THE EFFECT OF PRICE PERCEPTION AND PRODUCT QUALITY ON CUSTOMER LOYALTY WITH CUSTOMER SATISFACTION AS A MEDIATING VARIABLE: A STUDY ON SHELLCO HIJAB OFFICIAL MUSLIM FASHION CUSTOMERS
Keywords:
Price Perception, Product Quality, Customer Satisfaction, Customer LoyaltyAbstract
The Islamic fashion industry in Indonesia has experienced rapid growth, driven by increasing religious awareness and the use of modest clothing as both a religious obligation and a lifestyle and identity statement among Muslim consumers. Within this increasingly competitive environment, businesses must create added value through fair pricing, superior product quality, and positive customer experiences in order to sustain customer loyalty. This study examines the influence of price perception and product quality on customer loyalty, with customer satisfaction as a mediating variable, among customers of Shellco Hijab Official. Data were collected through a questionnaire distributed to 100 customers who had previously made purchases, and were analyzed using path analysis with the Statistical Package for Social Science (SPSS) version 26. The results show that price perception and product quality, both simultaneously and partially, have a positive and significant effect on customer satisfaction. Customer satisfaction has a positive and significant effect on customer loyalty, while price perception also has a positive and significant direct effect on customer loyalty. In contrast, product quality has a negative and significant direct effect on customer loyalty. Sobel test results confirm that customer satisfaction significantly mediates the effect of both price perception and product quality on customer loyalty. These findings indicate that customer satisfaction plays a vital role in building sustainable customer loyalty, and Shellco Hijab Official is recommended to apply pricing strategies aligned with customer value perceptions while continuously improving product quality and shopping experience to strengthen satisfaction and loyalty.
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