International Journal of Economics.
Business and Accounting Research (IJEBAR) Peer Reviewed Ae International Journal Vol-9.
Issue-1, 2025 (IJEBAR) E-ISSN: 2614-1280 P-ISSN 2622-4771 https://jurnal.
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php/IJEBAR THE INFLUENCE OF PRODUCT QUALITY.
PRICE.
AND PACKAGING ON CUSTOMER LOYALTY OF KOPI MUTIARA
KEDIRI
Mutiara Tirta Alam1.
Sutanto2 Master of Management.
Universitas Ciputra Surabaya.
Surabaya.
Indonesia E-mail: mutiaratirtaa45@gmail.
Abstract:
The purpose of this study was to test and analyze the effect of product quality, price, and packaging on customer loyalty for Mutiara Kediri Coffee.
This research uses a quantitative approach where the research data is collected through a questionnaire.
The research sample of 119 respondents was taken randomly using purposive sampling technique.
The sample criteria used are customers who have bought Mutiara Coffee more than 2 times.
The analytical method used in this study is multiple linear regression analysis.
Data were collected through a Likert scale questionnaire to measure customer perceptions of product quality, price, packaging, and loyalty.
Regression analysis reveals that product quality, price, and packaging all have a significant positive effect on customer loyalty.
Specifically, higher product quality fosters greater commitment and repeat purchases, while competitive pricing and attractive, functional packaging also contribute to increased loyalty.
The results of this study highlight that each of these factors independently influences customer behavior, and together, they significantly shape long-term customer retention.
Keywords:
Price.
Product Quality.
Packaging.
Customer Loyalty.
Coffee Industry Submitted: 2025-01-07.
Revised: 2025-03-17.
Accepted: 2025-03-19 Introduction Coffee is not only a beverage commodity but also has economic value for countries that can produce and export coffee beans such as Indonesia.
Indonesia investment data in 2024 even notes that Indonesia is the third largest country in the world as a robusta coffee bean producer (Indonesia Investments, 2.
In line with this, at the provincial level.
East Java is currently building a coffee and processed coffee industry both on a local and international scale (Disperindag Provinsi Jawa Timur, 2.
Meanwhile, in a smaller area.
Kediri District is currently designing a program related to the expansion of added value and industrialization of coffee products because the growth of this product is very high.
One of the coffee industry centers in Kediri is Mutiara Coffee.
Kopi Mutiara was established in 2016 until now and has even opened thousands of jobs for the community.
In the competitive business world.
Mutiara Coffee continues to innovate to be able to meet the expectations of customers so as to create customer loyalty.
Research conducted to explore the factors that influence Mutiara Coffee customer loyalty has been conducted where most of the responses from customers are around the factors of product quality .
7%), price .
3%), and packaging .
%).
On the other hand, management's internal data recorded significant fluctuations in sales data.
The pre-survey on International Journal of Economics.
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Meanwhile, in terms of price, customers consider that the price of Mutiara Coffee is still relatively more expensive when compared to competitors.
In terms of packaging, customers often complain about the appearance of the coffee wrappers, as well as the absence of packaging in small sizes .
Based on the results of the pre-survey, it is suspected that fluctuations in sales have occurred due to declining customer loyalty.
So research is needed to examine the influence of factors such as product quality, price, and packaging on Mutiara Coffee customer loyalty.
Literature Review Product Quality Product quality shows the totality of product features and characteristics that are able to provide satisfaction and fulfillment of consumer needs and desires (Taufik et al.
, 2.
Product quality is a set of characteristics and characteristics of a product in carrying out its function to meet consumer needs.
When product quality cannot meet customer expectations, customers will feel dissatisfied and will then increase the likelihood of not repurchasing in the future (Wilson, 2.
Product quality is also defined as the overall benefit of everything offered to a market which can be in the form of tangible goods, services, ideas or a combination of these things, which can meet the needs and desires of the target market (Firmansyah, 2018:.
