Service Delivery Digitalization as a Tool for COVID- 19 Recovery in Fast-Food Restaurants in Nairobi, Kenya

Authors

  • Kennedy Maithya Maingi
  •  Dr. George Otieno Obonyo

DOI:

https://doi.org/10.47672/jht.1147
Abstract views: 381
PDF downloads: 328

Keywords:

Service delivery digitalization tools, COVID-19 recovery, fast-food restaurants.

Abstract

Purpose: The goal of this study was to assess the influence of the adoption of service delivery digitalization tools on Covid-19 recovery in fast-food restaurants in Nairobi.

Methodology: To collect and analyze data for this study, correlational research design was used. A total number of 89 questionnaires were administered to fast-food senior managers in Nairobi. The  collected  data  was  analyzed  in  SPSS  using  descriptive  statistics and  regression analysis.

Findings: In an aim to identify the service delivery digital tools adopted to enhance COVID-19 recovery in fast-food restaurants, the results indicated that contactless payment systems, online delivery apps, digital menus, KDS and POS were the highest adopted tool with a mean of 1.00. Service robots and touch less elevators were not adopted in the fast-food restaurants in this study with a mean of .00. The other tools adopted were self-service kiosks with .84, ORS with .71 and drive thru systems with .71. On determining the level of COVID-19 recovery in fast food restaurants in Nairobi, the results indicated that the rate of restaurant sales increasing had a mean of 3.09. This means that it was to a large extent, increase in the restaurant operations had a mean of 3.21, while increase in the number of customers had 3.02. Increase in customer satisfaction had 3.08 and increase in customer loyalty had 3.21 which also meant that the level of all measures of COVID-19 recovery were to a moderate extent.  On determining the influence of service delivery digitalization on COVID-19 recovery level, the tools significantly and positively influenced level of COVID-19 recovery (β = .430, t = 4.446, p<.05). The study also found that online delivery apps, digital menus and contactless payment systems also significantly and positively influenced the level of COVID-19 recovery in fast food restaurants in Nairobi (β = .600, t = 6.999, p<.05; β = .614, t = 7.254, p<.05 & β = .580, t = 6.649, p<.05 respectively).

Contribution to theory and practice: The newly acquired insights in this study will contribute to  the  academic  literature  on  the  adoption  of  service delivery digitalization tools  and  their  impact on COVID-19 recovery in fast food restaurants. In addition, the results from the study could be helpful to the management of fast food restaurant in improving customer satisfaction, loyalty and sales after a pandemic. Since the results present a way fast food restaurants have adopted to recover from the effects of COVID-19 pandemic.

Downloads

Download data is not yet available.

Author Biographies

Kennedy Maithya Maingi

Postgraduate Student, Maseno University

 Dr. George Otieno Obonyo

Lecturer, Maseno University

References

Aissa, S. (2019). Digitalization in the restaurant sector–the French exception? The Driving Trends of International Business in the 21st Century, 137

Allen, R., & Toder, F. (2004). A model of organizational recovery. Journal of Emergency Management, 2(1), 41-45.

Au, Y. A., & Kauffman, R. J. (2008). The economics of mobile payments: Understanding stakeholder issues for an emerging financial technology application. Electronic commerce research and applications, 7(2), 141-164.

Blumberg, B., Cooper, D., & Schindler, P. (2014). EBOOK: Business Research Methods. McGraw Hill.

Brennen, J. S., & Kreiss, D. (2016). Information society. The international encyclopedia of communication theory and philosophy, 1-8.

Charlene, L. Miranda, M., & Phil, B. (2020). Review of online food delivery platforms and their impact on sustainability. Business Sustainability Review, 2(2), 2-17.

Cooper, C. R., & Schindler, P. S. (2008). Business research methods (10 ed.). Boston: McGraw-Hill.

Cramer, D., & Howitt, D. L. (2004). The Sage dictionary of statistics: a practical resource for students in the social sciences. Sage.

Devanarayana, B., & Thelijjagoda, S. (2016). Influences on Handheld POS Usage in Star Class Hotels–Sri Lanka.

Diaz, M. (2020). 9 restaurant industry trends in 2020. Food Business African Magazine, 3(2), 5-6.

