Keywords

Price, Brand Image, Service Quality, Consumer Satisfaction and Consumer Loyalty

Introduction

Currently the development of the shipping service industry has increased quite rapidly. The era of globalization requires humans to have high mobility. Since the enactment of the free market in Indonesia, the flow of trade in goods or services has become unlimited. The need for goods delivery services is increasing to meet the needs of the community.

In economics, the notion of price has a relationship with the notion of value and use. Value is a measure of the amount given by a product when it is exchanged for another product. While usability is an attribute of an item that provides a certain level of satisfaction to consumers. Giving a price that is too low will get a lot of sales, but it can reduce the value of an item, and consumers will think that the product is a cheap product, on the contrary, giving a price that is too high will affect purchasing decisions. This causes the company to lose both sales and customers (Kotler, 2014).

The marketing aspect does not only focus on product functions, but will also need to focus on brand battles (Tjiptono, 2015). Success in competition will be met if the company can create and retain customers.

The emergence of various kinds of products in one category with product quality that has become a standard and can be easily imitated and owned by anyone makes it difficult for a company to maintain itself as a market leader. To overcome the penetration by competitors, the company will maintain its market share, one of which is by forming a strong brand image by the company. If the company wants new customers and can survive, it must have a strong positive brand image from consumers (Noor, et al., 2020).

The provision of quality services can spur the socio-economic potential of the community. Currently, entrepreneurs in the service industry are also trying to provide the best service as an experience to customers. Because the experience felt by consumers is a very important main factor, where it can run in real time (Berman & Evans, 2007). The experience referred to above in-service companies becomes a process in interacting to provide benefits in accordance with what is needed by consumers. Therefore, the concept of the service process is the key to the company's success in offering its services.

Tiki has thousands of skilled and experienced personnel and hundreds of fleets that are reliable in delivering packages or documents. This makes Tiki one of the largest in the express courier service industry in Indonesia. Tiki courier services decreased in 2015 and 2016 by 8.9% and 0.5% from the previous two years. This decline has occurred over the last two years, although in 2013 and 2014 Tiki remained at the top of the top courier service brand. This is very unfortunate considering Tiki is one of the largest freight forwarders in Indonesia. In addition, the existence of Tiki, which has been in the delivery service industry for decades, has not made it always in the top position. For the top position, the top courier service brand in Indonesia was taken over by JNE which experienced an increase in sales in 2015.

Based on the previous description, the suitability of Price and Brand Image as well as service quality can be a factor that can influence Consumer Loyalty to choose Tiki courier services through Consumer Satisfaction. Brands that can give a deep impression to consumers will be easier to get special attention from consumers.

Literature Review

Consumer Loyalty

According to Kotler (2014) states that consumer loyalty is a repeat purchase made by a consumer because of a commitment to a brand or company. According to Tjiptono (2015) consumer loyalty is often associated with repeat purchase behavior. The two are related, but really just different. In the context of the brand, for example, consumers who have loyalty to a particular brand psychologically they will commit to the brand of the product which in the end they will continue to make repeat purchases (Utari, 2010).

Consumer Satisfaction

According to Zulian (2011) Satisfaction can be interpreted as the result of an assessment made by consumers whose level of fulfillment can be less or more in accordance with the enjoyment of the services offered. Consumer satisfaction can be known after comparing what is felt with expectations (Utari, 2013). Consumer satisfaction is the buyer's perceived outcome of the company's performance meeting their expectations (Utari et al., 2021). Consumers will feel satisfied if what they expect is fulfilled or even exceeds what they expect. In addition, their loyalty will also increase by making purchases or using more services offered, not too concerned if the price changes, and always giving a positive response (Abdullah, 2014; Prasetyo et al., 2021).

Price

The definition of price according to Michael Etzel in Sunyoto (2013), is the value stated in currency or other monetary medium as a medium of exchange. In economics, the notion of price has a relationship with the notion of value and use. Value is a measure of the amount given by a product when it is exchanged for another product. While usability is an attribute of an item that provides a certain level of satisfaction to consumers (Utari 2011).

