i
INFLUENCE OF SERVICE QUALITY, SALES PROMOTION
AND CUSTOMER SATISFACTION TOWARD CUSTOMER
LOYALTY
(Study Case on Carrefour Lebak Bulus)
Undergraduate Thesis
Submitted to Faculty of Economics and Business in Partial Requirements for Acquiring the Bachelor degree of Economics
By:
DITA NAHLATI
1112081100004
MANAGEMENT DEPARTMENT INTERNATIONAL PROGRAM
FACULTY OF ECONOMIC AND BUSINESS
SYARIF HIDAYATULLAH STATE ISLAMIC UNIVERSITY JAKARTA
vi ABSTRACT
The purpose of this study was to analyze the influence of service quality, sales promotion and customer satisfaction toward customer loyalty on Carrefour Lebak Bulus. This type of research is quantitative. The data source of this research is primary data derived from sample of the customers who shopped at Carrefour Lebak Bulus. The data collection is done by distributing questionnaires to 100 respondents. The selected sampling was purposive sampling technique. The analytical method used in this research is multiple linear regression analysis. The results showed that: (1) service quality significantly influencing customer loyalty on Carrefour Lebak Bulus (2) sales promotion significantly influences customer loyalty on Carrefour Lebak Bulus, (3) customer satisfaction influences customer loyalty on Carrefour Lebak Bulus, and (4) service quality, sales promotion and customer satisfaction significantly influence consumers loyalty on Carrefour Lebak Bulus.
vii ABSTRAK
Tujuan dari penelitian ini adalah untuk menganalisis pengaruh kualitas pelayanan, promosi penjualan dan kepuasan pelanggan terhadap loyalitas pelanggan pada Carrefour Lebak Bulus. Jenis penelitian ini adalah kuantitatif. Sumber data penelitian ini merupakan data primer yang berasal dari sampel yaitu pelanggan yang berbelanja di Carrefour Lebak Bulus. Pengumpulan data dilakukan dengan menyebarkan kuesioner kepada 100 responden. Pengambilan sampel yang dipilih adalah teknik purposive sampling. Metode analisis yang digunakan dalam penelitian ini adalah analisis regresi linier berganda. Hasil penelitian menunjukan bahwa: (1) kualitas layanan berpengaruh signifikan terhadap loyalitas pelanggan pada Carrefour Lebak Bulus, (2) promosi penjualan berpengaruh secara signifikan terhadap loyalitas pelanggan pada Carrefour Lebak Bulus, (3) kepuasan pelanggan mempengaruhi loyalitas pelanggan pada Carrefour Lebak Bulus, dan (4) kualitas layanan, promosi penjualan dan kepuasan pelanggan berpengaruh signifikan terhadap loyalitas konsumen pada Carrefour Lebak Bulus.
viii
FOREWORD
First and Foremost praise is to ALLAH, the Almighty, the greatest of all, on whom ultimately we depend for sustenance and guidance. I would like to thank Almighty Allah for giving me opportunity, determination and strength to do my research. His continuous grace and mercy was with me throughout my life and ever more during the tenure of my research. I would like to thank and express my deep and sincere gratitude to the people who have helped me in the preparation of a thesis:
1. I would especially like to thank my amazing family for the love, support, and constant encouragement I have gotten over the years. In particular, I would like to thank my Mama, Papa, Uni Nabila and Zahra. I undoubtedly could not have done this without you all, I always Love you all!!
2. Mr. Dr. M. Arief Mufraini, Lc., MSi as Dean of the Faculty of Economics and Business of UIN Syarif Hidayatullah Jakarta.
3. MS Dr. Ir. Muniaty Aisyah, MM as my supervisor, thank you so much for your recommendation, advice and knowledge during guided to finish my thesis.
4. All the lecturers and employees of the faculty of the faculty of economics and business of UIN Syarif Hidayatullah over all the outpouring of knowledge, assistance and services.
5. To my best friends Diah Siti Utami and Rama Febriyanti thank you for listening, offering me advice, and supporting me through this entire process. Thank you girls for being with me in ups and downs of life during last 4 years. I will never ever forget every time with you both. You are amazing girls!! A special thanks to my best partner Ridhoanta Lubis, you were fundamental in supporting me during these stressful and difficult moments. For your motivation, patience, encouragement, and for your love during these years.
ix
for recommendation, time, and teach me. Success for all of you guys. 7. To my classmate in International Management and Accounting 2012, Priyo,
Azka, Radit, Fajar, Akang, Eja, Eva, Nadila, Syafiq and Faiz I have miss the moment we spent together and all the memories ever undertaken when it became a class mate.
