Republic of the Philippines

Department of Education
Region IV-A CALABARZON
Division of Cavite
Bucal National Integrated School
Bucal 2, Maragondon, Cavite

“A Quantitative Analysis of Customer Satisfaction to the Milk Tea Shops in

Maragondon Cavite”

A Research Study Presented in

Partial Fulfillment of the Requirements

In Practical Research 2

Princess Angel S. Codilan

Myrylle Shane C. Capon

Jylmar C. Canete

Jenny Rose E. Francisco

Karylle T. Tugade

Rodin C. Casasola

Accountacy and Business Management

Grade 12 Ramirez
 CHAPTER I

THE PROBLEM AND ITS BACKGROUND

In this chapter, the problem and its background will be discussed; The scope and

delimitation, the significance of the study, and statement of the problem are also

included in this chapter.

INTRODUCTION

Milk tea refers to a variety of beverages made with milk and tea that are

popular in many cultures. The amount of each of these major ingredients, the

manner of preparation, and the addition of other ingredients all influence the

flavor of the beverage. Milk tea is currently one of the most popular and widely

consumed beverages. Milk tea is renowned not only for its health benefits, but

also for its distinctive blend and flavor, which is why many customers become

addicted to it. Which also has a variety of flavors and components.

At the moment, milk tea is one of the hottest trends and most popular

beverages. Milk tea is renowned not only for its positive benefits, but also for its

distinctive mix and flavor, which explains why a large number of consumers have

developed an addiction to it. It is a mixture of milk and tea that comes in a variety

of tastes and additives. Customers may choose from a variety of options.

Customers from fresh generations fell in love with this new trending product. As a
result, business people see this as a tremendous chance to increase revenue

while also developing a fresh and distinct product from the originals. As with

coffee shops, milk tea shops are an excellent place for people to congregate,

socialize, and spend their leisure time. Weiner (2009) claims that individuals are

more experimental and like trying different cuisines. They like new, interesting,

and helpful things. Since milk tea was trendy and new on the market, there was

clearly a need for it.

Milk tea is a popular drink that has been around since 2011. The purpose of

this study was to see how satisfied customers were with milk tea shops in

Maragondon, Cavite. This rapid growth of milk tea businesses indicated that the

industry was gaining traction, and customers were concerned about finding

healthier alternatives to soda and coffee. The group decided to focus their

research on the rapidly growing milk tea market, which is currently in high

demand, particularly among teenagers. We chose Maragondon, Cavite since it

has a lot of milk tea shops. Our team chose to conduct the study by interviewing

and surveying some of the milk tea customers in Maragondon Cavite. We

conducted surveys to learn about their preferences and how satisfied they are

with the quality of milk tea, the price, and the service provided by milk tea shops.

Consumer satisfaction at different milk tea facilities in Maragondon Cavite will be

investigated in this study. In order to evaluate which milk tea shop delivers the

best service, quality, and pricing in terms of customer satisfaction, this study will

conduct a survey.
Theoretical Framework

Numerous empirical studies have shown that service quality and customer

satisfaction are linked to a company's profitability (Anderson et al. 1994; Eklof et

al. 1999; Ittner and Larcker 1996; Fornell 1992; Anderson and Sullivan 1993;

Zeithaml 2000). According to Anderson and Sullivan (1993), a company's future

prosperity is dependent on keeping present consumers happy. Customer

satisfaction and return on assets have a considerable link, according to Anderson

et al. (1994). High quality results in increased client retention, loyalty, and

excellent word of mouth, all of which are linked to profitability (Reichheld and

Sasser 1990).

Many academics and researchers have emphasized the importance of

consumers. "Customers are the objective of what we do," Zairi (2000) remarked,

"and rather than their depending on us, we very much rely on them." Because

the client is not the root of a problem, we should not desire for them to 'go away,'

because our future and security would be jeopardized. That is why today's

businesses place a premium on customer pleasure, loyalty, and retention.

"Satisfaction is an overall consumer attitude toward a service provider, or

an emotional reaction to the difference between what customers expect and what

they receive, regarding the fulfillment of a need, objective, or desire," according

to Hansemark and Albinsson (2004). Client loyalty, on the other hand, "is

essentially the outcome of a company producing a value for a customer so that

they would retain or grow their purchases from the business," according to

Anderson and Jacobsen (2000). "A firmly held commitment to re-buy or re-
patronize a chosen product or service continuously in the future, despite

environmental factors and marketing efforts having the potential to promote

switching behavior," according to Oliver (1997). True customer loyalty is

achieved when a consumer becomes an uncompensated champion for the

company." Customer retention is defined by Hoyer and MacInnis (2001) as "the

activity of attempting to satisfy customers with the goal of building long-term

relationships with them." According to Zineldin (2000), retention is defined as "a

commitment to do business or trade with a certain organization on a continuing

basis."

