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Customer satisfaction refers to the extent to which customers are happy with the
products and services provided by a business. Customer satisfaction levels can be
measured using survey techniques and questionnaires.
Definition 1:
Customer satisfaction is equivalent to making sure that product and service
performance meets customer expectations.
Definition 2:
Customer satisfaction is the perception of the customer that the outcome of a business
transaction is equal to or greater than his/her expectation.
Definition 3:
Customer satisfaction occurs when acquisition of products and/or services provides a
minimum negative departure from expectations when compared with other
acquisitions. Gaining high levels of customer satisfaction is very important too
business because satisfaction customers are most likely to be loyal and to make repeat
orders and to use a wide range of services offered by a business .There are many
factors which lead in high levels of customer satisfaction including. Products and
services which are customer focused and hence provide high levels of value for
What is clear about customer satisfaction is that customers are most likely to
appreciate the goods and services that they buy if they’re made to feel special. This
occurs when they feel that the products and services that they buy have been specially
produced for them or for people like them.

1.1.1 Benefits of Customer Satisfaction

The importance of customer satisfaction and support is increasingly becoming a vital
business issue as organization realize the benefits of Customer Relationship
Management (CRM)for providing effective customer service. Professionals working
within customer-focused business or those running call centers or help desks, need to
keep informed about the latest customer satisfaction techniques for running a valuable
customer service function. From small customer service departments to large call
centers, the importance of developing a valued relationship with customers using
CRM is essential to support customer and long-term business growth.

1.1.2 What Do Customers Want?
Before we begin to create tools to measure the level of satisfaction, it’s important to
develop a clear understanding of what exactly the customer wants. We need to know
what our customers expect from the products and services we provide. Customer
expectations have two types –
 Expressed.
 Implied.
 Customer Expectations are those requirements that are written down n the contract
and agreed upon by both parties for example, product specifications and delivery
requirements. Supplier’s performance against these requirements is most of the
items directly measurable.

Customer Expectations are not written or spoken but are the ones the customer would
‘expect’ the supplier to meet nevertheless. For example, a customer would expect the
service representative who calls on him to be knowledgeable and competent to solve a
problem on the spot. There are many reasons why customer expectations are likely to
change overtime. Process improvements, advent of new technology, changes in
customer’s priorities, improved quality of service provided by competitors are just a
few examples. The customer is always right. Supplier’s job is to provide the customer
what he/she wants, when he/she wants it. Customer satisfaction is customer’s
perception that a supplier has met or exceeded their expectations.

1.1.3 What Constitutes Satisfaction?

We cannot create customer satisfaction just by meeting customer’s requirements fully
because these have to be met in any case. However failing short is certain to create
Major Attributes of customer satisfaction in banking industry can be summarized as:
 Product quality
 Premium Outflow
 Return on Investment
 Services
 Responsiveness and ability to resolve complaints and reject reports.
 Overall communication, accessibility and attitude.

1.1.4 What Are The Tools?
Customer expectations can be identified using various methods such as:
Periodic contract reviews.
Market Research.
Telephonic Interviews.
Personal visits.
Warranty records.
Informal discussions.
Satisfaction surveys depending upon the customer base and available resources, we
can choose a method that is most effective in measuring the customer’s perceptions.
The purpose of the exercise is to identify priorities for improvements. We must
develop a method or combination of methods that helps to continually improve

Here are the top six reasons why customer satisfaction is so important:
 It’s a leading indicator of consumer repurchase intentions and loyalty
 It’s a point of differentiation
 It reduces customer churn
 It increases customer lifetime value
 It reduces negative word of mouth
 It’s cheaper to retain customers than acquire new ones

1. It’s a leading indicator of consumer repurchase intentions and loyalty

Customer satisfaction is the best indicator of how likely a customer will make a
purchase in the future. Asking customers to rate their satisfaction on a scale of 1-10 is
a good way to see if they will become repeat customers or even advocates.
Any customers that give you a rating of 7 and above, can be considered satisfied, and
you can safely expect them to come back and make repeat purchases. Customers who
give you a rating of 9 or 10 are your potential customer advocates who you can
leverage to become evangelists for your company.
Scores of 6 and below are warning signs that a customer is unhappy and at risk of
leaving. These customers need to be put on a customer watch list and followed up so
you can determine why their satisfaction is low.
See how satisfaction provides so much insight into your customers?

That’s why it’s one of the leading metrics businesses use to measure consumer
repurchase and customer loyalty.

2. It’s a point of differentiation

In a competitive marketplace where businesses compete for customers; customer
satisfaction is seen as a key differentiator. Businesses who succeed in these cut-throat
environments are the ones that make customer satisfaction a key element of their
business strategy.
Picture two businesses that offer the exact same product. What will make you choose
one over the other?
If you had a recommendation for one business would that sway your opinion?
Probably. So how does that recommendation originally start? More than likely it’s on
the back of a good customer experience. Companies who offer amazing customer
experiences create environments where satisfaction is high and customer advocates
are plenty.
This is an example of where customer satisfaction goes full circle. Not only can
customer satisfaction help you keep a finger on the pulse of your existing customers,
it can also act as a point of differentiation for new customers.

3. It reduces customer churn

An Accenture global customer satisfaction report (2008) found that price is not the
main reason for customer churn; it is actually due to the overall poor quality of
customer service.
Customer satisfaction is the metric you can use to reduce customer churn. By
measuring and tracking customer satisfaction you can put new processes in place to
increase the overall quality of your customer service.
I recommend you put an emphasis on exceeding customer expectations and ‘wowing’
customers at every opportunity. Do that for six months, than measure customer
satisfaction again. See whether your new initiatives have had a positive or negative
impact on satisfaction.

