By
ADITYA SURYAPUTRA 11503030
BACHELOR’S DEGREE in
BUSINESS ADMINISTRATION - HOTEL AND TOURISM MANAGEMENT CONCENTRATION
FACULTY OF BUSINESS AND COMMUNICATION
SWISS GERMAN UNIVERSITY The Prominence Tower
Jalan Jalur Sutera Barat No. 15, Alam Sutera Tangerang, Banten 15143 - Indonesia
July 2019
Aditya Suryaputra
STATEMENT BY THE AUTHOR
I hereby declare that this submission is my own work and to the best of my knowledge, it contains no material previously published or written by another person, nor material which to a substantial extent has been accepted for the award of any other degree or diploma at any educational institution, except where due acknowledgement is made in the thesis.
Aditya Suryaputra
_____________________________________________
Student Date
Approved by:
Esa Theodore Mbouw, BBA, M.Si
___________________________________________
Thesis Advisor Date
Dr. Nila K. Hidayat SE., MM.
_____________________________________________
Dean Date
Aditya Suryaputra
ABSTRACT
THE IMPACT OF STORE ATMOSPHERE TOWARDS CUSTOMER LOYALTY A CASE STUDY OF TAMPER COFFEE BSD, SERPONG
By
Aditya Suryaputra
Esa Theodore Mbouw, BBA, M.Si, Advisor
SWISS GERMAN UNIVERSITY
Visiting coffee house is now becoming a lifestyle in Indonesia. Because of this, customers do not only choose a coffee house or cafe based on the taste, price, service, quality on the food and beverage but also considering the atmosphere as a place to dine. From business point of view, to win fierce competition in attracting more customers to visit and keep them, differentiation needs to be made. Store atmosphere can become one way to distinguish between competitors. However, some businesses tend to ignore the atmosphere as a marketing tool. This study aims to find the impact of store atmosphere and customer satisfaction as an intervening variable on customer loyalty. This is a quantitative research and uses questionnaire to obtain its data. total of 115 questionnaires are completed from customers who have visited Tamper Coffee BSD for more than once. The data is being processed with IBM SPSS to check the validity and reliability for the pre-test questionnaires. Furthermore, SEM PLS:WarpPLS 6.0 is used to process 115 data from the questionnaires for post – test.
The result of this study shows that store atmosphere has a relationship of 51,1% from store atmosphere towards customer loyalty. This research also provides suggestions for store atmosphere to achieve customer loyalty in Tamper Coffee BSD such as maintaining comfort inside the property so that it will create positive word of mouth and recommendations.
Keywords: Store Atmosphere, Exterior, General Interior, Room Layout, Interior Point of Purchase Display, Customer Satisfaction. Customer Loyalty.
Aditya Suryaputra
© Copyright 2019 by Aditya Suryaputra
All rights reserved
Aditya Suryaputra
DEDICATION
I dedicate my works for the future of the hotelier’s industry and both of my parents.
This is my last piece of work for the bachelor degree my last war from 8th semester in total of 4 years before finally I step in to the real battle field of employment.
Aditya Suryaputra
ACKNOWLEDGEMENTS
First of all, I would like to thank God as He always gives me health, strength, hope and countless patient to encounter all of the obstacles so I can finally complete my bachelor thesis.
Most importantly, I would like to thank my family. Thank you for their endless supports. To my father, thank you for supporting me both in financial and moral. To my mom, thank you for your motivation and encouragement. For my little brother and sister, thank you for being cooperative.
I would also like to thank my thesis advisor, Mr. Esa Mbouw, BBA, M.Si who has been really helpful for these past months. Thank you for your presence, guidance, advice, knowledge, motivation, critics and endless supports throughout the process.
Thank you for bearing with me through the hard times.
My gratitude also goes to Hotel and Tourism Department. Thank you for the support since 2015.
For all my colleagues of HTM batch 2015, thank you for being supportive and cooperative for the last 4 years. Thank you for all the memories. see you all on top!
I would like also to express my gratefulness to the respondents who have involved in this research and referenced authors that gave me more knowledge on new perspective in this research.
