Analysis of the effects of brand experience, brand trust, and customer satisfaction on brand loyalty of Dunkin' Donuts in Jabodetabek

Nathania, Jessica and Nicholas, Nicholas and Putrienda, Sannela (2020) Analysis of the effects of brand experience, brand trust, and customer satisfaction on brand loyalty of Dunkin' Donuts in Jabodetabek. Bachelor thesis, Universitas Pelita Harapan.

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Abstract

The food and beverage industry in Indonesia has shown a gloomy era in recent years as purchasing a single food becomes a complex buying behavior phenomenon in the consumer purchasing decision-making process. Even though food and beverages are one of the main necessities for people, the big number of young entrepreneurs that start opening their business in this industry as proven from statistics that this industry still dominates the non-migas industry. Customers come and go as food and beverages innovation increases. Hence, there is a need to build brand loyalty toward customers. Brand loyalty can be defined as a deeply held commitment to re-buy a preferred product or service consistently in the future. The original idea of brand loyalty was that repeat buyers are more profitable than acquiring new ones because they return a higher margin, are stronger recommenders and require fewer special deals and pricing offers. This research aims to study the effect of brand trust, brand experience, and customer satisfaction toward brand loyalty of Dunkin’ Donuts. This research is done through quantitative research and the data gathered using personally administered method amongst our friends, relatives, and those who have bought Dunkin’ Donut in Jabodetabek area aged 15-65 years old. Using the data from 124 respondents and 20 indicators, software SmartPLS 3.0 is used in this research to analyze the outer and inner model. The outer model consisted of validity and reliability test while the inner model examines multicollinearity (VIF), R-squared, T statistic and P-value test. From this research we can conclude that brand experience has positive influence on both customer satisfaction and brand trust. On the other hand brand trust has no positive influence over brand loyalty, while customer satisfaction and brand experience have positive influence over brand loyalty. Keywords: Brand Experience; Brand Trust; Customer Satisfaction; Brand Loyalty; Dunkin’ Donuts References: 104 (1973 – 2019)

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