4. It increases customer lifetime value

A study by InfoQuest found that a ‘totally satisfied customer’ contributes 2.6 times
more revenue than a ‘somewhat satisfied customer’. Furthermore, a ‘totally satisfied
customer’ contributes 14 times more revenue than a ‘somewhat dissatisfied
Satisfaction plays a significant role in how much revenue a customer generates for
your business.
Successful businesses understand the importance of customer lifetime value (CLV). If
you increase CLV, you increase the returns on your marketing dollar.
For example, you might have a cost per acquisition of $500 dollars and a CLV of
$750. That’s a 50% ROI from the marketing efforts. Now imagine if CLV was
$1,000. That’s a 100% ROI!
Customer lifetime value is a beneficiary of high customer satisfaction and good
customer retention. What are you doing to keep customers coming back and spending
Learn more about customer lifetime value:
 Customer Lifetime Value For Beginners (4 Step Guide)
 5 Strategies To Increase Customer Lifetime Value

5. It reduces negative word of mouth

McKinsey found that an unhappy customer tells between 9-15 people about their
experience. In fact, 13% of unhappy customers tell over 20 people about their
That’s a lot of negative word of mouth.
How much will that affect your business and its reputation in your industry?
Customer satisfaction is tightly linked to revenue and repeat purchases. What often
gets forgotten is how customer satisfaction negatively impacts your business. It’s one
thing to lose a customer because they were unhappy. It’s another thing completely to
lose 20 customers because of some bad word of mouth.
To eliminate bad word of mouth you need to measure customer satisfaction on an
ongoing basis. Tracking changes in satisfaction will help you identify if customers are
actually happy with your product or service.

6. It’s cheaper to retain customers than acquire new ones

This is probably the most publicized customer satisfaction statistic out there. It costs
six to seven times more to acquire new customers than it does to retain existing
If that stat does not strike accord with you then there’s not much else I can do to
demonstrate why customer satisfaction is important.
Customers cost a lot of money to acquire. You and your marketing team spend
thousands of dollars getting the attention of prospects, nurturing them into leads and
closing them into sales.
Why is it that you then spend little or no money on customer retention?
Imagine if you allocated one sixth of your marketing budget towards customer
retention. How do you think that will help you with improving customer satisfaction
and retaining customers?
Here are some customer retention strategies to get you thinking:
 Use blogs to educate customers
 Use email to send special promotions
 Use customer satisfaction surveys to listen
 Delight customers by offering personalized experiences
For more great ideas, check out these blog posts:
 9 customer retention strategies for companies
 7 customer retention programs that work
 11 customer retention tactics from the real world


A dabbawala; also spelled as dabbawalla or dabbawallah; is a person in India, most
commonly in Mumbai, who is part of a delivery system that collects hot food in lunch
boxes from the residences of workers in the late morning, delivers the lunches to the
workplace, predominantly using bicycles and the railway trains, and returns the empty
boxes to the worker's residence that afternoon. They are also used by meal suppliers
in Mumbai, where they ferry ready, cooked meals from central kitchens to the
customers and back. In Mumbai, most office workers prefer to eat home-cooked food
in their workplace rather than eat outside at a food stand or at a local restaurant,
usually for reasons of taste and hygiene, hence the concept. A number of work-from-
home women also supply such home-cooked meals, delivering through the dabbawala

When literally translated, the word "dabbawala" means "one who carries a box".
"Dabba" means a box (usually a cylindrical tin or aluminium container)
from Persian: ‫دَبّه‬, while "wala" is an agentive suffix, denoting a doer or holder of the
preceding word. The closest meaning of the dabbawala in English would be the
"lunch box delivery man".

In 1890 Bombay, Mahadeo Havaji Bachche started a lunch delivery service with
about a hundred men. In 1930, he informally attempted to unionize the dabbawallas.
Later, a charitable trust was registered in 1956 under the name of Nutan Mumbai
Tiffin Box Suppliers Trust. The commercial arm of this trust was registered in 1968
as Mumbai Tiffin Box Supplier's Association. The current president of the association
is Raghunath Medge.

Supply Chain Management

A collecting dabbawala, usually on bicycle, collects dabbas either from a worker's
home or from the dabba makers. As many of the carriers are of limited literacy (the
average literacy of Dabbawallahs is that of 8th grade), the dabbas (boxes) have some
sort of distinguishing mark on them, such as a colour or group of symbols.
The dabbawala then takes them to a sorting place, where he and other collecting
dabbawalas sort the lunch boxes into groups. The grouped boxes are put in the
coaches of trains, with markings to identify the destination of the box (usually there is
a designated car for the boxes). The markings include the railway station to unload the
boxes and the destination building delivery address.At each station, boxes are handed
over to a local dabbawala, who delivers them. The empty boxes are collected after
lunch or the next day and sent back to the respective houses. The dabbawalas also
allow for delivery requests through.
Appearance and coding Lunch boxes are marked in several ways:
(1) Abbreviations for collection points,
(2) Colour code for starting station,
(3) Number for destination station and
(4) Markings for handling dabbawala at destination, building and floor.

It was estimated in 2007 that the dabbawala industry was growing by 5-10% per
annum. A colour-coding system identifies the destination and recipient. Each
dabbawala is required to contribute a minimum capital in kind, in the form of two
bicycles, a wooden crate for the tiffins, white cotton kurta-pyjamas, and the
white Gandhi cap (topi).

Economic Analysis
Each dabbawala, regardless of role, is paid around 8,000 rupees per month (about
US$131 in 2014). Between 175,000 and 200,000 lunch boxes are moved each day by
4,500 to 5,000 dabbawalas.
It is frequently claimed that dabbawalas make less than one mistake in every six
million deliveries, however this is only an estimation from Ragunath Medge, the
president of the Mumbai Tiffinmen's Association in 1998, and is not from a rigorous
study. Medge told Subrata Chakravarty, the lead author of the 'Tiffin Food' article
by Forbes where this claim first appeared, that dabbawalas make a mistake "almost
never, maybe once every two months" and this statement was extrapolated by Subrata
Chakravarty to be a rate of "one mistake in 8 million deliveries." Chakravarty recalled
the affair in an interview and said
"Forbes never certified the dabbawalas as being a six-sigma organization. In fact, I
never used the term at all. As you know, six-sigma is a process, not a statistic. But it is
commonly associated with a statistic of 1.9 errors per billion operations, and that is
what caused the confusion … . I was impressed by the efficiency and complexity of
the process by which some 175,000 tiffin boxes were sorted, transported, delivered
and returned each day by people who were mostly illiterate and unsophisticated. I
asked the head of the organization how often they made a mistake. He said almost
never, maybe once every two months. Any more than that would be unforgivable to
customers. I did the math, which works out to one mistake in 8 million deliveries—or
16 million, since the tiffin carriers are returned home each day. That is the statistic I
used. Apparently, at a conference in 2002, a reporter asked the president … whether
the tiffinwallahs were a six-sigma organization. He said he didn't know what that was.
When told about the 1.9 error-per-billion statistic, I'm told he said: "Then we are. Just
ask Forbes". The reporter, obviously without having read my story, wrote that Forbes
had certified the tiffinwallahs as a six-sigma organization. That phrase was picked up

and repeated by other reporters in other stories and now seems to have become part of
the folklore." - Subrata Chakravarty