8. Finally, the author expect for any critics and suggestion that could improve the content of this thesis, the author hopes to that the thought provoking contributions can give benefit to the reader , hopefully this thesis could be worthwhile for all of us. Amin
Jakarta, September 7th 2016
x
LIST OF CONTAINS
CERTIFICATION OF THESIS SHEET ... ii
CERTIFICATION OF COMPREHENSIVE EXAM SHEET ... iii
CERTIFICATION OF THESIS EXAM SHEET... iv
STATEMENT OF AUTHENTICITY SCIENTIFIC WORK ... v
CURICULUM VITAE ... vi
ABSTRACT ... vii
ABSTRACT ... viii
FOREWORD ... ix
LIST OF CONTENT ... xi
LIST OF TABLE ... xv
LIST OF FIGURE ... xix
LIST OF ATTACHMENT ... xx
CHAPTER I INTRODUCTION ... 1
A. Background ... 1
B. Research Problem ... 10
C. Research Objective ... 10
D. Research Advantages ... 11
CHAPTER II LITERTURE REVIEW ... 12
A. Service ... 12
1. Definition of Service ... 12
B. Service Quality ... 13
1. Definition of Service Quality ... 13
2. Measurement of Service Quality ... 15
xi
1. Definition of Sales Promotion ... 17
2. Measurement of Sales Promotion ... 18
D. Customer Satisfaction ... 23
1. Definition of Customer Satisfaction ... 23
2. Measurement of Customer Satisfaction ... 24
E. Customer Loyalty………...……….28
1. Definition of Customer Loyalty ... 28
2. Measurement of Customer Loyalty ... 29
F. Preview Research ... 30
G. Theoretical Framework ... 35
H. Hypothesis ... 36
CHAPTER III RESEARCH METHODOLOGY ... 37
A. Scope of Research ... 37
B. Determination Sample Method ... 37
1. Population ... 37
2. Sample ... 38
C. Data Collection Technique ... 39
1. Primary Data ... 39
2. Secondary Data ... 42
D. Method of Data Analysis ... 43
1. Validity Test ... 43
xii
E. Classic Assumption Test ... 44
1. Normality Test ... 44
2. Multicollinearity Test ... 46
3. Heteroskedasticity Test ... 48
F. Hypothesis Test ... 49
1. t-Test ... 49
2. f-Test ... 50
G. Multiple Linier Regression ... 51
1. Similarity Multiple Linier Regression ... 51
2. Coefficient of Determination (R2) ... 51
H. Variable Operational Research ... 53
CHAPTER IV RESULT AND ANALYSIS ... 57
A. General Overview Research Objective ... 57
1. History of Carrefour ... 57
2. Vision and Mission ... 58
3. Commitment of Carrefour ... 60
4. Carrefour Shopping Card ... 63
5. Organization Structure Carrefour ... 63
B. Discussion of Results Questionnaire ... 68
1. Validity and Reliability Test Result ... 68
2. Descriptive Respondents ... 72
xiii
b. Respondents by Age ... 73
c. Respondents by Education ... 74
d. Respondents by Income ... 75
C. Descriptive Analysis ... 75
1. Descriptive Service Quality (X1) ... 76
2. Descriptive Sales Promotion (X2) ... 86
3. Descriptive Customer Satisfaction (X3) ... 92
4. Descriptive Customer Loyalty (Y) ... 98
D. Classical Assumption Test Results ... 102
1. Data Normality Test Results ... 102
2. Test Results Multicollinearity ... 105
3. Test Results Heteroskedasticity ... 106
E. Hypothesis Test Results ... 108
1. Partial Test Result Significant (t test) ... 108
2. Simultaneous Test Result Significant (F test) ... 111
F. Result of Multiple Linear Regression Analysis ... 112
G. Test Results the Coefficient of Determination (Adjusted R2) ... . ... 113
CHAPTER V CONCLUSION AND IMPLICATION ... 115
A. Conclusion ... 115
B. Implication ... 115
xiv
LIST OF TABLE
Table 1.1 Credit Card Shopping in Cooperation with Hypermarket 2015 ... 5
Table 2.1 Preview Research ... 31
Table 3.1 Likert Scale ... 42
Table 3.2 Operational Variable ... 54
Table 4.1 Try Out Validity Test Result ... 70
Table 4.2 Try Out Reliability Test Result ... 71
Table 4.3 Respondents by Gender ... 72
Table 4.4 Respondents by Age ... 73
Table 4.5 Respondents by Education ... 74
Table 4.6 Respondents Income per Month ... 75
Table 4.7 Carrefour Physical Appearance is Good ... 76
Table 4.8 The Equipment Provided in Carrefour is Complete Enough (Such as Shopping Bags, Trolley) ... 77
Table 4.9 Employees In Carrefour Dressed Well ... 78
xv
Table 4.11 Carrefour to Provide Services According to the Promised ... 79
Table 4.12 Carrefour Employees Willing to Help Customers Well ... 80
Table 4.13 Carrefour Employees Assist Customers Well ... 80
Table 4.14 Carrefour Service is Trustworthy ... 81
Table 4.15 Employees in Carrefour Serve with Honest ... 82
Table 4.16 Shopping in Carrefour is Safe (From Pickpocketing) ... 82
Table 4.17 Carrefour Employees Serve with Competent ... 83
Table 4.18 Carrefour Employees are Polite ... 84
Table 4.19 Carrefour Lebak Bulus Easy to Access... 85
Table 4.20 Carrefour Employees are Able to Communicate Well ... 85
Table 4.21 Carrefour is Able to Understand Customer Needs... 86
Table 4.22 Product Samples were Distributed in Carrefour Attract Consumers ... 87
Table 4.23 Coupon or Stamp that Consumers Collect for Getting Discount is Attracted Enough to Consumer ... 88
Table 4.24 The Discounts that Carrefour Gave is Attracted the Consumer ... 88
Table 4.25 Gift or Buy One Get One Program Carrefour is Interesting ... 89
xvi
Table 4.27 Midnight Sale Program and Promo End-month is Interesting ... 90
Table 4.28 Carrefour CSR Programs that Give Discount to SMEs Product is Interesting ... 91
Table 4.29 Discount 10% with Credit Card Mega Bank Profitable ... 92
Table 4.30 I Feel Satisfied with the Products that Carrefour Offered ... 93
Table 4.31 I Feel Satisfied with the Benefits Provided in Carrefour while Shopping ... 94
Table 4.32 I Feel Satisfied that Carrefour Products are Suitable with the Price .... 95
Table 4.33 Product that I Bought Meet My Expectation ... 96
Table 4.34 The Product Quality that Carrefour Offers is in Appropriate as I Expected ... 97
Table 4.35 I Feel Satisfied with the Services that Carrefour Provide ... 98
Table 4.36 I Am Willing to Shop More Products in Carrefour ... 99
Table 4.37 I Am Willing to Tell Positive Things About Carrefour to Friends or Collage ... 100
Table 4.38 I Am Willing to Recommend to Others to Shop at Carrefour ... 101
Table 4.39 I Feel Satisfied with the Services Carrefour Provide ... 102
xvii
Table 4.41 Test Multicollinearity ... 106
Table 4.42 Partial Test Result Significance (t test) ... 108
Table 4.43 Simultaneous Test Result Significance (F test) ... 111
Table 4.44 Result Multiple Linear Regression Analysis ... 112
xviii
LIST OF FIGURE
Figure 2.1 Promotional Techniques for Customers ... 21
Figure 2.2 Conceptual Thinking ... 35
Figure 4.1 Logo Carrefour ... 59
Figure 4.2 Normality Test Results in Graph ... 104
xix
LIST OF ATTACHMENT
Attachment 1 Research Questioner ... 121
Attachment 2 Table Respondent Answer ... 135
Attachment 3 SPSS Data Quality Test Results ... 150
Attachment 4 Results SPSS Classical Assumption Test ... 159
Attachment 5 Results SPSS Hypothesis Test... 162
Attachment 6 Results SPSS Multiple Linear Regression Analysis ... 163
1 CHAPTER I INTRODUCTION
A. Background
There is a lot of shopping center that offer all of our everyday
goods and needs. Almost every city in Indonesia has their own shopping
center with a variety of shapes and types, such as malls, hypermarkets,
supermarkets or minimarket is easy to find in every corner of the city. The
growth of the modern retail market continues to spread all across our
nation, in the form of hypermarket, and other modern-market.