Based on these definitions, it can be concluded that product quality is the totality of the features of a product with all the benefits that the product can provide that can provide satisfaction and fulfillment of consumer needs.
The quality of food and beverages products can be measured by indicators, namely taste, healthy option, diversity of choice, presentation, temperature, and freshness (Taufik et al.
, 2.
Price Price is the value of a product expressed in money that must be spent to get the product (Lutecia & Suryadi, 2.
In addition, price is also an exchange rate that can be equated with money for the benefits obtained from a good or service (Sopiani & Ketut, 2.
Price is also defined as the sum of all the values that consumers provide to get the benefits of owning or using a product or service (Kotler.
, & Keller, 2021:.
Price is one of the determinants of the success of a company because price determines how much profit the company will get from selling its products in the form of goods and services (Firmansyah, 2018:.
Based on these definitions, it can be concluded that the price perception of a product is a consumer assessment expressed in money that must be spent to get the benefits of owning the product.
In the field of food and beverages, the price variable has indicators including affordable price, quite clear price, accordance with the quality, and more affordable than competitor (Sopiani & Ketut.
Packaging Packaging serves as a protective container for products, safeguarding them from damage and ensuring quality preservation (Mensah et al.
, 2.
It encompasses activities from design to production, playing a vital role in product presentation and functionality (Eka Damayanti et , 2.
Packaging not only offers practical benefits but also conveys essential product information through labels, aligning with consumer needs while enhancing product appeal (Ratnapuri et al.
, 2.
The visual appeal of packaging significantly influences consumer perceptions, as it provides the first impression of a productAos quality.
Well-designed packaging International Journal of Economics.
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, 2.
Unique and innovative designs can further increase a product's perceived value, demonstrating the critical role of packaging in shaping consumer behavior.
Moreover, packaging contributes to a productAos image and directly impacts customer loyalty by influencing their views on product quality (Ratnapuri et al.
, 2.
Effective packaging should preserve the contents, be environmentally friendly, and offer convenience for users (Mensah et al.
, 2.
In conclusion, packaging is more than a protective measureAiit serves as a key marketing tool that shapes consumer perceptions, enhances product value, and fosters loyalty through its functionality and visual appeal.
Customer Loyalty Customer loyalty is defined as a strong commitment from customers to continuously repurchase preferred products or services despite external influences or competing marketing efforts (Deby Gunawan & Romauli Nainggolan, 2.
It reflects a consumer's voluntary and enduring preference for a product, brand, or company, driven by factors such as product quality and emotional attachment (Kotler & Keller, 2.
Loyalty also includes providing positive feedback and recommending the product to others (Taufik et al.
, 2.
According to Hasan and Salim .
, consistent product usage signifies loyalty, which reflects a long-term dedication to a specific product or service (Chaniago, 2.
Wilson .
emphasizes that perceived product quality significantly enhances customer loyalty by encouraging repeat Furthermore, loyalty entails both behavioral and attitudinal commitment, signifying not only repeat purchases but also a special preference for the product (Padillo Jr et al.
, 2.
Indicators of customer loyalty include regular repurchases, willingness to buy other products from the same company, readiness to recommend the product to others, and an overall sense of loyalty.
In conclusion, customer loyalty stems from a firm and enduring commitment to a product or service, overcoming external factors and marketing pressures that might otherwise lead to switching behavior.
It is influenced by the perceived quality of the product, emotional connection, and customer satisfaction, making it a critical factor for long-term business Research Hypothesis Relationship between Product Quality to Customer Loyalty Quality products will encourage consumer loyalty, even empirical studies on consumer behavior show that most loyal consumers are consumers who use quality products (Deby Gunawan & Romauli Nainggolan, 2.
Quality products have an important role in shaping consumer behavior to remain loyal to a product.
The higher the quality of the products provided, the higher the loyalty of the customers (Sopiani & Ketut, 2.
