Guest satisfaction and loyalty in the restaurants of Serbia

The aim of this research is to examine factors (price perception, food quality, staff quality and physical environment quality) that can affect guest satisfaction in restaurants in the Republic of Serbia, as well as the impact of satisfaction on guest loyalty. The theoretical model includes hypotheses, which are detailed and tested in the paper. The data was collected using a convenient sampling method, while 152 respondents participated in the research. Partial least square path analysis was used for data analysis and performed in the R programming language 4.2.5. The results show that the independent variables: price perception, food quality, staff quality and physical environment quality are positively related to the dependent variable guest satisfaction. At the same time, guest satisfaction is positively related to guest loyalty. The results of this research are suitable for practical application, as restaurant owners and managers can use them to improve satisfaction and increase guest loyalty in their restaurants. Satisfied and loyal guests return repeatedly, and this has a positive effect on success in business and ensures constant growth in the market. The research results can be used as directions for planning further activities in restaurants on the modern hospitality market, and can give strategy idea to owners and managers how to stay focused on guests, satisfy their wishes and needs, and how to make them loyal.