The Effect of Service Quality on Perceived Value on Customer Loyalty through Satisfaction

Service companies strive to build strong relationships with consumers and therefore are required to provide quality services and provide value to consumers in the use of products and services. One effort that must be done is to maintain consumer loyalty so that they want to use products and services in the long term. This study empirically analyzed the effect of service quality, perceived value through satisfaction on customer loyalty behavior. A total of 300 customers of government-owned banks were used as data to participate in this study which was processed using SEM. The results imply service quality and perceived value have a significant positive effect on satisfaction and indirectly affect customer loyalty.