1.2.1 Understanding Multidimensional Aspects of Tiffin Food Quality

Vending of Tiffin food in urban areas is a growing and worldwide phenomenon and
today Tiffin foods are important sources of daily foods for massive urban populations
– not least in punjab towns. But food poisoning, food borne diseases and food safety
have been declared a major public health concern by international health agencies and
Tiffin foods have in many studies been associated with microbiological contamination
and low hygienic standards (WHO 2006). Hence, Tiffin food vendors are of massive
importance for public health since they alone have influence on the health of
thousands of people every day.
However, if we in future wish to effectively encourage vendors to improve Tiffin food
safety and thereby minimise the dangers of food borne diseases, it is vital to gain in-
sight into the perceptions which form practices and attitudes towards food safety and
hygiene. This thesis will therefore engage in understanding such perceptions among
students in Jalandhar and investigate how these are linked to actual practices and
decision-making when preparing and Tiffin foods and choosing a vendor.

1.2.2 Food Study

What is a food study?
Food studies is an emerging interdisciplinary field of study that examines the complex
relationships among food, culture, and society from numerous disciplines in the
humanities, social sciences, and sciences. Food studies is not the study of food itself;
it is different from more traditional food-related areas of study such as agricultural
science, nutrition, culinary arts, and gastronomy in that it deals with more than the
simple production, consumption, and aesthetic appreciation of food. It is the study of
food and its relationship to the human experience. This relationship is examined from
a variety of perspectives lending a multidisciplinary aspect to this field encompassing
areas such as, art, sociology, education, economics, health, social justice, literature,
anthropology, and history.

Why food studies?
Food studies looks at people’s relationships with food and reveals an abundance of
information about them. Food choices expose a group or a person’s beliefs, passions,
background knowledge, assumptions and personalities. Hauck-Lawson (2004)
introduced the concept of food voice. She suggested that what one eats or chooses not
to eat communicates aspects of a person’s identity or emotion in a manner that words
alone cannot. Food choices tell stories of families, migrations, assimilation,
resistance, changes over times, and personal as well as group identity. So why do we
need to study food in a non- epicurean manner? Food studies can challenge us to look
deeply into the common daily occurrence of eating and find deeper meaning in this
ordinary practice. It can help us understand ourselves and others better. It can help
debunk stereotypes and promote acceptance across individuals and groups. In essence,
food studies, why not?

Eating Versus Feeding

Food provides animals the nutrients needed to maintain life and growth when
ingested. When most animals feed, they consume foods needed for their well-being
and do so in a similar way at each feeding. Humans, however, do not feed, they eat.
This trait distinguished humans from other animals. Humans gather, hunt, cultivate
plants, and raise livestock for food consumption. Humans also cook, use utensils to
eat and institute a complex set of rules following a code of etiquette to govern how to
eat appropriately. The human trait of sharing food is exclusive to its species. Humans
relate to food in a in a way they is unique to mankind. We do not simply feed.

Food and Identity

Kittler, Sucher, and Nelms (2012) coined the term food habits (also known as food
culture or foodways) to describe the manner in which humans use food, including
everything from how it is chosen, acquired, and distributed to who prepares, serves,
and eats it. They stated that the significance of the food habits process is that it is
unique to human beings. They pondered why people spend so much time, energy,
money, and creativity on eating. A familiar saying that epitomizes the idea of food
and identity is, “You are what you eat.” This expression addresses two of the
questions considered in the research: What does the food on my plate signify? and
How do food practices contribute to personal identity? These questions address the
concept of food as a cultural signifier and encompass fields as diverse as literature,
anthropology, sociology, and history. Sadella and Burroughs (1981) surveyed
individuals about their perceptions of themselves as consumers of food and how they
viewed others based on their dietary habits. The researchers listed foods which were
distinctive to five different diets: Tiffin food (pizza, hamburgers, and fired chicken),
synthetic food (Carnation Instant BreakTiffin, Cheez Whiz), health food (yogurt,
protein shake, and wheat germ), vegetarian (bean sprout sandwich, broccoli quiche,
avocado, and brown rice), and gourmet food (French roast coffee, caviar, oysters).
They learned participants in the study associated different personality types with the
food choices made for each of the five diets.
People who eat Tiffin food and synthetic food were classified as religious
conservatives who often wore polyester clothing. Health food personalities were
characterized as antinuclear activists and Democrats. Vegetarians were likely to be
perceived as pacifists who drive foreign cars. Gourmet food eaters were seen as
individuals who were liberal and sophisticated. These stereotypes were established
through self-descriptions and personality tests which were completed by individuals
whose diets fell into the five categories. Another study examined people’s perceptions
of similar looking individuals based on the foods they consumed. Stein and Nemeroff
(1995) asked university students to rate profiles of individuals based on their diets.
The students were shown pictures of sets of two nearly identical looking people. One
person in each pair was classified as the “good” food eater and the other was the
“bad” food eater. Physically, all else was similar. Students judged the people who ate
“good” foods in a more favorable light. They found the “good” food eaters to be
thinner, active, and more fit than persons with the same physical characteristics and
exercise habits who ate “bad” foods. In addition, the persons who ate “good” foods
were rated as more attractive, likable, quiet, practical, methodical, and analytical that
those who ate “bad” foods. Social and psychological factors have an influence on
people’s food habits and choices. Larson and Story (2009) examined these influences
on the choices people make in food consumption. They learned that children tend to
choose foods eaten by admired adults, like their teachers but not their parents.
Children also chose food similar to that eaten by favorite fictional characters, peers,
and especially their older brothers and sisters. Social conscience and peer pressure
impact food choices (Brown, 2011). It was found that group approval or disapproval
of a given food had an impact on food choices. If the group favored the food choice,
a person is more likely to accept that food as part of his or her diet. On the other hand,
when the group disapproves of a food choice, the person making the selection
generally rejects the food in question. This may explain why some relatively
unpalatable food items such as unsweetened espresso coffee were enjoyed by the
author and her colleagues at numerous coffee bars in Naples, Italy. The culture in
which she and her cohorts were immersed strongly approved of coffee breaks with
espresso being the coffee of choice. Food as an expression of identity is apparent in
the experience of going out to eat. McComber and Postel (1992) suggested that
restaurants serve more than food. They strive to satisfy nutritional and emotional
needs in their clientele. When deciding where to dine out, consumers may consider a
variety of factors, such as, the menu, atmosphere, service, location, and cost or value
of the meal. It was found most restaurants cater to specific types of customers and that
the same diner may choose a venue based on current needs. For instance, in the parent
role, a quick, inexpensive restaurant with a playground is a good choice. That same
diner may choose a business club which features a conservative setting for a work-
related meeting. A candle-lit bistro with soft music and bottles of wine would be
appropriate for a romantic evening out with a significant other. Ethnic restaurants
hold an allure to clients as well. They appeal to natives of the homeland represented
by offering familiarity and authenticity in foods served. For those who do not share
the ethnicity of a dining establishment, the experience allows them to explore the
novelty of a different and maybe even unfamiliar culinary adventure. Psychological
needs intertwine with social factors when foods are used more for the meaning they
represent more than the nourishment they offer or provide (Brown, 2011).

