An Analysis of the effect of service quality on Guess Satisfaction and Loyalty of Hotel AB in Balikpapan

Abstract

This study was conducted to determine the effect of service quality dimensions on guest satisfaction and guest loyalty of AB Hotel in Balikpapan. Analysis model used in the study was based on the influence of service quality to customer satisfaction and loyalty. Service quality model in this study was adapted from the SERVQUAL model of Zeithmal et al., (2011), which consists of five main dimensions, namely: Reliability, Responsiveness, Assurance, Empathy and Tangible. Furthermore, measurements of the SERVQUAL dimensions adapted from Tjiptono and Chandra (2011). Customer satisfaction model used in this study was adapted from Lovelock and Wirtz (2011), which explains that customer satisfaction is shown through three types of satisfaction, namely: satisfaction with the product/service, satisfaction with the services and satisfaction on performance of employees in general. On the other hand, the customer loyalty model in this study was adapted from Zeithmal et al. (2011), which explains that the loyalty shown by the existence of three types of behavior, namely: repeated visits, have a high retention of the company and provide a reference point to others. Researchers used quantitative descriptive research. The population in this study was the guests who stay at the Hotel AB Balikpapan, as many as 2,289 by the end of December 2014, with the samples used were 100 persons. The analysis technique used in this research is Structural Equation Modeling (SEM) using AMOS program ver.20. The results of the study indicate that service quality (SERVQUAL) have a positive effect on guest satisfaction of Hotel AB, guess satisfaction have a positive effect on guest loyalty of Hotel AB, and service quality (SERVQUAL) have a positive significant effect on guess loyalty of Hotel AB.