THE ROLE OF TRUST IN MEDIATING THE EFFECT OF EWOM AND SHOPPING EXPERIENCE ON CUSTOMER LOYALTY

Customer loyalty is important in marketing because it represents the desire of customers, employees or friends to make personal investments or sacrifices to strengthen the relationship between them. The purpose of this study is to determine the role of trust in mediating the effect of eWOM and shopp...

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Bibliographic Details
Main Authors: Wibawa I G.A.S., Setiawan P.Y.
Format: Article
Language:English
Published: Russian Journal of Agricultural and Socio-Economic Sciences 2021-06-01
Series:Russian Journal of Agricultural and Socio-Economic Sciences
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Description
Summary:Customer loyalty is important in marketing because it represents the desire of customers, employees or friends to make personal investments or sacrifices to strengthen the relationship between them. The purpose of this study is to determine the role of trust in mediating the effect of eWOM and shopping experience on customer loyalty to Tokopedia application users in Denpasar. The subjects of this research are Tokopedia users, the questionnaires were distributed to 105 respondents through online media by first compiled in a Google-form link format. Determination of the sample using a non-probability sampling method, namely purposive sampling. The data were analyzed using the SEM-PLS technique. The results of this study show that eWOM has a positive and significant effect on customer loyalty, eWOM has a positive and significant effect on trust, shopping experience has a positive and significant effect on customer loyalty, shopping experience has a positive and significant effect on trust, trust has a positive and significant effect on customer loyalty, trust able to mediate the effect of eWOM on customer loyalty, and trust is able to mediate the effect of shopping experience on customer loyalty. The practical implication that can be given from the research findings is that this study can be used as a basic model to evaluate Tokopedia's strategy for eWOM, shopping experience, trust, and customer loyalty. Based on the results of statistical data, that among the three variables that affect customer loyalty, the eWOM variable has the highest path coefficient, which can be a reference for Tokopedia management in making strategies to increase customer loyalty.
ISSN:2226-1184