Food and Symbolism

Food has symbolic meanings based on association with other meaningful experiences.
An example of the symbolic meanings including food references can be found in
many of our common expressions. Bread is a good example of the symbolism found
in foods. When people sit together with friends at a meal they are said to break bread
with one another. This expression symbolizes a setting where friends come together in
a warm, inviting and jovial manner to eat. Bread has been called the staff of life. The
type of bread consumed by a person has been known to indicate social standing. For
instance, white bread has traditionally been eaten by the upper class (also known as
the upper crust – a bread reference) while dark bread is consumed by the poor. Whole
wheat bread is the bread of choice in today’s society by persons concerned more with
their health than their status. An affluent person has “a lot of bread.” In some
cultures, bread is shared by couples as part of their wedding ceremony. In the
Christian religion it represents the body of Christ in the sacrament of communion.
Superstitions about bread have also been documented. Greek soldiers take a piece of
bread from home into battle to ensure their safe and triumphant return home. Sailors
traditionally bring a bun on their journeys to prevent shipwrecks. English midwives
would place a loaf of bread at the foot of a new mother’s bed to prevent the woman
and her child from being kidnapped by evil spirits.

Cultural Identity
Culturally speaking, in essence, what one eats defines who one is and is not. This
statement addresses the third question asked in the research, what are examples of
how food and food habits contribute to the development and transmission of culture?
Culture is defined as the beliefs, values, and attitudes practiced and accepted by
members of a group or community. Culture is not inherited; it is learned. The food
choices of different cultural groups are often connected to ethnic behaviors and
religious beliefs. Kittler, P.G., Sucher, K.P., & Nelms (2012) addressed the influence
of food habits on an individual’s self-identity by stating, “Eating is a daily
reaffirmation of [one’s] cultural identity”. Many people affiliate the foods from their
culture, their childhood with warm, good feelings and memories. The food is part of
who we are and become. It ties us to our families and holds a special worth to a
person. Foods from our culture, from our family often become the comfort foods we
seek as adults in times of frustration and stress. As an Italian American, the author
began to consider how her heritage, handed down through the food on her plate,
signified who she has become today. During the seminar held in Naples, Italy, a focus
of the lectures was an examination of how “Italian” food and the “Mediterranean diet”
are marketed and have affected the socioeconomic reality of the region. During a
lecture, the author asked about food traditions in Italian families. She learned a
custom was the Sunday dinner. Every Sunday, the matriarch of the family prepared a
large pot of spaghetti. The entire family then gathers together to eat pasta and enjoy
each other’s company at Nana’s (Grandmother’s) house. The author is a second
generation Italian American. As a child, every Sunday morning her father (first
generation Italian) and sometimes her mother (nonItalian) made spaghetti. It was a
family tradition. Dear old Aunt Julia would come by precisely at dinner time with a
hot loaf of bread (another Italian tradition is bring bread as a gift when invited for
dinner) and the family ate and laughed and shared stories with one another. The warm
buttered bread and a big salad were always served with the spaghetti. The memory as
well as the spaghetti was delicious. This memory, connected to family’s heritage and
culture, confirmed to the author that food is much more than nutrients. There were
emotional connections, a sense of belonging, and ethnic pride found in the food on the
author’s Italian plate. Cultural identity, however, is not restricted by the specific foods
one associates with a given ethnic or racial group. One’s social class, standing in the
community, and profession are signifiers of culture as well. For instance, in American
society there are norms and standards which are followed in social settings when
dining. The proper use of food and behaviors connected with civilized eating habits,
also known as manners or etiquette is an expression of group membership. In the
United States a certain set of appropriate dining expectations exist for a variety of
dining occasions. One does not speak with a mouth full of food, especially during
formal dining occasions. Certain conversational topics would be inappropriate to
share at the dinner table. Sharing a meal with another person connotes equality and is
a way to show acceptance of one another professionally and personally.


Food delivery market in India worth over 12.5 billion, Online food delivery is
contributing more than 7% to this market. More than 50,000 restaurants in India
provides home delivery, indicates a very high potential and untapped market
in online food delivery space.
Players in the industry broadly classified into three categories---
 Fully integrated: Those who process food and delivers (Dominos, McD etc)
 Delivery as a Service.
 Aggregators: Provides a platform for customers where they could discover
restaurants, navigate through menus of different cuisines, and select the
food. Delivery made by the restaurant. In short, aggregates information about
food for customers and function as an ordergenerating channel for
restaurants. (TinyOwl, Zomato, FoodPanda etc)

Reasons for growth in online food delivery industry:
Increase in disposable income and deeper internet penetration of customers
Restaurants tying up with online food delivery platforms claim to get a
profit margin of more than 2 to 3% than dine- ins.
These days’ people are prone to placing food orders online and capitalising this
trend a lot of restaurants are yielding good returns by registering themselves on
online ordering sites like Foodpanda, Tastykhana, JustEat and many local
ordering websites are also following suit.
Driving factors
Greater awareness and disposable income along with deeper Internet penetration,
availability of more payment options, long working hours and erratic lifestyle are
contributing online food ordering business. At the same time, with more and more
people wanting healthy food, or food similar to home cooked meals that too easy on
the pockets is leading to the rise of online food business in the country.
Nixon Dsouza, Brand Manager, Nom Nom, says, “Penetrating through every
commercial aspect humans have started using technology for everything and food
ordering is one such developments”.
Rohit Chadda, MD and Founder Foodpanda, believes, “Online ordering is
convenient giving the customers a broader option to choose from the restaurants
listed on the website.”

