The Influence of Service Quality on Satisfaction and Trust and Its Impact to Customer Loyalty

Ayuni, Devi and Mulyana, Andy (2014) The Influence of Service Quality on Satisfaction and Trust and Its Impact to Customer Loyalty.

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Abstract

Telkomsel is the market leader in mobile telecommunications business in Indonesia. The delivery of several prepaid card products resulted in the emergence of competition among service providers. The more inexpensive price of the prepaid card is suspected as one of the prime drivers of the high churnrate. The problems faced by the operator of Simpati GSM prepaid card in stiff competition is to build customer perception about it with attention to service quality, satisfaction, trust and loyalty. This study aims to analyze the interrelationships between service quality, satisfaction, trust and loyalty. The population surveyed was students who use Simpati GSM prepaid card. For the purposes of quantitative analysis, the determination of scores for each item questionnaire is used a Likert scale. While data processing in this study using SEM with LISREL 8.7 statistical software. Validity and reliability using Confirmatory Factor Analysis (CFA). The results showed four hypotheses are accepted while the others are 2 rejected. There is a significant influence which lies on the service quality to satisfaction with construct coefficient at value 0.86. Then service quality to the loyalty with construct coefficient at value 0.23. Furthermore, satisfaction towards the trust and loyalty with construct coefficient at value of 0.87 and 0.65 respectively. There is also insignificant influence lies on the service quality toward trust with construct coefficient at value 0.07 and trust to loyalty with construct coefficient at value 0.39. Based on the contribution of each indicator of construct, to gain customer’s loyalty so Telkomsel as a provider of Simpati GSM prepaid card need to maintain and enhance the quality of connection rate of speed , coverage area and signal quality. In addition to service quality, Telkomsel also need to enhance customer satisfaction through the quality of services provided, such as call center services, customer service for complaints, and service procedures. Although the trust had no significant effect on loyalty, but Telkomsel need to pay more attention to the factors tha build the trust of customers, such as a fair billing system and service reliability.

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