This causes a stronger competition between those retail companies
and for each of them a really strong capital owner in order to excel when
entering that competitive market. Even, Data Industry Minimarket,
Supermarket, Hypermarket in Indonesia showing competition, expansion
and growth of modern retail industry in Indonesia that covers minimarket,
supermarket, convenience store, hypermarket, and modern trade in
Indonesia since 2012-2015.
Not surprisingly, consumer spending in Indonesia grew at an
average per year of 11.8% for the period 2012-2015. In 2015, consumer
spending on food is estimated at Rp 1.930 trillion, while the food product
out of Rp 4,369 trillion (duniaindustri.com 2015).
According to Kotler and Armstrong (2014:396) retailing includes
2
customers for personal, non-business use. Retail consists of seven types:
specialty stores, department stores, supermarkets, convenience stores,
discount stores, off-price retailers, and superstores. To respond to
consumer demands, a number of companies to grow and multiply, causing
the competition, both in terms of price, quality of service and facilities as
well as other factors.
Carrefour is one of the places to shop that can provide high
comfort and supported by professional services. Carrefour is a French
multinational retail company that has stands more than 50 years. In
Indonesia, Carrefour's first business steps starting with a store at the
Cempaka Putih. Established on October 14, 1998, Carrefour introduced
the concept of hypermarkets and provide a new shopping alternative for
customers in Indonesia. Carrefour offers the concept of One Stop
Shopping that offers a diverse selection of products, low prices, and also
provides the best services that exceed customer expectations. Carrefour
Lebak Bulus to be one of the main outlets for the producer benefits
Carrefour Indonesia. Nowadays, due to changes in the retail business
environment in Indonesia made part of the national company Carrefour
Indonesia under management CT Corp PT Trans Retail Indonesia.
(www.carrefour.co.id)
PT Carrefour Indonesia experienced a sales decline of 2.93% in the
second quarter of 2011 to 265 million euros, or Rp3.25 trillion, from the
3 of 2010. Sales of Carrefour Indonesia in the first half of 2011 was
continued to grow, helped by sales in the first quarter rose 12,23% to 266
million euros from 237 million euros previously. Financial report first half
of 2011 Carrefour Group is listed on the French stock exchange said sales
of Carrefour Indonesia until June 30, 2011 amounted to 531 million euro,
4,11% higher than the same period in 2010 amounted to 510 million euros
(ipodnews.com 2011).
Many modern market competitors are present in Indonesia led to
the emergence of competitive conditions between an increasingly
competitive retail. These conditions require Carrefour to develop effective
and creative strategies such as in terms of sales promotions in order to
increase revenue. The Company promotes its products so that consumers
recognize and know these products. In this research, sales promotion as an
independent variable (X2).
Promotion is a vital tool that helps the marketer to achievement
their sales target and increase the company‘s profit Alvarez and Casielles
(2005).
Sales Promotion, a key ingredient in marketing campaigns, consist
of a diverse collection of incentive tools, mostly short-term, designed to
stimulate quicker or greater purchase of particular products or services by
consumers or the trade (Kotler and Keller, 2012:541).
Carrefour is selling run household electronic goods at bargain
4
working with consumer finance companies Source Credit. Carrefour
makes third parties together won the same interests, namely to increase
sales and achieve awareness.
Carrefour also gives some interesting promos, credit cards under
the brand Carrefour Mega Card or CMC is the result of cooperation
conducted by Bank Mega and Carrefour on June 10, 2011. The credit card
itself is dominated by the power of large companies that Carrefour and
Bank Mega. Carrefour is the market leader in the retail industry, while in
this case the Mega Bank Card Business a top 5 credit card issuing bank in
Indonesia. Mega Carrefour Card credit cards have many advantages which
continuously throughout the year. As the owner of the credit card Mega
Carrefour Card, you get the ease and convenience of shopping facilities in
Indonesia. The convenience of shopping will be supported by the strength
of a transaction using a credit card that is safe and comfortable
(www.teropongbisnis.com 2013).
Transmart Carrefour offers are currently giving out some
interesting promo a 10% discount program for all goods in specialized
Carrefour outlets throughout Indonesia Mega Bank credit card holder.
Because of this promo, Carrefour raised its customers by 17.000-20.000
per days in every outlet (Danaaditiasari, 2015).
According Taswan (2003) in Zainun (2011) credit card is a card
5
services, then payment of the user can be done at once or in installments of
a certain minimum amount.
Table 1.1
Credit Card Shopping in Cooperation with Hypermarket 2015
NO. BANK / CREDIT CARD HYPERMARKET
1 BCA Everyday Card Carrefour, Hypermart, Giant, and
Lotte Mart
2 Mega Carrefour Card Carrefour
3 Mandiri Hypermart Card Gold Hypermart
4 BNI LOTTEMart Mastercard Gold Lotte Mart (Source: www.cermati.com 2015) Based on the table above:
1. BCA Everyday Card has a promotion for every transaction made,
will get what cash back by 5% when shopping at Carrefour,
Hypermart, Giant, and Lotte Mart using BCA Everyday Card.
2. Mega Carrefour Card credit cards in collaboration between Bank
Mega and Carrefour, so it can get a 10% discount when shopping
Carrefour private label products in each transaction for all branches of
Carrefour.
3. Mandiri Hypermart Visa Gold sale for all household products in
swayalan Hypermart outlets. Addition, cash back of 10% can be
obtained at Hypermart and Foodmart.
4. BNI Lotte Mart offered a discount of 5% for private brand and will
6
by the BNI and merchants work together with him, both for
transactions within the country or abroad.
According to Satria Hamid, Head of Public Affairs Transmart
Carrefour, in Carrefour itself there are various promotional programs
conducted every week, among other promo discounts, promo catalogs and
newspapers promo. In addition, Carrefour performs internal research to
determine the goods that excels in its category. We're sort of the top 5 or
top 3 of each product fit the category. This is done so that we provide the
latest products to consumers, the products are up to date a good product
and become a market leader and preferred by consumers. So we provide
promo by catalogs. Carrefour targeted segment is very broad, ranging
from the upper-middle to lower-middle. Upper-middle consumer is
generally not too concerned about the price. They have also been loyal to
a particular brand, but there are also consumers who sometimes
squeamish about the price. Therefore, Carrefour offers a choice to the
consumer private label products. Apart from the products, Carrefour also
provides value added to the consumer in the form of a variety of
promotion and marketing programs, such as programs Back to Hometown
Together (Harry Tanoso, 2014).
