Effect of Price, Risk, and Service Quality to Customer Satisfaction by Considering Demographics as a Moderating Variable in A Coffee Shop Business

Abstract

Customer satisfaction is one aspect that needs to be considered to win the competition. Currently, competition occurs in the coffee shop industry in Indonesia. Previous research states that customer satisfaction is influenced by variables including price, risk, service quality, and demographics as moderating variables. The purpose of this study is to examine the effect of price, risk, service quality, and demographics on customer satisfaction using PLS-SEM. The object of this research is a coffee shop in Pekanbaru, Riau City. The data collection technique used was a questionnaire. The number of research respondents was 218. The test results show that price, risk, and service quality have a significant positive effect on customer satisfaction. Price has a significant positive effect on risk and service quality. Meanwhile, demographics do not moderate the relationship between price, service quality, and customer satisfaction.