DETERMINATION OF VARIABLES THAT AFFECT CUSTOMER LOYALTY ON INDIHOME INTERNET FIBER PRODUCT

In order to overcome competition, PT Telkom currently focus on customer retention programs including IndiHome customer retention. Retention program is an effort to maintain customers to become loyal customers as to prevent customer shifting to other similar services. To find out the success of th...

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Bibliographic Details
Main Author: Arysolia Taifur, Atikah
Format: Final Project
Language:Indonesia
Online Access:https://digilib.itb.ac.id/gdl/view/36796
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Institution: Institut Teknologi Bandung
Language: Indonesia
Description
Summary:In order to overcome competition, PT Telkom currently focus on customer retention programs including IndiHome customer retention. Retention program is an effort to maintain customers to become loyal customers as to prevent customer shifting to other similar services. To find out the success of the program, PT Telkom conducted an assessment of customer loyalty using the Net Promoter Score (NPS). NPS is still not providing the information desired by the company regarding the level of customer loyalty, besides the current level of measurement effectiveness is still low at 10-20%. NPS cannot explain the level of customer loyalty because it only uses single metric. Based on this background, this study aims to determine the variables that affect customer loyalty in order to measure IndiHome customer loyalty appropriately so that it meets the information desired by the company. Determination of variables are divided into two stages. The first stage is to determine the variables based on the study of literature. The literature studies refer to customer loyalty journals in the telecommunications sector. These variables were then confrmed to experts at PT Telkom. The process of confirming variables uses the Delphi method. The second stage is the determination of variables based in proposals from expert at PT Telkom. All variables that have been determined then translated into statements. The results of the design were tested for validity and reliability to ensure these variables meet the study goals. This study produces variables that affect customer loyalty that have been translated into some statements. There are 4 latent variables that affect customer loyalty, namely service quality, customer satisfaction, trust and perceived price. Keywords: Customer loyalty, IndiHome, Delphi Method.