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Article
Publication date: 4 June 2024

Ismael Gómez-Talal, Pilar Talón-Ballestero, Veronica Leoni and Lydia González-Serrano

This study aims to examine how dynamic pricing impacts customer perceptions of restaurants and sentiment toward prices via online reputation metrics. In addition, to deepen the…

Abstract

Purpose

This study aims to examine how dynamic pricing impacts customer perceptions of restaurants and sentiment toward prices via online reputation metrics. In addition, to deepen the debate on dynamic pricing, a novel definition is drawn by exploring the specific forms of discrimination that can manifest in different industries.

Design/methodology/approach

Leveraging a comprehensive data set of restaurant reviews sourced from TripAdvisor, the study focuses on restaurants affiliated with one of the largest groups of restaurants in Spain. We used a quasi-experimental method (difference-in-differences), to study how dynamic pricing strategies influence customers’ perceptions of value based on numerical ratings. Meanwhile, we used a Bidirectional Encoder Representations from Transformers model on the textual component of reviews to dissect the emotional nuances of dynamic pricing.

Findings

Results did not reveal a causal impact of dynamic pricing strategies on customers’ perceptions. Moreover, the sentiment analysis shows no heightened negative view after introducing dynamic pricing in restaurants compared to the control group. Contrary to what previous literature suggests, our findings indicate that implementing dynamic pricing does not adversely affect customers’ perceptions or sentiments regarding prices in restaurants.

Research limitations/implications

The quasi-experimental setting of the study presents inherent challenges in establishing causality that require further investigation using controlled experimental settings. Nevertheless, our study reveals that restaurant customers do not perceive dynamic pricing as unfair. This finding is critical for restaurant managers when considering the implementation of dynamic pricing and revenue management strategies. In addition, our study highlights the importance of considering not only numerical ratings but customer sentiment analysis as well. This more holistic approach to assessing the impact of pricing strategies can give restaurant managers a deeper understanding of customer reactions. In addition, a more rigorous definition of dynamic pricing is provided, clarifying its nature and its distinction in using different price discrimination.

Originality/value

This study contributes to the evolving understanding of dynamic pricing strategies’ impact on customers’ perceptions and sentiments in the restaurant industry. It aims to fill the gap in understanding customer reactions to algorithmically determined prices (via revenue management systems such as DynamEat) in this industry. The combination of causal inference and sentiment analysis offers a novel perspective, shedding light on the nuanced connections between dynamic pricing implementation and customers’ emotions.

目的

本研究考察动态定价如何通过在线声誉指标影响顾客对餐厅的感知和对价格的情绪。此外, 为了深化对动态定价的讨论, 通过探索不同行业中可能表现出的具体歧视形式, 提出了一个新的定义。

设计/方法/途径

利用从TripAdvisor获取的餐厅评论的全面数据集, 研究聚焦于与西班牙最大的餐厅集团之一相关联的餐厅。我们采用了准实验方法(差异中的差异), 研究动态定价策略如何根据数值评分影响顾客对价值的感知。同时, 我们运用BERT模型对评论的文本成分进行分析, 以解析动态定价的情感细微差别。

发现

结果没有揭示动态定价策略对顾客感知产生因果影响。此外, 情绪分析显示, 在餐厅引入动态定价后, 与对照组相比, 没有增加消极观点。与以往文献所述相反, 我们的发现表明, 实施动态定价并不会对顾客对价格的感知或情绪产生负面影响。

研究限制/含义

研究的准实验设置存在确立因果关系的固有挑战, 需要通过控制实验设置进一步调查。尽管如此, 我们的研究揭示了餐厅顾客不认为动态定价不公平。这一发现对餐厅经理在考虑实施动态定价和收入管理策略时至关重要。此外, 我们的研究强调, 考虑顾客情绪分析和数值评分的重要性。这种更全面的方法评估定价策略的影响, 可以让餐厅经理更深入地理解顾客反应。此外, 提供了一个更严格的动态定价定义, 澄清了其性质及其在使用不同价格歧视中的区别。

