Analysis of Factors Influencing Consumers in using Loyalty Rewards Programs in Indonesian Convenience Stores using Binary Logistic Regression Method
Main Article Content
Abstract
This research aims to analyze the factors that influence consumers in using loyalty rewards programs at minimarket retailers in Indonesia. With the backdrop of intense competition in the retail sector, loyalty rewards programs have become one of the main strategies to enhance customer loyalty. This study adopts a quantitative approach using binary logistic regression method to evaluate the influence of the Product, Price, Promotion, and Process variables from the 7P marketing concept on consumer participation. Data were obtained through an online survey of 148 respondents who are consumers of minimarkets with access to the loyalty rewards program. The analysis results show that the Price variable (represented by psychological loyalty), Promotion (represented by product information), and Process (represented by user-friendliness and repeat purchase) have a significant influence on the use of the program. The resulting regression model shows an accuracy of 81.8%, with these variables being the main predictors. The conclusion of this research emphasizes the importance of developing strategies that strengthen the emotional value of the program, optimize promotions, and simplify the program usage process to enhance the effectiveness of the loyalty rewards program. Practical recommendations include exclusive offers for loyal customers, promotions using various digital channels, and integrating the Loyalty Rewards program with digital applications or payment systems to make it easier for consumers to monitor and redeem points, in order to create sustainable added value for both customers and the company.
Downloads
Article Details
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
References
Armstrong, G., Kotler, P., & Opresnik, M. O. (2023). Marketing: An Introduction (15th ed.). Pearson.
Chaudhuri, A., & Holbrook, M. B. (2001). The Chain of Effects from Brand Trust and Brand Affect to Brand Performance: The Role of Brand Loyalty. Journal of Marketing, 65(2), 81-93.
Data Indonesia. (2023). Data Jumlah Toko Retail di Indonesia Menurut Jenis 3 Tahun Terakhir Hingga 2023. Data Indonesia. https://dataindonesia.id/industri- perdagangan/detail/data-jumlah-toko-retail-di-indonesia-menurut-jenis-3-tahun-terakhir- hingga-2023
Faisal, F., Sari, I. R., Saraswati, I., & Heikal, J. (2024). Analisis Pengaruh Karakteristik Produk terhadap Niat Beli Ulang Pelanggan Menggunakan Metode Regresi Logistik Biner. AKADEMIK: Jurnal Mahasiswa Humanis, 4(3), 1182-1190.
Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2010). Multivariate Data Analysis (7th ed.). Pearson.
Hendrawan, E., Zakaria, D., Salwa, E., & Heikal, J. (2024). Customer Renewal Prediction for Motor Vehicle Insurance Using Binary Logistic Regression in PT XYZ Insurance. Innovative: Journal Of Social Science Research, 4(6), 2311-2320.
Hoyer, W. D., MacInnis, D. J., & Pieters, R. (2021). Consumer Behavior (8th ed.). Cengage Learning.
Isfan Ferli, Raden Maart Adi Waskita, Rama Rizqullah Fahrizal, & Jerry Heikal. (2024). Binary Logistic Regression Methodology to Determine the Factors that Influence the Decision to Open a Siginjai Savings Account at Bank XYZ. Journal on Education, 07(01), 2407-2416.
Kantar. (n.d.). Brand Buying Loyalty: What Makes Consumers Go Back Again and Again. Kantar. https://www.kantar.com/inspiration/consumer/brand-buying-loyalty-what- makes-consumers-go-back-again-and-again
Kementerian Koordinator Bidang Perekonomian. (2023). Miliki Kontribusi Signifikan bagi Perekonomian Nasional, Menko Airlangga Berharap Sektor Retail jadi Tulang Punggung. Kemenko Perekonomian Republik Indonesia. https://www.ekon.go.id/publikasi/detail/5715/miliki-kontribusi-signifikan-bagi- perekonomian-nasional-menko-airlangga-berharap-sektor-retail-jadi-tulang-punggung-
Kim, J., Steinhoff, L., & Palmatier, R. W. (2021). An Emerging Theory of Loyalty Program Dynamics. Journal of the Academy of Marketing Science, 49(1), 71-95. https://digital.lib.washington.edu/server/api/core/bitstreams/14ec58ef-4ee7-44bd-8523- 2ebe4282e68d/content
Kotler, P., & Keller, K. L. (2022). Marketing Management (16th ed.). Pearson Education. Kurniawan, H., Julian, A., Givianty, V. T., & Heikal, J. (2024). Analisis Faktor-Faktor yang Mempengaruhi Keputusan Take Home Credit Menggunakan Binary Logistic Regresi. Journal of Economic, Bussines and Accounting (COSTING), 7(6), 544-557.
