The Role of e-WOM and Service Quality in Building Satisfaction-Based Customer Loyalty: A Study of Popular Bakso MSMEs in Banda Aceh City
Keywords:
Customer Loyalty, Customer Satisfaction, e-WOM, Service QualityAbstract
This study investigates the extent to which electronic word-of-mouth (e-WOM) and service quality shape customer loyalty through the mediating role of customer satisfaction, with a specific focus on popular meatball (bakso) micro, small, and medium enterprises (MSMEs) in Banda Aceh City. The culinary sector in Aceh has shown remarkable resilience and growth; however, empirical studies examining the digital marketing dynamics of local culinary MSMEs remain limited. This study employs a quantitative design by collecting data from 152 respondents selected through purposive sampling based on the criteria that they had visited the selected MSMEs at least twice and had either read or provided digital reviews. Statistical analysis was conducted using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS 4.1.1.2 software. The findings show that e-WOM and service quality have a positive and significant effect on both customer satisfaction and customer loyalty. Customer satisfaction is also proven to significantly mediate the relationship between e-WOM and customer loyalty, as well as the relationship between service quality and customer loyalty. These findings provide practical implications for bakso MSME operators: consistently delivering service quality while building a positive digital discussion ecosystem constitutes two main pillars that drive customer satisfaction and, in turn, create long-term loyalty.
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