Abstract

Drinking coffee has currently become one of the new lifestyles of young people in Yogyakarta and the increasing coffee shop business facilitates tight competition. The previous research on coffee shops focused on service quality or customer satisfaction analysis. Due to the changing of the business environment, elaborating how customers decide to buy coffee shop product is important. Therefore, this research aims to examine the influence of service quality and brand image on the purchase decisions of coffee shop products. A quantitative approach of multiple regression analysis was used, while the samples were three coffee shops in Yogyakarta with different characteristics such as the length of service experience, location, and shop size. The result showed that both service quality and brand image significantly influenced purchase decisions. The service quality significantly influenced the 3 shops, but only 1 was influenced by brand image. Hence, service quality and brand image are useful for coffee shops with certain characteristics such as the business location.

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