For the 5 years since 2011, Transmart Carrefour received the
CSR Award from the Government of West Java Province. The award is
given on CSR programs conducted by the Carrefour throughout 2015
7
market access for them. Education programs through OSOS (One Store
One School), and the Community Development program. The award is
given to Carrefour as the pride of Indonesia as a development partner of
West Java through its CSR program in 2015 (Adityaputri, 2015).
Besides using a sales promotion as strategy, service also
important in the sale of a product to increase the company profit.
Companies never stop given the good service to the customer. According
to Lovelock and Wirtz (2011:36) services involve a form of rental
through which customers can obtain benefits. We emphasize that
purchasers buy services because they are looking for desired results.
Services as economic activities between two parties, implying an
exchange of value between seller and buyer in the marketplace In fact,
many firms explicitly market their services as solutions to prospective
customer‘s needs.
Based on that service have a more benefit for customer
especially company. Good service can give more profitability to
company. In the other side bad services can give disaster to company. For
getting good service, companies must be understood about service
quality. In this research, service quality as an independent variable (X1).
Service quality is usually understood as a measure of how well
the level of the delivered services matches customer‘s expectations.
Service quality is calculated as the gap between customer expectations
8
reliability, responsiveness, assurance, empathy, and tangibles
(Santouridis and Trivellas: 2010).
According to El-Salam, Shawky and El-Nahas (2013) in an
increasingly competitive environment service quality as an essential
strategy for success and survival has attracted increasing interest in over
the past 20 years. Striving to gain a strategic competitive advantage by
delivering service with quality and satisfaction, several researchers
have agreed that if companies do not recognize and respond immediately
to customer‘s needs efficiently and effectively, the result may be
decreasing profits, increasing levels of stress and customer
dissatisfaction. Therefore, companies must constantly ask themselves,
what do customers want from us and how can we improve current
customer‘s perception.
Customer satisfaction on this research, as a independent
variables (X3) Satisfaction is a person‘s feeling of pleasure or
disappointment resulting from comparing a product‘s perceived
performance (or outcome) in relation to his or her expectations.
Therefore, satisfaction is closely related to consumers‘ expectations
(Sondoh Jr, Omar, and Friends: 2007).
The difference between the prices listed on the shelf of the store
with the data listed in the cashier often encountered when shopping
customers. Obviously this raises a disappointment and the presumption
itself. For retailers, recently Transmart Carrefour received a similar
9
between the price on the store shelf and at the cashier when paying.
Allegedly, this omission occurred because the placement of the product
not only in one area alone. Bottled beverage products are usually
placed at some point, for example on the shelf drinks, in cold drinks
chiller, and on the shelves near the cash register. When changing the
price, there is the possibility of replacing the staff inattentive price at
one of the shelves.
Transmart Carrefour apologizes for any inconvenience that causes
customers to feel disappointed and dissatisfied. Satria said, it was
realized and Carrefour Transmart understand the disappointment felt
when the customer had to pay a price higher than that seen on the shelf.
For that Transmart Carrefour apologizes for any inconvenience and this
omission. As a reflection of our responsibilities on this omission,
Transmart Carrefour gives consumers the lowest prices of goods and
compensation plus 2x (twice) as much of the difference in price of the
items found differences in prices. Replacement of the difference in
price of goods is valid in all Carrefour outlets Transmart start date of
March 31, 2016 and for any goods (www.carrefour.co.id)
Based on the background above, the writer is interested to do a
research with the tittle “Influence of Service Quality, Sales Promotion
and Customer Satisfaction toward Customer Loyalty (Study Case
10 B. Research Problem
Based on the background that the author has described, the
formulations of the problem are:
1. Does service quality significantly influence towards customer loyalty
on Carrefour Lebak Bulus?
2. Does sales promotion significantly influence towards customer loyalty
on Carrefour Lebak Bulus?
3. Does customer satisfaction significantly influence towards customer
loyalty on Carrefour Lebak Bulus?
4. Do quality of service, sales promotion and customer satisfaction
significantly influence simultaneously towards customer loyalty on
Carrefour Lebak Bulus?
C. Research Objective
Based on the questions above, the purposes of this research are:
1. To analyze the influence of service quality towards customer loyalty
on Carrefour Lebak Bulus.
2. To analyze the influence of sales promotion towards customer loyalty
on Carrefour Lebak Bulus.
3. To analyze the influence of customer satisfaction towards customer
loyalty to the Carrefour Lebak Bulus.
4. To analyze the influence of service quality, sales promotion, and
customer satisfaction simultaneously towards customer loyalty on
11 D. Research Advantages
1. For the author, this research can improve the author‘s knowledge and
this topic can always be used in every kind of business. This research
is also done in order to graduate as a Bachelor of Economics of State
Islamic University Jakarta.
2. For company, the result of this research can be used to improve the
strategy of Carrefour Company because the results are based from
customer‘s loyalty.
3. For Islamic State University (UIN) Jakarta, the research can also be
used for other students in order to help the students to finish their
thesis.
4. For reader and another research, I hope people who read this research
12 CHAPTER II LITERATUR REVIEW
A. Service
1. Definition of Service
A service is any act or performance that one party can offer to
another that is essentially intangible and does not result in ownership
of anything. Its production may or may not be tied to a physical
product. (Kotler and Keller, 2012:400).
Services involve a form of rental through which customers can
obtain benefits. What customers value and are willing to pay for are
desired experiences and solutions. We use the term rent as a genetic
term to denote the payment made for using or accessing something
typically for a defined period of time instead of buying it outright. You
can‘t own people, but you can pay rent their labor and expertise
(Lovelock and Wirtz, 2011:36).
We emphasize that purchasers buy services because they are
looking for desired results. In fact, many firms explicitly market their
services as solutions to prospective customers needs. And finally, our
definition emphasizes that while customers expect value from their
service purchases in exchange for money, time, and effort; this
value comes from access to a variety of value creating elements
13
In marketing, consumers choose the supplier of goods
(including supermarkets) based on their experiences after receiving the
service from the company, they compare the perceived service with the
desired service. If the perceived service is under the expected service,
the consumer is difficult to believe in the company. If the perceived
service in accordance with the desired quality, they will use the
product or service again. Therefore, the quality of service in terms of
marketing plays a very important, because it can foster consumer's
commitment to the company or the products or services rendered. This
commitment will increase the repurchase by customers at once will
become indirectly sale to prospective customers to another.
