Price Determines Customer Loyalty in Ride-Hailing Services


The following is an article that was published in the American Journal of Humanities and Social Sciences Research (AJHSSR), Volume 4- Issue 3 (March 2020) — please see number 57). It is an international, blind peer-reviewed, open access online journal. Please see the following link to access full article (click here).

 

Price Determines Customer Loyalty in Ride-Hailing Services.”

Syafiq Basri Assegaff and Stanley Oktavianus Pranoto.

gojek-vs-grab-5cb5847995760e07e66d9d82
ride-hailing in Indonesia: Gojek and Grab.

ABSTRACT: Not long after Uber left the business in Indonesia in 2018, increasing numbers of ride-hailing users in Indonesia have been dominated by Gojek and Grab, with more than 100 million users downloaded each of their applications. We don’t know how the recent Covid-19 pandemic — when governments urged people to work from home and applying social distancing — will affect ride-hailing businesses, but this research aims to find out which dominant factors influence customer loyalty in ride-hailing service in Surabaya, Indonesia. Data have been collected using questionnaires from 400 participants in Surabaya by simple random sampling which then processed using SPSS 25.00. This research applies models of service quality, service benefit, price, corporate image, system quality, consumer (or customer) satisfaction, and consumer loyalty, which are important for the companies to be competitive. Results show that, compared to other four factors, price becomes the most dominant factor that influences customer loyalty. It is hoped that results of this study will give further insight into the ride-hailing services particularly in filling the gap of the relationship between these variables and customer loyalty, as much as they can be useful for business communities to ponder about the importance of customer loyalty in determining better business performance. To enrich the findings, further study can be developed using the above variables to investigate longer users in various other cities.

KEYWORDS: customer loyalty, customer satisfaction, price, public transportation, ride-hailing.

For complete article, please download this link:

Assegaff, Pranoto – Price and Customer Loyalty in Ride Hailing Services – AJHSSR

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