The Effect of Relationship Marketing on Consumer Loyalty in Local Fast-Food Restaurants in Yogyakarta

Abstract

There are many local fast-food restaurants in Yogyakarta. So far, they have survived and grown because they offer low prices. However, to continue to survive it will not be enough to provide low prices because consumers who are sensitive to price tend to switch to other brands if other brands provide lower prices. One way to keep customers loyal is to implement relationship marketing. Therefore, this research investigated the effect of relationship marketing on consumer loyalty. The data were acquired from local fast-food customers via a questionnaire; 136 responses were collected. The data were processed using SEM analysis techniques through the Warp-PLS 7.0 analysis tool. The results showed that trust, communication, and commitment positively and significantly affected consumer loyalty. On the other hand, handling conflict had a positive but insignificant effect on consumer loyalty. Keywords: relationship marketing, consumer loyalty, fast food