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The coffee shop dining experience and

customer loyalty intentions: Brewing
the perfect blend

Stefanie Kühn*
Stellenbosch University
Mia Bothma
North-West University

Abstract daily ritual for South African consumers to becoming part

The emergence of a ‘coffee culture’ in South Africa has of their lifestyle (Insight Surveys, 2018). Encapsulated
intensified competition among coffee shops, thus imposing in this lifestyle is a ‘coffee culture’ that has fueled the
the need to ensure customer loyalty. A memorable dining demand for freshly brewed, artesian coffee (Euromonitor,
experience is an important antecedent of customer loyalty, 2018; Insight Surveys, 2018). In response, South Africa’s
but its multifaceted nature complicates its management. competitive landscape has not only been marked by
Moreover, how exactly coffee shop owners and a rise of local coffee shops and roasteries, but also the
managers can leverage a memorable dining experience entry of renowned international brands such as Starbucks
to foster customer loyalty remains elusive. Against this (Euromonitor, 2017). With customers being spoilt for
background, this study proposes a model for fostering choice, a coffee shop’s survival hinges on its ability to
loyalty intentions of coffee shop customers based on secure and grow future revenue streams (Euromonitor,
the stimulus-organism-response (S-O-R) framework. 2016). Therefore, ensuring customer loyalty has become
The data that were collected from 289 respondents who an integral part of coffee shops’ strategic objectives
had recently patronised a coffee shop, were analysed (Euromonitor, 2016).
using covariance-based structural equation modeling
(CB-SEM). The results indicate that a coffee shop The benefits of customer loyalty are well-documented,
customer’s dining experience is a second-order construct including continued patronage, increased spending,
that consists of service quality, food quality, atmosphere, greater opportunity for up- and cross-selling, and lower
and social connectedness, each of which contribute to price sensitivity (Umashankar, Ward and Dahl, 2017: 74).
coffee shop customers’ dining experience to different Loyal customers also make referrals to other customers,
degrees. The study found that the dining experience which can decrease customer acquisition costs (Ruy
directly influences customer satisfaction and positive and Lee, 2017: 73; Reichheld, 1993: 64). While the
consumption emotions, and that customer satisfaction advantages of customer loyalty are clear, the endeavours
mediates the relationship between coffee shop customers’ that coffee shop owners and managers should undertake
dining experience and their loyalty intentions. Apart to build customer loyalty have received little research
from contributing to scholars’ understanding of the attention. Prior studies in foodservice provider contexts
implementation of the S-O-R framework in a coffee have highlighted the importance of ensuring customer
shop context, this study also suggests how coffee shop satisfaction (Lai, 2015: 118; Han and Jeong, 2013: 59).
owners and managers can prioritise their resources to Although customer satisfaction is positively associated
craft a memorable dining experience and secure customer with customer loyalty (Schirmer, Ringle, Gudergan
loyalty. and Feistel, 2018: 299; Cronin and Taylor, 1992), other
scholars argue that loyalty is enhanced when customer
_____________________________________________ experiences are memorable (Kranzbühler, Kleijnen,
Morgan and Teerling, 2018: 434; KPMG, 2018; Ting
and Thurasamy, 2016: 4; Zorfas and Leemon, 2016). For
Introduction foodservice providers such as coffee shops, a memorable
customer experience is often imparted during consumption
Coffee is no longer just a drink; it is an experience. (Bufquin, DiPietro and Partlow, 2017: 549; Ali, Amin and
Indeed, coffee consumption has evolved from being just a Cobanoglu, 2016: 452).
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To pursue customer loyalty, it therefore seems that coffee the S-O-R framework
shops should simply focus on providing their customers
with a memorable dining experience. While such a strategy The hypothesised model proposed in Figure 1 is
may seem simplistic, putting it into practice may be more theoretically embedded in the S-O-R framework.
demanding, and for a number of reasons. First, customers’ Consisting of three components, the S-O-R framework
dining experience is multifaceted (Bufquin, Partlow and explains the sequential effects of perceived environmental
Diepietro, 2015: 227; Chen, Peng and Hung, 2015: 241; stimuli (stimulus) on the internal cognitive and affective
Antun, Frash, Costen and Runyan, 2010). From a resource states (organism) and behavioural response (response)
allocation perspective, it is difficult to identify the aspects of consumers (Mehrabian and Russell, 1974). The
of customers’ dining experience that coffee shops should S-O-R framework offers a parsimonious description
focus on and how these aspects should managed. Second, of how environments may affect customers’ internal
how coffee shops can leverage a memorable dining cognitive and affective states, and how such internal
experience to encourage customer loyalty is unclear due states may in turn affect their behaviour. This framework
to customers’ motivations for visiting coffee shops in the has proven to be valuable in the field of marketing
first place. Prayag, Khoo-Lattimore and Sitruk (2015) when studying the relationships between environments
and Wakefield and Blodgett (1999), for instance, suggest and customers’ subsequent behaviour (Line, Hanks and
that because customers’ motivation for visiting coffee Zhang, 2018; Lin and Mattila, 2010).
shops is often of a hedonic nature (that is, pleasure-
seeking) consumption emotions play an important role The first component of the framework, namely stimulus
in their assessment of service delivery and subsequent (S), refers to the physical cues that customers perceive
loyalty intentions. To understand how a dining experience, in a particular environment. Because service providers’
satisfaction, and consumption emotions may affect the environments are multifaceted, it is often delineated by
loyalty intentions of coffee shop customers therefore using Bitner’s (1992: 65-67) servicescape framework.
require the use of a systematic, comprehensive model. Bitner’s (1992: 65-67) framework classifies physical
Such a model, however, is lacking in the current body of environmental cues into three categories, namely ambience