B. Service Quality
1. Definition of Service Quality
A service is an economic activity that creates value and
provides benefits for customers at specific times and places by
bringing about a desired change in or on behalf of the recipient of the
service. Although the process may be tied to a physical product, the
performance is transitory, often intangible in nature and does not
normally result in ownership of any of the factors of production
(Lovelock, C. and Wirtz, J. 2004). However, being able to satisfy
given needs reflects the value (or quality) of the product or service to
the customer, including the economic value, safety, reliability, and
14
evaluation of service quality and the resulting level of satisfaction are
perceived to affect bottom line measures of business success
(Lacobucci, D., Grayson, K. A., and Omstrom, A. L. 1994) in Poku et.
al (2013)
Company personnel need a common understanding to address
issues such as the measurement of service quality, the
identification of causes of service quality shortfalls, and the design
and implement of corrective actions (Lovelock and Wirtz, 2011:405).
In an increasingly competitive environment service quality as
an essential strategy for success and survival has attracted increasing
interest in over the past 20 years. Striving to gain a strategic
competitive advantage by delivering service with quality and
satisfaction, several researchers have agreed that if companies do
not recognize and respond immediately to customer‘s needs
efficiently and effectively, the result may be decreasing profits,
increasing levels of stress and customer dissatisfaction. Therefore,
companies must constantly ask themselves, what do customers want
from us and how can we improve current customer‘s perception.
Consequently, there is a huge body of marketing literature that
is concerned with service quality, customer satisfaction, and
customer loyalty as three distinctive elements hat service organizations
15
Premium service quality is a key to gain a competitive
advantage in services industry. The satisfaction level of customers is
dependent on their perception of service quality and the trust in service
provider (Ismail et al., 2006; Aydin & Özer, 2005; and Parasuraman et.
al 1988, in Mubbsher, 2014).
Based on these components known that the output of the
services and their delivery means are all factors used in quality of
service, it is often the determination of the quality of service becomes
very complex. The various components, a customer purchases to the
air quality continues directly and started before the purchase until the
results are processed from products or services that have been
consumed by the customer.
2. Measurement of Service Quality
In assessing or evaluating the service quality of a company,
customers generally use several criteria, namely in the form of
elements that exist in the quality of service which is then described by
the dimensions of service quality.
Valerie Zeithaml, Leonard Berry, and A. Parasuraman in
Lovelock and Wirzt (2011:406) have conducted intensive research on
service quality and identified 10 dimensions used by consumers in
evaluating service quality. In subsequent research, they found a high
degree of correlation between several of these variables and
16
a. Tangibles: Appearance of physical facilities, equipment, personnel
and communication materials
b. Reliability: Ability to perform the promised service
c. Responsiveness: Willingness to help customers and provide prompt
service
d. Assurance:
1) Credibility: Trustworthiness, believability, honesty of
service provider
2) Security: Freedom from dangerous, risk or doubt
3) Competence: Possession of the skills and knowledge
required to perform the service
4) Courtesy: Politeness, respect, consideration and
friendliness of contact personnel
e. Empathy:
1) Access: Approachability and ease of contact
2) Communications: Listening to the customer and keeping
them informed in a language the can understand
3) Understanding the customer: making the effort to know
17 C. Sales Promotion
1. Definition of Sales Promotion
Promotion is a vital tool that helps the marketer to achievement
their sales target and increase the company‘s profit Alvarez snd
Casielles (2005).
Marketing literature supports this fact that the regular
customers, who purchase the product frequently, are profitable and
are primary concern of the companies (Nagar, 2009). Peattie and
Peattie (1994) in Saeed (2013) defined the sales promotion as
marketing activity specific to a group of customers, a particular
place and or time bound, which encourages an immediate or direct
response from customer by offering additional valuable benefits.
Sales Promotion, a key ingredient in marketing campaigns,
consist of a diverse collection of incentive tools, mostly shortterm,
designed to stimulate quicker or greater purchase of particular
products or services by consumers or the trade (Kotler and Keller,
2012:541).
Meanwhile, According Kotler and Armstrong (2014:501),
Sales promotion consists of short-term incentives to encourage
purchase or sales of a productor service. Whereas advertising
offers reason to buy a product or service, sales promotion offers
18
A conclusion can be drawn that reflect a sales promotion
incentives and prizes to get customers to buy the company's
products at the present time as opposed to buying later. Sales
promotion generates consumer response faster in sales. Growth of
sales promotion may reflect higher corporate priority, it relates to
sales compared with the establishment of the brand in the long
term. Sales promotion can be directed to customers, retailers and
other salespeople. Customers will be happy to buy our products if
given coupons discounts, pricing packages and other gifts.
Retailers also would work harder if given offer price discounts, as
well as display ads, and free products. Retailers will operate more
viable if the holding contests with prizes for the best performance.
2. Measurement of Sales Promotion
According to Kotler and Armstrong (2014: 503-504)
Consumer promotions include a wide range of tools—from
samples, coupons, refunds, premiums, and point-of-purchase
displays to contests, sweepstakes, and event sponsorships.
a. Samples are offers of a trial amount of a product. Sampling is the
most effective—but most expensive—way to introduce a new
product or create new excitement for an existing one.
b. Coupons are certificates that give buyers a saving when they
19
most major consumer goods companies are issuing fewer coupons
and targeting them more carefully.
c. Cash refunds (or rebates) are like coupons except that the price
reduction occurs after the purchase rather than at the retail outlet.
The customer sends a ―proof of purchase‖ to the manufacturer,
which then refunds part of the purchase price by mail.
d. Price packs (also called cents-off deals) offer consumers savings off
the regular price of a product. The producer marks the reduced
prices directly on the label or package. Price packs can be single
packages sold at a reduced price or two related products banded
together. Price packs are very effective—even more so than
coupons—in stimulating short-term sales.
e. Premiums are goods offered either free or at low cost as an
incentive to buy a product.
f. Advertising specialties, also called promotional products, are useful
articles imprinted with an advertiser‘s name, logo, or message that
are given as gifts to consumers. Typical items include T-shirts and
other apparel, pens, coffee mugs, calendars, key rings, mouse pads,
matches, tote bags, coolers, golf balls, and caps
g. Point-of-purchase (POP) promotions include displays and
demonstrations that take place at the point of sale. Chances are good
20
talkers,‖ or demonstrators offering free tastes of featured food
products.
h. Contests, sweepstakes, and games give consumers the chance to win
something, such as cash, trips, or goods, by luck or through extra
effort. A contest calls for consumers to submit an entry—a jingle,
guess, suggestion—to be judged by a panel that will select the best
entries. A sweepstakes calls for consumers to submit their names for
a drawing. A game presents consumers with something—bingo
numbers, missing letters—every time they buy, which may or may
not help them win a prize. Such promotions can create considerable
brand attention and consumer involvement.
i. Event marketing (or event sponsorships) they can create their own
brand-marketing events or serve as sole or participating sponsors of
events created by others. The events might include anything from
mobile brand tours to festivals, reunions, marathons, concerts, or
other sponsored gatherings.