原创性/价值

本研究对于理解动态定价策略对餐厅行业顾客感知和情绪影响的不断发展有所贡献。它旨在填补对客户对算法确定的价格(通过收入管理系统(RMS)例如DynamEat)在此行业中反应的理解空白。因果推断与情绪分析的结合提供了新的视角, 揭示了动态定价实施与顾客情绪之间微妙的联系。

Propósito

Este estudio examina cómo la fijación dinámica de precios impacta en las percepciones de los clientes de los restaurantes y en el sentimiento hacia los precios a través de métricas de reputación en línea. Además, para profundizar en el debate sobre la fijación dinámica de precios, se propone una definición novedosa explorando las formas específicas de discriminación que pueden manifestarse en diferentes industrias.

Diseño/metodología/enfoque

Utilizando un conjunto de datos exhaustivo de reseñas de restaurantes obtenidas de TripAdvisor, el estudio se centra en los restaurantes afiliados a uno de los mayores grupos de restaurantes en España. Empleamos un método cuasiexperimental (diferencias en diferencias) para estudiar cómo las estrategias de precios dinámicos influyen en las percepciones de valor de los clientes basándonos en las calificaciones numéricas. Mientras tanto, empleamos un modelo BERT en el componente textual de las reseñas para desentrañar los matices emocionales de la fijación dinámica de precios.

Hallazgos

Los resultados no revelaron un impacto causal de las estrategias de precios dinámicos en las percepciones de los clientes. Además, el análisis de sentimiento no muestra una visión negativa aumentada después de introducir la fijación dinámica de precios en los restaurantes en comparación con el grupo de control. Contrariamente a lo que sugiere la literatura previa, nuestros hallazgos indican que la implementación de precios dinámicos no afecta negativamente las percepciones o los sentimientos de los clientes respecto a los precios en los restaurantes.

Limitaciones/implicaciones de la investigación

La configuración cuasiexperimental del estudio presenta desafíos inherentes para establecer la causalidad que requieren una investigación más profunda utilizando entornos experimentales controlados. Sin embargo, nuestro estudio revela que los clientes de restaurantes no perciben la fijación de precios dinámica como injusta. Este hallazgo es crítico para los gerentes de restaurantes al considerar la implementación de la fijación de precios dinámica y estrategias de gestión de ingresos. Además, nuestro estudio resalta la importancia de considerar no solo las calificaciones numéricas sino también el análisis del sentimiento del cliente. Este enfoque más holístico para evaluar el impacto de las estrategias de precios puede dar a los gerentes de restaurantes una comprensión más profunda de las reacciones de los clientes. Además, se proporciona una definición de fijación de precios dinámica más rigurosa, aclarando su naturaleza y su distinción en el uso de diferentes discriminaciones de precios.

Originalidad/valor

Este estudio contribuye a la comprensión en evolución del impacto de las estrategias de fijación de precios dinámicos en las percepciones y sentimientos de los clientes en la industria restaurantera. Su objetivo es llenar el vacío en la comprensión de las reacciones de los clientes a los precios determinados algorítmicamente (a través de sistemas de gestión de ingresos (RMS) como DynamEat) en esta industria. La combinación de inferencia causal y análisis de sentimientos ofrece una perspectiva novedosa, arrojando luz sobre las conexiones matizadas entre la implementación de la fijación de precios dinámicos y las emociones de los clientes.

Article
Publication date: 7 June 2024

Abduljalil Nasr Hazaea, Abdullah Alfaifi and Bakr Bagash Mansour Ahmed Al-Sofi

This study aims to examine the language choices of outdoor signs and menus in addition to the functions of outdoor signs in restaurants in a Saudi tourist city, Abha. The primary…

Abstract

Purpose

This study aims to examine the language choices of outdoor signs and menus in addition to the functions of outdoor signs in restaurants in a Saudi tourist city, Abha. The primary focus is on identifying the extent to which outdoor signs accurately represent the language choices of restaurant menus.