scholarly literature concerning foodservices. (cues that affect customers’ sight, smell, taste, hearing
and touch); layout and functionality (cues associated with
This study, therefore, offers a model that encapsulates the arrangement of a service provider’s environment and
the fostering of loyalty intentions of coffee shop how such an arrangement enables customers to complete
customers based on the stimulus-organism-response their shopping goals); and signs, symbols and artefacts
(S-O-R) framework. The S-O-R framework was deemed (cues that are used to communicate information to
appropriate as this framework is comprehensive in customers).
explaining the cognitive and affective states of customers
and their subsequent behaviour in a service provider’s Since Bitner’s (1992: 65-67) servicescape framework
environment (Buxbaum 2016, 8; Vieira, 2013: 1421; provides a comprehensive description of service
Mehrabian and Russell 1974). Therefore, the S-O-R provider environments, it has been adapted to also
framework offers an opportunity to investigate if and how study foodservice environments. For example, Ryu
coffee shop customers’ dining experience, satisfaction and Jang (2007) modified Bitner’s (1992) servicescape
and consumption emotions will influence their loyalty framework and developed the dinescape model.
intentions. The dinescape model is a restaurant-specific derivative
of the servicescape model that contains several
This study makes a number of contributions. First, the dimensions, including aesthetics, lighting, ambience,
value of the S-O-R framework was tested in explaining layout, dining equipment, and employees. Extending
the development of coffee customers’ loyalty intentions. on the dinescape model, Antun et al. (2010) argue that
Previous studies focusing on South African coffee shop customers’ dining experience hinges on a number of
experiences have been limited to sensory aspects such physical cues that are present in the dimensions of the
as sight, smell and background music (Ave, Venter and dinescape model. These authors subsequently developed
Mhlophe, 2015; North and Croeser, 2003). While these a model to measure customers’ dining experience at
aspects are important, the coffee shop environment restaurants. Referred to as the DinEX, this scale identifies
is quite elaborate with a myriad of stimuli that may food, service, and atmosphere as recurring dimensions
influence dining experience. The suitability of using a of the dining experience (Antun et al., 2010: 366-368).
multidimensional dining experience scale in the context These authors emphasise the importance of including a
of coffee shops was another objective of the study. social factor in the scale, as a dimension of customers’
To guide resource allocation, it was further ascertained dining experience. They believe that social connectedness,
which dimensions of the coffee shop customers’ dining or an internal sense of belonging, directs customers’
experience contributed the most to its formation. Finally, feelings, thoughts, and behaviour in social settings,
to provide a better understanding of how coffee shop including those of foodservice providers (Antun et al.,
customers’ loyalty intentions may be cultivated, the 2010: 366-368). Because the physical cues in the dinescape
possible indirect effects that could be present in the model contribute towards customers’ dining experience
proposed model were also considered. (Ali et al., 2016: 452), it can be argued that customers’
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dining experience at coffee shops is reflective of the The pleasure dimension refers to feelings of happiness
stimulus component of the S-O-R framework. or contentment as a result of customer-environment
interactions, whereas the arousal dimension reflects
The second component in the S-O-R framework, namely the extent to which such interactions evoke feelings
organism (O), focuses on the intermediary cognitive and of excitement, stimulation or alertness (Donovan and
emotional states of customers due to their processing Rossiter, 1982: 38). Consistent with previous studies
of environmental stimuli (Mehrabian and Russell, 1974). that have focused on customer-environment interactions
The cognitive state places emphasis on customers’ internal and subsequent emotions (Walsh, Shiu, Hassan,
mental processes and “refers to everything that goes Michaelidou and Beatty, 2011: 737; Liu and Jang, 2009:
on in the customers’ minds concerning the acquisition, 494), the present study proposes that customers’ coffee
processing, retention, and retrieval of information” shop dining experience will elicit positive consumption
(Eroglu, Machleit and Davis, 2001: 181). In the present emotions consistent with Mehrabian and Russell’s
context of coffee shops, the cognitive state is concerned (1974) dimensions, namely pleasure and arousal.
with how customers interpret perceived stimuli from
a coffee shop environment (for example noise level, The last component in the S-O-R framework, namely
lighting, décor and waitrons) to form a rational assessment response (R), refers to the approach behaviour or
of their satisfaction with the dining experience. Because avoidance behaviour of customers (Vieira, 2013: 1420;
it has been argued that satisfaction results from a cognitive Mehrabian and Russell, 1974). Approach behaviour are
process during which customers compare what is, with positive actions that are directed towards the environment
what ought to be (Esmaeilpour and Alizadeh, 2014: and denoted by customers’ desire to stay longer, explore,
228; Arnold, Reynolds, Ponder and Lueg, 2005: 1132), or communicate with others in the environment (Bitner,
satisfaction bears resemblance with the cognitive state 1992; Donovan and Rositer, 1982). Avoidance behaviour
of the organism component. by contrast, signifies opposite actions when customers
have the desire to leave the environment or avoid it
In contrast to the cognitive state, the emotional state altogether (Vieira, 2013:1420; Mehrabian and Russell,
places more emphasis on the emotions that customers 1974).
feel1 during their environmental interactions with
organisations (Eroglu et al., 2001: 181). When studying In the field of marketing, these positive actions translate
consumer-environment interactions, Mehrabian and into desired outcomes for service providers, including
Russell (1974) propose that any environment will elicit prolonged customer visits, repeated patronage and
emotional states from customers that can be classified increased monetary spending (Vieira, 2013: 1420;
into two dimensions, namely pleasure or arousal. Donovan and Rositer, 1982). Because customer loyalty