Doğan, S. (2020). Identifying the Potential Effects of Coronavirus Prevention (Covid-19) on the Restaurants/Cafes and the Consumer Preferences after Post-Epidemic in Turkey. Electronic Turkish Studies, 15(6).

Everly, G. S. (2011). Building a resilient organizational culture. Harvard Business Review, 10(2), 109-138.

Gobble, M. M. (2018). Digitalization, digitization, and innovation. Research-Technology Management, 61(4), 56-59.

Gonzalez, G. R., Hoffman, K. D., Ingram, T. N., & LaForge, R. W. (2010). Sales organization recovery management and relationship selling: A conceptual model and empirical test. Journal of Personal Selling & Sales Management, 30(3), 223-237.

Gössling, Stefan & Scott, Daniel & Hall, Colin. (2020). Pandemics, tourism and global change: a rapid assessment of COVID-19. Journal of Sustainable Tourism. 29. 10.1080/09669582.2020.1758708.

Gursoy, D., & Chi, C. G. (2020). Effects of COVID-19 pandemic on hospitality industry: Review of the current situations and a research agenda.

Hayashi, F. (2012). Mobile payments: What's in it for consumers?. Economic Review-Federal Reserve Bank of Kansas City, 35.

Idenedo, Otite & Kemkamma, Wali,. (2021). Service digitalization: a marketing tool for post-Covid-19 competitiveness among fast-food restaurants in Port Harcourt. Innovative Journal of Accounting and Management Research, 7(1), 1-10.. 7. 139-149.

Intal, G. L., Payas, J. D., Fernandez, L. M., & Domingo, B. M. (2020, April). Restaurant information system (RIS) with QR code to improve service operations of casual fine dining restaurant. In 2020 IEEE 7th International Conference on Industrial Engineering and Applications (ICIEA) (pp. 1054-1059). IEEE.

Jiang, X. (2019). Factors affecting customer loyalty to eat at “Dian Dou De” Restaurants of the customers in Guangzhou of China.

Johnston, R., & Clark, G. (2008). Service operations management: improving service delivery. Pearson Education.

Kasavana, M. (2006). Biometric scanning offers vending new payment options. Automatic Merchandiser, Apr, 1, 3.

Ketimin, S., & Shami, S. (2021). An Insight of Customer's Behavior Intention to Use Self-Service Kiosk in Melaka Fast Food Restaurant. The Journal of Technology Management and Technopreneurship (JTMT), 9(1), 13-24.

Kiel, D., Arnold, C., Collisi, M., & Voigt, K. I. (2016, May). The impact of the industrial internet of things on established business models. In Proceedings of the 25th international association for management of technology (IAMOT) conference (pp. 673-695).

Kinetic Consulting (2020). Coronavirus impact on the foodservice industry: Pulse survey of operators, manufacturers, and consumers. IFMA in Conjunction with kinetic Consulting.

Kong, M., & Jogaratnam, G. (2007). The influence of culture on perceptions of service employee behavior. Managing Service Quality: An International Journal.

Kothari, C. R. (2004). Research methodology: Methods and techniques. New Age International.

Lacmanović, I., Radulović, B., & Lacmanović, D. (2010, May). Contactless payment systems based on RFID technology. In The 33rd International Convention MIPRO (pp. 1114-1119). IEEE.

Lerch, C., & Gotsch, M. (2015). How digitalization can accelerate the transformation from manufacturer to service provider. Aston Centre for servitization research and practice, 18, 76.

Lightfoot, H.W., Baines, T. & Smart, P. (2011). Examining the information and communication technologies enabling servitized manufacture. Proceedings of the Institution of Mechanical Engineers. Journal of Engineering Manufacture, 2(10), 1964-1968.

Mallat, N., & Tuunainen, V. K. (2008). Exploring merchant adoption of mobile payment systems: An empirical study. E-service Journal, 6(2), 24-57.

Marr, B. (2017). Disney uses Big Data, IoT and machine learning to boost customer experience. Revista Forbes. https://bit. ly/3kkNFn8.

Mugenda, O. M., & Mugenda, A. G. (2003). Research methods: Quantitative and. Qualitative. Approaches. Nairobi; African Centre for Technology Studies.

National Restaurant Association (2020). Global Industry Analysis: Covid-19 & Looming Recession.