Future of the business

As per the industry experts, the overall food delivery business is more than USD 7
billion to which online food ordering contributes 5-7 percent and is growing 40
percent per year than dine- in culture. The margin is however two to three percent
higher in deliveries. According to Ritesh Dwivedy, MD and CEO, JustEat, “The
future seems bright for the online food business in India, as we are trying to catch
up with developed markets where 30 percent of delivery takes place through online

Major players
Online food ordering is at an exciting phase now. Many local and national players
are joining the space. In fact the foreign brand JustEat has also tied up with the
Jalandhar based HungryZone. Foodpanda which started its business from Delhi-
NCR is the major player in the segment followed by JustEat and TastyKhana.
Besides, DeliveryChef, BigBite, Titbit and eatallnite are the emerging players in
the online food delivery market which is estimated to grow at 25 percent annually.


Zomato is an online food ordering portal which consists of the varied menus of all the
food joints enlisted on it. The website acts as a one-step go platform for the users who
wish to order food online. The website releases the users from the humdrum of
carrying printed menu cards and searching for restaurant phone numbers. The easy
and appealing User Interference of the website allows the users to order the food of
their choice with a few clicks. The users can experiment with different cuisines
available with the restaurant even when ordering from home and thus they can bring
in the fine dining experience.

By 2011, Zomato launched
in Bengaluru, Pune, Chennai, Hyderabad and Ahmedabad. With the introduction
of .xxx domains in 2011, Zomato also launched zomato. a site dedicated to food
porn. The company launched a print version of the website content named, "Citibank
Zomato Restaurant Guide", in collaboration with Citibank in May 2012, but it has
since been discontinued.
In September 2012, Zomato expanded overseas to the United Arab Emirates, Sri
Lanka, Qatar, the United Kingdom, the Philippines, and South Africa. In 2013, the
company launched in New Zealand, Turkey, Brazil and Indonesia with its website and
apps available in Turkish, Brazilian Portuguese, Indonesian and English.
In April 2014, Zomato launched its services in Portugal, followed by launches
in Canada, Lebanon and Ireland the same year.
The acquisition of Seattle-based food portal Urbanspoon marked the firm's entry into
the United States, Canada and Australia, and brought it into direct competition
with Yelp, Zagat and OpenTable.

In February 2017, Zomato in a company's blog, explained the concept of cloud
kitchen. With its cloud kitchen, the company will help the restaurants to expand their
presence without incurring any fixed costs.
In September 2017, Zomato claimed that the company had "turned profitable" in the
24 countries it currently operates in. Furthermore, Zomato announced that the "zero
commission model" is to be introduced for partner restaurants.
Zomato narrowed down its losses by 34% to ₹389 Cr[ for the financial year 2016-17,
from Rs 590.1 Cr crore[ in the previous year 2015-16.
On 10 December 2018, a video went viral which showed a food deliverer eating
directly out of the orders he had to deliver. In the video, the person can be seen
repacking the food after eating it. The company said it was a "rare" incident and it will
launch measures to prevent that from happening again.

Between 2010-13, Zomato raised approximately US$16.7 million from Info Edge
India, giving them a 57.9% stake in Zomato. In November 2013, it raised an
additional US$37 million from Sequoia Capital and Info Edge India.
In November 2014, Zomato completed another round of funding of US$60 million at
a post-money valuation of ~US$660 million. This round of funding was being led
jointly by Info Edge India and Vy Capital, with participation from Sequoia Capital.
In April 2015, Info Edge India, Vy Capital and Sequoia Capital led another round of
funding for US$50 million. This was followed by another US$60 million funding led
by Temasek, a Singapore government-owned investment company, along with Vy
Capital in September.
In October 2018, Zomato raised $210 million from Alibaba's payment affiliate Ant
Financial. Ant Financial received an ownership stake of over 10% of the company as
part of the round, which valued Zomato at around $2 billion. Zomato had also raised
an additional $150 million also from Ant Financial earlier in 2018.

In July 2014, Zomato made its first acquisition by buying Menu-mania for an
undisclosed sum. The company pursued other acquisitions such as and for a combined US$3.25 million. In September 2014, Zomato

acquired Poland-based restaurant search service Gastronauci for an undisclosed
sum. Three months later, it acquired Italian restaurant search service Cibando.
Zomato acquired Seattle-based food portal Urbanspoon for an estimated $60 million
in 2015. Other acquisitions of 2015 include Mekanist in an all-cash deal,
the Delhi based startup MapleGraph that built MaplePOS (renamed as Zomato
Base, and NexTable, a US-based table reservation and restaurant management
In 2016, the company acquired Sparse Labs, a logistics technology startupand the
food delivery startup, Runnr, in 2017.
In September 2018, Zomato acquired Bengaluru-based food e-marketplace
TongueStun Food for about $18 million in a cash and stock deal.

Zomato Security Breaches

On 4 June 2015, an Indian security researcher hacked the Zomato website and gained
access to information about 62.5 million users. Using the vulnerability, he was able to
access personal data of users such as telephone numbers, email addresses and
Instagram private photos using their Instagram access token. Zomato fixed the issue
within 48 hours of it becoming apparent.[44] On 15 October 2015, Zomato changed
business strategies from a Full-Stack market to an Enterprise market. This led Zomato
to reduce of its workforce by 10%, or around 300 people.
On 18 May 2017, a security blog called Hackread claimed over 17 million accounts
had been breached. "The database includes emails and password hashes of Zomato
users, while the price was set for the whole package is $1,001.43 (Bitcoins 0.5587).
The vendor also shared a trove of sample data to prove it is legit", the Hackread's post
said. Hackread claimed details of 17 million users had meanwhile been sold on the
Dark Web. Zomato confirmed that names, email addresses and encrypted passwords
were taken from its database. The company reassured affected customers that no
payment information or credit card details were stolen.
Zomato said the security measures it uses ensure the stolen passwords can't be
converted back into normal text, but it still urged users who use the same password on
other services to change them. It also logged the affected users out of the app and
reset their passwords. "So far, it looks like an internal (human) security breach - some
employee's development account got compromised", the company said in a blog post

but later, when Zomato contacted the hacker, they discovered a loophole in their
security. The hacker removed the stolen content from Dark Web asking for a healthy
bug bounty programme.



