Erika Varga

György Kadocsa

Mónika Fodor

Ágnes Csiszárik-Kocsir

English

Research Papers in Economics

MEB 2009 – 7
th International Conference on Management, Enterprise and Benchmarking 
June 5‐6, 2009      Budapest, Hungary 
  365 
The Motivations of Consumer Preferences and 
Choosing a Service Provider in the Domestic 
Market of Institutional Catering 
Ágnes Csiszárik-Kocsir 
assistant professor, Budapest Tech, kocsir.agnes@kgk.bmf.hu 
Mónika Fodor 
senior assistant professor, Károly Róbert College, mfodor@karolyrobert.hu 
Erika Varga 
assistant professor, Károly Róbert College, evarga@karolyrobert.hu 
Abstract: The theoretical background of the topic- the role of institutional catering in the 
eating-out type food consumption. In our study we examined one of the alternatives of 
eating out, namely, institutional catering, within the frames of primary research. Making 
use of the typically cheap, favourably-priced institutional catering has had a sharp decline 
till 2001 after the change of the regime. (Lehota, 2001) One of the reasons for this can be 
that only the biggest corporations and public institutions could ensure eating facilities at a 
favourable price for their employees in their own restaurants or canteens run by 
themselves. On the other hand, the decline can be explained by the fact that the main part 
of women living in the countryside was pushed out of the labour market, thus decreasing 
the number of the potential clients of institutional catering. Due to the economic constraints 
and the narrower possibilities cooking at home has become the main household chore-
primarily among the strata with low income. The fact that similarly to the European 
tendencies more and more people –especially the younger women with higher income and 
status- have become addicted to health consciousness also in Hungary could have 
contributed to the further amplification of this process. This way fewer and fewer members 
of this consumer stratum require the services of institutional catering (Mikesné, 2004). 
However, institutional catering has made a significant progress after 2001 and this 
dynamic growth can be reflected both in the number of outlets and revenue. This 
development far exceeded the growth rate typical of domestic retail turnover. The fact that 
most multinational companies operating in Hungary and employing a great number of 
people are equipped with a kitchen or restaurant have also contributed to the shift from the 
trough. Furthermore, the development and spread of domestic institutional catering has 
also been promoted by the increase of tax free contribution to catering costs over the level Á. Csiszárik‐Kocsir et al. 
The Motivations of Consumer Preferences and Choosing a Service Provider in the Domestic Market of 
Institutional Catering 
  366 
of inflation as well as the fact that nowadays more and more places of work are willing to 
cover the extra costs of hot meals. There is a growing need for cheap and quick 
possibilities of hot meals on working days. (Rudolfné Katona Mária, 2003) 
Keyword: consumer preferences, institutional catering 
1  The Objective of Research 
During the research it was our objective how the possibilities of institutional 
catering were assessed by the respondents in terms of price, quality, convenience 
and time. It was also our aim to analyse the factors affecting institutional catering 
and to explore the motivations behind choosing a special catering alternative of 
working days. A further goal was to examine whether there was a correlation 
between points of food consumption and factors playing a role when choosing a 
mode of institutional catering.   
2  Method of Sample Taking and Circumstances of 
Research 
During our research a deliberate sampling by a quota was applied. The adults 
employed domestically were regarded as majority. The categories of age applied 
by available statistical registers in terms of regions and gender were not totally 
similar to our categorisation. From the point of view of our research the proportion 
of the most important age group, i.e. those aged between 18 and 60 within the 
sample showed similar compounds to those of the real majority in the single 
regions when breaking down in terms of gender.  
The results published in the paper are only partial ones as they were formed on the 
basis of summarising the answers to the questions of a standardised questionnaire 
in the survey.      
 MEB 2009 – 7
th International Conference on Management, Enterprise and Benchmarking 
June 5‐6, 2009      Budapest, Hungary 
  367 
3  The Results of Research 
3.1  The Main Motivations of Requiring the Services of 
Institutional Catering 
The respondents were asked to assess statements to evaluate and analyse the role 
of institutional catering by using a discrete semantic differential scale from 1 to 5.  
Based on the results the most important feature of institutional catering is to 
ensure the possibility of having a hot meal on working days. It is a convenient way 
to substitute cooking that can also save the time spent on cooking but, on the other 
hand, it means financial sacrifice as it is more expensive than cooking.  
The results reflect that institutional catering has a priority over cooking in terms of 
quality, time and convenience as utility factors –it is only from the dimension of 
time that it means a less favourable option. Despite this fact, or, to put it in another 
way, that is why it has not become a general practice domestically. It is proved by 
the fact that the role of price has the highest priority in the judgement of domestic 
food consumers. The high sensitivity to price can be the main reason why the 
