Digitalization and Its Effect on Customer Satisfaction

Abstract

This study looks at how digitalization affects customer satisfaction at a popular fast-food company in Cagayan de Oro City. Taking respondent demographics into account, the researchers examined the connection between customer satisfaction (price, product quality, and service excellence) and digitalization (digital marketing strategies, technology use, and digital literacy), determining the degree to which digitalization affects overall customer satisfaction and pinpointing areas in need of improvement were the objectives. A survey questionnaire was used in the study with a descriptive quantitative design, wherein 246 clients were chosen at random from a total population of 642. Using a four-point Likert scale, the questionnaire evaluated customer satisfaction across several aspects, demographic profiles, and digitalization levels. Descriptive statistics (frequency, percentage, mean) and inferential statistics (T-Test, Anova, Pearson R correlation) were used in the data analysis. The validity of the instrument was validated by three external expert reviewers. SPSS software was used to examine the data. The study, which concentrated on particular facets of digitalization and consumer happiness, was restricted to a single fast-food restaurant in Cagayan de Oro City. Digitalization and total customer satisfaction were shown to have a somewhat favorable connection (r= 0.56217). The lack of statistical significance (p> 0.05) in this correlation, however, suggests that the effect of digitalization on satisfaction has not been conclusively demonstrated. While satisfaction with product quality and service excellence was constant across groups (p>0.05), there were notable disparities in pricing satisfaction across demographic categories (age, gender, and income; p<0.05). Customers gave the fast-food chain’s internet platforms excellent ratings for usability. Price, product quality, and service excellence all received high ratings from customers. In conclusion, other factors have a stronger impact on customer satisfaction than digitalization, despite the latter having a moderate association with it. A balanced strategy that incorporates both traditional customer service components, human interaction, and digital innovations should be given top priority by businesses. The subtleties of the relationship between digitalization and customer happiness should be further investigated, taking into account a greater variety of circumstances and factors.