Figure 1
Hypothesised model

STIMULUS ORGANISM RESPONSE

Atmosphere

H1 Satisfaction

H5 H8
Food quality
H2 H10a
Dining H6 Loyalty
experience intentions

H3 H10b
Service quality
H7 H9
Positive
H4 consumption
emotions

Social connectedness

Direct relationship
Mediated relationship
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intentions reflect a deeply-held commitment to repurchase options as well (Euromonitor, 2016) since food quality
from the same service provider over a period of time has been shown to be a core element in consumers’ dining
(Dimitriades, 2006: 785; Oliver, 1999: 33), it is argued experience (Jin, Line and Ann, 2015: 313). It is therefore
that loyalty intentions signify an approach behaviour in hypothesised that:
the response component of the S-O-R framework.
H2: Food quality directly and positively affects
hypothesised model development customers’ coffee shop dining experience

Figure 1 depicts the hypothesised model developed for Authors such as Wall and Berry (2007: 60) and Tsai
this study. and Huang (2002: 1001) believe that service quality is
adversely affected when customers perceive employees
During consumption and considering the elements of to be rude, tardy, or uninformed about service offerings.
the dinescape model, the information that consumers Under these circumstances, such inferences are
assimilate during a dining experience contribute towards understandable given the inseparability of customers
the experience and their service performance perceptions and employees during service delivery (Bowen, 2016:
(Ali et al., 2016: 452). Owing to the number of physical 5; Ha and Jang, 2010: 521). Employees are therefore the
cues that are present in the dinescape model, the dining centrepiece from which customers assess the overall level
experience is considered multifaceted and reflective of of service performance (Ha and Jang, 2010: 521). Service
several dimensions (Bufquin et al., 2017: 549; Ali et al., quality in turn can impart a lasting impression about the
2016: 452; Bufquin et al., 2015: 227; Antun et al., 2010: foodservice provider in the mind of customers and the
368; Line, Runyan, Costen, Frash and Antun, 2012: 2). assessment of their dining experience (Jin et al., 2015:
These studies furthermore concur that the dimensions of a 313; Liang and Zhang, 2012: 153). Therefore:
dining experience include atmosphere, food, service, and
social connectedness. H3: Service quality directly and positively affects
customers’ coffee shop dining experience
Atmosphere refers to the ambiance in foodservice
providers’ environments (Hansen, 2014: 118; Liu and Consumers’ motivation to patronage foodservice providers
Jang, 2009: 495). Examples of ambient conditions include includes more than merely satisfying their hunger needs;
décor, lighting, temperature, music, and scent (Bufquin it also includes a desire to address social needs (Antun
et al., 2017: 547; Antun et al., 2010: 363). Hence, consumers et al., 2010: 361). Social needs denote consumers’ inner
normally describe atmosphere in sensory terms because it desire to connect with others and experience a sense of
is discerned through their sense of sight, smell, hearing, and belonging (Maslow, 1987). Because social needs affect
touch (Helmefalk and Hultén, 2017: 1). Although ambient consumers’ motivation to visit foodservice providers, some
conditions normally form part of a foodservice provider’s scholars advocate the inclusion of social connectedness
intangible background, it integrates subtly to form a in the conceptualisation of consumers’ dining experience
particular atmosphere (or look and feel). Atmosphere has (Antun et al., 2010: 361; Tombs and McColl-Kennedy,
been shown to be one of the dominant dimensions that 2010: 121). Tombs and McColl-Kennedy (2010: 121) add
affect consumers’ dining experience (Jeong and Jang, that consumers’ motivation to patronage coffee shops is
2018: 1568; Bufquin et al., 2017: 547; Lee, Lee and specifically driven to a large extent by social needs. As
Dewald, 2016: 24). Furthermore, coffee shops rely heavily a result, most coffee shops position themselves as so-
on atmosphere to offer consumers a pleasant experience called ‘third places’, that is, a place away from home and
(Ting and Thurasamy, 2016: 2; Sage, 2013). Against this work where consumers can relax and enjoy themselves
background, the following hypothesis is proposed: (Walsh et al., 2011). Social connectedness is therefore an
important aspect of coffee consumers’ dining experience.
H1: Atmosphere directly and positively affects customers’ It is thus hypothesised that:
coffee shop dining experience
H4: Social connectedness directly and positively affects
Food is the core product in foodservice providers’ market customers’ coffee shop dining experience
offering and it has been shown to fundamentally affect
customers’ dining experience and return patronage In the modern ‘experience economy’, many customers
(Hansen, 2014: 117; Ha and Jang, 2010: 521; Namkung purchase goods and services to fulfil their deeper
and Jang, 2007: 387). Because customers’ assessment emotional, sensory and hedonic aspirations (Maklan and
of food have been shown to influence their dining Klaus, 2011: 773). Some scholars therefore emphasise the
experience and return patronage, many studies have importance of designing a service delivery environment
focused on identifying the aspects of food quality, which that will embed a memorable experience in customers’
include tastiness, freshness, presentation, and portion minds during service delivery (Lemon and Verhoef, 2016:
size (Ha and Jang, 2010: 521; Namkung and Jang, 69; Zorfas and Leemon, 2016). Memorable customer
2007: 387). To remain competitive, many coffee shops experiences have been linked to desired marketing
have diversified their product offerings to include food outcomes, including increased customer satisfaction,
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customer loyalty and customer spending (Ali et al., H9: The positive consumption emotions that customers
2016: 457; Liu, Sparks and Coghlan, 2016: 42; Ting and feel in a coffee shop directly and positively influence
Thurasamy, 2016: 4). Customer experiences may also their loyalty intentions towards the coffee shop
evoke feelings of excitement, pleasure, or relaxation
(Namkung and Jang, 2007; Wakefield and Baker, 1998). As explained earlier, this study investigated customers’
For foodservice providers in particular, the dining loyalty intentions towards coffee shops based on the
experience is central to patronage decisions and pleasure S-O-R framework. The organism component in the S-O-R
responses (Ting and Thurasamy, 2016: 4; Canny, 2014: framework focuses on the cognitive and affective states
25; Andersson and Mossberg, 2004: 172). A memorable experienced by consumers during their environmental
dining experience has also proved to affect customers’ interactions and these states in turn affect their behaviour
positive consumption emotions, their satisfaction with an (Vieiria, 2013: 1421; Mehrabian and Russell, 1974).
organisation, and their loyalty intentions (Tantanatewin The organism component therefore acts as a mediator
and Inkarojrit, 2018: 124; Prayag et al., 2015: 24; Walsh between the stimulus and response components in
et al., 2011: 739). Against this background, the following the S-O-R framework (Vieira, 2013). In this study,
hypotheses are considered: two constructs (satisfaction and positive consumption
emotions) were included in the conceptual model to
H5: Customers’ coffee shop dining experience directly reflect the organism component. Previous studies in
and positively influences their satisfaction with a restaurant service settings have confirmed the mediating
coffee shop role of satisfaction and positive feelings in fostering
loyalty intentions (Song and Qu, 2017: 71; Ali et al.,
H6: Customers’ coffee shop dining experience directly 2016: 463; Lai, 2015: 130; Prayag et al., 2015: 40). In the
and positively influences their loyalty intentions present study, the researchers therefore hypothesise that:
towards a coffee shop
H10a: Customers’ satisfaction with a coffee shop mediates
H7: Customers’ coffee shop dining experience directly the relationship between their coffee shop dining
and positively influences the positive consumption experience and loyalty intentions towards the
emotions they feel in a coffee shop coffee shop

