Attribution-ShareAlike 4.0 International (CC BY-SA 4.0)
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https://doi.org/10.46799/ijssr.v4i01.7095
This%work%is%licensed%under%a%Attribution-ShareAlike%4.0%International%(CC%BY-SA%4.0)
The$Impact$of$Brand$Image$and$Service$Quality$on$Customer$
Loyalty,$with$Customer$Satisfaction$as$A$Mediator$
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The5study5conducted5at5PT5Kennametal5Indonesia,5a5cutting5 tool5
industry5company5under5the5Kennametal5brand,5aimed5to5assess5
the5impact5of5brand5image5and5 service5quality5on5customer5loyalty,5
specifically5 focusing5 on5 customer5 satisfaction5 as5 a5 potential5
mediator.5 Employing5 an5 empirical5 study5 approach,5 data5 were5
gathered5 via5 a5 questionnaire5 distributed5 to5 randomly5 selected5
customers.5 This5 resulted5 in5 1115 sets5 of5 received5 data,5 with5 1065
deemed5 suitable5 for5 analysis5 out5 of5 the5 2005 distributed5
questionnaires.5 SMART5 PLS5 3.05 was5 utilized5 to5 explore5 the5
relationships5 between5 independent5 variables5 (brand5 image5 and5
service5 quality)5 and5 the5 dependent5 variable5 (customer5 loyalty)5
while5evaluating5the5mediating5role5of5customer5satisfaction.5The5
findings5 revealed5 that5 the5 service5 quality5 of5 PT5 Kennam e tal5
Indonesia5did5 not5 significantly5impact5customer5loyalty5 towards5
cutting5 tools,5 and5 a5 similar5 lack5 of5 significant5 influence5 was5
observed5for5brand5image.5It5is5crucial5to5emphasize5that5the5term5
"not5 significantly5impact"5 indicates5the5 absence5of5 a5statistically5
significant5 relationship5 between5 service5 quality5 or5 brand5 image5
and5 customer5 loyalty.5 However,5 a5 positive5 and5 significant5
correlation5emerged5between5brand5image5and5service5quality5in5
relation5 to5 customer5 satisfaction.5 Consequently,5 customer5
satisfaction5emerged5as5a5substantial5factor5positively5influencing5
loyalty.5 Furthermore,5 customer5 satisfaction5 was5 identified5 as5 a5
partial5 mediator5 in5 both5 the5 relationship5 between5 brand5 image5
and5custom er5loyalty5and5the5relationship5between5service5quality5
and5customer5loyalty.5To5enhance5result5interpretation,5 providing5
effect5sizes5or5correlation5coefficients5would5offer5a5 more5nuanced5
understanding5of5the5observed5relationships.5
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