What Drives Customer Satisfaction in Catering: Evidence from Palangka Raya

Abstract

The catering business in Palangka Raya is increasingly competitive, so it demands that business people maximize business performance to be able to compete. This study aims to analyze product quality and service quality provided by Catering Aulia on customer satisfaction. Using a quantitative approach, this sample was taken by using the purposive sampling technique. In total, 92 respondents Catering Aulia. Catering Aulia’s customers consist of various government agencies from the province of Kalimantan Tengah, government agencies from the city of Palangka Raya, and the private sector around Palangka Raya. Data is processed using Statistical Product and Service Solutions (SPSS) 26. Catering Aulia continues to innovate in creating superior products in terms of taste, packaging and food menus and is no exception with responsive and reliable service in every activity. Based on the findings, it shows that customers are satisfied with the products and services provided at Aulia Catering. what Aulia Catering provides exceeds the expectations perceived by customers. Product quality has a positive and significant effect on customer satisfaction at Catering Aulia. This is evidenced by the t-count value of 5.517 with a significance level of 0.000 0.05; and a regression coefficient of 0.287. The effective contribution of product quality to customer satisfaction is 41.2%. Service quality has a positive and significant effect on customer satisfaction of Catering Aulia. This is evidenced by the t-count value of 3,801 with a significance level of 0.000 0.05; and a regression coefficient of 0.265. The effective contribution of product quality to customer satisfaction is 27%. The results simultaneously show that product quality and service quality have a positive and significant effect on customer satisfaction. The magnitude of the influence of product and service quality variables on customer satisfaction is 68.3%. This research contributes empirically to the description of customer satisfaction at Aulia Catering in Palangka Raya. The findings explain that product quality has a higher influence on customer satisfaction by 41.2%, while service quality is 27.1%.