Both cognition and emotions affect customers’ decision- H10b: Positive consumption emotions that customers feel
making and behaviour (Ladhari, Souiden and Dufour, in a coffee shop mediate the relationship between
2017: 10; Hirschman and Holbrook 1982). Based on their coffee shop dining experience and loyalty
Oliver’s (1980) expectancy disconfirmation paradigm intentions towards the coffee shop
(EDP), customers’ assessment of their satisfaction is
considered to be a cognitive process. More specifically, Problem statement and research
the EDP proposes that customer satisfaction occurs when objectives
the expectations of service delivery match or exceed
the perceptions thereof (Pizam, Shapoval and Ellis, Competition in the South African coffee shop industry
2016: 5; Anderson and Sullivan, 1993: 127). Ensuring has intensified as a result of the growing coffee culture
customer satisfaction is integral to foodservice providers’ among consumers (Euromonitor, 2017). Therefore,
profitability since customer satisfaction is an important ensuring customer loyalty has become critical for coffee
antecedent to customer loyalty (Lai, 2015: 118; Han and shops to secure future revenue streams and ultimately,
Jeong, 2013: 59; Han and Ryu, 2009: 488; Cronin and their continued existence (Euromonitor, 2016). In the
Taylor, 1992). Apart from cognition, customers’ emotions South African coffee shop context, however, studies that
also exert a powerful influence on their patronage have focused on customer loyalty (and how it can be
decision-making (Rychalski and Hudson, 2017: 84; fostered) are limited. While previous foodservice studies
Lerner, Li, Valdesolo, and Kassam, 2015: 802). Westbrook identified customer satisfaction and a memorable dining
and Oliver (1991) argue that emotions arising from experience as important antecedents to customer loyalty
consumption experiences deposit sentimental memory (Kranzbühler, Kleijnen, Morgan and Teerling, 2018:
traces, which in turn affect customers’ evaluations 434; KPMG, 2018; Ting and Thurasamy, 2016: 4; Zorfas
of service delivery and subsequent behaviour. In the and Leemon, 2016), these relationships have not been
foodservice context in particular, positive consumption investigated among South African coffee shop customers.
emotions leads to approach behaviour, including wanting Further, the relationship between coffee shop
to stay longer, spending more money and eventually customers’ dining experience and loyalty intentions is
referring other customers (Tantanatewin and Inkarojrit complex due to the multifaceted nature of the dining
2018: 124; Walsh et al., 2011: 739). Therefore, it is experience construct (Bufquin et al., 2015: 227; Chen
hypothesised that: et al., 2015: 241), and the role that consumption emotions
play in customers’ assessment of foodservice delivery and
H8: Customers’ satisfaction with a coffee shop directly loyalty intentions (Prayag et al., 2015). The understanding
and positively influences their loyalty intentions of the interrelationships between South African coffee
towards the coffee shop customers’ dining experience, satisfaction, positive
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consumption emotions and loyalty intentions therefore The call-back validation strategy suggests that no
requires a comprehensive model, which is currently fieldwork cheating had occurred during the project.
absent in the body of scholarly literature. The structured questionnaire consisted of a preamble,
screening questions and six sections. The preamble
Against this background, the primary objective of this explained the purpose of the study and respondents’
study was to develop a model for fostering the loyalty rights pertaining to voluntary participation. Respondents
intentions of coffee shop customers based on the stimulus- were also asked to voluntarily provide their contact
organism-response (S-O-R) framework. To address the details for the sole purpose of validating the fieldworker’s
primary objective, several secondary objectives were also work. Respondents were assured that their contact
considered: details would not be shared with any third parties, and
that their personal details would not be linked to their
• To assess whether coffee shop customers’ dining individual responses.
experience is a second-order construct reflective of
four first-order factors, namely atmosphere, food Three screening questions were used to ascertain whether
quality, service quality and social connectedness. the respondents qualified to participate in the study,
namely whether they were 18 years or older, whether
• To assess whether the coffee shop dining experience they had visited a coffee shop in the preceding week
directly and positively influences customers’ satisfaction (to avoid decaying memory effects associated with
with a coffee shop, the positive consumptions emotions prolonged time periods), and whether they had ordered
they feel in a coffee shop, as well as their loyalty food and a drink from the menu during this visit. Section A
intentions towards the coffee shop. collected respondents’ demographic information, whereas
Section B focused on their coffee shop patronage habits.
• To assess whether customers’ satisfaction with a coffee
shop and their positive consumption emotions directly Section C focused on measuring respondents’ dining
and positively influence their loyalty intentions towards experience at the most recent coffee shop that they
the coffee shop. had visited. The researchers deliberately focused on
respondents’ dining experience at the most recent coffee
• To assess whether customers’ satisfaction with a coffee shop (as opposed to their most preferred coffee shop)
shop and their positive consumption emotions mediate to control for possible bias in the assessment of the
the relationship between their coffee shop dining study’s dependent variables, namely satisfaction, positive
experience and loyalty intentions. feelings and loyalty intentions. The dining experience was
measured as a second-order construct that consisted of
Methodology four first-order factors, namely atmosphere, food quality,
service quality and social connectedness. These factors
Research design, target population and sampling were measured on a 5-point Likert scale where 1 indicated
“Strongly disagree” and 5 indicated “Strongly agree”.
A descriptive, cross-sectional research design was used. In this study, the researchers opted to use the DinEX
The target population was coffee shop customers, 18 years scale to measure dining experience proposed by Antun
and older, who had visited a coffee shop in the week prior et al. (2010: 360) for three reasons. First, the DinEX
to the time of the study, and who had ordered both food scale underwent a rigorous scale development process
and a drink from the menu during this visit. In South Africa, to ensure construct validity and reliability. Second, the
the Protection of Personal Information (POPI) Act (2013) coffee shop environment has myriad stimuli that may
restricts researchers’ access to customer information. influence consumers’ dining experience, and therefore
As a result, a non-probability purposive sampling method the proper measurement thereof requires a scale reflective
was chosen for this study, which coincides with the of multiple dimensions. Third, most coffee shops are
method used in other South African studies (Farrington positioned as a ‘third’ place’, which is described by Walsh
and Beck, 2017; Nel, 2017). et al. (2011: 739) as “...neither home nor work but a
place to hang out”. Coffee shops thus represent a social
Data collection and measuring instrument design setting and it is therefore appropriate to use a scale that
incorporates a social factor as part of consumers’ dining
The data were collected using a self-administered, experience.
structured questionnaire. Prospective respondents were
approached in public areas in and around coffee shops. Section D focused on measuring respondents’ subsequent
Fieldworkers were trained to select respondents who positive consumption emotions as a result of their
qualified and were willing to participate in the study. In dining experience. Positive consumption emotions were
addition, the researchers validated the quality of fieldwork measured using a 5-point Likert scale where 1 indicated
by randomly selecting ten per cent of completed surveys “Not felt at all” and 5 indicated “Very strongly felt”.
from each fieldworker and re-contacted these respondents To date, there is no consensus on whether unipolar or
to verify their participation in the research project. bipolar scales should be used to measure emotions in
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consumption experiences (Prayag, Khoo-Lattimore and Finally, Sections E and F focused on measuring respon-
Sitruk, 2015: 29). Given the difficulty associated with dents’ satisfaction and loyalty intentions respectively
bipolar scales in terms of ambivalence or joint occurrence as a result of their dining experience. Both satisfaction
of emotions, as well as the indifference or non-occurrence and loyalty intentions were measured on a 5-point Likert
of the elicited emotions (Prayag et al., 2015: 29; Babin, scale where 1 was “Strongly disagree” and 5 was “Strongly
Darden and Griffin, 1994), this study used unipolar agree”. Table 1 provides an overview of the items included
dimensions that correspond to the dimensions of positive in the questionnaire to measure the study’s constructs,
emotions. as well as the sources from which these items were

