The Role of Food Quality and Halal Certificates to Improve

Consumer Satisfaction and Loyalty

Walter Tabelessy

Faculty of Economics and Business, Pattimura University, Ambon, Indonesia

Email:  [email protected]

Keywords

ABSTRACT

Food Quality; Halal Certificate; Customer Satisfaction; Consumer Loyalty

This study aims to analyze the role of food quality and halal certificates in increasing consumer satisfaction and loyalty. This research is a type of survey research using questionnaires as the main data collection tool using the 5 Likert Scale Points. The population in this study is Angel Catering consumers. The sample in this study was determined based on the inverse square root method so that a total of 99 respondents were obtained. The sampling technique used is purposive sampling. The data in this study were analyzed using Partial Least Square Structural Equation Modeling (PLS-SEM) with WarpPLS 8.0 application. The results of the data analysis show that all hypotheses proposed are accepted, namely food quality plays a positive role in increasing consumer satisfaction, food quality plays a positive role in increasing consumer loyalty, halal certificates play a positive role in increasing consumer satisfaction, and halal certificates play a positive role in increasing consumer loyalty, and consumer satisfaction plays a positive role in increasing consumer loyalty. Thus, Bidadari Catering must focus more on optimizing the quality of food provided in addition to the role of halal certificates to increase consumer satisfaction and loyalty.

INTRODUCTION

Developments in various aspects of life, one of which is in the culinary field, produce changes in people's behavior, especially in terms of consumer products and services. In line with these developments, there have also been changes in the lifestyle of urban people who tend to prefer something practical and instantaneous. So, this indirectly requires culinary service entrepreneurs to fulfill the wishes of people who follow the trends of the globalization era. With the support of advances in science and technology, society, in general, will make wise, practical, and efficient decisions. The behavior and mindset of this modern society produce challenges for professional culinary entrepreneurs to be responsive in accepting every change that exists, and to get opportunities so that the business they run can develop. In addition, with high routines and work outside the home, urban people cannot pay attention to their body's health needs, such as food and drink, properly, and tend to use services from other parties such as restaurants, food stalls, canteens, and catering to meet these needs.

In the reality of an increasingly competitive culinary business, including the catering business, the role of food quality is very influential on the progress of a food service company in terms of obtaining consumers. Food quality is all the stipulated provisions relating to the quality characteristics of food that are necessary to satisfy the desires and expectations of consumers (Alli, 2003). Food quality has been seen as the main criterion for consumers to judge the performance of a culinary entrepreneur (Ramanathan et al., 2016). Food quality also reflects the overall characteristics of food that are acceptable and satisfying to consumers concerning factors such as appearance, texture, and taste (Villamiel & Méndez-Albiñana, 2022).

In this era of globalization, consumers have become more critical in choosing food that is what they expect, so food quality is very important to increase consumer satisfaction. This statement is confirmed by several previous research results, namely Sochenda (2021) which found that food quality was the second largest driver of fast food consumer satisfaction in Cambodia. Alli (2003) Finding a significant impact of food quality on consumer satisfaction. Similarly, the results of research from Ing (2020), prove that food quality is one of the characteristics that positively affect the satisfaction of restaurant consumers in Sabah. While Uddin (2019) also confirms that food quality has a positive relationship with restaurant consumer satisfaction in Bangladesh.

Correspondingly Richardson (2019) indicate that food quality is the strongest variation to predict fast food consumer satisfaction in the United States. No different, the results of the study Shahzadi (2018) ensure that food quality has a significant effect on consumer satisfaction in luxury restaurants in Pakistan. Furthermore, several research results found that food quality is a factor that can increase consumer loyalty. Njelita (2020) suggests that food quality has a positive relationship with consumer loyalty. The same result is shown by Syarifuddin (2022) which confirms that food quality has a positive and significant effect on consumer loyalty to halal restaurants in North Sulawesi. Based on the description above, the following hypothesis was formulated:

H1: Food quality plays a positive role in increasing consumer satisfaction.

H2: Food quality plays a positive role in increasing consumer loyalty.

