The effects of restaurant servers’ perceptions of customers’ tipping behaviors on service discrimination

Scholars have noted that the institution of tipping may encourage restaurant servers to provide discriminate service. The prospect of receiving an excellent tip from a patron, for example, is thought to encourage servers to discriminately provide excellent service. In contrast, the prospect of receiving a poor tip from a patron is thought to encourage servers to extend service that is commensurately poor. The effects of service workers’ a priori assumptions about customers’ tipping behaviors on service discrimination have however not been adequately assessed to-date. This article addresses this gap in the literature by assessing how server sensitivity to demographic tipping differences affects their proclivities to discriminately provide either excellent or poor service in response to the prospect of receiving an excellent or poor tip, respectively. Using a multilevel modeling technique (HLM), findings show that server sensitivity to demographic tipping differences is predictive of servers’ propensities to discriminately allocate excellent service but not poor service. The implications for the management of restaurant operations along with directions for future research are discussed.     

Why do satisfied customers switch? Focus on the restaurant patron variety-seeking orientation and purchase decision involvement

Company efforts to make customers switch from competitive brands to their own or induce them to repurchase their own brands are very important in their marketing activities and in this regard studies of customer variety-seeking orientation and level of involvement in decision making play a crucial role in explaining customers’ product selection activities. The purpose of this study intends to examine interrelationships among customer satisfaction, loyalty, and switching intent in family restaurants and verify the moderating effect of customer variety-seeking orientation and purchase decision involvement. A total of 305 patrons in Korea participated. The results showed a positive relationship between customer satisfaction and loyalty. Participants expressing a high level of satisfaction were more likely to switch restaurants. Whether customers feel loyalty determines their switching intent. There were moderating effects related to customer variety-seeking orientation in the causal relationships between customer loyalty and switching intent. Limitations and future research directions are also discussed.     

If memory serves: The effect of restaurant servers’ memorization and muddling of orders

The three experiments presented here examined the effectiveness of restaurant servers who memorize customers’ orders rather than writing orders down. In the experiments, participants viewed videos of simulated server-diner interactions and provided ratings of service quality and expected tip amount. Experiment 1 found no advantage to memorizing orders over writing them down. Experiment 2 found that memorized and correctly delivered entrees resulted in statistically significant increases in customers’ perceptions of service quality and in marginally higher tips. In addition, muddled (versus correct) orders resulted in lower ratings of service quality and dramatically lower anticipated tips. Experiment 3 found that memorizing and muddling complex orders had no effect on perceptions of service quality but led to significantly lower expected tips. The applied and theoretical implications of these results are discussed.     

Do employees’ satisfied customers respond with an satisfactory relationship? The effects of employees’ satisfaction on customers’ satisfaction and loyalty in a family restaurant

The purpose of this study is to understand the interrelationships among employees’ satisfaction and customer's satisfaction and loyalty in a family restaurant. The study was administered to 69 employees and 258 customers. The results showed a positive relationship between employees’ satisfaction and customer satisfaction. However, employees’ satisfaction did not have a significant, direct impact on customer loyalty, but showed an indirect influence via customer satisfaction. In addition, customer satisfaction was positively associated with customer loyalty. Limitations and future research directions are also discussed.     

Early warning indicators? The effect of consumer and investor sentiments on the restaurant industry

This study looks at the influence of cyclical fluctuations of the consumer confidence index (CCI) and the volatility index (VIX) as early-warning indicators of the variations in restaurant performance. The industry has traditionally focused on past data and on microeconomic influences to anticipate its future performance, a procedure that does not consider possible cyclical fluctuations in restaurant performance metrics. These fluctuations are driven by sentiments of consumers and investors. The study uses the cyclical component of the applied data, followed by unit root and cointegration testing, with subsequent application of the Limited Information Maximum Likelihood technique. The results show both indicators have an effect on restaurant performance, where VIX has an impact on the current, expected, and overall restaurant performance, while the CCI’s influence is only partial (current performance). Policy-makers and planners could benefit from anticipating features of indicators to assess and steer the future performance of the restaurant industry.     

The effect of online restaurant menus on consumers’ purchase intentions during the COVID-19 pandemic

As COVID-19 escalated globally in 2020, mandated suspension of dine-in services was instilled to control virus transmission. Restaurants lost billions of dollars, millions experienced severe employment changes, and numerous small restaurants closed. For those remaining in business, converting to online food ordering was essential. Unique to the food ordering setting, this study extended the Stimulus-Organism-Response model to predict the purchase intentions of participants in an online food ordering context. Using structural equation modeling, this study discovered the indirect effects of the menu’s visual appeal and informativeness, and the perception of COVID-19 risks on consumer purchase intentions. This causal relationship was significantly mediated by consumers’ desire for food and their perceived convenience of online food ordering. Through providing theoretical and managerial implications for how to identify appropriate products, utilize content marketing effectively, and attract new customers, this study could assist restaurants in adapting to remaining competitive, even post COVID-19.     