Brand Image

According to Kotler (2014), brand image can be interpreted as a collection of thoughts from consumers regarding the reflection of the brand on a particular product. Then Aaker in Ritonga (2011); Utari (2011) says that brand image can be defined like a brand association

or consumer relationship with a particular brand that has a concept and is always remembered in the minds of consumers when they see or hear the brand. So that it can be explained that brand image is a collection of concepts that are always remembered by consumers regarding the reflection of the brand on certain products and are always remembered in the minds of consumers when they see or hear the brand.

Service Quality

Service quality has the meaning of a superior level of expectation and has control over these advantages in meeting the preferences of consumers (Wyckof in Tjiptono, 2015). If the perceived service exceeds consumer expectations, automatically the services provided can be judged by consumers with ideal or quality services, and vice versa, if the perceived service does not exceed consumer expectations, the services provided can automatically be assessed by consumers with an bad assessment (Utari, 2009). Therefore, service providers are a determining factor in providing quality services consistently in order to meet all expectations of every consumer (Utari et al., 2015). 

Hypothesis

H₁: Price significantly has a direct impact on consumer satisfaction for Tiki service consumers, Kedungsari Branch - Surabaya.

H₂: Brand Image significantly directly impacts on consumer satisfaction for Tiki Service Consumers, Kedungsari Branch - Surabaya.

H₃: Service Quality have a significant direct impact on Consumer Satisfaction at Tiki Service Consumers, Kedungsari Branch - Surabaya.

H₄: Consumer Satisfaction have a significant direct impact on Consumer Loyalty to Tiki Service Consumers, Kedungsari Branch - Surabaya.

H₅: Price has a significant direct impact on Consumer Loyalty to Tiki Service Consumers, Kedungsari Branch - Surabaya.

H₆: Brand Image has a significant direct impact on Consumer Loyalty to Tiki Service Consumers, Kedungsari Branch - Surabaya.

H₇: Service Quality has a significant direct impact on Consumer Loyalty to Tiki Service Consumers, Kedungsari Branch - Surabaya.

Research Methods

Types of Research Approach

This type of research is called the scientific method because it has complied with scientific principles including concrete, empirical, objective, measurable, rational and systematic. While this research approach uses quantitative research because the data is taken and analyzed with numbers using statistical analysis, (Abadi, 2021; Aliyyah & Prasetyo, 2021; Aliyyah & Siswomihardjo et al., 2021; Endarto, Taufiqurrahman & Suhartono et al., 2021; Endarto, Taufiqurrahman & Kurniawan et al., 2021; Indrawati et al., 2021; Juanamasta et al., 2019; Kalbuana & Prasetyo et al., 2021; Kalbuana & Suryati et al., 2021; Luwihono et al., 2021; Prabowo et al., 2020; Prasetyo et al., 2021; Prasetyo, Aliyyah, Rusdiyanto & Chamariah et al., 2021; Prasetyo, Aliyyah, Rusdiyanto & Nartasari et al., 2021b, 2021a; Prasetyo, Aliyyah, Rusdiyanto & Suprapti et al., 2021; Rusdiyanto & Agustia et al., 2020; Rusdiyanto & Hidayat et al., 2020; Rusdiyanto et al., 2021; Rusdiyanto & Karman et al., 2020; Shabbir et al., 2021; Susanto et al., 2021; Utari et al., 2021; Bahtiar Prabowo et al., 2021; Prasetio et al., 2021; Prasetyo & Endarti et al., 2021).

Population and Sample

The target populations in this study are all consumers who use Tiki services in the Kedungsari Branch - Surabaya, and the selected sample is 30 people. In this study, the determination of the sample used non-probability sampling using incidental sampling techniques, in this study all of the Tiki Service Consumers in the Kedungsari Branch - Surabaya. In accordance with (Sugiyono, 2017), the appropriate sample size for the study should range between 30 and 500 participants. For example, if the sample is broken down into categories (for example, men and women, civil servants and private employees, and others), a number of sample representatives in each category must be at least thirty. Therefore, the researchers determined the sample in this study was 200 sample members.

