, p= 0.034<0.05), and then technology (β =0.138, t =-0.212,
p =0.002<0.01). However, there was no relationship between reliability and customer
retention (β =-0.027, t=-0.183, p=0.197>0.05). The study concluded that improving
CRM practices has the potential of enhancing customer retention. It was recommended
that the hotels should invest resources and capacity to intensify the management of
customer relationships as this has been shown to impact on profitability.
Description:
A Dissertation in the Department of HOSPITALITY AND TOURISM EDUCATION,
Faculty of VOCATIONAL EDUCATION, submitted to the School of Graduate
Studies, University of Education, Winneba, and in partial fulfillment of requirement
for the award of the Master of Technology (Catering and Hospitality) degree.
APRIL, 2020