RELATIONSHIP BETWEEN MARKETING MIX ELEMENT AND CUSTOMER LOYALTY TOWARDS UNCLE CHEN RESTAURANT

• Main Author: Hamzah Khadafi, Muhammad
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/71239
• Institution: Institut Teknologi Bandung

The city of Bandung is one of the cities that has become a culinary destination in Indonesia with a fast growing number of restaurants. The rapid development of the number of restaurants in the city of Bandung has made the competitive environment in several segments even tighter. Uncle Chen, a restaurant located in the city of Bandung which has noodles called bakmi as its main product has been affected by the rapid growth in the number of restaurants in the city of Bandung. In the midst of increasingly fierce competition, Uncle Chen experienced stagnant sales. This study has the objective of identifying the relationship between the elements of the Marketing Mix and Consumer Loyalty. This study used a quantitative approach and collected data with an online survey to 230 respondents who were Uncle Chen's consumers who had come to Uncle Chen in the last 6 months. The data that has been collected is processed using the PLS-SEM method. The results of the study reveal that the elements of the Marketing Mix which consist of Product, Price, Promotion, Place, People, and Physical Evidence have a significant positive relationship with Consumer Satisfaction and Consumer satisfaction is also significantly positively related with Consumer Loyalty. Consumer Satisfaction mediates part of the relationship between product and price elements and consumer loyalty. Only Process elements do not have a significant positive relationship with Customer Satisfaction or Consumer Loyalty. The findings of this study provide recommendations to restaurant managers, especially Uncle Chen restaurant managers, to plan their marketing strategy based on marketing mix elements that have been identified as having a significant positive relationship with consumer loyalty.