From the perspective of sales promotional tools used towards
customers, Solomon et. al (2010) in Dainora (2010). Indicated
three major types the explanation of each type of sales promotional
tool will be explained with illustrations from the practice in
Lithuanian supermarkets, as investigated by the author, using the
21
Figure 2.1
Promotional Techniques for Customers
Source: From Solomon et. al (2010)
a. Price or value discount promotion tools include:
1) Coupons for packaged-goods products Solomon et. al
(2010). These days in Lithuania, various supermarkets
offer from 20-45% or more discounts on weekends or
holiday season for consumables.
2) Rebates, companies place in newspapers, send by mail or
by mobile phone, or offer on a Web site, a marketer may
offer a temporary price reduction at the store or offer a
rebate Solomon et. al (2010). A rebate refunds part of the
purchase price Solomon et. al (2010) in Lithuania a person
does not have to fill in any requested forms as most of
22
where a percentage of the purchase amount is being
accumulated over the time and a customer can use the
accumulate sum up on the next purchase.
3) Bonus packs deliver more of the same product without any
extra cost for a customer. Usually hygiene and cosmetics
products tend to adopt this strategy, e.g. 20% extra
toothpaste in the packaging for the same price of 250ml
toothpaste tube. But it also works very well with foods.
b. Visibility-increasing promotion tools include:
1) Premium, which is a free item you receive if you purchase
another item Solomon et. al (2010). Premiums are very
popular in hygiene products market, e.g. a pack washing
powder could be blocked together with a free fabric
conditioner small size of course; or a bottle of washing up
liquid Fairy might have a free washing sponge attached to
the bottle; or a bottle of shampoo with a free hair
conditioner.
2) Contests and sweepstakes offer the opportunity to win an
exciting prize Solomon et. al (2010), not actually
connected to the place of shopping. The difference
between the two is that a contest is a test of skill, whereas
a sweepstakes is simply based on luck Solomon et. al
23
c. Volume-increasing promotion tools for customers could
include:
1) Sampling is a popular though expensive promotional tool
Solomon et. al (2010). Food and beverage companies often
provide free samples to consumers to give them a chance to
try a new product for free Solomon et. al (2010).
2) Loyalty programs reward consumers for their frequent,
continuing purchase of a product Solomon et. al (2010). As
observed in Lithuanian supermarkets, they all issue loyalty
cards for customers, though the loyalty programmers do
differ amongst themselves. Usually a customer attains 1%
of the total purchase value on to the loyalty card, this valid
for the newly introduced RIMI loyalty card.
D. Customer Satisfaction
1. Definition of Customer Satisfaction
Kotler and Keller (2012:150) define satisfaction as a
person‘s feelings of pleasure or disappointment resulting from
comparing a product perceived performance (or outcome) in
relation to his or her expectations. If the performance falls short of
expectations, the customer is satisfied. If the performance exceeds
expectations, the customer is highly satisfied or delighted. Service
quality has a close relationship with customer satisfaction. Quality
24
the company. In the long term, this relationship enables companies
to understand consumer expectations and needs carefully. Thus,
companies can increase customer satisfaction and at the end its
satisfaction can create loyalty or customer loyalty.
Buttle (2006) in Ibrahim et. al (2014) agreed that
satisfaction is a pleasurable fulfillment response while
dissatisfaction is un-pleasurable fulfillment response.
Customer satisfaction is a key factor in formation of
customer‘s desires for future purchase (Mittal & Kamakura, 2001).
Furthermore, the satisfied customers will probably talk to others
about their good experiences. This fact, especially in the Middle
Eastern cultures, where the social life has been shaped in a way
that social communication with other people enhances the society,
is more important Jamal and Naser (2002) in Mohd (2014).
2. Measurement of Customer Satisfaction
Kotler and Amstrong (2014:148) discuss several methods
to measure customer satisfaction, which are:
a. Complaint and Suggestion System
Each customer oriented service organization should provide
the widest opportunity to its customers to submit suggestion,
criticism, opinions, and their complaints. Information obtained
25
valuable to the company making it possible to react quickly
and respond in overcome the problems that arise.
b. Customer Satisfaction Survey
Like in this research, company can do a survey to measure
customer satisfaction using such as questioner or by phone
calls to a random sample of their customers. Through the
survey, companies will get responses and feedback directly
from customers and give a positive sign that companies pay
attention to them. Customer satisfaction survey is divided
into four categories, which are:
a. Directly report satisfaction: The respondents are being
asked directly with question in order to know if they are
very satisfied, satisfied, neutral, dissatisfied, or very
dissatisfied. This survey is to use to collect the customer
opinion and needs which can give the result called the
customer satisfaction index. This customer satisfaction
indexes the standard of company needs to maintain.
b. Derived dissatisfaction: The question that being asked
included two aspects, how high is the customer
expectation in the certain attribute, and how high is the
26
c. Problem analysis: The respondents are being asked to
describe two things; the problem which related with the
company offer and suggestion for improvement.
d. Importance performance analysis: The respondents are
asked to rate the services according to the customer
importance and company performance in each attributes.
e. Ghost shopping: This method use a person to pose as
potential buyer to report their findings on strong and
weakness points when experience buying the company‘s
and competitor‘s product. Ghost shoppers also can
observe how the company and its competitors in serving
customer demands, answering customer question, and
solve any problems or customer complaints.
f. Lost customer analysis: The Company contact customers
who have stopped buying or switched to another supplier
to learn why this condition happened and in order to
understand and take the police to further improve or
refine.
g. Some caution in measuring customer satisfaction: The
Company must make a well-structured questionnaire;
otherwise the customer would face a huge questionnaire.
The company must also be able to recognize that two
27
reasons. One person maybe easily satisfied most of the
time, and the other one might be hard to please but was
pleased on this occasion.
