PRICE SATISFACTION VS PRODUCT QUALITY: WHICH FACTOR HAS A MORE SIGNIFICANT EFFECT ON CUSTOMER LOYALTY TOWARD GREEN PRODUCTS? [KEPUASAN HARGA VS KUALITAS PRODUK: FAKTOR MANA YANG MEMILIKI PENGARUH LEBIH SIGNIFIKAN TERHADAP LOYALITAS PELANGGAN TERHADAP GREEN PRODUCT?]?

Abstract

This research was conducted in order to thoroughly examine the impact of price satisfaction (comprised of price fairness, relative price, price reliability, and price confidence) and product quality toward customer loyalty on green product through customer satisfaction. In regard with the methodology implemented in this study, survey method was utilized, in which questionnaires were electronically distributed to the respondents originated or living in Jakarta, Bandung, Surabaya, Bali and Medan using google forms. All of these data then were analyzed using PLS-SEM method. A non-probability sampling method in the form of convenience sampling was implemented in order that all respondents had complied with the criteria set in this study, in which, respondents are those who’ve bought any kind of green (eco-friendly) products between 2019 to 2021. A total of 476 usable data were used and assessed in this research. Based on the findings obtained in this study, author concluded that price fairness, price confidence, and product quality positively affect customer loyalty through customer satisfaction, while the impact of the other variables toward customer loyalty had been proven to be insignificant. In the other hand, customer satisfaction positively mediates the effect of price fairness, price confidence, and product quality toward customer loyalty. Furthermore, based on these results, authors would like to also conclude that product quality plays a slightly more important role in affecting consumers’ loyalty toward green products as opposed to price satisfaction, since there are several variables which didn’t significantly affect customer’s level of loyalty toward green products.Bahasa Indonesia Abstrak: Penelitian ini dilakukan guna mengetahui secara mendalam bagaimana pengaruh yang diberikan oleh price fairness, relative price, price reliability, and price confidence (sebagai bagian dari price satisfaction) dan product quality di dalam meningkatkan loyalitas konsumen terhadap produk-produk ramah lingkungan (green products), baik secara langsung ataupun tidak langsung melalui customer satisfaction. Adapun metode survei dengan menggunakan kuesioner diimplementasikan pada penelitian ini, yang dimana, seluruh kuesioner disebarkan secara daring kepada seluruh responden. Responden pada penelitian ini sendiri berasal dari berbagai kota besar di Indonesia, diantaranya adalah Jakarta, Bandung, Surabaya, Bali serta Medan. Selanjutnya, terkait dengan teknik sampling yang digunakan, teknik non-probability sampling dalam bentuk convenience sampling diimplementasikan pada penelitian ini guna memastikan bahwa memang seluruh responden yang berpartisipasi pada penelitian ini telah memenuhi seluruh persyaratan responden yang telah ditentukan, yang dimana, responden haruslah konsumen yang pernah membeli produk ramah lingkungan dalam kurun waktu 2 tahun terakhir antara 2019 hingga 2021. Terkait dengan jumlah sampel pada studi ini, sebanyak 476 data dikumpulkan dari para responden, yang dimana, berdasarkan hasil pengolahan data dengan menggunakan metode PLS-SEM, dapat disimpulkan bahwa price fairness, price confidence, and product quality berpengaruh signifikan terhadap customer loyalty melalui customer satisfaction. Selain itu juga, customer satisfaction mampu secara signifikan me-mediasi pengaruh dari price fairness, price confidence, dan product quality terhadap customer loyalty. Selain itu, ditemukan juga bahwa product quality memegang peranan yang lebih signifikan di dalam mempengaruhi loyalitas konsumen terhadap produk- produk ramah lingkungan, mengingat bahwa ada beberapa variabel yang merupakan bagian dari price satisfaction yang tidak berpengaruh signifikan terhadap loyalitas.