For two key reasons, customer loyalty and happiness are critical in today's

industry. To begin with, consumers are a rare resource, and obtaining one from

an existing client is significantly simpler than obtaining one from a new one.

Second, customer happiness and loyalty have a favorable impact on a

company's profitability and sales (Rosenberg & Czepiel 2017). One of the most

important elements for a successful business is customer happiness. Customer

satisfaction is defined as an overall assessment of a product or service based on

the whole purchase and consumption experience with it throughout time (Fornell,

Johnson, Anderson, Cha & Bryant 1996). Customer satisfaction is associated

with marketing, and it determines the customer's expectations on how the goods

and services are provided by the company. As a result, actionable knowledge on

how to improve customer satisfaction is a critical consequence (Oliver 1999).

Conceptual Framework
 The researcher's goal in this study is to find out how satisfied customers

are with the selected Milk tea shops in Maragondon Cavite in terms of service,

quality, and pricing, as well as their recommendations to the shops. This study

requires an input to support the researchers' needs for information about the

topic we want to research. The output is the result of the research that the

researchers conduct, and the process is the step that the researchers must take

and follow in order to obtain better responses from our respondents.

Input Process Output

Profile of customers a) Survey Level of customer

according to: Questionnaire satisfaction in terms of
a) Age b) tabulation of service, quality and
b) Gender customers’ responses pricing and customers’
c) Students or c) statistical analysis of recommendation to the
Employee data and interpretation shops.
Figure 1. The figure shows the conceptual framework

of the research study demonstrating the Input, Process and Output of

Quantitative Analysis of Customer Satisfaction to the Milk Tea Shops in

Maragondon

Cavite

Statement of the problem

The purpose of this study is to determine the level of customer satisfaction at

chosen Milk Tea Shops in the Maragondon Cavite. Specifically, this study

attempts to find answers to the following sub-questions:

1. What is the demographic profile of the respondents?

1.1 Age
1.2 gender

1.3 Students or employee

1.4 Income

2. What is the level of customer satisfaction? In terms of?

2.1 Price

2.2 Service

2.3 Quality of Flavors

3. What is the significant relationship between the demographic profile of the

respondents and the level of satisfaction?

4. What is the proposed marketing strategy of the respondents that be useful to

the shops?

Hypothesis

It was hypothesized that:

Ho: There is no significant no significant change in the level of Customer

Satisfaction to the Milk Tea Shops in Maragondon Cavite

H1: There is significant no significant change in the level of Customer

Satisfaction to the Milk Tea Shops in Maragondon Cavite

Scope and Delimitation of the Study

 The researchers are going to measure the satisfaction level of customers

and their recommendation in ten (10) different milk tea shops within Maragondon

Cavite. They’ll will assess their satisfaction in Ten milk tea shops across three

categories: service, quality, and pricing. The survey session will conduct only in

the area of Maragondon Cavite. The survey will be administered to Five (5)

customers at each Milk Tea Shops located in the area. The answers coming from

the respondents will help the researchers to measure their satisfaction and the

researcher will know what some recommendation that will help to that store and

to the future entrepreneur who wants to make their own milk tea business. The

researchers require a total of 50 responses from customers of ten milk tea shops.

Significance of the Study

This research seeks to examine the level of satisfaction of the customers on the

chosen milk tea businesses. This study is significant to the researchers and may

help people learn more about entrepreneurs.

Business owners- It enables them to better understand their customers'

suggestions for improving their shops, milk tea quality or flavor, and pricing. They

may be able to improve their service and business management as a result of

the findings of this study.

Customers- This research will help them in expressing their feelings and

thoughts to milk tea shops, as well as their recommendations for service, price,

and quality of milk tea in the aforementioned establishments.

In the same or related industries- This research could be extremely beneficial

to those who are looking for insights and recommendations that they can apply to

their own businesses.

Business students- They may benefit from the findings of this study because

they will gain a competitive advantage and it will serve as a future reference to

motivate them to start their own business.