The quality of a product sold to customers will foster a commitment that will be held firmly by customers, thus encouraging customer loyalty to keep buying the same product (Sahid & Abadi, 2.
addition, quality products will provide a positive experience for customers, thereby encouraging loyalty from customers (Rochmah & Muzdalifah, 2.
Product quality can also encourage a strong and firm commitment from customers to continue to choose these products despite the influence of various external factors and marketing initiatives that can usually encourage customers to change their habits in choosing products (Hasan & Salim, 2.
This shows that quality products have a significant impact on customer loyalty.
Furthermore, when customers are satisfied with the quality of the product purchased, they will tend to return to make repeat purchases in the future.
Good quality creates a positive experience, which then International Journal of Economics.
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Customers who are satisfied with the quality of a product also tend to recommend it to others as a form of customer loyalty to a product (Sadewa, 2.
Several studies show that product quality has a significant effect on customer loyalty (Chaniago, 2020.
Deby Gunawan & Romauli Nainggolan, 2024.
Hasan & Salim, 2023.
Rochmah & Muzdalifah, 2024.
Sahid & Abadi, 2.
H1: Product quality has a significant effect on customer loyalty Relationship between Price to Customer Loyalty Price is one of the factors that can increase customer interest in making repeat purchases in the future.
When customers consider that the price paid is in accordance with the value they get, there will be a sense of satisfaction which ultimately leads to customer loyalty (Hutama & Ekawati, 2.
Price is an important factor in consumer loyalty where the price of a product that is reasonable and in accordance with the value provided by the product will increase the perceived value of consumers of the product.
Prices that are too high can reduce consumer loyalty, while prices that are too low can create the impression of low quality products (Sugiono et al.
, 2.
The results of the study found that prices that are affordable, and can compete compared to competitors, can increase customer loyalty (Rochmah & Muzdalifah, 2.
Price also plays an important role in influencing customer loyalty where when the price of a product is perceived to be commensurate with the value received, customers tend to be satisfied and more likely to remain loyal to the product.
Competitive and fair pricing can create a positive perception of the company, which in turn strengthens long-term relationships with customers.
Furthermore, customers are even willing to pay more if they feel the product is worth the price, which shows that loyalty is not always related to lower prices, but rather to the value received (Sadewa, 2.
Several studies have shown that price has a significant effect on customer loyalty (Hutama & Ekawati, 2020.
Rochmah & Muzdalifah, 2024.
Sopiani & Ketut, 2023.
Sugiono et al.
, 2.
H2: Price has a significant effect on customer loyalty Relationship between Packaging to Customer Loyalty Packaging has become a very important marketing tool because in addition to protecting the contents of the product, it can also provide value for the product itself so that it provides attractiveness for customers which in turn can encourage customer loyalty (Ratnapuri et al.
Sometimes the value of the product depends on the packaging, because the outer appearance is the first view of the consumer to the product.
Good packaging can also influence the experience for consumers to then support consumer loyalty behavior to the product (Alamsyah et al.
, 2.
The visual quality of packaging such as color, packaging material, product information, and other elements can provide cues about quality product performance so that consumers remain loyal to the same product (Mensah et al.
, 2.
Several studies have shown that packaging has a significant effect on customer loyalty (Candrasa, 2019.
Mensah et , 2022.
Ratnapuri et al.
, 2.
H3: Packaging has a significant effect on customer loyalty Relationship between Product Quality.
Price, and Packaging to Customer Loyalty Product quality, price, and packaging are factors that can affect consumer loyalty.
Quality products will foster strong commitment from customers, thus encouraging customer loyalty to keep buying the same product (Sahid & Abadi, 2.
Some studies have also found that prices that are affordable to customers, and can be competitive compared to competitors, can increase International Journal of Economics.
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In addition, product packaging that functions properly to protect the contents of the product, provides a feeling of comfort for customers when using it, and environmentally friendly packaging can affect customer loyalty in the long term (Mensah et al.
, 2.
This explains that product quality, price, and packaging together have a significant effect on customer loyalty.
H4: Product quality, price, and packaging simultaneously has a significant effect on customer loyalty Product Quality (X.
