IMPACT OF PRODUCT QUALITY AND PRICE TO CUSTOMER LOYALTY

Abstract

Nowadays, we are faced with a global economic crisis situation. which directly has a negative impact on aspects of the economy, industry and trade in the country so that it requires us to be better prepared and able to survive in this crisis situation. The impact was also felt by PT Dian Kimia Putera, which is a company engaged in the procurement of goods/auxiliaries in the textile industry. In anticipation of this, it is necessary to collaborate with the use of information technology, besides that it is also necessary to evaluate good product quality and competitive prices. This study aims to describe product quality and price on customer satisfaction and loyalty. The research method used in this research is a quantitative descriptive method. The population in this study were customers of PT Dian Kimia Putera, in the city of Bandung. The research sample was 200 respondents using the Method of Successive Interval (MSI). The analysis technique uses path analysis with data processing using SPSS 25. The results of the study prove that product quality has a positive and significant effect on customer satisfaction while price has no positive and significant effect on customer satisfaction. Customer satisfaction has a positive and significant effect on customer loyalty.