Data Collection Technique

Data collection techniques by conducting a direct review of the research location with the aim of obtaining primary data by distributing questionnaires and literature studies (Syakur, et. al., 2021).

Data Analysis Technique

Data analysis techniques are used to analyze the influence of price and brand image and service quality on consumer loyalty through customer satisfaction using Statistical Analysis with Path Analysis Path Analysis Model (Pardede & Manurung, 2014). Path analysis is a technique in analyzing the causal relationship that exists in multiple linear regression by further analyzing the influence of the independent variable with the dependent variable either directly or indirectly through the intervening variable (Utari et al., 2020).

Equation The formula for the hypothetical data regression analysis model, the equation is as follows:

Yl=pylxl Xl+pylx2 X2+pylx3 X3+pyl el

Y2=py2xl Xl+ py2x2 X2+py3x3 X3+py2yl Yl+py2 e2

Information:

X1=Price

X2=Brand Image

X3=Quality of Service

Y1=consumer satisfaction

Y2=Consumer Loyalty

p=Correlation coefficient

Results and Discussion

Description of Research Variables

To describe the research variables used the average value and standard deviation of each statement. The calculation of the average value is used so that it can be seen what the average value of each statement submitted to the respondent is. Then the standard deviation is used to assess the data obtained from the results of filling out the questionnaire uniformly or not. Prior to that, the class interval was determined using 5 (five) categories of answer choices, the interval obtained was 0.8, so that on each scale an assessment could be made into which category, more explanation can be seen below (Table 1):

Table 1  Class Interval
Interval	Score	Category
1<X<1,8	1	Strongly Disagree
1,8<X<2,6	2	Do not agree
2,6<X<3,4	3	Disagree
3,4<X<4,2	4	Agree
4,2<X<5	5	Strongly agree

Furthermore, the score of respondents' responses to the variables studied will be displayed as follows:

Table 2 Respondents' Responses Regarding Research Variables
No	Variable	Mean	St. Dev
1	Price	3,50	0,875
2	Brand Image	3,46	0,916
3	Service Quality	3,57	0,734
4	Consumer Satisfaction	3,47	0,841
5	Consumer Loyalty	3,54	0,824

Based on Table 2, the average for the Price variable is 3.50 where the value is more than 3, which indicates that the respondents consider that the price offered by the Tiki Delivery Service of the Kedungsari Branch is in accordance with what they expect. The average for the Brand Image variable is 3.46 which indicates that most respondents think that the Tiki Delivery Service for the Kedungsari Branch has a fairly good Brand Image. The average for the service quality variable is 3.34 where the value is more than 3, which indicates that most respondents consider that the quality of service provided by the Tiki Delivery Service of the Kedungsari Branch is quite good. The average for the consumer satisfaction variable is 3.47 where the value is greater than 3, which indicates that most of the respondents are quite satisfied with the Kedungsari Branch Tiki delivery service. The average for the consumer loyalty variable is 3.54 where the value is greater than 3, which indicates that most consumers will be loyal to the services of Tiki Branch Kedungsari.

Structural Model

Structural models are used to explain the relationship between exogenous variables and indogen variables, which can be described as follows:

The structural model above shows a marginal value because the p-value is 0.000, the RMSEA value=0.055. So, there is no need to modify the existing model.

 Hypothesis Test

This section deals with the evaluation of the parameters that show a causal relationship or influence between one latent variable on another latent variable.

Hypothesis testing is done by looking at the C.R value for each coefficient. The C.R value is significant if R: 1.96 and P <0.05, which means the hypothesis can be accepted. If the value of C.R<1.96 and P >0.05, it is not significant and the hypothesis is rejected.

