Factors Affecting Beer Customer Satisfaction In The Breweries Industry: A Case Study Of The East African Breweries Limited In Kenya

Abstract

The purpose of this study was to determine the factors that affect customer satisfaction in the breweries industry in Kenya. The study was guided by three research questions, namely; what are the organizational factors that affect customer satisfaction in the breweries industry in Kenya? What are the individual factors that affect customer satisfaction in the breweries industry? Finally, what are the external factors that influence customer satisfaction in the Breweries Industry? In this study, a descriptive research design was adopted. The population of the study comprised of distributors, retailers, wholesalers and bars within Nairobi constituting 691 possible respondents. Stratified sampling techniques was used to determine a sample size of 216 from the total population. Data was collected using structured questionnaires based on the research questions. Descriptive statistics included frequencies distribution, percentages, mean and standard deviation. Inferential statistical analysis used included correlations, and regression. The study findings regarding organizational factors that affect customer satisfaction revealed that there was a strong positive relationship between organizational factors and customer satisfaction, r (0.692); p ≤ 0.05. The study findings regarding individual factors that affect customer satisfaction revealed that there was a weak positive relationship between individual factors and customer satisfaction, r (0.278); p ≤ 0.05. The study findings regarding external factors that influence customer satisfaction revealed that there exists a strong positive relationship between external factors and customer satisfaction, r (0.789); p ≤ 0.05. A multiple regression analysis indicated a weak relationship existed between individual factors, organizational factors and external factors; R = (0.314), P ≤ 0.05. In conclusion, the relationship between individual factors and customer satisfaction, brand preference, perceived value, perceived quality and loyalty were significant in enhancing customer satisfaction. Equally, the relationship between organizational factors and customer satisfaction were statistically significant. Product price, product quality, product promotion, product brand, and organizational brand image all influence and enhance employee job performance. Finally, the relationship between competency based performance external factors and customer satisfaction was statistically significant. Competition, atmospherics and marketing saturation, socio-economic and political issues were all critical components in enhancing customer satisfaction. Recommendations for improvement includes; EABL should enhance value for customers through promotions and after sales service. Secondly, EABL should ensure competitive pricing for breweries products to enhance customer satisfaction. Lastly, EABL enhance mechanisms for political and social economic engagements within the communities of operations so as to enhance customer satisfaction.