TABLE 1
Items used to measure each factor

Construct and items Source

Dining experience (DinEX)
Social connectedness (Social)
Social1 The coffee shop employees knew you by name
Social2 The coffee shop employees had a sense of what was going on in your life
Social3 The coffee shop felt like a home away from home
Social4 The waiter knows what you like to eat/drink without your having to tell them
Social5 You had a sense of belonging in the coffee shop
Social6 You were made to feel like family at the coffee shop
Atmosphere (Atmos)
Atmos1 The coffee shop’s noise level allowed for comfortable conversation
Atmos2 The lighting in the coffee shop complemented the dining experience
Atmos3 The coffee shop’s inside surroundings were pleasing to your eye Antun et al. (2010)
Atmos4 The inside temperature of the coffee shop was pleasant
Atmos5 There were no unpleasant odours in the coffee shop
Service quality (Service)
Service1 The waiter was knowledgeable about the menu items
Service2 The waiter did not keep you waiting
Service3 The waiter communicated properly with you
Food quality (Food)
Food1 The meal was exactly what you ordered
Food2 The food tasted good to you
Food3 The drink ordered tasted good to you
Food4 The amount of food served was what you expected
Positive consumption emotions (Emotions)
Emo1 I felt happy
Emo2 I felt relaxed Walsh et al. (2011)

Emo3 I felt joyful

Emo4 I felt peaceful
Emo5 I felt comfortable
Satisfaction (Sat)
Sat1 Overall, I am satisfied with this coffee shop
Sat2 I have really enjoyed myself at this coffee shop
Sat3 I am pleased to have visited this coffee shop Antun et al. (2010)

Loyalty intentions (Loyal)

Loyal1 I would strongly recommend this coffee shop to others
Loyal2 I would consider revisiting this coffee shop in the future
Loyal3 I would say positive things about this coffee shop to others
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extracted and adapted. Table 1 also shows the 29 items Statistical significance of mediation was based on the
that were adapted from previous studies to measure eight 95% bias-corrected confidence interval of each direct
factors. In this study, a total of 300 questionnaires were and indirect effect (Zhao, Lynch and Chen, 2010: 202).
distributed using fieldworkers of which 289 were usable Furthermore, the magnitude of significant indirect effects
for data analysis. Various factors such as multivariate were assessed by calculating the squared standardised
normality, the estimation technique, model complexity indirect effect size (denoted by the upsilon υ). As
and the average error variance of indicators, guided the proposed by Lachowicz, Preacher and Kelley (2018: 249),
decision on the sample size for using covariance-based υ denotes the variance in the dependent variable accounted
structural equation modelling (CB-SEM) (Hair, Black, for jointly by the mediator and independent variable
Babin and Anderson, 2014: 573; Westland, 2010: 477). while adjusting for the ordering of variables. Lachowicz
et al. (2018: 249) further propose that the magnitude of υ
Data analysis should be interpreted by using Cohen’s (1988) benchmark
of proportion of variance explained, whereby small = 2%,
Using IBM SPSS Statistics version 25, frequencies and medium = 15%, and large = 25%.
percentages were computed to present the demographic
profile and respondents’ coffee shop patronage habits. Results
Additionally, the mean and standard deviation were
computed for each construct in this study (included as Demographic profile and coffee shop patronage habits
Annexure A). To test the hypothesised model proposed
in Figure 1, the researchers used Mplus version 8 and The majority of respondents (73.0%) fell in the age group
estimated the model using CB-SEM. As CB-SEM of 18 to 25 years old and were female (54.3%). The
accounts for a growing concern in survey-based research, majority either completed Grade 12 (40.8%) or obtained
namely measurement error (Strasheim, 2014:31), it was a university degree (39.1%). Regarding coffee shop
deemed appropriate for the current study. patronage habits, most respondents visited coffee shops
either once a week (24.9%) or once every two weeks
To assess the psychometric properties of the measurement (21.1%) and spent an average of R100 per coffee shop
model, a confirmatory factor analysis (CFA) was visit.
conducted as recommended by Hair et al. (2014: 622).
More specifically, the measurement model was assessed The assessment of the measurement model
for reliability (internal consistency) and construct validity
(convergent and discriminant validity). Thereafter, Table 2 shows each item’s loading and corresponding
the model fit of the measurement model was assessed p-value, as well as the composite reliability (CR) and
across various fit indices, including the Satorra-Bentler average variance extracted (AVE) for each construct in
χ2/df ratio (which should be less than 2), the Root Mean the measurement model.
Square Error of Approximation (which should be less
than 0.08) and the Comparative Fit Index and Tucker From Table 2, it can be seen that all item loadings are
Lewis Index, of which both should be greater than 0.9 greater than 0.6 and statistically significant at p < 0.001.
(Byrne, 2012:73; Schermelleh-Engel, Moosbrugger and Furthermore, both the CR values and the AVE are above
Müller, 2003). the recommended cut-off values of 0.7 and 0.5 respectively
(see Hair et al., 2014: 622). From these results, it can be
Following the assessment of the measurement model, a concluded that the measurement model displays sufficient
structural model was estimated to test the main effects evidence for reliability and convergent validity.
(based on hypotheses 1 to 9). In the estimation of both the
measurement and structural model, the MLM estimator To assess discriminant validity, the Fornell and Larcker
was used because the distribution of the study’s data (1981) criterion was used during which the square root
did not meet the criterion of multivariate normality of a construct’s AVE is compared with its correlation with
(see Muthén and Muthén, 1998-2017: 533, 667). The other constructs. According to this criterion, evidence
MLM estimator produces parameter estimates with for discriminant validity exists when the square root
standard errors and a mean-adjusted chi-square test of the AVE for each construct forming a pair exceeds
statistic (also known as the Satorra-Bentler chi-square) the correlation between the two constructs (Fornell
that are robust to non-normality (Muthén and Muthén, and Larcker, 1981). Table 3 shows the results from the
1998-2017: 533, 667). To accept or reject these hypotheses, discriminant validity assessment.
the standardised coefficients and p-values (two-tailed)
in the structural model were interpreted. Similar to the From Table 3, it can be observed that the square root of
measurement model, several fit indices were examined the AVE for each construct forming a pair exceeds the
to assess the structural model’s fit. correlation between the two constructs. The measure-
ment model therefore exhibits sufficient evidence of
To test the indirect effects on hypotheses H10a and H10b, discriminant validity (Fornell and Larcker, 1981).
mediation analyses using bootstrapping resampling pro- The researchers therefore proceeded with their evaluation
cedures were conducted in Mplus (see Geiser, 2013: 62). of the measurement model by inspecting model fit indices.
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Table 2
Construct validity and reliability of the measurement model

