In recent years, competition in the restaurant industry in the world is increasing thereby, giving customer’s variety to choose from. With this continuous growth of competition in the world including Ghana, especially in the Tamale Metropolis; exterior and interior environments of the restaurant has become a key marketing tool in the industry. The study therefore sought to find the role of interior design in customer satisfaction and retention in restaurants within the Tamale Metropolis and if it influences growth or otherwise of the restaurant business. The study used a multi-purpose sampling to sample 224 respondents from 10 restaurants across the city. Questionnaires were administered and data was analyzed using Microsoft Access Application Program interfaces by Visual Basic for Application (VBA). The results revealed that interior design has an influence on customer satisfaction. Also, most customers visit a particular restaurant based on a combination of factors as interior design, quality meal service, and quality customer service. Despite this, restaurant management in the city do not consider interior design important to customer satisfaction hence do not have policies and plans to improve on the interior design of their restaurants.
Keywords: Customer Satisfaction, Retention, interior design, restaurants