The Effect of Image and Satisfaction on Loyalty towards Malioboro Street Businesses in Yogyakarta

Abstract

This research objective is to determine the effect of Malioboro Image and Consumer Satisfaction on the Consumer Loyalty toward the Malioboro Street business in Yogyakarta. In current time, the amount of tourism destination places is increasing caused by the increasing of interesting places that discovered as good places for tourism destination. This situation is also followed by the growing of businesses that deal with tourism sector. It brings the strict competition along with a growing number of tourism destinations in Indonesia. Hence, having the consumer loyalty now is becoming the thing which is vied by every business in tourism sector, including Malioboro Street businesses. This study took 200 respondents who who has experienced in doing transaction as customer in Malioboro Street Business. Subjects were also asked to assess the item on different construct such as factors viewed as antecedents of image and satisfaction in terms of their loyalty action for Malioboro Street Business. The data were analyzed using AMOS Ver.5 in hypothesis testing by regression test. Hypotheses were accepted if the probability level is less than 5% (p < 0.05). The result of the hypothesis testing is showing that Malioboro Image and consumer satisfaction significantly affects Consumer Loyalty with the dominant variable is Satisfaction. Based on the research, the better image of Malioboro Street creates the higher of the consumer loyalty on shopping at this tourism area. While, when the satisfaction of consumer of Malioboro Street is increasing, the loyalty of consumer towards Malioboro Street also increases. The consumer loyalty can be determined by the possibility in repurchasing behavior and recommendation to other people.