THE ROLE OF TRUST AND WORD OF MOUTH AS MEDIATION TO BUILD CUSTOMER LOYALTY Wenny Eka Prasetiawan, Bambang Supriadi, Pudjo Sugito, Bekele Shibru Arsedi
University of Merdeka Malang
Abstract
This study aimed to examine the impact of customer relationship marketing on trust, word of mouth and customer loyalty and to analyze the role of customer trust and word of mouth in mediating the influence of customer relationship marketing on customer loyalty at the Kenangan Coffee Shop in Malang City. The population of this research is the customers of the Kenangan Coffee Shop in Malang City. The total sample size was determined as many as 140 respondents. Sampling using stratified random sampling technique is a sampling technique that provides an opportunity for all individuals who are members of the population to have the same opportunity and are free to be selected as members of the sample. The data analysis technique used is Structural Equation Modeling (SEM). The research results show that customer relationship marketing focused on developing a service culture can build customer trust at Kenangan Coffee Shop in Malang City. High trust based on customer tastes has the impact of increasing loyalty. By convincing others to choose a Kenangan Coffee Shop, word of mouth can increase customer loyalty. Customer relationship marketing based on a customer service culture impacts loyal customers. Customer relationship marketing, which is based on developing a service culture, can create customer trust that arises because Kenangan Coffee Shop contributes to increasing customer loyalty by convincing others through word of mouth. This research has enriched the references to customer loyalty, customer relationship marketing, and word of mouth.
Keywords: Customer Relationship, Trust, Word of Mouth, Customer Loyalty