IMPACT OF COMPLAINT HANDLING ON CUSTOMER SATISFACTION, LOYALTY, AND BRAND REPUTATION IN HOSPITALITY ORGANISATIONS

Abstract

In today’s highly competitive hospitality industry, effective complaint handling is crucial for maintaining customer satisfaction, loyalty, and a positive brand reputation. This study explores the relationship between how hospitality organizations manage customer complaints and its impact on three key outcomes: customer satisfaction, customer loyalty, and overall brand reputation. Using both quantitative and qualitative research methods, data was collected through surveys and interviews with customers and managers in the hospitality sector. The findings indicate that timely, empathetic, and solution-oriented complaint handling significantly enhances customer satisfaction, leading to increased customer loyalty. Additionally, the study shows that successful resolution of complaints positively influences brand perception, reinforcing the organization's reputation as customer-focused and reliable. However, poor complaint management can result in customer dissatisfaction, reduced loyalty, and potential damage to the brand’s image. This research underscores the importance of adopting effective complaint management strategies in hospitality organizations to maintain a competitive edge and foster long-term customer relationships. The study concludes by recommending best practices for complaint handling to optimize these key outcomes.