Design/methodology/approach

The study developed a conceptual framework for the linguistic landscape (LL) of restaurants. It employed a quantitative approach to collect outdoor signs and menus of 75 sampled restaurants in Abha using online photos and a smartphone camera. Then it analyzed the frequency and percentage of language choices on outdoor signs and menus as well as the extent to which language choices of outdoor signs represent menus.

Findings

The findings indicate that more than half (58.66%) of the restaurants employ bilingual signage in both Arabic and English. Other languages like Spanish, French, Chinese and Turkish are sporadically used, with multilingualism observed only in isolated instances. The study also reveals that bi/multilingualism on outdoor signs primarily serves informational purposes, where more than one-third (36%) of the outdoor signs use languages other than Arabic to serve a symbolic function. Regarding menus, Arabic and English dominate, while Turkish appears on one menu. Spanish, French, and Chinese are absent from restaurant menus, indicating linguistic mismatch in terms of language choices.

Originality/value

This study contributes to LL studies of restaurants in tourist cities by showing language choices and functions of outdoor signs and their alignment with menus.

Details

International Journal of Tourism Cities, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2056-5607

Keywords

Article
Publication date: 27 May 2024

Santanu Mandal, Ritesh Kumar Dubey, Bhaskar Basu and Raghu Raman

While the COVID-19 pandemic has given many firms the importance of business continuity, restaurants have yet to realize the essential enablers. In this regard, the study explored…

Abstract

Purpose

While the COVID-19 pandemic has given many firms the importance of business continuity, restaurants have yet to realize the essential enablers. In this regard, the study explored the potential enablers that can help firms attain business continuity in the post-COVID-19 era for casual dining restaurants.

Design/methodology/approach

This study used an extensive literature review and further supported 28 restaurant managers with an average experience of 8.5 years to identify the potential enablers for ensuring business continuity for casual dining restaurants. Subsequently, this study used the interpretive structural modelling coupled with Matrice d'Impacts Croisés Multiplication Appliquée à un Classement (MICMAC) analysis to understand the context-specific inter-relationships as a hierarchical structural model.

Findings

Findings suggest that financial capability forms the key driver for other enablers in the hierarchy of business continuity for casual dining restaurants. Furthermore, manpower (local and outstation) are the second-level drivers of restaurant process control, digital presence, online reviews and feedback management, scalability, food quality, food delivery management, employee safety and hygiene. The third-level factors further help restaurants to achieve the dynamic capability required to provide customer value and ensure business continuity.

Originality/value

The study is the foremost to explore a business continuity framework in the new normal for casual dining restaurants in the country. Furthermore, several contextual inter-relationships exhibiting the hierarchy are also established for the business continuity of restaurants in the new normal.

Details

International Journal of Quality and Service Sciences, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1756-669X

Keywords

Article
Publication date: 27 May 2024

Shiwen Lu and Jiseon Ahn

Although small businesses are important to the economy, few studies have examined how the small restaurant experience influences customer behavior. Thus, the purpose of this study…

Abstract

Purpose

Although small businesses are important to the economy, few studies have examined how the small restaurant experience influences customer behavior. Thus, the purpose of this study is to develop a model and examine the influence of small restaurant attributes (i.e. authenticity) on customers’ positive attitudes and behavior.

Design/methodology/approach

Using 181 responses from customers of small restaurants, this study examines how the dimensions of authenticity (i.e. continuity, credibility, integrity, and symbolism) affect customers’ positive behavioral intentions through emotional attachment.

Findings

The results of partial least squared–structural equation modeling demonstrate that customer perceptions of symbolism, credibility, and integrity in their experience at a small restaurant influence their attachment, which in turn influences both their word of mouth and revisit intentions. However, continuity has no significant effect on customers’ emotional attachment to service providers. Also, the effects of authenticity on customer behavior vary across demographic categories.

Originality/value

With increasing competition in the small business context, service providers seek to understand how to create positive customer patronization behavior. This study provides guidelines for small business owners who are developing marketing strategies.