The effects of teppanyaki restaurant stimuli on diners’ emotions and loyalty

This research examines the influence of restaurant stimuli (i.e., chefs, service staff, other customers, food quality, and atmospherics) on diners’ emotions and loyalty to teppanyaki restaurants. In teppanyaki restaurants, chefs take orders from diners, prepare food in front of diners, and serve dishes to diners. Although the importance of chefs has been acknowledged by scholars, empirical research on the influence of chefs on diners has been scarce. To augment the literature on how chefs influence diners, this research incorporates “chef’s image” into an extended Mehrabian-Russell model (M-R model) to conceptualize diner loyalty to teppanyaki restaurants. A total of 308 diners from Taiwan were recruited. After examining their completed questionnaires, this study found that chef’s image, service quality, and food quality can affect the positive and negative emotions of diners. Moreover, other diners and restaurant atmospherics affect only the negative emotions of diners. Both positive and negative emotions can affect diner loyalty to teppanyaki restaurants. In addition, the managerial implications of this study are discussed.     

Who's on the tourists' menu? Exploring the social significance of restaurant experiences for tourists

Taking a Consumer Culture Perspective, this paper explores the co-production of meaning among participants in tourists' restaurant experiences. Responding to criticisms that interpreting consumer behaviour should focus both on the individual and also on the collective context of consumption (Askegaard and Linnet, 2011), our research explores the social significance of these experiences and how they feed into the tourist's identity project. 34 ethnographic interviews are led with a view to exploring how tourists co-produce meaning within their group and also with staff and other patrons in the context of restaurant experience and these are followed up with a further 57 semi-structured interviews. Restaurant experiences are shown to be both rich and complex in social meanings. Thematic analysis leads to the identification and discussion regarding four contexts where social meanings are co-produced, namely sharing experiences, family togetherness and transmission, cultural guidance and customer-to-customer interaction.     

Restaurant servers’ risk perceptions and risk communication-related behaviors when serving customers with food allergies in the U.S.

Communication between and among customers with food allergies and foodservice staff has become a concern in the restaurant industry. The purpose of this research was to explore the perceived risks and risk communication-related behaviors of restaurant servers when serving customers with food allergies in the U.S. An online survey instrument was developed based on interviews with full service restaurant managers, pilot-tested, and distributed through an online survey research firm. The results indicated that most servers lacked knowledge about food allergies and perceived that initiating communication and preventing allergic reactions were mostly the responsibilities of customers with food allergies. Servers’ risk reduction and communication behaviors were affected by their perceived severity of food allergy reactions, previous training, sources of media exposure, and the perceived responsibilities of preventing food allergy reactions. Restaurateurs and foodservice educators may use these findings to develop training and strategies for food allergy risk communication in the restaurant industry.     

The effect of compliments on customers’ compliance with a food server's suggestion

Research has shown that compliments addressed to customers by an employee have a positive influence on the customers’ tipping behavior. In this study, we examined whether compliments also enhanced patrons’ compliance with a food server's suggestion. First, a restaurant waitress took the customers’ order for the main course. Then, in the ingratiation condition, the waitress complimented the customer for his/her choice while in the no-compliment condition, she did not give any compliment. Finally, the waitress suggested a dessert to the patron. Results showed that the dessert suggestion was more readily followed in the compliment condition.     

The impact of customers’ prior online experience on future hotel usage behavior

Service experience model stipulates the importance of service experience in increasing satisfaction, price acceptance, revisit intentions, etc. It has been extensively tested and validated in hotel management studies. However, the online service experience which, in these days, precedes the physical service experience has not be considered together in most hotel service experience studies. In hotel management literature, studies on online experiences are largely segregated from physical service experience model. In this study, prior online experience model is proposed which includes online experience preceding the physical service encounter, and a survey is administered. Result indicates the strong influence of online experience as a leading construct of the service experience model in hotels. Online experience strongly conditions the customers’ perception of physical service experience and, also, provides good ground for price acceptance. Interestingly, the influence of physical service experience on price acceptance seems to be rather alleviated with online experience, indicating the important role the online experience plays in managing customer perception on hotel service experience. Hotel management needs to pay close attention to their customers’ online experience beyond simple esthetics as the online experience seems to influence all the subsequent components of hotel service model.     