According to Sondoh Jr. et. al (2007) in Thakur and Singh
(2012) Customer satisfaction is the accumulated experience of a
customer‘s purchase and consumption experiences. It was
therefore; client satisfaction construct in this paper will be
measured through overall satisfaction toward the services.
Customer‘s satisfaction is influenced by two factors which is
experiences and expectations with service performance.
Operationally, satisfaction is similar to an attitude, as it can be
assessed as the sum of the satisfactions with the various attributes
of the product or service. Satisfaction may be defined as
expectation before purchase and perception about performance
after purchase, The expectancy disconfirmation paradigm suggests
that consumers are satisfied when the product perform better than
expected (positive disconfirmation), dissatisfied when consumers'
expectations exceeded actual product performance (negative
disconfirmation), and neutral satisfaction when the product
performance matches expectations (zero disconfirmation or
28 E. Customer Loyalty
1. Definition of Customer Loyalty
Creating strong connection with customers to build the
loyalty is the dream of any marketers and often the key to long-
term marketing success. Customer loyalty is a biased behavioral
response, expressed over time, by some decision making unit with
respect to one store out of a set of discount retail stores, which is a
function of psychological decision-making and evaluative
processes resulting in store commitment (Jacoby and Chestnut,
1978; Knox and Walker, 2001) in Kumaradeepan and Pathmini
(2015).
Satisfaction is positively associated with customer loyalty
(Sharma and Patterson, 2000) and its related with business
relationship (Burnham et al. 2003) Companies, which manage to
satisfy their customers, retain them for as long as possible, and
hopefully turn them into loyal customers, will certainly be in a
better competitive position and achieve a better financial
performance in (Almossawi, 2012).
According to Oliver (1999) in Oyeniyi (2011) further stated
that loyalty is a deeply held commitment to re-buy or patronize a
preferred product or service consistently in the future, thereby
29
From the definition above, customer loyalty can be defined
as the behavior of the repurchase of a product or in the company
from time to time, which are beneficial and which can reduce or
prevent the tendency of consumers to switch to manufacturers or
other companies.
2. Measurement of Customer Loyalty
According to Griffin (2009:31), customer loyalty is customers
who have the following characteristics:
a. Makes regular repeat purchase: Loyalty is refers to the form of
the behavior of these units to make a purchase
decision-making continuously for goods or services of a company that
is selected. The level of satisfaction with the store will
influence them to buy back.
b. Purchases across product and service lines: Buying outside line
of products and services means that the desire to buy more of
the products and services that have been offered by the
company. Customers who already believe in the company in
an affair it will be believed also to other matters.
c. Refers others: Loyal customers willingly recommend the
company to friends and colleagues.
d. Demonstrates immunity to the full of the competition: Is not
easily affected by the pull of competition other similar
30 F. Preview Research
31 Table 2.1
Table Preview Research RESEARCHER
(YEAR)
TITLE VARIABEL RESEARCH
METHOD
32 RESEARCHER
(YEAR)
TITLE VARIABLE RESEARCH
33 RESEARCHER
(YEAR)
TITLE VARIABLE RESEARCH
METHOD examine the relationship between brand image, discussed namely social, functional, symbolic,
experiential and
appearance enhance. Result has shown that three brand image benefit namely functional, social and appearance enhance has positively and significantly related to customer satisfaction and loyalty intention and two
benefit namely
experiential and symbolic has no significant impact on customer satisfaction and loyalty intention on the other hand result indicate that there is a positive relationship
between customer
34 RESEARCHER
(YEAR)
TITLE VARIABLE RESEARCH
35 G. Theoretical Framework
Figure2.1 Conceptual Thinking
Try-our Test: 1. Validity Test 2. Reliability Test
Classic Assumption Test: 1. Normality
2. Test Multicollineaity 3. Test Heteroskedasticity
Determinant Coefficient (Adjusted R²) Hypothesis Test: 1. Partial Test (t-test) 2. Simultaneous Test (F-test)
Customer Loyalty (Y)
Multiple Linear Regresion
Interpretation
36 H. Hypothesis
According Sugiyono (2013: 100), the hypothesis can be interpreted
as a statistical statement about the population parameters. To test the
independent variable on the dependent variable, we need the following
hypothesis:
a. H0 ; β1 ≠ 0. There is a positive influence between the variables of
sales promotion to customer loyalty.
Ha ; β1 = 0 There is a positive influence between the variables of
sales promotion to customer loyalty.
b. H0; β2 ≠ 0. There is a positive influence between the variables of
service quality on customer loyalty.
Ha ; β2 = 0 There is a positive influence between the variables of
service quality on customer loyalty.
c. H0 ; β3 ≠ 0. There is a positive influence between variable customer
satisfactions on customer loyalty.
Ha ; β3 = 0 There is a positive influence between variable location
on customer loyalty.
d. H0 ; β4 ≠ 0. There is a positive influence between the variables of
sales promotion, quality of service and customer satisfaction on
customer loyalty.
Ha ; β4 = 0 There is a positive influence between the variables of
sales promotion, quality of service, customer satisfaction on
37
CHAPTER III
RESEARCH METHODOLOGY
A. Scope of Research
In writing this essay were made respondents in the study is the
consumers who shopped at Carrefour Lebak Bulus. Research conducted at
Carrefour Lebak Bulus, when the study began on August 23, 2016. By
providing a questionnaire to the customer Carrefour. As will be discussed
is about how much the Service Quality, Sales Promotion and Customer
Satisfaction infuencing Customer Loyalty on Carrefour Lebak Bulus. As
the independent variable in this study was given the symbol of Service
Quality (X1), Sales Promotion (X2) and Customer Satisfaction (X3).
While the dependent variable in this study was Customer Loyalty given
the symbol (Y).
B. Determination Sample Method 1. Population
Population is the generalization region consisting of the objects
or subjects that have certain qualities and characteristics defined by
the researchers to learn and then be inferred (Sugiono, 2013:115).
The population in this study is member or non-member
38 2. Sample
The sample is part of the number and characteristics possessed
by the population, to be investigated and considered to be
representative of the overall population and a smaller number of
populations (Sugiyono, 2013:116).
The sample in this study was the visitors who shop at
Carrefour Lebak Bulus. In this study writing, researchers used a
method of Purposive sampling. Purposive sampling is which the
population elements are purposively selected based on the
judgment of the researcher. The researcher, exercising judgment or
expertise, chooses the elements to be included in the sample,
because researcher believe that they are representative of interest or
are otherwise appropriate (Malhotra 2009: 377).
