In this article
The following example is based around a customer satisfaction survey for a hotel, in which we have a question that asks the customer to rate a number of attributes after a hotel stay. The attributes are (variable IDs in brackets):
- Amenities (Q1_1)
- Friendly and Welcoming (Q1_2)
- Breakfast (Q1_3)
- Parking (Q1_4)
- Minibar / in-room snacks (Q1_5)
- Check In Procedure (Q1_6)
- Room Comfort (Q1_7)
With each of these attributes measured on the same seven-point scale.
The factor analysis is performed to see if there are any underlying latent factors which will account for most of the variance seen in these seven attributes that we may use instead in further analysis.