When Service Quality Has a Greater Influence on Customer Satisfaction than Promotion: Empirical Study on Galvalum Companies

Abstract

In the contemporary retail landscape, understanding the intricate relationships between promotional methods, service quality, and customer satisfaction is imperative for businesses striving to navigate a competitive environment. This research, conducted at Galvalum Store, contributes to the broader discourse on retail management and marketing by investigating the specific dynamics at play within this unique retail setting. The empirical analysis reveals that, at the Galvalum Store, promotion does not exhibit a statistically significant effect on customer satisfaction. Conversely, the study establishes a robust and statistically significant relationship between service quality and customer satisfaction at the Galvalum Store. Furthermore, the simultaneous effects of promotion and service quality on customer satisfaction are analyzed, revealing that both variables collectively impact customer satisfaction. The coefficient of determination, while indicating a moderate predictive power of 63.2%, suggests that there may be additional variables influencing customer satisfaction that warrant further exploration. The study recommends incorporating qualitative methods, such as customer surveys or interviews, to provide contextual insights and enrich the quantitative findings. In conclusion, this research contributes to the understanding of customer satisfaction dynamics at the Galvalum Store, shedding light on the specificities of promotional and service-related influences. The findings offer actionable insights for businesses seeking to optimize their retail strategies and enhance customer satisfaction in a dynamic and competitive market environment.