Research Paper
Year: 2019 | Month: November | Volume: 6 | Issue: 11 | Pages: 67-73
The Effect of Customer Value on Customer Loyalty through Customer Satisfaction as Intervening Variable in Khadijah Store Medan
Firdanti Ambarsari, Endang Sulistya Rini, Fadli
Master of Management, Universitas Sumatera Utara, Indonesia
Corresponding Author: Firdanti Ambarsari
ABSTRACT
The development of sharia Muslim fashion trends continues to increase from year to year. The number of sharia clothing business that emerged tightened competition in attracting customers.The need to apply the right business strategy for Khadijah Store Medan to be able to grow and compete with its competitors. Khadijah Store Medan offers the best quality products to compete with other competitors. In 2018 until mid-2019 there was a decrease in sales at Khadijah Store Medan. Many factors affect sales at the Khadijah Store Medan including the customer value provided by the Khadijah Store Medan and the customer satisfaction felt by the Khadijah Store Medan customers. This study aims to determine: 1) the effect of customer value on customer loyalty, 2) the effect of customer satisfaction on customer loyalty, 3) the influence of customer value on customer satisfaction, 4) the influence of customer value on customer loyalty through customer satisfaction as an intervening variable on the Khadijah Store Medan. The population in this study amounted to 120. Determination of sample size uses the slovin formula, with error tolerance = 5%, so that a sample of 93 respondents is obtained. The method of data collection is done by the method of documentation, interviews and giving questionnaires to respondents. Data analysis techniques in this study used simple regression analysis at the significance level = 0.05 and path analysis. The results of the first structural equation research show that customer value and satisfaction have a positive and significant effect on customer loyalty and customer value has a positive and significant effect on customer satisfaction. The second structural equation shows that customer value and customer satisfaction have a positive and significant effect on customer loyalty. Based on the direct effect it is known that customer value has a positive and significant effect on customer loyalty, customer satisfaction has a positive and significant effect on customer loyalty and customer value has a positive and significant effect on customer satisfaction. Based on the indirect effect, it is known that customer value has a positive and significant effect on customer loyalty through customer satisfaction as an intervening variable in Khadijah Store Medan.
Key words: Customer Value, Customer Loyalty, Customer Satisfaction
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