Price (X.
Customer Loyalty (Y) Packaging (X.
Figure 1.
Research Model Research Method The research used by researchers is a type of quantitative research.
The variables in this study are independent variables which include product quality, price, and packaging, while the dependent variable is customer loyalty.
The population used in this study were all customers of Mutiara Coffee Kediri.
The number of samples used in this study was calculated using the G*Power application (Memon et al.
, 2.
Input parameters were considered with a minimum effect size of 0.
15, of 0.
05, power of 0.
95, and 3 predictor variables.
Thus, the total recommended sample is 119 samples.
The sample was taken using purposive sampling method, which is a sampling method tailored to the sample criteria set by the researcher (Sahir, 2.
The sample criteria in this study are customers who have bought Mutiara Coffee more than 2 This study uses a 1-4 Likert scale questionnaire addressed directly to Mutiara Coffee customers to get responses regarding questions measuring product quality, price, packaging, and customer loyalty.
Results and Discussion Results Indicators X1.
X1.
X1.
X1.
X1.
X1.
X2.
Table 1.
Validity Test Results Pearson Correlation P-Value Information Valid Valid Valid Valid Valid Valid Valid International Journal of Economics.
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X2.
X2.
X3.
X3.
X3.
Pearson Correlation P-Value Information Valid Valid Valid Valid Valid Valid Valid Valid Valid Valid Based on Table 1, it can be seen that the Pearson correlation value produced in each indicator of product quality, price, packaging, and customer loyalty variables has p-value smaller than 0.
These results indicate that the statement indicators used in the questionnaire are appropriate in measuring these variables.
Indicators X1.
X1.
X1.
X1.
X1.
X1.
X2.
X2.
X2.
X2.
X3.
X3.
X3.
Table 2.
Reliability Test Results Cronbach's Alpha if Item Deleted Cronbach's Alpha Information Reliabel Reliabel Reliabel Reliabel Table 2 shows that the cronbach's alpha value of each variable is greater than 0.
addition, the cronbach's alpha value if item deleted on each indicator does not exceed the cronbach alpha value on each variable.
These results provide the conclusion that the indicators used in the questionnaire are reliable or can provide consistent answers.
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Normality Test Results Unstandardized Residual Normal Parametersa,b Mean Std.
Deviation Absolute Positive Negative Most Extreme Differences Test Statistic Asymp.
Sig.
-taile.
Based on Table 3, it can be seen that the probability value of the Kolmogorov-Smirnov test produced is 0.
076 or greater than 0.
05, so it can be concluded that the normality assumption is met.
Table 4.
Heteroscedasticity Test Results Independent Variables Spearman Correlation Probability Product Quality (X.
Price (X.
Packaging (X.
Spearman's correlation test produces a probability value of 0.
202 for variable X1 (Product Qualit.
, 0.
284 for variable X2 (Pric.
, and 0.
876 for variable X3 (Packagin.
All three values are greater than 0.
05, so it is concluded that there is no heteroscedasticity in the regression Table 5.
Multicollinearity Test Results Independent Variables Tolerance VIF Product Quality (X.
Price (X.
Packaging (X.
Table 5 shows that the three independent variables have VIF values of less than 10, and tolerance greater than 0.
1, so it can be concluded that there is no multicollinearity in the regression model.
Table 6.
Linearity Test Results Relationship F Linearity Probability Product Quality and Customer Loyalty Price and Customer Loyalty Packaging and Customer Loyalty Based on the results of the linearity test, it can be seen that the probability value of F Linearity in the three relationships has a value below 0.
These results indicate that product, price, and packaging each have a linear relationship with customer loyalty.
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Correlation Coefficient and Determination Coefficient Value Model R Square Adjusted R Square Std.
Error of the Estimate Table 7 shows that the correlation coefficient (R) value is 0.
842, indicating that product quality, price, and packaging have a strong relationship with customer loyalty.
The determination coefficient value (R-Squar.
produced is 0.