Mark (2010) said that online food ordering system is a system to manage the
business. The main point of developing this system is to help the customers to manage
the business and help customers through online ordering and lunch reservation. The
project is being developed because of the long queues that will be in the restaurant
during lunch or dinner hours, one for purchasing tickets and one for collecting food.
With the new system, the customers would be able to order their food from the
comfort of their offices, classrooms, hostels and anywhere outside the school campus
without queuing. The system will cater for the disadvantages of the traditional method
which is currently in place.

Sharma (2012) said that online food ordering could be called the response of the
internet to the desire for delivery food. It is a growing trend especially in urban areas
and on college campuses that allows people to order from restaurants featuring
interactive menus, by use of their internet connection. In many cases handle
complicated web pages can be used to make orders, though a lot of people rely on a
desktop or laptop computer for this. ‘Ordering form grocery stores to stock the
kitchen, instead of placing one time orders with a restaurant. There are several ways
in which online food ordering from a restaurant may occur. A restaurant can have its
website with easy features for placing an order for pick up or delivery. Some add a
third option of being able to make reservation. Instead of calling for a delivery, people
just access the internet to the restaurant site and make their order.

Yahunna (2014) concluded that food diversity in India is an implicit characteristic of

India’s diversified culture consisting of different regions and states within.
Traditionally, Indians like to have Home-cooked meals – a concept supported
religiously as well as individually. However, with times due to increasing awareness
and influence of western culture, there is a slight shift in food consumption patterns
among urban Indian families. It started with eating outside and moved on to accepting
a wide variety of delicacies from world-over. Liberalization of the Indian economy in
the early 1990s and the subsequent entry of new players set a significant change in
lifestyles and the food tastes of Indians.

Hall (2015) stated that the millions of people who "eat out" every day have a wide
variety of needs and tastes from a quick lunch to a luxurious meal with elaborate
service. Because of these differences there are many kinds of restaurants varying from
street stands for a hot dog or bowl of noodles to elaborate restaurants with the best
cooking. There are millions of people away from their homes everyday either by
necessity or by choice. The restaurant and catering business has developed to feed this
huge number of transients-office and factory workers, schoolchildren, military
personnel, travellers, and 6 people out to have a good time.

Venus (2015) said that increasingly, customers have higher expectations, demanding
more attention and friendlier service. Most customers seem satisfied with food
quality, dinning are cleanliness, comfort of the atmosphere, freshness of the
ingredients, and portion size. Indeed, the only area where satisfaction is less than 50
percent relates to noise level.

Malhotra (2016) said that quality of food is the most important factor in people's
evaluation of any of restaurant. The second most important factor varies by restaurant
type. In fast-food, coffee shops, and take-out restaurants, it is speed of service; in
family-type restaurants, cleanliness; in cafeteria, it is the selection of food; and in
atmosphere/specialty restaurants, it is the atmosphere or d6cor.

Lundberg (2018) said people eat out for a variety of reasons: to satisfy hunger, social
needs, and ego and self-fulfilment needs. The most popular theory of motivation, that
proposed by A.H. Maslow, states that humans are wanting animals. As soon as one
need is satisfied, another appears to take its place, motivating from the need for safety
or security up the scale through social, ego, and self-fulfilment. People go to
restaurant to satisfy not only hunger but also self-esteem, self- respect, self-
confidence, and prestige needs.



3.1 NEED
The brief study on review of literature revealed the fact that number of studies have
been carried out in the area of the food industry but in Indian context, still a wide gap
exist in the research field with particular stress on the same aspect. In order to fill the
research gap of focus only on Zomato and the need aroused to study the customer
satisfaction towards the services of Zomato.


The scope of the study was limited to students, employees and businessman of
Jalandhar city who uses food ordering services of Zomato.


The objectives of the study are as follows:
1. To study the respondents perception regarding food ordering apps.
2. To study the satisfaction level of respondents regarding quality, quantity,
packaging, delivery and price of food provided by Zomato.



The research methodology is the way to systematically solve a problem. A research

methodology consists of various steps. The research design of the present study is the
descriptive and explanatory study. In order to accomplish the research objectives and
to conduct this study the primary data source was used. A well-structured and closed
end respondent. A five-point Likert scale were designed to collect information from
food service users in Jalandhar questionnaire was used for data collection from the
Research design for the current study was descriptive research. Descriptive research
which includes surveys and fact finding inquiries of different kinds. The major
purpose is description of the state of affairs as it exists at present
It refers to the technique or procedure the researcher would adopt in selecting items
for the sample. All the items under consider in any field of inquiry constitute a
universe or population.
4.2.1 Universe
The universe of the study covers all the respondents who use online food services.
4.2.2 Sampling Unit
Sampling unit of the study was students and employees of Jalandhar area.
4.2.3 Sampling Size
In this study the sample size was of 100 respondents.
4.2.4 Sampling Technique
In this the sampling technique is Non- Probability Convenience sampling, where
population elements are selected for inclusion in sample based on ease of access.


Secondary Data Sources
The secondary data was collected through internet, various official sites of the
companies, pamphlets, brochures of the companies. Journals & Magazine

Primary Data Sources
The primary data was collected through interaction with customers and questionnaires
filled from the customers who avails the tiffin services in Jalandhar.
4.3.1 Tools of Presentation and Analysis
Tables, Figures and Percentages were used as the Tools of Presentation and Analysis
in the study.


The study which is explicit in its form suffered from few limitations which were
unavoidable. A few of these are:
1. The study is limited to the attitude and perception of the selected sample
respondents, and may not be universally applicable.
2. The geographical area of the study was limited to Jalandhar.
3. There might be a possibility of bias in the perception of the individuals in the
4. The study is 'micro' in nature as the sample size is of 100 respondents. Hence it is
not necessary that it truly represents the population universe.