Details

Asia Pacific Journal of Marketing and Logistics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 13 February 2007

Carola Raab and Karl Mayer

This research paper aims to examine whether using menu engineering (ME) together with activity‐based costing (ABC) for menu analysis gives new insights about true menu…

7020

Abstract

Purpose

This research paper aims to examine whether using menu engineering (ME) together with activity‐based costing (ABC) for menu analysis gives new insights about true menu profitability. The traditional ME approach only uses food cost to determine the contribution margin of individual menu items. This combined approach uses both food and traceable operating costs to estimate contribution margins more accurately.

Design/methodology/approach

An improved menu engineering model was developed and tested in a buffet restaurant in Hong Kong. Direct observation of restaurant activities allowed most costs to be traced (not simply allocated) to individual menu items.

Findings

The results found that only three of 20 dinner menu entrées were profitable. This unique insight would not have been possible using traditional ME methods alone. The results also showed that ABC methods are applicable to a buffet‐style restaurant.

Research limitations/implications

Only a single restaurant and only the dinner menu were examined in this study. Future research should apply the model used herein to other restaurant types located in different geographical areas in an effort in order to validate the approach.

Practical implications

The paper suggests that ME can be improved upon by first assessing variable costs using ABC methods. Thus, the extra effort required to apply ABC in a restaurant appears to be worthwhile.

Originality/value

The paper combines two disparate analytic techniques (ME and ABC) in a new approach that reveals a menu's true profit and loss picture. The paper also makes several modifications to the traditional ME approach.

Details

International Journal of Contemporary Hospitality Management, vol. 19 no. 1
Type: Research Article
ISSN: 0959-6119

Keywords

Article
Publication date: 8 June 2012

John L. Stanton, Martin S. Meloche and Peter Charette

This paper aims to provide a base line of the types of menu items that are sold in American chain restaurants that have bars. The term “bar food” is defined for these types of…

705

Abstract

Purpose

This paper aims to provide a base line of the types of menu items that are sold in American chain restaurants that have bars. The term “bar food” is defined for these types of foods.

Design/methodology/approach

The research method used the internet to collect all data listed in the appetizer section of the menu. Restaurants were also anecdotally coded as to type of restaurant.

Findings

There were 66 restaurants with a total of 67 unique bar menu items. The conclusion was that among all restaurants there were very few bar items that appeared on “most” menus. Only four items were statistically greater than 50 percent of all menu items. When restaurants were coded by ethnic type or style the number of common menu items increased.

Practical implications

This paper defines bar food and for restaurant managers points out the possibility of using bar food offerings as a differentiating factor relative to competitors.

Originality/value

This paper defines bar food and its use in food service.

Details

Worldwide Hospitality and Tourism Themes, vol. 4 no. 3
Type: Research Article
ISSN: 1755-4217

Keywords

Article
Publication date: 1 February 2003

Beverley Sparks, John Bowen and Stefanie Klag

Previous research has shown that restaurants are an important factor in the choice of a holiday destination for some tourists. Research has also found that the restaurants at a…

14749

Abstract

Previous research has shown that restaurants are an important factor in the choice of a holiday destination for some tourists. Research has also found that the restaurants at a destination can enhance the guests’ overall satisfaction with the destination. This research was sponsored by the Co‐operative Research Centre for Sustainable Tourism in Australia and investigates the relationship between the tourist destination, restaurants and tourists. The study is based on the results of interviews with 459 tourists. The findings of the study provide support for the proposition that tourists perceive restaurants as an important attribute of a tourist destination. The study also provides insight into how tourists select restaurants. This information is useful to managers of restaurants in tourist destinations. Both destination marketers and restaurant managers will benefit from this study.

