Impact Of Service Quality On The Brand Loyalty: A Case Of Pizza Hut Restaurants In Lahore

Abstract

In a cutthroat competition and rapidly changing environment, it is difficult to retain customers. The literature highlights that customer satisfaction can be achieved by maintaining service quality standards. This study analyzed the effect of service quality on brand loyalty (attitudinal and behavioural loyalty) with the mediating role of customer satisfaction and controlling the impact of demographic variables (age, gender, marital status, number of children and income) on customer satisfaction and brand loyalty. The sample of the study consists of customers of the Pizza Hut in Lahore city. Data is collected through questionnaires adopted from different empirical studies. Confirmatory Factor analysis and multiple regression analysis are used to analyze, model fitness and variables relationship with each other. The results show that service quality and its dimensions show positive impact on brand loyalty. Only tangibility shows an insignificant impact on brand loyalty. Customer satisfaction partially mediates service quality and brand loyalty. Further, demographic variables have no impact on brand loyalty and customer satisfaction. Therefore, it is recommended that Pizza Hut management should focus on improving service quality in order to achieve loyalty of customers, and management should also focus on customer focused behavioural training among employees in order to improve quality of services.