The data has been processed and analyzed by tabulation interpretation so that findings
can be communicated and can be easily understood. The findings are presented in the
best possible way. Tables and graphs had been used for illustration of findings of the

Table 5.1: Demographic Profile of Respondents

Demographics No. of Respondents Percentage
18-25 years 60 60
35-45 years 30 30
Above 45 years 10 10
Total 100 100
Male 60 60
Female 40 40
Total 100 100
Student 60 60
Employees 30 30
Businessman 10 10
Others please specify 0 0
Total 100 100
Income (Rs.)/month
10,000-30,000 20 20
30,000-50,000 50 50
Above 50,000 30 30
Total 100 100

Analysis and Interpretation:

From the above table it is quite clear that majority of respondents i.e. 60% are male
and 40% respondents are female. Majority of respondents are students and employees.

Statement 1. Awareness of food ordering portals.

Table 5.2: Awareness of Food Ordering Portals

Meal No. of Respondents Percentage
Yes 100 100
No 0 0
Total 100 100

Figure 5.1 Awareness of Food Ordering Portals



Analysis and Interpretation:

From the above table and graph it is clear that all the respondents are aware of food
ordering portals.

Statement 2. Name of the food ordering portals you are aware of.

Table 5.4: Food Ordering Portal Names

Meal No. of Respondents Percentage
Zomato 100 100
Foodpanda 80 80
Tastykhana 55 55
Tinyowl 60 60
Justeat 30 30
Others 40 40
Total 365 365
 Multiple choice of Respondents
Figure 5.3 Food Ordering Portal Names

30 100 Zomato
60 Tinyowl
55 Others

Analysis and Interpretation:

From the above table and chart it is quite clear that all the respondents i.e. 100% are
aware of Zomato, 80% Foodpanda, 55% Tastykhana, 60% Tinyowl, 30% Justeat. And
40% others.

Statement 3. Usage of the services of Zomato.

Table 5.3 Usage of the services of Zomato

Meal No. of Respondents Percentage
Yes 100 100
No 0 0
Total 100 100

Figure 5.2 Usage of the services of Zomato



Analysis and Interpretation:

From the above table and graph it is quite clear that all the respondents are using the
services of Zomato.

Statement 4. Frequency of using the services of Zomato.

Table 5.5: Frequency of Using Services of Zomato

Time Period No. of Respondents Percentage
Daily 10 10
Once in a week 15 15
Twice a week 35 35
Once in a month 40 40
Total 100 100

Table 5.4: Frequency of Using Services of Zomato

40 15
Once in a week
Twice a week
Once in a month

Analysis and Interpretation:

It can be concluded that most of the 10% respondents use Zomato services daily
followed by 15% respondents use once in a week. 35% respondents use twice a week
and 40% respondents use once in a month.

Statement 5. Electronic channel used while ordering food from Zomato.

Table 5.5: Usage of Electronic Channel

Electronic Channel No. of Respondents Percentage
Telephone/Mobile 10 10
Restaurant Site 15 15
Restaurant App 35 35
All the above 40 40
Total 100 100

Table 5.4: Usage of Electronic Channel

40 15
Restaurant Site
Restaurant App
All the above

Analysis and Interpretation:

It can be concluded that most of the 10% respondents use Zomato services through
telephone/mobile, 15% respondents use services of Zomato through restaurant site,
35% respondents use restaurant app and 40% respondents use all the above methods.

Statement 6. Satisfaction with the quality of food ordered through Zomato.

Table 5.5: Satisfaction with the quality of food ordered through Zomato
Satisfaction No. of Respondents Percentage
Satisfied 15 15
Highly Satisfied 30 30
Neutral 35 35
Dissatisfied 20 20
Highly Dissatisfied 0 0
Total 100 100

Table 5.4: Satisfaction with the quality of food ordered through Zomato

20 15
Highly Satisfied
Highly Dissatisfied

Analysis and Interpretation:

From the above table and graph it is quite clear that 15% respondents are satisfied
with the quality of food, 30% respondents are highly satisfied, 35% respondents are
neutral. Only 20% respondents are dissatisfied with the quality of food.

Statement 7. Satisfaction with the quantity of food ordered through Zomato.

Table 5.5: Satisfaction with the quantity of food ordered through Zomato
Satisfaction No. of Respondents Percentage
Satisfied 10 10
Highly Satisfied 15 15
Neutral 35 35
Dissatisfied 40 40
Highly Dissatisfied 0 0
Total 100 100

Table 5.4: Satisfaction with the quantity of food ordered through Zomato

0 10
40 15 Satisfied
Highly Satisfied

35 Highly Dissatisfied

Analysis and Interpretation:

From the above table and graph it is quite clear that 10% respondents are satisfied
with the quantity of food, 15% respondents are highly satisfied, 35% respondents are
neutral and the remaining 40% respondents are dissatisfied.

Statement 8. Satisfaction with the delivery time services of Zomato.

Table 5.5: Satisfaction with the delivery time services of Zomato

Satisfaction No. of Respondents Percentage
Satisfied 40 40
Highly Satisfied 20 20
Neutral 40 40
Dissatisfied 0 0
Highly Dissatisfied 0 0
Total 100 100

Table 5.4: Satisfaction with the delivery time services of Zomato

40 40 Satisfied
Highly Satisfied
Highly Dissatisfied

Analysis and Interpretation:

From the above table and graph it is quite clear that 40% respondents are satisfied
with the delivery time services, 20% respondents are highly satisfied and 40%
respondents are neutral.

Statement 9. Satisfaction with the packaging of food ordered from Zomato.

Table 5.5: Satisfaction with the packaging of food ordered from Zomato
Satisfaction No. of Respondents Percentage
Satisfied 25 25
Highly Satisfied 40 40
Neutral 35 35
Dissatisfied 0 0
Highly Dissatisfied 0 0
Total 100 100

Table 5.4: Satisfaction with the packaging of food ordered from Zomato

35 Satisfied
Highly Satisfied
Highly Dissatisfied

Analysis and Interpretation:

From the above table and graph it is quite clear that 25% respondents are satisfied
with the packaging of food, 40% respondents are highly satisfied and 35%
respondents are neutral.

Statement 10. Satisfaction with the price of food ordered from Zomato.