Future researchers who intend to do similar studies may profit from this

research because they will be able to obtain background information from the

findings, which will act as a template for them to adapt or improve their own

research.

Definition of Terms

Satisfaction- Achieving ones’ desire or expectation.

Milk tea- a Taiwanese cold drink made with tea and sweetened milk or other

flavorings, and usually with tapioca balls or “pearls”.

Service Quality- The quality of the service that is being rendered.

Strategy- a technique, plan or idea of someone.

Customer Perspective- Customer perspective measures consider the

organization's performance through the eyes of its customers, so that the

organization retains a careful focus on customer needs and satisfaction.

Budget Conscious- being aware of costs; being frugal with one's money.

Acquisition- is when one company purchases most or all of another company's

shares to gain control of that company.

Customer loyalty- is defined as an ongoing emotional relationship between you

and your customer, manifested by a customer's willingness to engage with and

purchase from you over and over again, as opposed to your competitors.

Innovation- refers to something brand new, such as an invention, or the process

of creating and introducing new products.

 CHAPTER II

Review of Related Literature

The study of the development of student knowledge is covered in the

review of related literature. The related provides a foundation for the discussions

and considerations in determining the current study.

Foreign Studies

A customer's perspective, according to the author, is based on their

expectations and subsequent post-purchase experience. In other words, it's a

way of determining whether a product or service meets or exceeds the

customer's expectations. The vast majority of budget-conscious students are

likely to prefer purchasing food and dining in a restaurant. (Waggett, Hoffman,

and Waggett, 2013)

Learning how to improve the quality of goods and services for consumers

while increasing productivity, competitive advantage, and market position in

global markets is difficult. Customer satisfaction and loyalty cannot be solely

increased through job experience without product cost mitigation measures and

improved safety influences on product effectiveness in order to increase market

share on revenue acquisitions (Hill, Zhang, & Gilbreath, 2011)

In the manufacturing industry, the relationship between quality product,

product cost, product safety, and customer satisfaction that increased market

share is well-studied; however, customer satisfaction and loyalty, which are

supposed to increase revenue acquisitions, continue to falter (Knudsen, 2010;

Wolf, 1986)
 Consumer loyalty is critical in the highly competitive Chinese milk tea industry.

Customer loyalty is influenced by a number of factors, including customer

satisfaction and value. To address this issue, this study looks into the relationship

between consumer value, satisfaction, and loyalty. Switching cost, a significant

moderator in the relationship between customer happiness and customer loyalty,

is also investigated in this study. The data for this study came from Yidiandian

customers, a well-known milk tea brand in China. According to the findings, milk

tea companies that want to keep their customers should focus on their value and

happiness. In the Chinese milk tea market, functional value, emotional value, and

social worth are all extremely important. (2020, Y Zhang)

Customer satisfaction is a highly personal evaluation that is influenced by

individual expectations and plays a vital role in all businesses. As the business

world becomes more competitive, companies must recognize their customers'

expectations in order to earn their trust and loyalty to their products, as well as

profit. In today's competitive business world, measuring customer satisfaction is a

"must." (2010, Cengiz)

Local Studies

Student satisfaction was boosted significantly by the implementation of

clear policies and procedures in the delivery of services. The study recommends

appropriate internal efficiency and employee compensation as a means of

ensuring quality and customer satisfaction, as well as a service marketing system

for a high-contact type of service firm like universities as a whole. (2008, Sarreal)
 Customer satisfaction is one of a seller's achievements/goals; when

customers are satisfied, they will return again and again, and their customers will

become loyal to them as a result. Companies should consider different consumer

buying behaviors to maintain this. Consumer purchasing behavior refers to how

people behave when making decisions about how to spend their money on

goods and services. (N. Lee and A. Vega, 2014)

According to the study "Strategies for Competitive Advantage in Value Added

Tea Marketing” the world tea market is rapidly growing and satisfying customer

needs. The tea industry developed an innovation to their marketing strategies in

order to achieve and gain a competitive advantage. The data for the study was

gathered by interviewing the founders of nine businesses; the researchers

recommend an interview. (Herath and De Silva 2011)

The rapid growth of milk tea businesses indicated that the industry was

gaining traction, and customers were concerned about finding healthier

alternatives to soda and coffee. The group chose milk tea cafes in the De La

Salle University campus area to establish and define the importance of the

marketing mix in sustaining and increasing customer happiness among De La

Salle University students. (MJB Beltran, MBBA Quebral, JFC Regis, CM Tiu

2012) 