Nagle, T. T., Hogan, J. E., & Zale, J. (2021). The Strategy and Tactics of Pricing: A Guide to Growing More Profitably (6th ed.). Routledge.
NielsenIQ. (2024). Unlocking Retail Success: Monetizing Customer Loyalty Program Data. NielsenIQ. https://nielseniq.com/global/en/insights/education/2024/unlocking-retail- success-monetizing-customer-loyalty-program-data/
Oliver, R. L. (1999). Whence Consumer Loyalty? Journal of Marketing, 63(Special Issue), 33-44.
Pangestuti, I., & Heikal, J. (2024). Analisis Faktor-Faktor yang Mempengaruhi Keputusan Pembelian Kopi Tomoro dengan Menggunakan Regresi Biner Logistik untuk Menentukan Strategi Pemasaran yang Tepat. Ranah Research: Journal of Multidisciplinary Research and Development, 6(5), 2173-2181.
Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1988). SERVQUAL: A Multiple-Item Scale for Measuring Consumer Perceptions of Service Quality. Journal of Retailing, 64(1), 12-40.
Reichheld, F. F. (2003). The One Number You Need to Grow. Harvard Business Review, 81(12), 46-54.
Riyani, S., Kristianto, F., Wulandari, R., & Heikal, J. (2024). Penerapan Metode Regresi Logistik Biner dengan Menggunakan Phyton untuk Menganalisa Pengguna Media Sosial terhadap Probabilitas Pembukaan Rekening Pada Bank X. Scientific Journal of Reflection: Economic, Accounting, Management and Business, 7(2), 438-449.
Sharp, B., & Sharp, A. (1997). Loyalty Programs and Their Impact on Repeat-Purchase Loyalty Patterns. International Journal of Research in Marketing, 14(5), 473-486. https://www.academia.edu/12802020/Loyalty_Programs_and_their_Impact_on_Repeat_ Purchase_Loyalty_Patterns_a_replication_and_extension
Suheni, S., & Heikal, J. (2024). Prediction Of Employee Disciplinary Punishment At The Departmen Of Agriculture Payakumbuh City Through Approach Binary Logistic Regression. Journal of Business Economics and Management| E-ISSN: 3063-8968, 1(2), 133-138.
Watugilang, A., & Heikal, J. (2024). Pengaruh Kualitas Jasa Servis terhadap Kepuasan Pelanggan Perusahaan Servis Kalibrasi Alat Survey Geomatika di Jakarta dengan Binary Logistic Regression. Indonesian Research Journal on Education, 4(4), 79-83.
Wisnu, Y. O. (n.d.). Profil FamilyMart, Minimarket asal Jepang. IDN Times. https://www.idntimes.com/business/economy/yogama-wisnu-oktyandito/profil- familymart-minimarket-asal-jepang#:~:text=Gerai%20pertama%20FamilyMart%20di%20Indonesia,yang%20tersebar%20di%20sejumlah%20daerah
Zeithaml, V. A., Bitner, M. J., & Gremler, D. D. (2020). Services Marketing: Integrating Customer Focus Across the Firm (7th ed.). McGraw-Hill Education.
Zulfahmi, M. R. Y., & Heikal, J. (2024). Analisis Prediksi financial Distress Perusahaan Industri Kimia Dasar. Jurnal Mirai Management, 9(1), 488-505.