Details

International Journal of Contemporary Hospitality Management, vol. 15 no. 1
Type: Research Article
ISSN: 0959-6119

Keywords

Article
Publication date: 17 May 2024

Cynthia Mejia

Restaurant and foodservice workers who were formally “essential” throughout the global pandemic were disproportionately subjected to layoffs and furloughs, and are now slowly…

Abstract

Purpose

Restaurant and foodservice workers who were formally “essential” throughout the global pandemic were disproportionately subjected to layoffs and furloughs, and are now slowly returning to the industry with expectations of equitable pay and benefits. Given the recent acceleration of the UN’s Sustainability Development Goals and its focus on decent work, the purpose of this study was to determine if restaurant consumers would be willing to pay for decent work that supported the social sustainability of restaurant workers.

Design/methodology/approach

Data were collected from 317 restaurant consumers during August 2023. Confirmatory factor analysis was used to validate the Decent Work Scale adapted for consumers. Structural equation modeling was employed to test the full behavioral model of decent work predicting willingness to pay, while bootstrapping was used to test the mediation.

Findings

The adapted Decent Work Scale for consumers strongly predicted their willingness to pay through a full mediation of Theory of Planned Behavior constructs (attitude, subjective norm, perceived behavioral control).

Originality/value

This study demonstrated that restaurant consumers were willing to pay for the decent work and social sustainability of restaurant workers. This study validated an adapted Decent Work Scale in the consumer context, whereas prior research utilizing the scale was of worker self-reports of decent work.

Details

British Food Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0007-070X

Keywords

Article
Publication date: 23 May 2024

Edward C.S. Ku

This study aims to explore how perceived anthropomorphism, perceived warmth, and customer–artificial intelligence (AI) assisted exchange (CAIX) of service robots affect customers’…

Abstract

Purpose

This study aims to explore how perceived anthropomorphism, perceived warmth, and customer–artificial intelligence (AI) assisted exchange (CAIX) of service robots affect customers’ satisfaction via digital marketing innovation.

Design/methodology/approach

A customer satisfaction model was formulated based on the perspective of parasocial relationships and hybrid intelligence; 236 completed questionnaires were returned by partial least squares structural equation modeling analysis.

Findings

This study demonstrates that perceived anthropomorphism, perceived warmth and CAIX's impact on digital marketing innovation were supported, and customer satisfaction impacted the continued intention to use service robots.

Originality/value

Restaurants that leverage service robots differentiate themselves from competitors by offering innovative and technologically advanced dining experiences. Integrating AI capabilities sets these restaurants apart and attracts tech-savvy customers who value convenience and efficiency.

Details

Asia Pacific Journal of Marketing and Logistics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 26 February 2019

Natalia Velikova, Bonnie Canziani and Helena Williams

Wine is an important profit center for restaurants. The purpose of this paper is to address some of the challenges and opportunities at the nexus of wine and hospitality, with an…

Abstract

Purpose

Wine is an important profit center for restaurants. The purpose of this paper is to address some of the challenges and opportunities at the nexus of wine and hospitality, with an eye on relationship building between smaller wineries and dining establishments.

Design/methodology/approach

The paper is essay style with acknowledgments made to extant literature, as well as US industry-based intelligence.

Findings

Primary challenges facing small wineries trying to enter the restaurant market revolve around constraints imposed by the traditional distribution system mindset, as well as pricing issues affecting procurement and markup of wine for restaurant use, limited abilities to provide sufficient inventory and the lack of time and people resources. Counterpoint discussion reveals opportunities related to increased focus on experience-based wine sales in restaurants, the importance of the story and the value of co-branding.

Practical implications

Partnerships with restaurants can be a delicate yet desirable part of a small winery’s strategy. The key is to develop a mutually beneficial relationship, while fulfilling the objectives and missions of both winery and restaurant. When wineries and restaurants carve out the time and invest the people resources to successfully and purposefully co-brand, optimum symmetry is formed which leads to mutually valued dining and special gastronomic experiences for the winery/restaurant partners and their customers.

Originality/value

In a viewpoint format, the paper outlines and discusses the key elements of relationship building between small wineries and restaurants.

Details

International Journal of Wine Business Research, vol. 31 no. 1
Type: Research Article
ISSN: 1751-1062

Keywords

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