Customer Perception and Customer Satisfaction in The Hospitality Industry in Southwest Nigeria: An Empirical Analysis of Service Quality Dimensions

This study investigates the relationship between customer perception and customer satisfaction within the hospitality industry in Southwest Nigeria, focusing on key service quality dimensions. Drawing on the SERVQUAL model, the research examines how reliability, responsiveness, assurance, empathy, and tangibles influence satisfaction outcomes across Lagos, Ogun, Oyo, Osun, Ondo, and Ekiti States. A quantitative survey design was adopted, and data were collected from 422 customers of registered luxury hotels and fast-food outlets using convenience sampling. Descriptive statistics, regression analysis, and mediation analysis were employed to test the study’s hypotheses. Findings from descriptive analysis reveal strong agreement among respondents that perception significantly shapes satisfaction, particularly regarding cleanliness, visual appeal, staff competence, pricing fairness, and expectation fulfillment. However, regression results indicate that customer perception has a positive but statistically insignificant direct effect on customer satisfaction at the 5% significance level. Mediation analysis confirms that customer perception partially mediates the relationship between service quality delivery and customer satisfaction. The study concludes that satisfaction in Southwest Nigeria’s hospitality sector is perception-driven and context-sensitive, requiring integrated operational and perceptual management strategies.