EFFECTS OF FOOD QUALITY, SERVICE QUALITY, PRICE, ENVIRONMENT, AND LOCATION TOWARDS CUSTOMER LOYALTY OF INDONESIA’S LOCAL FAST FOOD INDUSTRY

This study aims to measure and analyze the effect of several restaurant-related quality attributes toward customer loyalty with a mediating effect from customer satisfaction in the local fast-food industry in Indonesia. The nature of local fast-food industry is different compared to its global count...

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Main Author: Indryati Sunaryo
Format: Article
Language:Indonesian
Published: Diponegoro University 2019-10-01
Series:J@ti Undip: Jurnal Teknik Industri
Subjects:
Online Access:https://ejournal.undip.ac.id/index.php/jgti/article/view/26212
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author Indryati Sunaryo
author_facet Indryati Sunaryo
author_sort Indryati Sunaryo
collection DOAJ
description This study aims to measure and analyze the effect of several restaurant-related quality attributes toward customer loyalty with a mediating effect from customer satisfaction in the local fast-food industry in Indonesia. The nature of local fast-food industry is different compared to its global counterpart, so a new perspective has to be taken into account. Based on literature review of previous studies, the quality attributes that are selected for this study are food quality, service quality, environment, price, and location. Data in this study were collected from the responses of 461 participants and analyzed using Structural Equation Model (SEM). The SEM result shows that only price and location significantly affect customer loyalty through customer satisfaction. When customer satisfaction is removed and restaurant-related quality attributes is directly tested towards customer loyalty, only price and food quality significantly affect customer loyalty. Both with and without mediating effect from customer satisfaction, price keeps influencing customer loyalty. This result is against the majority of fast-food customer loyalty studies which usually emphasize on food or service quality as the main factor that influences customer loyalty and customer satisfaction.
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spelling doaj.art-a64faf778ee44ad099796077af5595eb2022-12-21T23:45:13ZindDiponegoro UniversityJ@ti Undip: Jurnal Teknik Industri1907-14342502-15162019-10-0114311912810.14710/jati.14.3.119-12816127EFFECTS OF FOOD QUALITY, SERVICE QUALITY, PRICE, ENVIRONMENT, AND LOCATION TOWARDS CUSTOMER LOYALTY OF INDONESIA’S LOCAL FAST FOOD INDUSTRYIndryati Sunaryo0Institut Teknologi BandungThis study aims to measure and analyze the effect of several restaurant-related quality attributes toward customer loyalty with a mediating effect from customer satisfaction in the local fast-food industry in Indonesia. The nature of local fast-food industry is different compared to its global counterpart, so a new perspective has to be taken into account. Based on literature review of previous studies, the quality attributes that are selected for this study are food quality, service quality, environment, price, and location. Data in this study were collected from the responses of 461 participants and analyzed using Structural Equation Model (SEM). The SEM result shows that only price and location significantly affect customer loyalty through customer satisfaction. When customer satisfaction is removed and restaurant-related quality attributes is directly tested towards customer loyalty, only price and food quality significantly affect customer loyalty. Both with and without mediating effect from customer satisfaction, price keeps influencing customer loyalty. This result is against the majority of fast-food customer loyalty studies which usually emphasize on food or service quality as the main factor that influences customer loyalty and customer satisfaction.https://ejournal.undip.ac.id/index.php/jgti/article/view/26212fast-food industrycustomer loyaltycustomer satisfactionfood quality
spellingShingle Indryati Sunaryo
EFFECTS OF FOOD QUALITY, SERVICE QUALITY, PRICE, ENVIRONMENT, AND LOCATION TOWARDS CUSTOMER LOYALTY OF INDONESIA’S LOCAL FAST FOOD INDUSTRY
J@ti Undip: Jurnal Teknik Industri
fast-food industry
customer loyalty
customer satisfaction
food quality
title EFFECTS OF FOOD QUALITY, SERVICE QUALITY, PRICE, ENVIRONMENT, AND LOCATION TOWARDS CUSTOMER LOYALTY OF INDONESIA’S LOCAL FAST FOOD INDUSTRY
title_full EFFECTS OF FOOD QUALITY, SERVICE QUALITY, PRICE, ENVIRONMENT, AND LOCATION TOWARDS CUSTOMER LOYALTY OF INDONESIA’S LOCAL FAST FOOD INDUSTRY
title_fullStr EFFECTS OF FOOD QUALITY, SERVICE QUALITY, PRICE, ENVIRONMENT, AND LOCATION TOWARDS CUSTOMER LOYALTY OF INDONESIA’S LOCAL FAST FOOD INDUSTRY
title_full_unstemmed EFFECTS OF FOOD QUALITY, SERVICE QUALITY, PRICE, ENVIRONMENT, AND LOCATION TOWARDS CUSTOMER LOYALTY OF INDONESIA’S LOCAL FAST FOOD INDUSTRY
title_short EFFECTS OF FOOD QUALITY, SERVICE QUALITY, PRICE, ENVIRONMENT, AND LOCATION TOWARDS CUSTOMER LOYALTY OF INDONESIA’S LOCAL FAST FOOD INDUSTRY
title_sort effects of food quality service quality price environment and location towards customer loyalty of indonesia s local fast food industry
topic fast-food industry
customer loyalty
customer satisfaction
food quality
url https://ejournal.undip.ac.id/index.php/jgti/article/view/26212
work_keys_str_mv AT indryatisunaryo effectsoffoodqualityservicequalitypriceenvironmentandlocationtowardscustomerloyaltyofindonesiaslocalfastfoodindustry