The effect of service quality and customer satisfaction toward customer loyalty in service industry

Abstract

The purpose of this study is to determine the impact of service quality and customer satisfaction on customer loyalty of the laundry service industry in Indonesia. The research methods used were quantitative, and analyzed using multiple linear regression methods. Data were obtained by distributing questionnaires to 100 respondents in Jakarta from February to March 2020. The selection of respondents used a purposive sampling technique, with the criteria of using laundry services in the past. Findings from this research revealed a significant positive effect of service quality toward customer satisfaction; and both service quality and customer satisfaction also have significant and positive effects towards customer loyalty in laundry services in Indonesia. From this research, it is expected that the entrepreneur in the laundry service industry would better understand the importance of service quality, customer satisfaction and its correlation to customer loyalty in order to improve firm sales performance.

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