Table 3 Evaluation of The Coefficients of The Structural Model and Its Relation to The Research Hypothesis
Estimate	S.E.	C.R.	p
Satisfaction <--• price	0.299	0.129	2.324	0.020
Satisfaction <--• Quality	0.307	0.108	2.844	0.004
Satisfaction <--• Brand_Image	0.245	0.121	2.023	0.043
Loyalty <--- price	0.048	0.155	0.309	0.758
Loyalty <--- Brand_Image	0.065	0.146	0.444	0.657
Loyalty <--- Quality	0.302	0.137	2.204	0.027
Loyalty <--- Satisfaction	0.423	0.165	2.567	0.010

The magnitude of the influence between variables is done by looking at the estimate value in each path. The greater the estimate value, indicating that the greater the influence between one variable and another variable.

H1: Price Significantly has a direct impact on consumer satisfaction The value of the calculated CR value of the price variable on consumer satisfaction is 2.324 which has a significance of 0.020. The Significant Level of 0.020 indicates that it is below the standard level of significance, which is <0.05, it can be said that the Price Significantly has a direct impact on Consumer Satisfaction.

H2: Brand Image significantly directly impacts on consumer satisfaction. The value of the calculated CR variable Brand Image on Consumer Satisfaction is 2.023 which has a significance of 0.043. The Significant Level of 0.043 indicates that it is still below the standard level of significance, which is <0.05, Brand Image can be stated to have a major direct impact on consumer satisfaction.

H3: Service Quality have a significant direct impact on Customer Satisfaction. The magnitude of the calculated CR value of the Service Quality variable on Consumer Satisfaction is 2.844 which has a significance of 0.004. Significant level of 0.004 indicates that below the standard level of significance, which is <0.05, In terms of Consumer Satisfaction, it can be stated that Service Quality has a significant and direct impact.

H4: Consumer Satisfaction have a significant direct impact on Consumer Loyalty. The magnitude of the calculated CR value of the Consumer Satisfaction variable is 2,567 which has a value of 0,010. Significant level of 0.010 indicates that it is still below the standard level of significance, which is <0.05, Customer satisfaction can be argued to have a large direct impact on consumer loyalty.

H5: Price Does Not Significantly Directly Impact on Consumer Loyalty. The value of the calculated CR value of the variable Price on Consumer Loyalty is 0.309 which has a significance of 0.758. The Significant Level of 0.758 indicates that above the standard level of significance, which is >0.05, it can be said that the price does not have a significant direct impact on consumer loyalty.

H6: Brand Image Does Not Significantly Directly Impact on Consumer Loyalty. The value of the calculated CR variable Brand Image on Consumer Loyalty is 0.444 which has a significance of 0.657. The Significant Level of 0.657 indicates that it is above the standard level of significance, which is >0.05, Brand Image can be said to have no significant direct impact on consumer loyalty.

H7: Service Quality has a significant direct impact on Consumer Loyalty. The magnitude of the calculated CR value of the Service Quality variable on Consumer Loyalty is 2.204 which has a significance of 0.027. Significant level of 0.027 indicates that below the standard level of significance, which is <0.05, it can be said that Service Quality has a significant direct impact on Consumer Loyalty.

Discussion

According to the findings of the AMOS study, the price has a significant influence on the amount of satisfaction of customers, as evidenced by the calculated CR value of the variable price on consumer satisfaction is 2.324 which has a significance of 0.020. The significant level of 0.020 indicates that it is below the standard level of significance, which is <0.05. The relationship between the price and consumer satisfaction is highly significant, consumers of Tiki services at the Kedungsari Branch - Surabaya always get a price list by the officer before making a transaction. That's where the level of consumer satisfaction will be created because consumers can estimate how much money to make a transaction. The findings of this study are consistent with Etzel's Theory of Understanding Price, which was published in Sunyoto (2013), which is the value stated in currency or other monetary medium as a medium of exchange. In economics, the notion of price has a relationship with the notion of value and use. Value is a measure of the amount given by a product when it is exchanged for another product. While usability is an attribute of an item that provides a certain level of satisfaction to consumers. Based on this definition, price is the amount of money needed in exchange for various products and services, thus a price must be associated with various goods and or services which will ultimately be the same as something, namely products and services.

