THE INFLUENCE OF SERVICE QUALITY AND PRICE ON CUSTOMERS SATISFACTION AND ITS EFFECT ON LOYALTY OF SIANTAR EKSPRES TRAIN CUSTOMERS

Abstract

Siantar Ekspress Train is one of the means of transportation used by surrounding people when they want to go from Medan to Pematang Siantar, and vice versa. The loyalty of the customers of Siantar Ekspress Train is influenced by variables of service quality and price which have good impacts on customer loyalty influenced by customer satisfaction. The objective of the research was to test and analyze the influence of service quality and price on customer loyalty and its impact on the loyalty of the customers of Siantar Express Train. This is a descriptive quantitative research with associative explanatory level. Accidental Sampling technique was employed to take the samples; the sampling, was based on the members of the population who accidentally met the researcher and was able to provide required information. Path analysis was the method used for the data analysis. The research results demonstrated that service quality had positive and signtficant influence on customer sattsjacuon, pnce fwd posutve and stgruficant influence on customer satisfaction, service quality had positive and significant influence on customer loyalty, price had positive and significant influence on customer loyalty, customer satisfaction had positive and significant influence on customer loyalty, service quality had positive and significant influence on customer loyalty through customer satisfaction, price had positive and significant influence on customer loyalty through the satisfaction of the customers of Siantar Ekspress Train.