Constructs Items Estimate S.E. Est./S.E. p-value CR AVE

Social1 0.821 0.027 30.498 0.000
Social2 0.818 0.026 31.186 0.000
Social3 0.687 0.028 24.152 0.000
Social 0.887 0.570
Social4 0.831 0.026 32.452 0.000
Social5 0.666 0.029 23.076 0.000
Social6 0.684 0.028 24.604 0.000
Atmos1 0.782 0.027 29.182 0.000
Atmos2 0.723 0.045 16.186 0.000
Atmos Atmos3 0.833 0.026 32.006 0.000 0.862 0.558
Atmos4 0.758 0.030 25.112 0.000
Atmos5 0.622 0.048 12.881 0.000
Service1 0.671 0.037 18.221 0.000
Service Service2 0.782 0.027 28.422 0.000 0.803 0.578
Service3 0.820 0.027 30.581 0.000
Food1 0.728 0.035 20.595 0.000
Food2 0.807 0.031 26.286 0.000
Food 0.847 0.582
Food3 0.821 0.027 29.876 0.000
Food4 0.688 0.036 19.318 0.000
Emo1 0.816 0.020 40.099 0.000
Emo2 0.828 0.023 35.459 0.000
Emotions Emo3 0.793 0.026 30.459 0.000 0.889 0.616
Emo4 0.745 0.024 30.563 0.000
Emo5 0.738 0.026 28.453 0.000
Sat1 0.881 0.016 55.835 0.000
Sat Sat2 0.882 0.019 47.050 0.000 0.915 0.783
Sat3 0.891 0.017 52.917 0.000
Loyal1 0.908 0.015 60.768 0.000
Loyalty Loyal2 0.837 0.026 31.603 0.000 0.915 0.782
Loyal3 0.906 0.020 45.835 0.000

The Satorra-Bentler χ2/df ratio was 1.772; the RMSEA that a smaller BIC is indicative of a better model fit.
was 0.052; the CFI was 0.933 and the TLI 0.924. Because The first measurement model (BIC = 12482.768) estimated
these fit indices fall below and above the recommended dining experience as a second-order reflective construct
cut-off values (as reported in the data analysis section), with four underlying dimensions used as indicators,
it can be assumed that the measurement model exhibits namely social connectedness, atmosphere, food quality
adequate model fit. From these results it can be concluded and service quality. In contrast, the second measurement
that the model shows adequate reliability, construct model (BIC = 12488.276) included social connectedness,
validity and a model fit. atmosphere, food quality and service quality as first-order
reflective constructs that correlated with one another.
Dining experience as a second-order construct Fabozzi, Focardi, Rachev and Arshanapalli (2014: 401)
and Raftery (1995: 31) offer the following guidelines
To ascertain whether dining experience was a second- to interpret between-model differences in BIC indices:
order construct, two measurement models were 0-2 = weak evidence, 2-6 = positive evidence, 6-10 =
estimated and their Bayesian Information Criterion strong evidence, and above 10 = very strong evidence.
(BIC) indices were compared. Van De Schoot, Lugtig In addition to considering the BIC indices, the Satorra-
and Hox (2012) and Posada and Buckley (2004) argue Bentler scaled chi-square difference test revealed a
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Table 3
Assessment of discriminant validity

Constructs Social Atmos Service Food Emotions Sat Loyal

Social 0.755
Atmos 0.195 0.747
Service 0.339 0.618 0.760
Food 0.200 0.619 0.633 0.763
Emotions 0.380 0.591 0.627 0.643 0.785
Sat 0.409 0.556 0.723 0.556 0.714 0.885
Loyal 0.410 0.438 0.653 0.543 0.621 0.850 0.884
Note: square root of the AVE on the diagonal