Naveena, R., & Kumar, V. M. (2019) Mobile applications impact and factors affecting online food delivery applications on the operations of the restaurant business. Turkish Journal of Physiotherapy and Rehabilitation, 32, 3.

Ngechu, M. (2006). Understanding the Research Process and Methods: An Introduction to Research Methods. 1st Edition, University of Nairobi

Odoyo, C. O. (2012). Assessment of Growth and Competitive Strategies Adopted In Out-Of-Home Food Outlets: A Case of Fast Food Restaurants in Nairobi (Doctoral dissertation, Daystar University, School of Business and Economics).

Ok, C. (2004). The effectiveness of service recovery and its role in building long-term relationships with customers in a restaurant setting. Kansas State University.

Ozili, P. K., & Arun, T. (2020). Spillover of COVID-19: impact on the Global Economy. Available at SSRN 3562570.

Pallant, J. (2013). SPSS Survival Manual, Berkshire England: McGraw-Hill Education.

Piercy, N. F., Cravens, D. W., & Lane, N. (2010). Marketing out of the recession: recovery is coming, but things will never be the same again. The Marketing Review, 10(1), 3-23.

Ponsignon, F., Smart, A., & Maull, R. S. (2007). Service delivery systems: the transformational context.

Ramos, K. (2021). Factors influencing customers' continuance usage intention of food delivery apps during COVID-19 quarantine in Mexico. British Food Journal.

Ramos, Y., & Castro, A. O. (2017). Point-Of-Sales Systems in Food and Beverage Industry: Efficient Technology and Its User Acceptance. Journal of Information Sciences and Computing Technologies, 6(1), 582-591.

Sanjeev, G. M. (2007). Measuring efficiency of the hotel and restaurant sector: the case of India. International Journal of Contemporary Hospitality Management.

Seeram, E. (2019). An overview of correlational research. Radiologic technology, 91(2), 176-179.

Sekaran, U., & Bougie, R. (2013). Elements of research design. U. Sekaran, & R. Bougie, Research Methods for Business, 94.

T H, Shreeja & S, Vigneshwar, Integrated Restaurant Service Using POS System (October 30, 2019). International Journal of Emerging Technology and Innovative Engineering Volume 5, Issue 10, October 2019 (ISSN: 2394 – 6598), Available at SSRN: https://ssrn.com/abstract=3477725

Unruh, G. & Kiron, D. (2017). Digital Transformation On Purpose. MIT Sloan Management Review, 6th November 2017. [online] Available: https://sloanreview.mit.edu/article/digital-transformation-on-purpose/.

Vince, G. (2020). The world’s largest refugee camp prepares for covid-19. Bmj, 368.

Wang, Y. (2012). Designing restaurant digital menus to enhance user experience (Doctoral dissertation, Iowa State University).

Wirtz, J., Patterson, P. G., Kunz, W. H., Gruber, T., Lu, V. N., Paluch, S., & Martins, A. (2018). Brave new world: service robots in the frontline. Journal of Service Management.

Xu, J. (2014). Digital Payment Systems. In Managing Digital Enterprise (pp. 159-175). Atlantis Press, Paris.

Yeo, V. C. S., Goh, S. K., & Rezaei, S. (2017). Consumer experiences, attitude and behavioral intention toward online food delivery (OFD) services. Journal of Retailing and Consumer services, 35, 150-162.

Yost, E., Kizildag, M., & Ridderstaat, J. (2021). Financial recovery strategies for restaurants during COVID-19: Evidence from the US restaurant industry. Journal of Hospitality and Tourism Management, 47, 408-412.

Zeithaml, V. A. (2002). Service excellence in electronic channels. Managing Service Quality: An International Journal.

Zheng, T., Farrish, J., & Wang, X. (2013). How did different restaurant segments perform differently through the recession? An ARIMA with intervention analysis on US restaurant stock indices. Journal of Hospitality Financial Management, 20(2), 1.

Downloads

Published

2022-08-07

How to Cite

Maingi, K. M. ., & Obonyo, GeorgeO. (2022). Service Delivery Digitalization as a Tool for COVID- 19 Recovery in Fast-Food Restaurants in Nairobi, Kenya. Journal of Hospitality and Tourism, 2(2), 15 - 23. https://doi.org/10.47672/jht.1147