In addition to food quality, things that need to be considered by culinary entrepreneurs in Indonesia are the importance of halal food, especially for consumers who are Muslim. Halal comes from the Arabic word "halal", "halaal" which means permissible or permissible (Sharifah Zannierah et al., 2012). While in terms, halal means things that can and can be done because they are not bound by provisions that prohibit (Qardhawi, 2007). In Indonesia itself, a halal product (food, beverages, medicine, etc.) is recognized with a halal certificate. This is regulated based on the Government Regulation of the Republic of Indonesia No. 39 of 2021 concerning the implementation of the field of halal product assurance which states that a halal certificate is an acknowledgment of the halalness of a product issued by the Halal Product Assurance Organizing Agency based on a written halal fatwa issued by the Indonesian Ulema Council

Deep Sharifah Zannierah (2012) It is stated that halal certification is a process in the food supply chain following the rules of Islam and does not allow haram ingredients. With a very large Muslim population, halal certificates are very vital for every food product produced by culinary entrepreneurs. For Muslim consumers, consuming halal food is a fundamental condition for developing, maintaining, and strengthening the overall Islamic lifestyle and identity (Sandikci & Ger, 2010). This halal certificate is also very important for consumers who are not Muslim because they want to consume safe food (Lee et al., 2016).

Therefore, for culinary entrepreneurs, the strategy to gain the trust of consumers is to have a halal certificate Jia (2021); Katuk (2021); Warto (2020) and thus will increase consumer satisfaction. Satisfaction of restaurant consumers in Yogyakarta is positively and significantly influenced by halal certificates. Correspondingly Mursid (2021), Through the results of their research, confirms that restaurants with halal identity affect consumer satisfaction. Similarly, the results of the study Sobari (2022) emphasize that the availability of halal products directly and positively affects consumer satisfaction. Suhartanto (2020) also ensures the same findings, namely religious attitudes on halal products have a direct positive effect on consumer satisfaction in Bandung.

(2018) argues that the texture of halal products will affect the satisfaction of consumers who are Muslim. Halal certificates will also affect consumer loyalty because they feel safe and protected to consume more than once. Sholikhah (2017) underlined that halal certificates have a significant effect on Hoka-Hoka Bento consumer loyalty. Research results Quoquab (2020) Also ensure that the halal logo directly or indirectly affects consumer loyalty. Similarly, the results of research from Syarifuddin (2022) prove that halal certificates have a positive and significant effect on consumer loyalty to halal restaurants in North Sulawesi. Based on the description above, the following hypothesis was formulated:

H3: Halal certificate plays a positive role in increasing consumer satisfaction.

H4: Halal certification plays a positive role in increasing consumer loyalty.

Consumer satisfaction is closely related to meeting needs. Satisfaction is an assessment of the idiosyncrasies of a good or service where consumers feel their needs will be met (Zeithaml et al., 2006). Mentions that consumer satisfaction is the overall feeling of consumers about the product they have purchased. And if the consumer feels happy will tend to be loyal. Consumer loyalty is more often associated with behavior than with attitude. When a person is a loyal consumer, he shows buying behavior defined as non-random purchases that occur periodically.

Research results are supporting this statement, namely from Tabelessy (2023) which found that consumer satisfaction positively and significantly increased consumer loyalty. While in the culinary field, the results of research Gopi (2020) prove that customer satisfaction has a significant relationship with consumer loyalty to food trucks in Malaysia. Research results Souki (2020) ensure that consumer satisfaction positively affects restaurant consumer loyalty in Brazil. Similarly Ing (2020) postulate that consumer satisfaction has a strong influence on the loyalty of restaurant consumers in Sabah. Suhartanto (2020) The results of his research show that consumer satisfaction has a direct positive effect on consumer loyalty in Bandung. Findings Uddin (2019) confirmed that consumer satisfaction is positively related to consumer loyalty to restaurants in Bangladesh. Eventually Carranza (2018) proved also that consumer satisfaction has a positive influence on consumer loyalty to fast food restaurants in Spain. Based on the description above, the following hypothesis was formulated:

H5: Consumer satisfaction plays a positive role in increasing consumer loyalty.

