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The Role of Relationship Marketing, and Satisfaction As Variable Mediation: Study at Bank BPR UMKM East Java in Surabaya

Author

Listed:
  • Hotman Panjaitan

    (Faculty of Economics University of 17 August 1945, Surabaya, Indonesia,)

  • Nur Laely

    (Faculty of Economics Kadiri University, Kediri, Indonesia)

Abstract

This paper discusses the causal relationship between relationship marketing, service quality, customer satisfaction, and customer loyalty of Bank BPR UMKM East Java in Surabaya. One model is proposed to examine the role of relationship marketing, and satisfaction as a mediation variable on indirect relationship of service quality, relationship marketing and loyalty. The population in this research is the customer of BPR Bank of UMKM East Java in Surabaya. From the test results in the model in this study, with Maximum Likelihood Estimation (MLE), structural equation model analysis (SEM), convenience sampling method and software Amos 22, on 160 respondents. The results showed that the research model was accepted with determinant coefficient (R2) of 90.7%. Research also shows that service quality influences relationship marketing, and customer satisfaction. Service quality has no significant effect on customer loyalty. Relationship marketing affects customer satisfaction and customer loyalty. Customer satisfaction affects customer loyalty. Customer satisfaction is a positive mediation variable on the relationship of service quality with loyalty. Relationship marketing is a positive mediation variable on the relationship of service quality with loyalty. Customer satisfaction is also a positive mediation variable on marketing relationships with customer loyalty.

Suggested Citation

  • Hotman Panjaitan & Nur Laely, 2017. "The Role of Relationship Marketing, and Satisfaction As Variable Mediation: Study at Bank BPR UMKM East Java in Surabaya," International Review of Management and Marketing, Econjournals, vol. 7(5), pages 105-112.
    • Handle: RePEc:eco:journ3:2017-05-14
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    More about this item

    Keywords

    Service quality; Relationship marketing; Customer satisfaction; Customer loyalty; Bank BPR UMKM East Java;
    All these keywords.

    JEL classification:

    • L8 - Industrial Organization - - Industry Studies: Services
    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing

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