When will customers care about service failures that happened to strangers? The role of personal similarity and regulatory focus and its implication on service evaluation

This paper examines an interesting research question: how does a service failure that happen to a stranger customer influence an observing customer's service evaluation? Drawing on the defensive attribution theory and regulatory focus theory, we argue that an observing customer will attribute more (vs. less) blame to the company if the customer involved in the undesirable incident is personally similar (vs. not similar) to him/her. These attributions, in turn, will influence the observing customers to form a negative evaluation on service quality of the company. More importantly, a prevention-focused tendency will intensify the negative impact of personal similarity on service evaluation. Results from two experiments confirmed the hypotheses.     

The influence of restaurant co-workers’ perceived warmth and competence on employees’ turnover intentions: The mediating role of job attitudes

The current study examines the influence of co-workers’ perceived warmth and competence on employees’ job satisfaction, organizational commitment, and turnover intentions in a casual dining restaurant setting. The warmth and competence dimensions represent two fundamental social dimensions that people often use to evaluate other individuals or groups. The current findings determined that co-workers’ perceived warmth and competence had significant effects on employees’ job satisfaction, which in turn improved their organizational commitment.Furthermore, job satisfaction and organizational commitment mediated the relationships between co-workers’ perceived warmth and competence and employees’ turnover intentions. Theoretical and managerial implications are discussed.     

The negative spillover effect of food crises on restaurant firms: Did Jack in the Box really recover from an E. coli scare?

Despite the enormous impact of food crises on restaurants, limited understanding of their long-term impacts and associated factors has undermined crisis managers’ ability to handle crisis situations effectively. This article investigated the long-term impact of food crises on the financial performance of restaurant firms and identified the factors that influenced this impact. This explanatory study examined the case of Jack in the Box, whose 1993 Escherichia coli scare was the first and largest restaurant-associated food crisis in modern times. An event study method was used to uncover stock price movements of Jack in the Box, in conjunction with 73 unrelated food crises that occurred from 1994 to 2010. Stock prices of Jack in the Box exhibited significantly negative responses to other firms’ food crises, moreover, the negative spillover effect was stronger if the crisis occurred closer in time, was similar in nature, and was accompanied with no recall execution. These findings shed light on the long-term financial impact of food crises and offer insights for crisis managers to develop more effective crisis management strategies.     

Consumers’ luxury restaurant reservation session abandonment behavior during the COVID-19 pandemic: The influence of luxury restaurant attachment,emotional ambivalence,and luxury consumption goals

The purpose of this research is to examine how consumers’ attachment to luxury restaurants and their emotional ambivalence contribute to their reservation session abandonment during the coronavirus disease 2019 (COVID-19) pandemic. In addition, the moderating effect of luxury consumption goals (e.g., self-presentation motives, status consumption, and need for uniqueness) is examined. A total of 408 participants completed questionnaires, and the results reveal that luxury restaurant attachment significantly influences consumers’ emotional ambivalence, which in turn causes them to not complete their reservation sessions. Furthermore, the moderating effects of status consumption and need for uniqueness are supported.     

The impact of four CSR dimensions on a gaming company’s image and customers’ revisit intentions

The purpose of this study is to investigate whether perceptions of corporate social responsibility (CSR) initiatives affect casino customers’ corporate image as well as the customers’ behavioral intentions (i.e., revisit intentions), through the lens of Carroll’s corporate social performance model, stakeholder theory, and legitimacy theory. This study also examines the mediating effect of corporate image on the relationship between perceived CSR and behavioral intentions. An onsite survey was conducted with 596 casino customers in South Korea. The results revealed that ethical CSR had the strongest impact on corporate image, followed by economic and philanthropic CSR. Only philanthropic CSR had a significant and direct effect on behavioral intentions. Corporate image mediated the relationship between three types of CSR (ethical, economic, and philanthropic) and behavioral intentions. Companies can benefit from these findings by understanding how specific CSR initiatives can enhance corporate image and increase customer retention. This study advances the emerging field of CSR in the gaming industry.     

Can time soften your opinion? The influence of consumer experience valence and review device type on restaurant evaluation

The objective of this study is to investigate how review temporal distance influences the conformity of consumer restaurant review ratings. By employing an innovative dataset pairing consumer reservation records and consumer online reviews, the findings of this study indicate that (1) in general, temporal distance has a positive influence on restaurant evaluation conformity; (2) consumption experience valence moderates the influence of review temporal distance on restaurant evaluation conformity, with a negative dining experience strengthening the positive effects; (3) review device moderates the influence of review temporal distance on review conformity, with reviews posted via mobile devices weakening the positive effect of temporal distance; and (4) compared to reviews posted via PCs, mobile reviewers appear less likely to be influenced by prior reviews. Findings from this study provide practical insights for restaurants’ management of online reviews.