Table 4
Estimates of structural paths in the structural model

Relationships Estimate S.E. Est./S.E. p-value Result

H1 Atmos → DinX 0.708 0.047 15.077 0.000 Significant
H2 Food → DinX 0.744 0.041 18.016 0.000 Significant
H3 Service → DinX 0.831 0.033 25.252 0.000 Significant
H4 Social → DinX 0.415 0.056 7.469 0.000 Significant
H5 DinX → Sat 0.834 0.034 24.614 0.000 Significant
H6 DinX → Loyal 0.107 0.165 0.651 0.515 Not significant
H7 DinX → Emo 0.830 0.034 24.243 0.000 Significant
H8 Sat → Loyal 0.811 0.103 7.910 0.000 Significant
H9 Emo → Loyal -0.043 0.105 -0.410 0.682 Not significant

statistically significant difference between the first = 0.708; p < 0.0001), food quality (estimate = 0.744;
measurement model and the second measurement model p < 0.0001) and service quality (estimate = 0.831;
at p < 0.10 (Satorra and Bentler, 2010: 243). The results of p < 0.0001) are all positive indicators of consumers’
the Satorra-Bentler scaled chi-square difference test, and the coffee shop dining experience. Closer inspection of
difference in BIC indices between the first measurement and the estimates further reveal that service quality is the
the second measurement model provides positive evidence strongest indicator of the dining experience, followed
that dining experience is a second-order construct that by food quality, atmosphere and social connectedness.
is reflective of four underlying dimensions. Furthermore, consumers’ coffee shop dining experience
has a significant positive influence on consumers’
Results from the assessment of the structural model satisfaction (estimate = 0.834; p < 0.0001) and
(Hypotheses H1-H9) positive consumption emotions (estimate = 0.830;
p < 0.0001). Lastly, consumers’ satisfaction significantly
To test the hypotheses shown in Figure 1, a structural and positively influences their loyalty intentions
model was estimated and it returned the following fit (estimate = 0.811; p < 0.0001) towards a coffee shop.
indices: the Satorra-Bentler χ2/df ratio was 1.643; the Interestingly, the results in Table 4 also indicate that
RMSEA was 0.047; the CFI was 0.939 and the TLI consumers’ coffee shop dining experience (estimate =
0.932. The structural model therefore showed evidence 0.107; p = 0.515) and positive consumption emotions
of adequate model fit. Table 4 shows the estimates of the (estimate = -0.043; p = 0.682) do not directly influence
structural paths in the structural model. their loyalty intentions towards a coffee shop. These
insignificant results suggest that the relationships
From Table 4 it can be concluded that, with the exception between coffee shop customers’ dining experience and
of hypotheses H6 and H9, all the other hypotheses loyalty intentions are not straightforward, hence the need
are supported. More specifically, social connectedness to investigate possible indirect effects.
(estimate = 0.415; p < 0.0001), atmosphere (estimate
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Table 5
Bootstrapping results at a 95% bias-corrected interval

Variables Direct effect Indirect effect Result

X → M → Y(i) [LLCI; HLCI](ii) [LLCI; HLCI] (ii)

H10a 0.641 0.676

DinEX → Sat → Loyal Full mediation
[0.223; 1.004] [0.464; 1.028]

H10b 0.641 -0.036

DinEX → Emo→ Loyal No mediation
[0.223; 1.004] [-0.302; 0.144]

Notes: (i) X: exogenous variable; M: mediating variable; Y: endogenous variable; (ii) LLCI: lower level confidence interval; HLCI: higher level
confidence interval.