Table 5.5: Satisfaction with the price of food ordered from Zomato
Satisfaction No. of Respondents Percentage
Satisfied 10 10
Highly Satisfied 15 15
Neutral 25 25
Dissatisfied 30 30
Highly Dissatisfied 20 20
Total 100 100

Table 5.4: Satisfaction with the price of food ordered from Zomato

15 Satisfied
Highly Satisfied

30 Dissatisfied
Highly Dissatisfied

Analysis and Interpretation:

From the above table and graph it is quite clear that 15% respondents are satisfied
with the price of food, 25% respondents are highly satisfied, 30% respondents are
neutral and the remaining 20% respondents are dissatisfied.



The findings of the study are as follows:

 All the respondents are aware of food ordering portals.
 All the respondents i.e. 100% are aware of Zomato, 80% Foodpanda, 55%
Tastykhana, 60% Tinyowl, 30% Justeat. And 40% others.
 All the respondents are using the services of Zomato.
 10% respondents use Zomato services daily followed by 15% respondents use
once in a week. 35% respondents use twice a week and 40% respondents use once
in a month.
 10% respondents use Zomato services through telephone/mobile, 15%
respondents use services of Zomato through restaurant site, 35% respondents use
restaurant app and 40% respondents use all the above methods.
 15% respondents are satisfied with the quality of food, 30% respondents are
highly satisfied, 35% respondents are neutral. Only 20% respondents are
dissatisfied with the quality of food.
 10% respondents are satisfied with the quantity of food, 15% respondents are
highly satisfied, 35% respondents are neutral and the remaining 40% respondents
are dissatisfied.
 40% respondents are satisfied with the delivery time services, 20% respondents
are highly satisfied and 40% respondents are neutral.
 25% respondents are satisfied with the packaging of food, 40% respondents are
highly satisfied and 35% respondents are neutral.
 15% respondents are satisfied with the price of food, 25% respondents are highly
satisfied, 30% respondents are neutral and the remaining 20% respondents are



Jalandhar is an educational hub with students too busy with academic activities.
E commerce has pervaded the lives of students in a overwhelming manner.
On line food purchasing helps the students in managing their time better. It
relieves the students from spending time to go to their desirable food joint at
any point of time, but at the same time providing an avenue where their
favoured food reaches them.

All the respondents are aware of food ordering portals. All the respondents are using
the services of Zomato. Majority of respondents use Zomato twice a week and once
in a month. Respondents use Zomato services through telephone/mobile, restaurant
site, restaurant app.

Majority of respondents are satisfied with the quality of food, Respondents are
somewhat satisfied with the quantity of food. Respondents are satisfied with the
delivery time services provided by Zomato. Majority of respondents are satisfied
with the packaging of food. But majority of respondents are not satisfied with the
price of food.

After conducting a research on consumer perception regarding food ordering apps,
following are the recommendations to business owners are follows:
• Marketing activities such as big hoardings, posters etc., if displayed, will
attract more and more customers and also people will get awareness about
the app.
• Meal should be in adequate quantity.
• The price of food should not be much higher.



 Hall T .(2015). A case study on the Mumbai food business from a management
perspective of logistics; Journal of the Indian Institute of Management
 Lundberg et. Al. (2018) A Cross-Cultural Study of the Literacy Practices of the
Dabbawalas: Towards a New Understanding of Non-mainstream Literacy and its
Impact on Successful Business Practices. Tata McGraw Hill Education Private
Limited, New Delhi.
 Malhotra Y.(2016). Food ordering apps. Journal of South Asian studies Vol33,
No.2, pp. 235-257.
 Mark T. (2010). Marketing and consumer behavior regarding fodd ordering apps,
New Delhi: Deep and Deep Publications.
 Sharma M. (2012). Tiffin business industry research methodology; Tata McGraw
Hill Education Private Limited , New Delhi.
 Venus D. (2015). Digital ordering system for Restaurant using Android,
International Journal of Scientific and Research Publications, Volume 3, Issue 4,
April 2013
 Yahunna (2014) From selling to supporting – Leveraging mobile services in the
context of food retailing, Journal of Retailing and Consumer Services, Volume 21,
Issue 1, January 2014, Pages 26-36



Dear Sir/Mam,
I, am a student of MBA final year student, am doing a project on
“Customer satisfaction towards the services of Zomato”. For the purpose of
completing the task, I have prepared a questionnaire. Therefore, I would be highly
obliged if you spare a few minutes to fill it up. Thank you

Demographic Information:
Name: …………………………………………………………

Gender: Male Female

Age: 0-20 21-35

36-50 Above 50
Student Employee

Q1. Are you aware of food ordering portals?

Yes [ ] No [ ]

Q2. Which of the following food ordering portals you are aware of?
Zomato [ ]

Foodpanda [ ]

Tastykhana [ ]

Tinyowl [ ]

Justeat [ ]

Others [ ]

Q3. Are you using the services of Zomato?

Yes [ ] No [ ]

Q4. What is frequency of using the services of Zomato?
Daily [ ]

Once in a week [ ]

Twice a week [ ]

Once in a month [ ]

Q5. Which electronic channel do you use while ordering food from Zomato?
Telephone/Mobile [ ]

Restaurant Site [ ]

Restaurant App [ ]

All the above [ ]

Q6. Are you satisfied with the quality of food ordered through Zomato?
Satisfied [ ]

Highly Satisfied [ ]

Neutral [ ]

Dissatisfied [ ]

Highly Dissatisfied [ ]

Q7. Are you satisfied with the quantity of food ordered through Zomato?
Satisfied [ ]

Highly Satisfied [ ]

Neutral [ ]

Dissatisfied [ ]

Highly Dissatisfied [ ]

Q8. Are you satisfied with the delivery time services of Zomato?
Satisfied [ ]

Highly Satisfied [ ]

Neutral [ ]

Dissatisfied [ ]

Highly Dissatisfied [ ]

Q9. Are you satisfied with the packaging of food ordered from Zomato.
Satisfied [ ]

Highly Satisfied [ ]

Neutral [ ]

Dissatisfied [ ]

Highly Dissatisfied [ ]

Q10. Are you satisfied with the price of food ordered from Zomato?
Satisfied [ ]

Highly Satisfied [ ]

Neutral [ ]

Dissatisfied [ ]

Highly Dissatisfied [ ]


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