The brand image also has a considerable impact on consumer satisfaction, as demonstrated by the calculated CR worth of a Brand Image variable for consumption satisfaction at 2.023, which is of 0.043 importances. Significant level of 0.043 indicates that it is still below the standard level of significance, which is <0.05. Brand image has significant influence on Tiki Services Kedungsari - Surabaya's consumer satisfaction, due to the existence of a Brand Image that is embedded in Consumers of Tiki Services Kedungsari Branch Surabaya which has a large, spacious, and comfortable building for consumers. The results obtained agree with Aaker in Ritonga (2011); Utari (2011) which states that brand image can be defined like a brand association or consumer relationship with a particular brand that has a concept and is always remembered in the minds of consumers when they see or hear the brand. So that it can be explained that brand image is a collection of concepts that are always remembered by consumers regarding the reflection of the brand on certain products and are always remembered in the minds of consumers when they see or hear the brand.

The findings revealed that consumer satisfaction was significantly influenced by the quality of the service provided, as evidenced by the calculated CR value of the service quality variable on consumer satisfaction was 2.844 which has a significance of 0.004. The significant level of 0.004 indicates that it is below the standard level of significance, which is <0.05. Consumer loyalty is significantly influenced by the quality of the service provided of Tiki Services in Kedungsari Branch - Surabaya because the Tiki Service officers in Kedungsari Surabaya Branch look neat, disciplined and the transaction process carried out by officers is always made easier. The findings of this study are in accordance with the theoretical framework. following Wyckof's recommendations (In Tjiptono, 2006), service quality is the extent of excellence that is expected, as well as the ability to control that level of excellence in order to satisfy customer desires. To put it another way, there are two major factors that influence service quality: the expected service and the perceived service. If a service received as well as perceived to be received meets expectations, therefore the quality of service is considered to be good and satisfactory by the customer. If the service provided exceeds the expectations of the customer, the quality of service is perceived as being of the highest possible quality.

The results showed that customer satisfaction has a significant direct impact on consumer loyalty, as the calculated CR value on consumer loyalty shows, the consumer satisfaction variable is 2567 with a meaning of 0. 010. Significant level of 0.010 indicates that it is still below the standard level of significance, which is <0.05. Consumer satisfaction will be created after consumers get an impression of the performance and compared with expectations. If the performance is below expectations, the consumer is dissatisfied. If performance exceeds expectations, consumers are very satisfied or happy. High satisfaction or pleasure creates emotional attachment to the Brand, not just a rational preference. The result is high consumer loyalty. Satisfaction will never stop at one point. It moves dynamically following the level of quality of its products/services and services with the expectations that develop in the minds of consumers. A Satisfied Consumer is a Consumer who feels he gets value from saying that value is a quality service, and then Satisfaction occurs when the consumer gets quality service and trust. This value for consumers can be created through consumer trust which can be elements of stimuli for companies to influence customers in repurchasing in the future. If trust is able to meet their needs and desires or is able to provide satisfaction, then in the future there will be repeat purchases (loyalty), which is a very deep commitment to repurchase or always subscribe to a product and service consistently in the future. Even further, satisfied consumers will convey their sense of satisfaction to others, either in the form of stories, or provide recommendations.

