The Role of Product Quality, Service Quality, and Perceived Price in Customer Loyalty through Customer Satisfaction: A Study of Bakso Bakar Pak Man
Muhammad Fatkur Rohman (a), Puji Akhiroh (a*), Awang Tri Satria (a)

(a) Faculty of Animal Science and Technology, Universitas Brawijaya, Jalan Veteran No 1, Malang 65415, East Java, Indonesia. Email: fatkur[at]student.ub.ac.id, pujiakhiroh[at]ub.ac.id*, awangtrisatria[at]ub.ac.id

Abstract

Increasing competition among meat-based culinary businesses has made customer loyalty an important factor in maintaining business sustainability. This study aims to analyze the relationships between product quality, service quality, perceived price, customer satisfaction, and customer loyalty among consumers of Bakso Bakar Pak Man in Malang, Indonesia. This study employs a quantitative approach with an explanatory research design using a survey method. Data collection is conducted through a questionnaire consisting of 21 indicators measured on a four-point Likert scale. The target sample comprises 210 customers. Data analysis employs Covariance-Based Structural Equation Modeling (CB-SEM) using AMOS software to test seven hypotheses concerning direct relationships among the variables. Previous studies in the restaurant industry have demonstrated positive relationships between perceived price and customer satisfaction, as well as between customer satisfaction and customer loyalty. Product quality has also frequently been associated with increased customer loyalty, although findings regarding its direct effect on customer satisfaction remain inconsistent. Similarly, service quality may influence customer satisfaction and loyalty- however, its direct effect on customer loyalty is not always statistically significant. These findings indicate that consistent product quality, responsive service, and perceived price fairness are important factors that may contribute to customer loyalty. Nevertheless, the relationships among these variables in the context of Bakso Bakar Pak Man still require empirical verification through survey data and AMOS analysis.

Keywords: Product Quality- Service Quality- Perceived Price- Customer Satisfaction- Customer Loyalty- CB-SEM.

Topic: Agribusiness and related subjects