One of the catering businesses in Ambon City is Bidadari Catering which was established in 2001. This catering was chosen in this study because to increase consumer satisfaction and loyalty must provide the best food quality and the most important thing is that this catering has a halal certificate recognized by MUI in 2019. The focus of this research is on catering businesses that in the process of food preparation to serving can interact with consumers who use this catering service. In addition, research on food quality and halal certificates has not been widely conducted in Ambon City, thus this research will add knowledge and literature academically for the management of catering businesses in Ambon City to be able to increase consumer satisfaction and loyalty. Based on the explanation above, the purpose of this study is to analyze the role of food quality and halal certificates to increase consumer satisfaction and loyalty at Bidadari Catering in Ambon City.

METHODS

This study used a survey method to obtain data using a structured questionnaire from samples taken from the population (Nunan et al., 2020). The questionnaire in this study used statements with a 5-point Likert scale (Strongly Disagree (1) to Strongly Agree (5) and was distributed directly to consumers.

The population is a combination of all elements that have a similar set of characteristics, which include the universe for the benefit of marketing research problems (Nunan et al., 2020). The population in this study is Angel Catering consumers. While the sample is a subgroup of the population elements selected for the study (Nunan et al., 2020). Because this study used partial least square structural equation modeling (PLS-SEM), the sample determination applied the inverse square root method (Kock & Lynn, 2012);(Sarstedt et al., 2021). Based on this method, assuming the minimum expected path coefficient at the level of 0.25, the number of samples obtained is 99 respondents. The sampling technique used is purposive sampling with the criteria of male and female consumers, aged at least 18 years, and have loyally used services or consumed Bidadari Catering food at least 2 times in the past year.

The variables studied in this study are measured by statements that have been adjusted and have been valid and reliably sourced from several previous studies. Food quality variables with 5 statements sourced from (Al-Tit, 2015) halal certificate variables with 5 statements sourced from Faturohman (2019), and consumer satisfaction variables with 3 statements sourced from Jalilvand (2017); Rajput (2020), While consumer loyalty with 5 statements sourced from (Suhartanto et al., 2020).

RESULTS

This study is based on questionnaires from 99 respondents with the following profiles: the majority of respondents a total of 67 (67%) are women, 49 (49%) are aged between 30-40 years and work as civil servants (PNS) 36 (36%).

A. Measurement Model

Table 1

Reliability Test Results

Variable	Composite Reliability (CR)	Dijkstra's PLSc Reliability
Food Quality	0,871	0,843
Halal Certificates	0,874	0,905
Consumer Satisfaction	0,843	0,736
Consumer Loyalty	0,863	0,831

Source: Data Processing Results, 2023

Composite Reliability (CR) value guidelines according to Sarstedt (2021) and Dijkstra's PLSc Reliability value according to Dijkstra (2015) must be greater than 0.7. Based on the test results in Table 1, it can be concluded that all variables have good reliability.

Table 2

Convergent Validity Test Results

Variable	Average Variance Extracted (AVE)
Food Quality	0,575
Halal Certificates	0,590
Consumer Satisfaction	0,643
Consumer Loyalty	0,559

Source: Data Processing Results, 2023

The guideline Heterotrait–Monotrait (HTMT) value according to Dijkstra (2015) should be smaller than 0.90, and Hair (2019) should be smaller than 0.85. Based on the test results in Table 3, it can be concluded that all variables have good discriminant validity.

B. Structural Model

Before evaluating structural models, collinearity checks must be carried out by taking into account the Variance Inflation Factor (VIF) value to ensure that there are no biased results (Sarstedt et al., 2021).

Table 3

collinearity test results

Variable	Variance Inflation Factor (VIF)
Food Quality	1,936
Halal Certificates	1,633
Consumer Satisfaction	1,549
Consumer Loyalty	2,085

Source: Data Processing Results, 2023

Values guidelines Variance Inflation Factor (VIF) idealnya lebih rendah dari 3 (Sarstedt et al., 2021). Berdasarkan hasil pengujian pada tabel 4 maka dapat disimpulkan bahwa tidak terjadi masalah kolinearitas dalam model penelitian ini.

