Customer Satisfaction's Mediating Effect on Brand Image, Service Quality, and Customer Loyalty in The Indonesian Automotive Sector
DOI:
https://doi.org/10.61231/fac92f28Keywords:
Brand Image; Service Quality; Customer Satisfaction; Customer Loyalty; Indonesian Automotive Industry; PLS-SEMAbstract
This study seeks to investigate how brand image and service quality affect customer loyalty. Using survey information gathered from 100 clients of PT Tunas Toyota Ciputat, an authorized Toyota dealer in Indonesia, a quantitative explanatory research methodology was used. Purposive sampling was used to choose the respondents, and Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS 4 was used to analyze the data. The outcomes reveal that customer satisfaction is positively and significantly impacted by both brand image and service quality. Customer loyalty is also strongly influenced by brand image, customer contentment, and service quality, with service quality being the best indicator of consumer satisfaction. Additionally, the mediation study shows that the relationship between brand image, service quality, and customer loyalty is partially mediated by customer satisfaction. In order to improve customer happiness and cultivate long-term customer loyalty in the Indonesian automobile sector, our findings emphasize the strategic significance of enhancing brand image and consistently increasing service quality. By offering empirical proof of the mediating function of customer happiness in explaining customer loyalty within the framework of the Indonesian automotive sector, this study adds to the body of literature on marketing.
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