Citation:

Anesa Bela Putri, Sefnedi, Erni Febrina Harahap. "The Effect of Digital Marketing and Price on Customer Loyalty: The Role of Customer Satisfaction as a Mediator" International Research Journal of Economics and Management Studies, Vol. 3, No. 4, pp. 207-215, 2024.

Abstract:

Maintaining loyal customers is not just a need but also a requirement for UMKM participants. Optimizing the use of digital marketing and setting appropriate prices has the potential to turn customers into devoted supporters. This study aims to evaluate the impact of digital marketing and pricing on customer loyalty and the influence of the consumer's inclination toward media consumption. This research was supported by Ajzen's Theory of Planned Behavior (TPB). As part of the first data collection process, the study used a questionnaire distributed to 120 respondents from the UMKM Sektor packaged culinary in Padang City in 2024 using a quantitative approach, with all responses being recorded with a response rate of 100%. The Smart-Partial Least Square (PLS) 3.0 soft statistical method uses Model Measurement Model Assessment (MMA) to analyze data. The structural models' evaluation results have good predictive power and relevance. The hypothesis study identifies four non-significative long-term effects: (i) digital marketing and customer loyalty, (ii) digital marketing and customer churn, (iii) price and customer churn, and (iv) customer churn and loyalty. However, one small but insignificant effect is consumer loyalty and price. In addition, the hypothesis study highlights the consumer's tendency to mediate the relationship between digital marketing and customer loyalty and the consumer's tendency to mediate the relationship between price and customer loyalty about media supplements.

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Keywords:

Digital Marketing, Price, Customer Satisfaction, Customer Loyalty, MSME.