702, indicating that product quality, price, and packaging can influence 70.
2% of customer loyalty of Kopi Mutiara, while the 8% is influenced by other variables that were not studied.
Table 8.
T Test Results Model (Constan.
Unstandardized Coefficients Std.
Error Standardized Coefficients Beta Sig.
Table 8 shows the results of the t-test of the partial influence between product quality, price, and packaging on customer loyalty.
The probability value of the t-test produced is 0.
for the Product Quality variable (X.
, 0.
040 for the Price variable (X.
, and 0.
010 for the packaging variable (X.
The three significance values are each smaller than 0.
05 ( = 5%), so it can be concluded that both product quality, price, and packaging each have a significant effect on customer loyalty at Kopi Mutiara Kediri.
Based on these results, the first hypothesis (H.
, the second hypothesis (H.
, and the third hypothesis (H.
can be accepted.
Based on the regression coefficient value of each variable, it can be seen that product quality has the largest coefficient, namely 0.
This shows that product quality has a dominant influence on customer loyalty at Kopi Mutiara Kediri.
Table 9.
F Test Results Model Sum of Squares Mean Square Regression Residual Total Sig.
Based on Table 9, it can be seen that the F test produces a calculated F value of 93,530 with a probability value of 0.
000 which is less than 0.
Based on these results, the regression model fits the data, or in other words, it can be concluded that product quality, price, and packaging simultaneously have a significant effect on customer loyalty at Kopi Mutiara Kediri.
Therefore, the fourth hypothesis (H.
of the study can be accepted.
Discussion The Effect of Product Quality on Customer Loyalty Based on the results of regression analysis, it can be seen that the probability value of the t test on the effect of product quality on customer loyalty is 0.
000, where the value is smaller 05, so it can be concluded that product quality has a significant effect on Mutiara Coffee International Journal of Economics.
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These results indicate that when the product at Mutiara Coffee is of higher quality, be it in terms of taste, cleanliness, varied product choices, product appearance, appropriate temperature, and freshness of the coffee aroma, the loyalty of Mutiara Coffee customers will increase.
High product quality will encourage customers to have loyal behavior to the product, where the higher the quality of the product provided, the higher the loyalty of the customer (Sopiani & Ketut, 2.
A quality product will foster a commitment that will be held firmly by customers so as to encourage customer loyalty to keep buying the same product (Sahid & Abadi, 2.
, despite the influence of various external factors which can usually encourage customers to change their habits in choosing products (Hasan & Salim, 2.
addition, quality products will provide a positive experience for customers, thereby encouraging loyalty from customers (Rochmah & Muzdalifah, 2.
Customers who are satisfied with the quality of a product tend to give positive recommendations to others as a form of loyalty to a product (Sadewa, 2.
The results of this study support previous research which concluded that product quality has a significant effect on customer loyalty (Chaniago.
Deby Gunawan & Romauli Nainggolan, 2024.
Hasan & Salim, 2023.
Rochmah & Muzdalifah, 2024.
Sahid & Abadi, 2.
The Effect of Price on Customer Loyalty Based on the results of the regression analysis, it can be seen that the probability value of the t test on the effect of price on customer loyalty is 0.
040, where the value is smaller than 05, so it can be concluded that price has a significant effect on Mutiara Coffee customer These results indicate that when the price at Mutiara Coffee is more affordable, provides clarity regarding clear price information, is in accordance with product quality, and has a competitive price, the loyalty of Mutiara Coffee customers will increase.
Price is one of the factors that can increase customer interest in making repeat purchases in the future.
When customers consider that the price paid is in accordance with the value they get, there will be a sense of satisfaction which ultimately leads to customer loyalty (Hutama & Ekawati, 2.
In addition, prices that are affordable, and can compete compared to competitors, can increase customer loyalty (Rochmah & Muzdalifah, 2.
Competitive prices can create a positive perception of the company, which in turn strengthens long-term relationships with customers.