According to the data gathered, the majority of the respondents are high

school and college students. The majority of those polled consider milk tea to be

a refreshing beverage. More importantly, they want a wider variety of healthy and

delicious menu options. (J Sardena, AT Vega, NN Lee)

Local Literature

For all of the milk tea shops in the vicinity of De La Salle University, product

was the most dominant and significant factor in achieving the highest level of

customer satisfaction. Customers were satisfied with the Product because of its

sweetness, size of serving, quality of service, and variety of products. Among the

four milk tea shops, the four specific factors received the highest satisfaction

ratings. If milk tea shops want to become well-known at De La Salle University,

they need to improve their marketing strategy. This strategy would help students

gain a better understanding of their store. Beltran, Quebral, Regis, and Tiu

(Beltran, Quebral, Regis, and Tiu, 2012)

Filipinos, particularly teenagers, are concerned about the taste of milkteas.

Milkteas have piqued people's interest because they are a novel type of

refreshment. It's also reasonably priced, and it's ideal for simply relaxing and

chatting with friends while sipping milktea. Finally, it contains milk, which has

numerous health benefits, and milkteas come in a variety of flavors. Customers'

preferences for milktea include pearls, flavors, shades, and other factors

(Justquinly 2018)

The project "Quality Services of One Department Store in Batangas City,

Philippines" aims to assess customer satisfaction with one department store in

Batangas City in terms of employee professionalism, customer relations,

customer service, and facilities, according to the study "Customer Satisfaction on

the Internet." In addition, the study will propose an action plan to improve
customer satisfaction and service quality at the Department Store. The

researchers used quota sampling to determine the number of respondents. The

total number of participants in this study is 100; however, only customers who

support, patronize, and visit the Department Store were included. A method for

collecting representative data from a group of people is quota sampling.

According to the findings of the study, customers of the Department Store in

Batangas City were satisfied with the service quality provided to them. As a

result, Department Store can continue to improve and provide trainings,

orientations, and seminars to help their employees improve customer relations

and service while also achieving and maintaining complete customer satisfaction.

(Agno and colleagues, 2015)

 CHAPTER III

Methodology

The methods and procedures for gathering and analyzing the data in this

study would be explained in this chapter.

Research Design

In this study, the researchers used a descriptive research design. To

determine the satisfaction level of customers in specific Milk tea stores in

Maragondon, Cavite. This Descriptive research design provides a snapshot in

time of customers’ attitudes.

Research Local

The study was conducted at Bucal National Integrated High School in Bucal 2

Maragondon, Cavite. It was carried out during the whole school year of 2021-

2022.

Sampling Procedure

The respondents were chosen using a convenient sampling technique, which

is a type of nonprobability sampling method that relies on data collection from

members of the population who are readily available to take part in the study. It is

a sampling method in which the research will be conducted using the first

available primary data source with no additional requirements. To put it another

way, this sampling method entails gathering participants wherever they can be

found, which is usually wherever is most convenient. Prior to the selection of

subjects, no inclusion criteria were identified in convenience sampling. All

subjects are welcome to take part. The researchers preferred this sampling

strategy because it is inexpensive, simple, and quick because the data collection

can be done in a short amount of time because the researchers do not have a lot

of time to conduct the study. It also enables researchers to obtain basic data and

trends about the study without the complications that come with using a

randomized sample. Participants in the survey came from a variety of

backgrounds, including various ages, genders, income, and occupations.

Research Instrument

In order to gather reliable data for the study, Survey Questionnaire was

developed as the research instrument. The questionnaires were used to conduct

the survey, which consisted of closed-ended questions. Closed-ended questions

have a limited number of possible responses and can be easily statistically

analyzed. The researchers were able to limit the responses that were within the

scope of this study by using this type of question. The questions are subjected to

the individuals' experiences or insights because the researchers need to

determine the level of customer satisfaction. The respondents were given a self-

administered survey questionnaire in a four-point scale format to complete for

this purpose. Furthermore, the researchers conducted this survey to learn how

customer satisfaction is influenced by demographics, as well as price, quality,

service, income/allowance, and future expectations.

Data Collection Procedure

The data will be collected from both primary and secondary sources. The

primary source will be the internet and the secondary source was the
questionnaire. The researchers distributed questionnaires to respondents online

due to the situation the researchers can’t distribute personal. The answers and

information of the respondents were kept confidential.