INFLUENCE OF PRODUCT QUALITY AND PRICE ON CUSTOMER LOYALTY AT PODJOK KOPI KEMANGGISAN

Abstract

This study aims to analyze the influence of product quality and price on customer loyalty at podjok kopi kemanggisan, the research method used is a quantitatitve approach with primary data collection through questionnaires distributed to 138 respondents selected using purposive sampling, based on the slovin formula from a total population of 210 loyal customer. Data were analyzed using validity test, reliability test, descriptive statistics, classical assumption tests, multiple linear regrssion, t-test, f-test, and coefficient of determination with help of SPSS version 27. The t-test (partial test) result shows that product quality does not have a significant effect on customer loyalty (significance value 0,368 > 0,05), while price has a positive and significant effect (significant value 0,000 < 0,05). The f-test (simultaneous test) proves that together, both variables significantly influence loyalty, with an f-calculated value of 26,394 > f table value of 3,06. However, the coefficient of determination (R2) of 0,281 indecates that only 28,1% of the variation in loyalty is explained by product quality and price, while the remaining 71,9% is influenced by other factors such as service, atmosphere, or location. The implication is that management is advised to maintain a competitive pricing strategy and develop non-product aspects to enchance customer loyalty.