The Influence Of Prices, Service Quality And Customer Bonding On Customer Loyalty Brooklyn Barbershop Siswondo Parman Medan Branch

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Introduction

In today's competitive market, businesses are constantly seeking ways to increase customer loyalty and retention. One such business is Brooklyn Barbershop, a rapidly growing barbershop chain in Medan. However, in 2021, Brooklyn Barbershop faced a significant decline in customer numbers, prompting an investigation into the factors behind this decline. This study aims to examine the effect of prices, service quality, and customer bonding on customer loyalty at Brooklyn Barbershop Siswondo Parman Branch Medan.

Background

Brooklyn Barbershop, like many other businesses, was severely impacted by the COVID-19 pandemic. The pandemic led to a significant decline in customer numbers, forcing the business to re-evaluate its strategies. The question remains: what factors contributed to this decline? Was it the price offered, the quality of service, or the relationship between Brooklyn Barbershop and its customers (customer bonding)?

Methodology

This study involved 94 respondents out of a total of 1500 customers at Brooklyn Barbershop Siswondo Parman Branch Medan. Multiple linear regression analysis was used to examine the relationship between prices, service quality, customer bonding, and customer loyalty.

Results

The results of this study revealed that prices do not have a significant effect on customer loyalty, and in some cases, even showed negative effects. This suggests that Brooklyn Barbershop customers are not overly sensitive to prices and may consider other factors when making their purchasing decisions.

On the other hand, service quality and customer bonding were found to have a positive and significant influence on customer loyalty. This indicates that Brooklyn Barbershop customers prioritize satisfying service quality and building good relationships with the barbershop.

Implications

The findings of this study have significant implications for Brooklyn Barbershop. To improve customer loyalty, the business must focus on:

  • Prioritizing service quality: Brooklyn Barbershop must increase the expertise of its barbers, improve salon cleanliness, and enhance the overall customer experience.
  • Building a close relationship: Building a strong relationship with customers is key. This can be achieved by knowing customers personally, providing personal services, and building attractive loyalty programs.
  • Carefully pricing: Although price is not the main factor, Brooklyn Barbershop needs to pay attention to a competitive price strategy. The price must remain in accordance with the quality of services offered.

Suggestions for Further Research

This research can be extended by including other variables that might affect customer loyalty, such as:

  • Customer demographic factors: Understanding the demographics of Brooklyn Barbershop customers can help the business tailor its services and marketing strategies to meet their needs.
  • Hairstyles: The type of hairstyle customers prefer may influence their loyalty to the barbershop.
  • Competition from other barbershops: The presence of other barbershops in the area may impact customer loyalty to Brooklyn Barbershop.

Conclusion

In conclusion, this study highlights the importance of service quality and customer bonding in influencing customer loyalty at Brooklyn Barbershop Siswondo Parman Branch Medan. By understanding the factors that contribute to customer loyalty, Brooklyn Barbershop can build the right strategy to increase customer numbers and maintain their loyalty in the future.

Recommendations

Based on the findings of this study, we recommend that Brooklyn Barbershop:

  • Invest in service quality: Improve the expertise of barbers, enhance salon cleanliness, and increase the overall customer experience.
  • Build a strong relationship with customers: Know customers personally, provide personal services, and build attractive loyalty programs.
  • Monitor and adjust pricing strategy: Ensure that prices remain competitive and in accordance with the quality of services offered.

Q: What is the main finding of this study?

A: The main finding of this study is that prices do not have a significant effect on customer loyalty, while service quality and customer bonding have a positive and significant influence on customer loyalty.

Q: Why is service quality important for customer loyalty?

A: Service quality is important for customer loyalty because it directly affects the customer's experience and satisfaction with the product or service. When customers receive high-quality service, they are more likely to be loyal to the business.

Q: How can Brooklyn Barbershop improve service quality?

A: Brooklyn Barbershop can improve service quality by:

  • Increasing the expertise of its barbers
  • Enhancing salon cleanliness
  • Increasing the overall customer experience
  • Providing personal services and building attractive loyalty programs

Q: Why is customer bonding important for customer loyalty?

A: Customer bonding is important for customer loyalty because it creates a personal connection between the customer and the business. When customers feel valued and understood, they are more likely to be loyal to the business.

Q: How can Brooklyn Barbershop build a strong relationship with its customers?

A: Brooklyn Barbershop can build a strong relationship with its customers by:

  • Knowing customers personally
  • Providing personal services
  • Building attractive loyalty programs
  • Showing appreciation and gratitude for customer loyalty

Q: What is the role of pricing in customer loyalty?

A: Pricing is not a significant factor in customer loyalty, according to this study. However, it is still important for businesses to have a competitive pricing strategy that aligns with the quality of their services.

Q: Can you provide examples of how Brooklyn Barbershop can implement these recommendations?

A: Yes, here are some examples:

  • Implementing a loyalty program that rewards customers for repeat visits
  • Providing personalized services, such as offering a free consultation or a complimentary service with a new haircut
  • Enhancing the overall customer experience by improving the ambiance and decor of the salon
  • Increasing the expertise of barbers by providing ongoing training and education

Q: What are the implications of this study for other businesses?

A: The implications of this study are that businesses should focus on providing high-quality service and building strong relationships with their customers. This can be achieved by:

  • Investing in service quality and customer experience
  • Building a strong brand identity and reputation
  • Providing personalized services and building loyalty programs
  • Monitoring and adjusting pricing strategy to align with the quality of services offered

Q: What are the limitations of this study?

A: The limitations of this study are:

  • The study was conducted at a single location, Brooklyn Barbershop Siswondo Parman Branch Medan
  • The sample size was limited to 94 respondents
  • The study only examined the effect of prices, service quality, and customer bonding on customer loyalty, and did not consider other factors that may influence customer loyalty.