Figure 1 Structural Model

Table 4

R-Square Test Results

Variable	R-Square
Consumer Satisfaction	0,332
Consumer Loyalty	0,573

Source: Data Processing Results, 2023

The R-Square (R2) value guideline in modeling consists of 0.75, 0.50, and 0.25 which means strong, moderate, and weak (Hair & JJ, 2019). Table 5 proves that all R2 values in this study are on the moderate criteria.

Table 5

Hypothesis Testing Results

Hypotheses	Path Coefficient	P-Values	Note
FQ -> CS	0,310	<0,001	Accepted
FQ -> CL	0,467	<0,001	Accepted
HC -> CS	0,351	<0,001	Accepted
HC -> CL	0,210	0,015	Accepted
CS -> CL	0,221	<0,011	Accepted

Source: Data Processing Results, 2023

Table 6, proves the results of testing against the hypotheses proposed at the level of significance level 5%, thus all hypotheses (H1-H5) in the study can be accepted, namely: (H1): food quality plays a positive role in increasing consumer satisfaction, (H2): food quality plays a positive role in increasing consumer loyalty, (H3): halal certificates play a positive role in increasing consumer satisfaction, and (H4): halal certificates play a positive role in increasing consumer loyalty, and (H5): consumer satisfaction plays a positive role in increasing consumer loyalty.

C. Food Quality Plays a Positive Role in Increasing Consumer Satisfaction

The first hypothesis of this study is to analyze the positive role of food quality to increase consumer satisfaction with Bidadari Catering in Ambon City. The results of the analysis using SEM-PLS using the WarpPLS 8.0 application prove significantly that food quality plays a positive role in increasing consumer satisfaction. Consumers who use this catering service consider that the caterer has provided fresh food because it uses the best ingredients to be enjoyed by consumers and served attractively. The freshness of the food provided is also inseparable from the delicious taste because in processing the cuisine using good quality cooking utensils and quality spices. The caterer also pays attention to the nutrients contained in cooking, for example not using preservatives and cooking thoroughly enough so that the nutritional levels in the food are maintained. The caterer also provides a variety of food offered to consumers with several choices of price packages that can be adjusted to the budget and consumers are given the freedom to choose the menu ordered according to consumer tastes and can order other menus if the food menu is not in the brochure provided.

The fragrant aroma is also an integral part of the food provided by the caterer because the caterer knows that a fragrant aroma, will arouse the appetite of consumers. These things increase consumer satisfaction because the caterer has provided the best quality food and exceeds the expectations of the consumers themselves. This result is supported by the results of previous studies, namely by(Ing et al., 2020);(Richardson et al., 2019);(Shahzadi et al., 2018);(Sochenda, 2021);(Uddin, 2019).

D. Food Quality Olays a Positive Role in Increasing Consumer Loyalty

The second hypothesis of this study is to analyze the positive role of food quality to increase consumer loyalty to Bidadari Catering in Ambon City. The results of the analysis using SEM-PLS using the WarpPLS 8.0 application prove significantly that food quality plays a positive role in increasing consumer loyalty. The freshness of food and good presentation make consumers decide that no caterer can provide the best quality food other than this catering. The deliciousness felt by consumers through the quality of food provided by this catering, makes consumers feel this gives an advantage compared to using other catering services because not necessarily other caterers can provide the same deliciousness according to taste.

The nutritious food provided also convinces consumers to still choose and use this catering service even though other caterers offer cheaper prices. It also confirms that consumers pay more attention to nutrition from food consumed because it will affect health in the future. A varied menu is offered, making consumers willing to become regular customers because, with the variety of existing menus, consumers have many choices so as not to cause boredom. This catering also has a distinctive aroma in the food served and consumers need to make this catering as the main choice. These things increase consumer loyalty because the caterer has provided the best quality food and consumers have been immune to switching to using other catering services. This result is supported by the results of previous studies, namely by (Njelita & Anyasor, 2020);(Syarifuddin et al., 2022).

