The Influence of Service Quality and Price on Customer Loyalty with Customer Satisfaction as an Intervening Variable at CV Fathin Aesthetic Beauty Salon in Pemangkat

Abstract

This study aims to analyze the influence of service quality and price on customer loyalty with customer satisfaction as an intervening variable at CV Fathin Aesthetic Beauty Salon in Pemangkat. The research approach used is quantitative with an associative causal design. Data were collected through structured questionnaires using a five-point Likert scale distributed to 100 respondents. The data analysis technique employed Partial Least Square Structural Equation Modeling using SmartPLS software. The results show that service quality and price have a positive and significant effect on customer satisfaction. Customer satisfaction is proven to have a positive and significant effect on customer loyalty. Service quality also has a positive and significant direct effect on customer loyalty, while price does not have a significant direct effect on customer loyalty. However, service quality and price have a positive and significant effect on customer loyalty through customer satisfaction as an intervening variable. These findings confirm that customer satisfaction plays an important role as a linking mechanism between service quality and price in shaping customer loyalty. Practically, the results of this study provide implications for salon managers to prioritize improving service quality and setting fair prices as the main strategy in building long-term customer loyalty. Future research is suggested to include other variables such as trust, brand image, perceived value, or relationship quality, as well as to expand the research object and area in order to obtain a more comprehensive understanding of the factors that influence customer loyalty in the beauty service industry.