Due to the number of population is not known for sure to know
the size of the sample that is using a convenience sampling
technique. Based on this, researchers select to filter the existing
questionnaires, if these people are known. For example, used the
sample to estimate the mean value, If used to estimate μ, we can
(1-α)% confident that the error does not exceed a certain value е
when the sample size of n,
Where:
39
Information:
= Number of samples
Zα = Size trust level with α = 0,05 (confidence level 95% means
Found in table 1,96)
= Standard deviation
= Standart error that can be tolerated (5% = 0,05)
By calculation:
n =
From the calculation results, the samples obtained in the
amount of 96.04 to make it easier then rounded to 100 respondents.
So in this study will use the 100 respondents to the research
sample.
C. Data Collection Technique
Data processing techniques are ways that can be used by researchers to
collect data. In this study, researchers will gather data could be a source of
primary and secondary sources:
1. Primary Data
Data used in this study are primary data. Primary data is data
40
a.Interview method
Interview method is a method of data collection with a question
and answer directly to the respondents to obtain more accurate
data respecting with issues to be discussed.
b.Questionnaire method
Questionnaire method is a method to obtain data that is done by
providing a list of questions that will be filled by respondents
including questions about the variable service quality, sales
promotion and customer satisfaction toward customer loyalty
on Carrefour Lebak Bulus.
Questioner is a formalized set of questions for
obtaining information for respondents. It has three specific
objectives (Malhotra, 2009: 330)
Three specific objectives (Malhotra, 2009: 330):
1) The overriding objective is to translate the researcher‘s
information needs into a set of specific questions that
respondents are willing and able to answer.
2) A questionnaire should be written to minimize demands
imposed on respondents. It should encourage them to
participate in the entire interview, without biasing their
41
3) A questionnaire should minimize response error. These
errors can arise from respondents who give inaccurate
answers or from researchers incorrectly recording or
analyzing their answer.
The questionnaire for this research will be filled out by the
respondents and will be include question about the variable service
quality, sales promotion and customer satisfaction toward customer
loyalty on Carrefour Lebak Bulus. In this questionnaire there are
two parts, namely:
Part I: Concerning the respondent data those are name, gender,
level of education and monthly income.
Part II: On the list of questions that will be filled by the respondent.
This study used a Likert scale measuring agreement and
disagreement of respondents in responses proposed the statement.
Likert scale is a measurement with five response categories
ranging from ―strongly disagree‖ to ―strongly agree‖, which
requires the respondents to indicate a degree of agreement or
disagreement with each of a series of statements related to the
stimulus objects (Maholtra, 2009:264).
The score of questionnaire assessment figures resulted in this
study is according to the Likert scale described in the methods used
to measure attitudes, opinions, and perceptions of a person or
42
A measurement of each variable in this research using Likert
scale to measure attitudes, opinion and perceptions of individuals
or groups social phenomena (Sugiyono, 2013:94).
By using a Likert scale, the measurement variable is an
indicator variable that will be outlined. Using a Likert scale of five
(5) levels to express the attitude or the respondent‘s answer as
follows:
Table 3.1 Likert Scale
Strongly agree / always / very positive / very
satisfactory 5
Agree / often / positive / satisfying 4
Neutral/ hesitant / sometimes 3
Disagree / never / negative / unsatisfactory 2
Strongly disagree / strongly never / very
dissatisfy 1
Source: (Sugiyono, 2013:133)
2. Secondary Data
A secondary source is a source that does not directly provide
data to data collectors, for example through others or through
documents. Secondary data were generally obtained by the
founders to provide additional information and images for further
processing. Secondary data used in this study was obtained from
books, journals, literature or other writings that are considered
43
documentation of previous studies and other information that can
be retrieved through the system online (internet).
In the process of secondary data collection, the researchers
collected data related to and associated with the research. So it can
support materials to support this research.
D. Methods of Data Analysis
1. Validity Test
Validity test used to measure the validity of the data in the
study. According (Ghozali, 2011:52) validity test is used to
measure the legitimacy of a questionnaire.
Validity test used to measure the validity of a questionnaire.
Testing was conducted using Pearson correlation, guidelines for a
model is said to be valid if the significance level below 0,05 then
the questions can be said to be valid. In addition, the criteria used
in determining whether or not valid questions or statements used in
this study is the 95% confidence level (α = 5%), the number of
respondents as many as 30 respondents to pre-test, and compared
with the value of r table = 0,361 in the can of degree of freedom
(df) = n - 2, in this case n is the number of pre-test sample of 30
respondents. A questionnaire is said to be valid when the value of r
count larger than r table.
Test will test the validity of each variable used in this study. Here
44
sales promotion and customer satisfaction with 30 samples of
respondents.
2. Reliability Test
Reliability is a tool to measure a questionnaire which is an
indicator of variables or constructs. A questionnaire said to be
reliable or reliable if someone answers to questions are consistent
or stable over time. SPSS provides the facility to measure the
reliability of the statistical test Cronbach Alpha (α). a construct or
variable said to be reliable if it provides value (α) 0,70 (Ghozali,
2011:47-48).
In other words able to obtain precise data on the variables
studied. Testing of each item used item analysis, the reliability test
is a measure of stability and reliability testing instruments used in
this study using Cronbach's Alpha formula.
E. Classical Assumption Test 1. Normality Test
Normality test aims to test whether the regression model or
residual confounding variables have a normal distribution. Studies
that use a more reliable method to test the data have a normal
distribution or not by looking at the Normal Probability Plot. A
good regression model is to have a normal data distribution or
dissemination of statistical data on a diagonal axis of the graph of a
45
There are several ways to detect normality to see the spread of
the data (points) on the diagonal axis of the graph. There are two
ways to detect whether residual normal distribution or not is by
analysis of graphs and statistical tests (test Kolmogorov -
Smirnov), with the following explanation (Ghozali, 2011:147).
a. Normality Test in Charts
One of the easiest ways to see the residual normality
is to look at the histogram graph that compares the
distribution of observation data with which to detect the
normal distribution. However, just by looking at the
histogram this can be misleading, especially to the small
sample size. More reliable method is to look at normal
probability plots comparing the cumulative distribution of the
normal distribution. The normal distribution will form a
straight diagonal line and residual plotting the data will be
compared with a diagonal line (Ghozali, 2011:147).
Basis for a decision in the normality test is:
1) If the data is spread around the diagonal line and
follow the direction of the diagonal line, the
regressions meet the assumption of normality.
2) If the data spread of the diagonal line and did not
follow directions or diagonal line, the regression