The results show that the price does not have a significant direct impact on consumer loyalty, this is proven by the calculated CR value of the price variable on consumer loyalty is 0.309 which has a significance of 0.758. Significant level of 0.758 indicates that it is above the standard level of significance that is >0.05. There is no significant effect on prices and consumer loyalty for Tiki services at the Kedungsari Branch - Surabaya, because the prices for Tiki services in the Kedungsari Branch - Surabaya are relatively competitive or almost the same as other delivery services, thus consumers may switch to other, more affordable delivery services, the price is Another aspect that is considered by consumers when consumers buy services. How well the price offered will be the choice that suits your needs. The results of this study are not in line with Etzel's theory in Sunyoto (2013) which explains that price is the value stated in currency or other monetary media as a medium of exchange. In economics, the notion of price has a relationship with the notion of value and use. Value is a measure of the amount given by a product when it is exchanged for another product. While usability is an attribute of an item that provides a certain level of satisfaction to consumers. The results of this study also do not agree with Widyaningtyas (2011); Jati (2011), which state that there is an effect of price on customer loyalty and is not in accordance with the proposed hypothesis, namely price affects customer loyalty.

In accordance with the findings of the study, brand image does not have a statistically significant direct impact on consumer loyalty, as evidenced by the calculated CR value of the Brand Image variable. 05. There is no Significant Effect of Brand Image on Consumer Loyalty of Tiki Services in Kedungsari Branch - Surabaya, because the marketing of tiki services is not so extensive that the Brand Image is unable to compete with other shipping services. According to Kotler, the findings of this study do not support a number of theories (2014), Brands are perceptions and beliefs made by consumers, as reflected in associations that occur in consumer memory. Mowen (2009) explains that consumer loyalty to a brand is one of the levels where a consumer maintains a positive attitude towards a brand and has a commitment to continue buying the brand in the future.

The study's findings show that Customer Loyalty is strongly influenced by Service Quality, as evidenced by the calculated CR value of the Service Quality variable. Significant level of 0.027 indicates that below the standard level of significance is <0.05. There is a significant influence between Service Quality and Consumer Loyalty for Kedungsari Branch Tiki Services - Surabaya, because Kedungsari - Surabaya Branch Tiki Services prioritizes easy service and if there is a complaint, the Tiki Service Kedungsari Branch - Surabaya officer responds quickly. The results of this study agree with Parasuraman, et al., In Lupiyoadi (2006) that to measure service quality can be determined based on five dimensions of service quality, among others: Tangibles, Reliability, Responsiveness, Assurance and Empathy. On the Tangibles dimension, where the company is from how the company is able and can exist in meeting the needs of the community. How good the appearance is and how the fulfillment of the facilities, facilities and infrastructure they use which can be directly assessed by the surrounding environment is tangible evidence of the company's efforts as service providers in meeting consumer needs and expectations.

Conclusions and Suggestions

Conclusion

The following conclusions can be drawn from the results of data processing performed with AMOS:

1. 1. The price has a significant direct effect impact on customer satisfaction for Tiki services, Kedungsari Branch - Surabaya.
2. Significant brand image directly impact on customer satisfaction services Tiki Branch Kedungsari - Surabaya.
3. Service quality have a significant direct effect on customer satisfaction for Tiki services, Kedungsari Branch - Surabaya.
4. Price doesn’t have a significant direct effect on customer loyalty for Tiki services, Kedungsari Branch - Surabaya.
5. Brand image doesn’t have a significant direct effect on customer loyalty for Tiki services, Kedungsari Branch - Surabaya.
6. Consumer loyalty is significantly influenced by the quality of the service provided.
7. Significant customer satisfaction has a direct effect on customer loyalty for Tiki services, Kedungsari Branch - Surabaya.

Suggestions

1. For further researchers, it is recommended to conduct research outside of the independent variables used in this study, for example product quality, marketing mix that can be used to increase consumer loyalty.
2. Companies must pay attention to the prices offered and their Brand Image in the eyes of consumers, because in this study it has less impact on consumer loyalty.
3. Improving distribution channels, including for example the coverage of the area to be passed, the location of reservations and couriers, easy access. Quality assurance, including for example punctuality, comfortable waiting places, as well as good staff service. Maintaining the company's reputation well this will create a level of consumer confidence in the company

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