The Role of Sustainable Service Quality in Achieving Customer Loyalty in the Residential Housing Industry

Abstract

The aim of this study is to investigate and observe the effect of (1) sustainable service quality on sustainable construction, reliability, assurance, tangible, empathy, responsiveness, customer satisfaction, customer loyalty; (2) customer satisfaction on customer loyalty; and (3) customer satisfaction in mediating the relationship between sustainable service quality and customer loyalty. The investigation of sustainable service quality employed a survey for homeowner from sixty-three housing developer which listed in Indonesia Stock Exchange. This study will use a quantitative approach, where the research data that has been collected will be processed and examined using structural equation modeling (SEM) based on AMOS version 26. There are 215 homeowners assessed for this study. The results of this study revealed that Sustainable Service Quality elements namely sustainability construction, reliability, assurance, tangible, empathy, responsiveness significantly and directly influence customer satisfaction. In addition, customer satisfaction significantly influences customer loyalty. Finally, the significant of this study is to prove that the implementation of sustainability construction and service quality affecting homeowners’ satisfaction and loyalty.