Results of the assessment of the mediation hypotheses It is further apparent that atmosphere, food quality, service
(H10a and H10b) quality and social connectedness contributed towards
coffee shop customers’ dining experience in varying
To test for the hypothesised mediation effects (H10a degrees. More specifically, in a coffee shop environment,
and H10b) in the structural model, 5  000 bootstrapping service quality is the strongest indicator, followed by
samples were generated from the original data set by food quality, atmosphere and social connectedness.
random sampling (Shrout and Bolger 2002; Zhao et al., Findings from earlier studies confirmed the dominance of
2010). Owing to the non-normality of data distribution service quality, food quality and atmosphere in affecting
in this study, the bias-corrected confidence intervals for customers’ dining experience at foodservice providers
direct and indirect effects were interpreted (Preacher (Jeong and Jang, 2018: 1568; Bufquin et al., 2017: 547;
and Hayes, 2008: 880). Table 5 shows the bootstrapping Lee et al., 2016: 240). In addition, the current study
results for the direct and indirect effects calculated at a demonstrated that social connectedness, albeit auxiliary,
95% bias-corrected interval. is also an indicator of customers’ dining experience
in coffee shops. Such a result is plausible, since most
The results in Table 5 indicate a significant indirect effect coffee shops position themselves as third places where
for satisfaction (bias-corrected interval 0.464 to 1.028) social interactions occur among customers (Tombs and
and a non-significant indirect effect for positive feelings McColl-Kennedy 2010: 121; Walsh et al., 2011: 120).
(bias-corrected interval -0.302; 0.144). H10a is therefore
be supported whereas H10b is not. The results also indicate that coffee customers’ dining
experience directly and positively influenced their
Based on these results, it can be deduced that although satisfaction and positive consumption emotions, which
customer satisfaction mediated the relationship between is consistent with the findings from previous foodservice
coffee consumers’ dining experience and loyalty intentions, studies (Bufquin et al., 2017: 542; Ali et al., 2016: 457).
positive consumption emotions did not. To further assess In contrast to previous research findings (Lee et al., 2016:
the role of customer satisfaction and the extent of its indirect 21; Han and Ryu), customers’ dining experience did not
effect on loyalty intentions, the squared standardised exert a direct influence on their loyalty intentions in this
indirect effect size (υ) was calculated. The value of υ study. This result was not unexpected, given that the
was 31.7%, which constitutes a large indirect effect proposed hypothesised model is embedded in the S-O-R
(Lachowicz et al., 2018: 250; Cohen, 1988). framework. This framework suggests that the organism
component functions as a mediator between the stimulus
Discussion and the response (Donovan and Rossiter, 1982; Mehrabian
and Russell, 1974). In the current study, satisfaction acted
As explained earlier, the primary objective of this study as a mediator between coffee shop customers’ dining
was to propose a model embedded in the S-O-R framework experience and their loyalty intentions, but positive
for fostering the loyalty intentions of coffee shop consumption emotions did not. The results from this study
customers by means of a memorable dining experience, also indicate that while coffee shop customers’ satisfaction
satisfaction and consumption emotions. The results from directly and positively influenced their loyalty intentions,
this study suggest that the scale developed by Antun et al. their positive consumption emotions did not. The fact that
(2010: 377) is valid and reliable to measure coffee shop positive consumption emotions did not act as a mediator
customers’ dining experience. Furthermore, the results between coffee shop customers’ dining experience and
indicate that coffee shop customers’ dining experience their loyalty intentions, or exerted a direct influence on
is a second-order construct reflective of four first-order loyalty intentions, could be related to its measurement.
dimensions, namely atmosphere, food quality, service While the researchers offered sound reasons for using
quality and social connectedness. This result coincides unipolar dimensions to measure positive consumption
with previous research findings which suggested that emotions, customers may experience both positive
customers’ dining experience is multifaceted (Bufquin and negative emotions during their experience journey
et al., 2017: 549; Ali et al., 2016: 452; Chen et al., 2015: (Liu et al., 2016: 42).
241).
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Theoretical and managerial Lastly, owners and managers can focus on social
implications connectedness by employing social bonding relationship
marketing tactics. Examples of such tactics include asking
This study offers several theoretical implications for staff to make an effort to remember a regular customer’s
scholars. It confirms the validity of the S-O-R framework name, and what they order every time they visit the coffee
as a useful tool to understand how coffee shops can shop. Staff should also be encouraged to greet customers
foster customers’ loyalty intentions by offering them a in a friendly manner and engage in a light and friendly
memorable dining experience. Theoretically, the S-O-R conversation with them. Proper staff training is, however,
framework is quite versatile and can be used when required to carefully balance being perceived as friendly
scholars investigate multifaceted aspects of different versus being annoying, especially by those customers
stimuli, organisms, and response behaviour. The study who do not wish to engage in such conversations in the
also reaffirms that dining experience is a multidimensional first instance.
construct, even in the context of South African coffee
shops. Therefore, the measurement instrument that Limitations and SUGGESTIONs for
scholars utilise to measure a dining experience should future research
be reflective of several dimensions. The study also
confirms that dining experience is an important antecedent Although sound arguments for using the DinEX scale
to desirable marketing outcomes such as customer developed by Antun et al., (2010) were offered, this
satisfaction and loyalty intentions. scale provides a holistic perspective and may not allow
coffee shop owners and managers to focus on specific
Owners and managers of coffees shops on the other environmental cues. Constructs such as atmosphere for
hand, should take cognisance of their customers’ dining example, are complex and encompass many sensory
experience because the latter may secure a competitive stimuli that may not be reflected in the DinEX scale
advantage. Coffee shop customers’ dining experience (Manganari Siomkos and Vrechopoulos, 2009: 1141).
does influence loyalty intentions, albeit indirectly and Future studies could therefore provide more specific
via satisfaction. While some owners and managers may managerial recommendations by concentrating on
appreciate the important role that customers’ dining individual dimensions of a coffee shop dining experience.
experience plays, they often do not know how to allocate Food quality, for example, can be assessed in more
limited resources to enhance this experience. Although detail by asking specific questions, such as customers’
customers’ dining experience is multi-layered, this study perceptions about menu variety and the health options
proposes that coffee shop owners and managers prioritise available, taste and freshness, as well as the temperature
resources to service quality, followed by food quality, at which food is served (Namkung and Jang, 2007: 396).
atmosphere, and social connectedness. Similar to Antun et al. (2010: 376), this study estimated
dining experience as a second-order reflective construct.
Concerning service quality, owners and managers should Future studies could validate this study’s findings by
train their staff to ensure that they are well-informed estimating coffee shop customers’ dining experience as a
about menu items. Furthermore, intuitive waiter training second-order formative construct.
techniques should be used to highlight the non-verbal cues
exhibited by customers when they need something from In addition, this study only sampled respondents who
waitrons. Roleplaying can also be used to equip them with had visited a coffee shop in the preceding week of the
the required communication skills. As for food quality, study. While this qualifying question was included to
owners and managers should make substantial investments assist respondents in accurately recalling their most recent
in hiring competent kitchen and barista staff, and sourcing coffee shop dining experience, a large part of this study’s
fresh ingredients from food vendors. Moreover, the food sample indicated that they only visited coffee shops every
portions that are served to customers must be monitored second week. This frequency, however, does not mean
carefully. Kitchen staff should therefore receive regular that the respondents who participated were not able to
training to ensure that they plate food properly. answer the questions, since respondents were instructed
to think of their most recent coffee shop experience when
Regarding atmosphere, attention should be given to responding to the questions. Therefore, it is recommended
ambiance such as lighting, décor, scent, temperature and that future studies intercept respondents just after they
background music. Owners and managers should, however, have dined at a particular coffee. Moreover, this study
make sure that these ambient conditions are consistent has not drawn a distinction between independently owned
with the ‘look and feel’ that they envision for the coffee coffee shops and those that are part of a franchise chain.
shop. For example, the décor and background music will Coffee shop customers’ dining experience may be quite
differ substantially for a coffee shop that wants to position different in these respective contexts, since independently
itself as classic and cosy versus one that is modern and owned coffee shops have more freedom in providing
trendy. Likewise, the alluring scent of freshly brewed customers with a unique experience than franchise
coffee and baked goods might be more appropriate for a chains. Franchise chains on the other hand, may benefit
small, homely coffee shop than a large contemporary one. from brand familiarity. Using multi-group moderation,
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24 Management Dynamics Volume 27 No 4, 2018

future studies could examine differences in coffee shop Babin, B.J., Darden, W.R. and Griffin, M. 1994. Work and/
customers’ dining experience and subsequent loyalty or fun: Measuring hedonic and utilitarian shopping
intentions for independently owned versus franchised value. Journal of Consumer Research, 20(4): 644-656.
coffee shops.
Bagozzi, R.P., Gopinath, M. and Nyer, P.U. 1999. The role
of emotions in marketing. Journal of the Academy
The present study measured positive consumption
Marketing Science, 27(2): 184-206.
emotions using unipolar dimensions. To account for
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during customers’ dining experience, future studies could surroundings on customers and employees. Journal
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Measuring restaurant patrons’ perceptions and
Conclusion expectations: An importance-performance analysis
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customer loyalty intentions from a memorable dining The influence of the DinEX service quality dimensions
experience. In a coffee shop environment, a dining on casual dining restaurant customers’ satisfaction
experience acts as a stimulus that creates a loyalty and behavioural intentions. Journal of Foodservice
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Canny, I.U. 2014. Measuring the mediating role of
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*To whom all correspondence should be addressed: Dr Stefanie Kühn, Department of Business Management, Stellenbosch University, [email protected]
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Annexure A

Construct Mean Standard deviation

Dining experience 3.740 0.586
Social connectedness 2.436 0.989
Atmosphere 4.163 0.709
Service quality 4.001 0.842
Food quality 4.344 0.673
Positive consumption emotions 4.089 0.658
Satisfaction 4.302 0.662
Loyalty intentions 4.350 0.742
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