THE EFFECT OF STORE IMAGE AND PRICE VALUE ON CUSTOMER LOYALTY THROUGH TRUST AND CUSTOMER SATISFACTION IN FAST FASHION INDUSTRY

Abstract

Purpose: The objective of this study is to find out the effect of store image (merchandise, ambient, design factor and social factor) and price value towards customer loyalty through trust and customer satisfaction in fast fashion. Design/ methodology/ approach: This study uses purposive sampling which is a non-probability sampling technique to choose a sample from a population which already selected based on certain characteristics. This study also using quantitative methods by primary data through an online questionnaire. The questionnaire uses the seven-point Likert scale. 37 item instruments were distributed to people who bought product from fast fashion stores from April to August 2019. There are 400 valid respondents. To test the validity and reliability and hypothesis, AMOS and SPSS were used. Findings: The results of the hypothesis are store image influence trust, store image influence customer satisfaction, price value influence customer satisfaction, trust influence customer satisfaction, and customer satisfaction influence customer loyalty. Originality/ value: The researcher believes that this is the first study about the effect of store image and price value towards customer loyalty through trust and customer satisfaction in fast fashion, which applies the Structural Equation Modeling (SEM) model.