E. Halal Certificate Plays a Positive Role in Increasing Consumer Satisfaction

The third hypothesis of this study is to analyze the positive role of halal certificates to increase consumer satisfaction with Bidadari Catering in Ambon City. The results of the analysis using SEM-PLS using the WarpPLS 8.0 application prove significantly that halal certificates play a positive role in increasing consumer satisfaction. The existence of a halal certificate based on a written halal fatwa issued by the Indonesian Ulema Council on catering is very important for consumers, especially for those who are Muslim because this certificate provides a guarantee that the food provided is halal.

Ownership of halal certificates is also a reason for consumers to be more confident Using this catering service is because not necessarily all caterers have a halal certificate. Through this halal certificate, consumers get the right information about how the process of purchasing kitchen ingredients, choosing containers for cooking, choosing the right seasonings, to the stage of serving for consumption. And with a halal certificate, consumers are confident that this catering has gone through stages and is evaluated by the Indonesian Ulema Council. Thus, the possession of halal certificates plays a role in increasing consumer satisfaction. This result is supported by the results of previous studies, namely by (Mursid & Wu, 2021);(Olya & Al-Ansi, 2018);(Sobari et al., 2022);(Suhartanto et al., 2020).

F. Halal Certificate Plays a Positive Role in Increasing Consumer Loyalty

The fourth hypothesis of this study is to analyze the positive role of halal certificates to increase consumer loyalty to Bidadari Catering in Ambon City. The results of the analysis using SEM-PLS using the WarpPLS 8.0 application prove significantly that halal certificates play a positive role in increasing consumer loyalty. Ownership of halal certificates is the main thing and part of the service provided by catering to consumers. For consumers, especially those who are Muslim, this catering has added value because halal certificates provide their advantages compared to other caterers. With the halal certificate, consumers will not move to use other catering even at a lower cost. In the end, the halal certificate gives confidence in consumers to continue to make this catering their main choice. Thus, halal certificates increase consumer loyalty. This result is supported by the results of previous studies, namely by (Quoquab et al., 2020);(Sholikhah, 2017);(Syarifuddin et al., 2022).

G. Consumer Satisfaction Plays a Positive Role in Increasing Consumer Loyalty

The fifth hypothesis of this study is to analyze the positive role of consumer satisfaction to increase consumer loyalty to Bidadari Catering in Ambon City. The results of the analysis using SEM-PLS using the WarpPLS 8.0 application prove significantly that consumer satisfaction plays a positive role in increasing consumer loyalty. The satisfaction felt by consumers with the good quality of food and halal certificates owned by this caterer makes consumers will reuse this catering service in the future. This also shows that these catering consumers have received a positive impression so that the impression is not easily forgotten to continue to faithfully use this catering service with certain behaviors, such as using this catering service regularly if needed, ordering all types of food, recommending to others, and immune to the appeal of competitors. This result is supported by the results of previous studies, namely by (Carranza et al., 2018);(Gopi & Samat, 2020);(Ing et al., 2020);(Souki et al., 2020);(Suhartanto et al., 2020);(Uddin, 2019).

CONCLUSION

This research is empirical research that analyzes the role of food quality and halal certificates to increase consumer satisfaction and loyalty at Bidadari Catering in Ambon City. The results found that food quality and halal certification increased consumer satisfaction and loyalty. When consumers judge that the quality of food is good, it will increase consumer satisfaction and loyalty. Similarly, halal certification will increase consumer satisfaction and loyalty. Furthermore, satisfaction will also increase consumer loyalty. Therefore, it can be concluded that all hypotheses proposed in the study are acceptable.

This research has limitations, which is only carried out on one catering business in Ambon City and the sample is consumers who use Bidadari Catering. So in principle, this research is limited to the number of research objects and data collection time. For further research, it is recommended to expand the research area with a larger number of caterers.

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