The influence of the ride hailing apps loyalty program on customer loyalty: A case study in Indonesia

Abstract

Gojek is one of the most popular ride-hailing companies in Indonesia. It has recently started innovations in developing its loyalty program; therefore, analyzing its impact on customer satisfaction and loyalty is an area that has the scope and need for research. This study aims to determine whether Gojek’s loyalty program, GoClub, influences the loyalty of its customers. For this study, online questionnaires were used with 555 respondents. The data were then processed using partial least squares structural equation modeling. Interviews with 20 respondents were also conducted to understand in detail the reasons for the rejection of the hypotheses. The results of the data analysis showed that the customers’ perceived quality of information, service, system, and value of the Gojek app significantly affected their level of satisfaction in using the GoClub loyalty program. This study also found that customers’ attitudes, subjective norms, and perceived behavioral control also influenced their loyalty to Gojek app. Furthermore, no relation was found between customers’ satisfaction in using the GoClub loyalty program and their loyalty to the Gojek application where millennial loyalty on certain app in Indonesia is very low. The findings of this study can help ride-hailing companies understand the factors that increase customers’ loyalty to such companies.