Lastly, thank you for all people who have not been mentioned above, thank you for everything
Aditya Suryaputra
TABLE OF CONTENT
STATEMENT BY THE AUTHOR ... 2
ABSTRACT ... 3
DEDICATION ... 5
ACKNOWLEDGEMENTS ... 6
TABLE OF CONTENT ... 7
LIST OF FIGURES ... 10
LIST OF TABLES ... 11
CHAPTER 1 - INTRODUCTION ... 12
1.1 Background ... 12
1.2 Research Problem ... 20
1.3 Research Objectives ... 21
1.4 Research Questions ... 21
1.5 Scope and Limitation ... 21
1.6 Significance of Study ... 21
CHAPTER 2 - LITERATURE REVIEW ... 23
2.1 Theoretical Framework ... 23
2.2 Previous Theories ... 24
2.2.1 Hospitality Industry ... 24
2.2.2 Classification of Food and Beverage Industry ... 26
2.2.3 Open Market Food and Beverage Industry... 27
2.2.4 Marketing ... 28
2.2.5 Marketing in Hospitality ... 29
2.2.6 Marketing Mix ... 30
2.2.7 Store Atmosphere ... 32
2.2.8 Consumer Behaviour ... 39
2.2.9 Buyer Decision Process ... 41
2.2.10 Customers ... 43
2.2.11 Customer Satisfaction ... 44
2.2.12 Customer Loyalty ... 44
2.3 Relationship Between Variables ... 47
2.3.1 Store Atmosphere and Customer Loyalty ... 47
2.3.2 Store Atmosphere and Customer Satisfaction ... 48
2.3.3 Customer Satisfaction and Customer Loyalty ... 48
2.4 Previous Studies ... 49
2.5 Study Differences ... 54
Aditya Suryaputra
CHAPTER 3 – RESEARCH METHODS ... 56
3.1 Type of Study ... 56
3.2 Unit Analysis ... 56
3.3 Population and Sampling Method ... 57
3.3.1 Population and Sample ... 57
3.3.2 Sampling Method ... 57
3.3.3 Sampling Size ... 57
3.4 Types of data & Collection of Data ... 59
3.5 Variable Operationalization ... 60
3.6 Data Analysis Technique ... 63
3.6.1 Pre – Test ... 63
3.6.2 Post – Test ... 65
CHAPTER 4 – RESULTS AND DISCUSSIONS ... 68
4.1 Company’s Profile ... 68
4. 2 Data Respondent ... 70
4.2.1 Gender ... 70
4.2.2 Domicile ... 71
4.2.3 Age ... 72
4.2.4 Monthly Income ... 73
4.2.5 monthly Expenses ... 74
4.2.5 Occupation ... 75
4.3 Validity and Reliability Pre - Test Results ... 76
4.3.1 Store Atmosphere ... 77
4.3.2 Customer Satisfaction ... 79
4.3.3 Customer Loyalty ... 79
4.4 SEM PLS Test ... 80
4.4.3 Validity Test in PLS SEM ... 82
4.4.5 Reliability Test in PLS SEM ... 83
4.4.6 Structural Model Testing (Inner Model) ... 84
4.5 Hypothesis Discussion ... 87
4.5.1 First Hypothesis Discussion ... 87
4.5.2 Second Hypothesis Discussion ... 88
4.5.3 Third Hypothesis Discussion ... 89
CHAPTER 5 – CONCLUSIONS AND RECOMMENDATIONS ... 91
5.1 Conclusions ... 91
5.2 Managerial Implications ... 92
5.3 Further Research ... 94
GLOSSARY ... 96
REFERENCES ... 97
Aditya Suryaputra
APPENDIX 1 – QUESTIONAIRE ... 116
APPENDIX 2 – DATA TABULATION PRE – TEST ... 123
APPENDIX 3 – DATA TABULATION POST – TEST ... 125
APPENDIX 4 – TAMPER COFFEE BSD ... 130
CURRICULUM VITAE ... 134
