MEASURING THE INFLUENCE OF DISCOMFORT TOLERANCE TO CUSTOMER LOYALTY: WARUNK UPNORMAL CASE

• Main Author: Kimaru, Jessica
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/64457
• Institution: Institut Teknologi Bandung

A well-known coffee shop in Indonesia, Warunk Upnormal, is striving to manage their customers' loyalty. In establishing customer loyalty programs, companies should among others, create a comfortable environment. There are four main elements to construct comfort: thermal comfort, visual comfort, auditory comfort, and olfactory comfort (from Standard of Human Comfort). The standard used the terms of “discomfort” to find out the tolerance. Therefore, this study adopted the method for using discomfort conditions (referring to situations outside the range of Standard of Human Comfort) to measure the extent of customer tolerance that can affect loyalty, taking in one of their branches, Warunk Upnormal Sumur Bandung as the main study object. This research used a qualitative approach using semi structured interviews for improving better questionnaire design and a quantitative approach by using an online questionnaire. The discomfort tolerance is measured by a 4 point Likert scale that displays some uncomfortable conditions while individual studying, group studying, and hanging out. 231 respondents participated and the data is analyzed with binary logistic regression. It was found that only tolerance to 2 elements of comfort affect loyalty. When customers could tolerate the visual discomfort while studying individually and in groups, it affects their loyalty positively; but when customers could tolerate olfactory discomfort when group studying, it affects the probability or tendency for them to not be loyal. Nevertheless, the most significant factor affecting the positive loyalty is actually because the price Warunk Upnormal Sumur Bandung offered.