Conduct regular customer surveys

Oct 13, 2025 by vinooalluri.com 102 views

The Effect of Customer Value on Customer Loyalty at PT. Pelita Fajar Utama Medan

Introduction

Customer loyalty is a crucial indicator that reflects the strength and positive attitude of customers towards a company. It is a measure of how much customers want to continue using goods or services from a particular brand. Loyalty is influenced by several factors, including the cost of switching to other brands, the similarity of quality and service of replacement products, risks arising from brand changes, and the level of satisfaction obtained from new brands compared to previous experience. Customer value is the main requirement to achieve satisfaction and loyalty. Customers always seek the maximum value, but this is limited by several factors such as search costs, knowledge, mobility, and income.

The Importance of Customer Value

Customer value is a critical factor in building customer loyalty. When customers feel they receive more value than products or services, they are more likely to stay with the brand even if there are offers from competitors. This shows that customer value is not only a measure of satisfaction but also a major driver in building a solid emotional relationship between customers and companies. Customer value can be broken down into three main pillars: product value, service value, and emotional value.

Product Value

Product value is related to the quality and benefits obtained by customers from the use of the product. It is a critical factor in building customer loyalty as it reflects the value that customers receive from the product. Companies that offer high-quality products are more likely to build strong relationships with their customers.

Service Value

Service value reflects how the company interacts and serves customers, including speed, reliability, and satisfaction when making transactions. It is a critical factor in building customer loyalty as it reflects the value that customers receive from the service. Companies that offer excellent service are more likely to build strong relationships with their customers.

Emotional Value

Emotional value is a deeper aspect, involving feelings and experiences felt by customers when interacting with brands. It can build deep emotional bonds between customers and companies. Companies that create emotional connections with their customers are more likely to build strong relationships and increase customer loyalty.

The Effect of Customer Value on Customer Loyalty

The purpose of this study is to analyze the effect of customer value on customer loyalty at PT. Pelita Fajar Utama Medan. The study used descriptive analysis, multiple regression analysis, and simultaneous and partial tests, including measurement of the coefficient of determination. The results showed a positive and significant influence between customer value on customer decisions to save. The regression equation obtained is y = -11,600 + 0.930 x1 + 0.603 x2 + 0.748 x3 + e. From the results of the analysis, the coefficient of determination (R2) provides an adjusted R square value of 0.615. That is, 61.50% of customer loyalty can be explained by the product value (X1), service value (X2), and emotional value (X3). This figure shows a very high and significant proportion, with a significance value (GIS) of 0,000. Conversely, around 39.5% of customer loyalty is influenced by other factors that are not included in this study.

Conclusion

In conclusion, the effect of customer value on customer loyalty is very significant. By presenting a better value, PT. Pelita Fajar Utama Medan can build stronger loyalty, increase customer satisfaction, and ultimately, encourage business growth and sustainability. The study highlights the importance of customer value in building customer loyalty and provides insights into the factors that influence customer loyalty. By understanding these factors, companies can formulate targeted strategies to increase customer loyalty and ultimately achieve business success.

Recommendations

Based on the findings of this study, the following recommendations are made:

Improve product value: PT. Pelita Fajar Utama Medan should focus on improving the quality and benefits of its products to increase customer satisfaction and loyalty.
Enhance service value: The company should focus on improving its service quality, including speed, reliability, and satisfaction when making transactions.
Create emotional value: The company should focus on creating emotional connections with its customers by providing personalized experiences and building relationships.
Conduct regular customer surveys: The company should conduct regular customer surveys to understand customer needs and preferences and make necessary improvements.
Develop targeted marketing strategies: The company should develop targeted marketing strategies to increase customer loyalty and retention.

By implementing these recommendations, PT. Pelita Fajar Utama Medan can increase customer loyalty, satisfaction, and ultimately, achieve business growth and sustainability.
Frequently Asked Questions (FAQs) about the Effect of Customer Value on Customer Loyalty at PT. Pelita Fajar Utama Medan

Q: What is customer value, and how does it affect customer loyalty?

A: Customer value refers to the perceived value that customers receive from a product or service. It is a critical factor in building customer loyalty as it reflects the value that customers receive from the product or service. When customers feel they receive more value than they expected, they are more likely to stay with the brand even if there are offers from competitors.

Q: What are the three main pillars of customer value?

A: The three main pillars of customer value are product value, service value, and emotional value. Product value refers to the quality and benefits obtained by customers from the use of the product. Service value reflects how the company interacts and serves customers, including speed, reliability, and satisfaction when making transactions. Emotional value is a deeper aspect, involving feelings and experiences felt by customers when interacting with brands.

Q: How does product value affect customer loyalty?

A: Product value is a critical factor in building customer loyalty as it reflects the value that customers receive from the product. Companies that offer high-quality products are more likely to build strong relationships with their customers.

Q: How does service value affect customer loyalty?

A: Service value reflects how the company interacts and serves customers, including speed, reliability, and satisfaction when making transactions. It is a critical factor in building customer loyalty as it reflects the value that customers receive from the service. Companies that offer excellent service are more likely to build strong relationships with their customers.

Q: How does emotional value affect customer loyalty?

A: Emotional value is a deeper aspect, involving feelings and experiences felt by customers when interacting with brands. It can build deep emotional bonds between customers and companies. Companies that create emotional connections with their customers are more likely to build strong relationships and increase customer loyalty.

Q: What is the significance of the coefficient of determination (R2) in this study?

A: The coefficient of determination (R2) measures the proportion of variance in the dependent variable that is explained by the independent variables. In this study, the R2 value of 0.615 indicates that 61.50% of customer loyalty can be explained by the product value (X1), service value (X2), and emotional value (X3).

Q: What are the implications of this study for PT. Pelita Fajar Utama Medan?

A: The study highlights the importance of customer value in building customer loyalty and provides insights into the factors that influence customer loyalty. By understanding these factors, PT. Pelita Fajar Utama Medan can formulate targeted strategies to increase customer loyalty and ultimately achieve business success.

Q: What are the recommendations for PT. Pelita Fajar Utama Medan based on this study?

A: Based on the findings of this study, the following recommendations are made:

Improve product value: PT. Pelita Fajar Utama Medan should focus on improving the quality and benefits of its products to increase customer satisfaction and loyalty.
Enhance service value: The company should focus on improving its service quality, including speed, reliability, and satisfaction when making transactions.
Create emotional value: The company should focus on creating emotional connections with its customers by providing personalized experiences and building relationships.
Conduct regular customer surveys: The company should conduct regular customer surveys to understand customer needs and preferences and make necessary improvements.
Develop targeted marketing strategies: The company should develop targeted marketing strategies to increase customer loyalty and retention.

By implementing these recommendations, PT. Pelita Fajar Utama Medan can increase customer loyalty, satisfaction, and ultimately, achieve business growth and sustainability.