The effects of product quality, product style, product price, brand image, service quality, and store environment towards the brand loyalty of Zara's customers in Medan

Cindy, Cindy (2021) The effects of product quality, product style, product price, brand image, service quality, and store environment towards the brand loyalty of Zara's customers in Medan. Bachelor thesis, Universitas Pelita Harapan.

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Abstract

Indonesia’s fashion industry has been facing significant development. This condition has led to the rises of many local and global fashion players that are vying for bigger market share in Indonesia. Such competitive environment requires companies to focus on their customers’ brand loyalty. ZARA is one of the major players in the industry and it is essential for ZARA to maintain and develop its customers’ brand loyalty. This research is conducted to measure the effect of Product Quality (PQ), Product Style (PS), Product Price (PP), Brand Image (BI), Service Quality (SQ), Store Environment (SE) towards Brand Loyalty (BL) of ZARA’s customers in Medan. This study is causal research using quantitative methods of data processing through Structural Equation Model (SEM) with AMOS. Data was collected by distributing questionnaires to 170 respondents that are male or female, aged 18-60 years, have visited and purchased from ZARA Medan at least twice in the last 2 years. This research shows that towards Brand Loyalty, PQ has insignificant effect with the regression coefficient of 0.183, PS has significant effect with regression coefficient value of 0.309, PP has significant effect with the regression coefficient value of 0.205, BI has insignificant effect with regression coefficient value of 0.025. SQ is also proven to have significant effect with the regression coefficient value of 0.321. Lastly, SE has insignificant effect with the regression coefficient of 0.001. ZARA should prioritize improving and optimizing its service quality to increase brand loyalty by offering more quick and timely services to customers/Industri fashion di Indonesia telah mengalami perkembangan yang signifikan. Kondisi tersebut menyebabkan peningkatan jumlah merek local maupun global yang bersaing untuk pangsa pasar yang lebih besar. Akibatnya, banyak perusahaan yang memusatkan perhatian mereka untuk membentuk sikap kesetiaan merek dari pelanggan mereka. ZARA adalah salah satu pemain utama di industri fashion dan penting bagi ZARA untuk mengembangkan rasa kesetiaan merek dari pelanggan. Penelitian ini bertujuan mempelajari pengaruh Product Quality (PQ), Product Style (PS), Product Price (PP), Brand Image (BI), Service Quality (SQ), dan Store Environment (SE) terhadap Brand Loyalty (BL). Penelitian ini merupakan penelitian kausal. Metode penelitian yang digunakan adalah metode kuantitatif dengan pengolahan data menggunakan Structural Equation Model (SEM) dengan AMOS. Pengumpulan data melalui penyebaran kuesioner kepada 170 responden dengan karakteristik responden pria dan wanita berumur 18-60 tahun, pernah mengunjungi dan berbelanja di ZARA Medan setidaknya 2 kali dalam 2 tahun terakhir. Hasil menunjukkan bahwa Product Quality memiliki pengaruh positif tidak signifikan terhadap Brand Loyalty dengan koefisien regresi sebesar 0.183, Product Style memiliki pengaruh positif signifikan dengan koefisien regresi sebesar 0.309, Product Price juga memiliki pengaruh positif signifikan dengan koefisien regresi sebesar 0.205, Brand Image terbukti memiliki pengaruh positif tidak signifikan terhadap Brand Loyalty dengan koefisien regresi sebesar 0.025, Service Quality memiliki pengaruh positif signifikan terhadap Brand Loyalty dengan koefisien regresi sebesar 0.321. Akhirnya. Store Environment juga memiliki pengaruh positif tidak signifikan terhadap Brand Loyalty dengan nilai koefisien regresi 0.001. ZARA dianjurkan untuk fokus mengembangkan dan mengoptimalkan kualitas pelayanannya untuk menyediakan pelayanan yang lebih cepat dan sigap kepada pelanggan.

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