Furthermore, customers are even willing to pay more if they feel the product is worth the price (Sadewa, 2.
The results of this study support previous research which concluded that price has a significant effect on customer loyalty (Hutama & Ekawati, 2020.
Rochmah & Muzdalifah, 2024.
Sopiani & Ketut, 2023.
Sugiono et al.
, 2.
The Effect of Packaging on Customer Loyalty Based on the results of regression analysis, it can be seen that the probability value of the t test on the effect of packaging on customer loyalty is 0.
010, where the value is smaller than 05, so it can be concluded that packaging has a significant effect on Mutiara Coffee customer This result shows that when the product packaging at Mutiara Coffee can protect the contents of the product, is environmentally friendly, and provides comfort for customers, the loyalty of Mutiara Coffee customers will increase.
Apart from functioning to protect the contents of the product, packaging can also provide value for the product itself so that it provides an attraction that can ultimately encourage customer loyalty (Ratnapuri et al.
, 2.
The value of a product even depends on the packaging, because the outer appearance is the first view of the consumer to the product.
Good packaging will influence the experience for consumers to then support consumer loyalty behavior to the product (Alamsyah et al.
, 2.
International Journal of Economics.
Bussiness and Accounting Research (IJEBAR) Page 158 International Journal of Economics.
Business and Accounting Research (IJEBAR) Peer Reviewed Ae International Journal Vol-9.
Issue-1, 2025 (IJEBAR) E-ISSN: 2614-1280 P-ISSN 2622-4771 https://jurnal.
stie-aas.
id/index.
php/IJEBAR The visual quality of packaging, for example environmentally friendly packaging materials, can provide cues about quality product performance so that consumers remain loyal to the same product (Mensah et al.
, 2.
The results of this study support previous research which concluded that packaging has a significant effect on customer loyalty (Candrasa, 2019.
Mensah et al.
, 2022.
Ratnapuri et al.
, 2.
The Effect of Product Quality.
Price, and Packaging on Customer Loyalty Based on the results of the regression analysis, it can be seen that the probability value of the F test on the simultaneous influence of product quality, price, and packaging on customer loyalty is 0.
000, where the value is less than 0.
05, so it can be concluded that product quality, price, and packaging simultaneously have a significant effect on customer loyalty of Kopi Mutiara.
Product quality, price, and packaging are factors that can influence consumer loyalty.
Quality products will foster a strong commitment from customers, thus encouraging customer loyalty to continue buying the same product (Sahid & Abadi, 2.
Several studies have also found that prices that are affordable for customers, and can compete with competitors, can increase customer loyalty (Rochmah & Muzdalifah, 2.
In addition, product packaging that functions well to protect the contents of the product, provides a feeling of comfort for customers when using it, and environmentally friendly packaging can influence customer loyalty in the long term (Mensah et al.
, 2.
This explains that product quality, price, and packaging together have a significant effect on customer loyalty.
Conclusion This study concludes that product quality, price, and packaging significantly influence customer loyalty at Mutiara Coffee.
High product quality characterized by taste, freshness, and variety positively impacts customer loyalty by fostering trust and satisfaction.
Price also plays a crucial role, with affordable, clear, and competitive pricing enhancing customer satisfaction and loyalty.
Similarly, effective packaging, which protects the product, is environmentally friendly, and convenient, strengthens customer loyalty by providing an appealing and functional experience.
The regression analysis indicates that each factor independently contributes to customer Moreover, when combined, product quality, price, and packaging have a substantial simultaneous effect, emphasizing their interconnected roles in building long-term relationships with customers.
These findings highlight the importance of continuous improvement in these areas to ensure sustained customer satisfaction and loyalty, further contributing to the competitive advantage and success of Mutiara Coffee.
Further researchers are expected to explore other factors that can influence customer loyalty, especially in the food and beverages Variables related to promotions on social media, such as Instagram, are interesting to study as further research.
This is because currently customer behavior, especially loyalty, is also greatly influenced by the company's existence on social media.
References