services of institutional catering are not frequently required by the employees 
despite of its recognised and perceived advantages.   
3.2 Catering  Alternatives  Typical of Working Days  
Price sensitivity was proved by the examination of the frequency of catering 
alternatives typical of working days: the majority, however, still opt for the 
cheapest solution by taking food from home on working days. Although 
consuming hot meals appeared as a strong desire on working days and the 
necessary infrastructure was at the disposal of 81.9% of the respondents, still we 
cannot state that the majority would frequently use it.  
However, the rank based on the frequency of use of alternatives and services 
substituting cooking do not only reflect the price sensitivity of users. The most 
favoured type of channel was canteen, one of the cheapest solutions regarding 
price-value ratio, followed by buffet, restaurant in the neighbourhood, fast food in 
the neighbourhood and home delivery. The restaurant in the neighbourhood of the 
workplace ranked as the third most preferred alternative overtaking home delivery 
which is obviously more time consuming and cheaper based on the average prices. 
This quantifies the previous results of the focus group examinations according to 
which the employees frequent the restaurants off the workplaces in most cases to 
be out of work at least during the lunch break thus spending the time in a different 
environment outside their places of work (Qualitative phase, 2008.)   
Based on the frequency of the use of catering alternatives canteen and buffet are 
the first in the rank that also were the most favoured alternatives in the previous Á. Csiszárik‐Kocsir et al. 
The Motivations of Consumer Preferences and Choosing a Service Provider in the Domestic Market of 
Institutional Catering 
  368 
research (Pest, 2003; Heves 2005).  The advantage of the canteen is the possibility 
of having hot meals quickly on the premises. The choice of the buffet is to serve 
the meals-between that have a more and more prominent role even on working 
days.  
3.3  The Assessment of Factors Determining Catering 
Alternatives Typical of Working Days 
When opting for the concrete form of institutional catering the most important 
utility factors are the elements of intrinsic and extrinsic quality („taste of food”, 
„ambient surroundings”, „versatile menu”) together with the suitable price-value 
ratio and time („within easy reach”, „fast service”). 
Table 1 
Factors playing a role in choosing the way of eating on workdays 
Source: own research, 2008. N=1000 persons 
factors  average 
the most important factors average>=4 
taste of food  4.60 
parts of extrinsic quality 
ambient surroundings, atmosphere  4.20 
parts of intrinsic quality  versatile menu  4.18 
price-value proportion   value for money  4.32 
accessibility, within easy reach  4.12 
parts of the time dimension 
fast service  4.10 
more important factors average>=3 
low price  3.80 
employer should cover part of the costs   3.43  parts of the price dimension 
lunch vouchers can be used for payment   3.13 
substantial meals  3.95 
parts of intrinsic quality 
traditional flavours  3.55 
parts of extrinsic quality  sight of the cover  3.69 
perceived quality   quality assurance system of the caterer 
must be provided  3.46 
promotion, publicity  information and promotion material about 
the caterer   3.07 
 less important factors average <3 
convenience  home delivery  2.95 
dietary menu  2.72 
health consciousness 
organic food  2.33 
special flavours  exotic meals  2.41 
The fact that the service provider should be aware of the system of quality 
assurance was assessed among the most important utility factors by the MEB 2009 – 7
th International Conference on Management, Enterprise and Benchmarking 
June 5‐6, 2009      Budapest, Hungary 
  369 
respondents. The legally acknowledged quality provided by the caterer means a 
kind of guarantee for the consumers losing trust. Besides, the consumers also 
require information about it together with other service requirements. Based on the 
results, the guests are in need of information of the appropriate depth and intensity 
from the provider. The caterers should also realise that the elements of 
communication policy must be considered in building trust and keeping the 
customers. Ensuring contribution to catering costs as well as cashing lunch 
vouchers were also ranked as the most important factors, i.e. the possibility of 
sharing costs and covering the partial expenses of institutional catering arising 
from the side of the consumer. This result also proves that there are real needs 
behind the strive of the employers to cover the extra costs of hot meals or to 
provide lunch vouchers. Despite of this, we cannot state that this form of 
assistance could be general practice nationwide as 51% of the respondents 
reported that their places of work did not contribute to the costs of institutional 
catering and they were not given lunch at a preferential cost. Those who are given 
some, the extent is typically slight covering only 33.36% of the monthly costs of 
institutional meals. In spite of the fact that the possible payment by lunch vouchers 
was mentioned as one of the most important factors in choosing the modes 
/circumstances of eating, the use of lunch vouchers was not typical of the sample 
for working lunch: less than 30% of the respondents pays by lunch vouchers for 
working lunch and this form of contribution only covers 31.97% of the total costs. 
In assessing the factors determining the way of institutional catering ensuring 
delivery of food was given a strikingly low mean value of importance that 
corresponds to the result according to which only a few people and very rarely 
make use of the possibility of home delivery on working days. To sum it up, we 
can state that the factors in connection with both the intrinsic and extrinsic quality 
of food and the elements associated with price and time are dominant in choosing 
catering alternatives typical of working days. During the research it was our 
objective whether there was a correlation between points of food consumption and 
factors playing a role when choosing a mode of institutional catering. That is why 
the ranking values of food consumption and those typical of choosing the way of 
institutional catering on a working day were compared. 
3.4  The Connection between Points of Food Consumption and 
Institutional Catering 
Based on the mean points of the single utility factors considered by the 
respondents the intrinsic and extrinsic quality of food as well as the appropriate 
price-value ratio are the most important ones when choosing food. The most 
important criteria are freshness, taste, fragrance followed by the statement of value 
for money as part of the price-value ratio. 
The ranking values testify a conscious quality-oriented view, such a consumer 
behaviour whose main principle is to provide suitable quality for the right price. Á. Csiszárik‐Kocsir et al. 
The Motivations of Consumer Preferences and Choosing a Service Provider in the Domestic Market of 
Institutional Catering 
  370 
An interesting result within quality was that the extrinsic features of the product 
(freshness, fragrance, taste) were regarded more important than the intrinsic ones 
(mineral and vitamin content). The role of low calorie as an intrinsic value was 
obviously pushed into the background when compared to the other utility factors. 
Table 2 
Factors of choosing food 
Source: own research, 2008. N=1000 persons 
factors  average 
the most important factors average>=4 
freshness  4.7 
extrinsic quality 
taste, fragrance  4.63 
price-value  value for money  4.26 
intrinsic quality  versatility  4.08 
more important factors average>=3 
health consciousness  free from artificial agents  3.88 
intrinsic quality  vitamin- mineral content  3.86 
extrinsic quality  nice design and appearance  3.85 
convenience-practicality  suitable portions  3.73 
health consciousness  nutritional value  3.44 
quick to be prepared  3.41 
long life  3.37  convenience-practicality 
practical packaging  3.29 
price  cheap  3.29 
less important factors average<3 
origin  place of origin  2.91 
health consciousness  low calorie content  2.9 
brand  brand name  2.92 
Generally we can state that the quality features of the product are definitely given 
priority over that of time. The role of time as a utility factor was examined based 
on the list in such sense how it can ease and make food preparation at home faster. 
The practical features of food preparation and catering (easy to prepare, practical 
packaging, suitable portion, long life) were ranked among the most important 
factors based on their mean values thus overtaking the role of price: the criterion 
of cheapness, geographical origin or the perceived utility of brand name. 
In the case of factors determining the mode of institutional catering, parts of 
extrinsic and intrinsic quality („taste of food”, „ambient surroundings”, „versatile 
menu”) and the appropriate price-value ratio were the most important ones but in 
this case parts of the time dimension („accessibility, within easy reach”, „fast 
service”) were also favoured. 
 MEB 2009 – 7
th International Conference on Management, Enterprise and Benchmarking 
June 5‐6, 2009      Budapest, Hungary 
  371 
Conclusions 
To sum it up, we can state that the factors in connection with the intrinsic and 
extrinsic quality of food and the elements associated with price are dominant in 
choosing both food and catering alternatives typical of working days. Only the 
assessment of the role of time shows a slight difference: it has a more dominant 
role in choosing the mode of catering than that of food. When summarising the 
results it can be concluded that in the evaluation of the concrete type of 
institutional catering the food preference of the individual has a decisive role. 
That is why we assume that the thorough analysis of the food preferences of the 
clients could carry useful pieces of information for the caterers. The unique 
requirements dependent on food consumer behaviour could make the creation of 
target group-oriented and thus better positioned portfolio of services possible. 
References 
[1]  Mikesné Mencző Beatrix [2004]: A házon kívüli étkezés szerepe, Gazdaság 
és Statisztika 2004/1. sz., pp. 52-53 
[2]  Lehota, J. (szerk.) (2001): Élelmiszergazdasági marketing. Műszaki 
Könyvkiadó, Budapest 
[3]  Rudolfné dr. Katona Mária [2003]:Az intézményi vendéglátás; Budapesti 
Gazdasági Főiskola, Kereskedelmi, Vendéglátóipari és Idegenforgalmi 
Főiskolai Kara, Budapest 2003 
 

Beatrix [2004]: A házon kívüli étkezés szerepe,

Élelmiszergazdasági marketing. Műszaki Könyvkiadó,

Katona Mária [2003]:Az intézményi vendéglátás; Budapesti Gazdasági Főiskola, Kereskedelmi, Vendéglátóipari és Idegenforgalmi Főiskolai Kara,

The Motivations of Consumer Preferences and Choosing a Service Provider in the Domestic Market of Institutional Catering

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The Motivations of Consumer Preferences and Choosing a Service Provider in the Domestic Market of Institutional Catering

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