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All Journal Al-Kharaj: Journal of Islamic Economic and Business
Lukman Iskandar
University of Muhammadiyah East Kalimantan, East Kalimantan, Indonesia
Economics, Econometrics & Finance

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How the Influence of Brand Equity, Perceived Quality on Loyalty, Mediated Trust and Customer Satisfaction: Foodservice Sector in Indonesia Lukman Iskandar; Muhammad Risal; Fenty Fauziah
Al-Kharaj: Journal of Islamic Economic and Business Vol. 8 No. 4 (2026): All articles in this issue include authors from 3 countries of origin (Indonesi
Publisher : LP2M UIN Palopo

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Abstract

This research seeks to examine the impact of brand equity and perceived quality on customer loyalty, with customer trust and customer happiness serving as mediating factors among patrons of Cafe & Resto the Bahagia in Bontang City. The cafe and restaurant sector in Indonesia is undergoing notable post-pandemic changes, necessitating a marketing approach that may enhance client loyalty sustainably. The study used a quantitative methodology with a proportionate random sample strategy, including 375 participants. Data analysis was conducted via Structural Equation Modeling with Partial Least Squares (SEM-PLS). Based on SEM analysis, this research tested confirmatively, to provide a sequential explanation of customer trust that creates loyalty in the foodservice sector. The research found that brand equity and perceived quality positively affect customer loyalty. Perceived quality drives customer trust, contentment, and loyalty. Client trust greatly affects customer satisfaction but not loyalty. Customer happiness is the main factor in customer loyalty. Additional research shows that brand equity does not greatly affect consumer trust, although it does impact early customer opinions. All external factors significantly affect customer loyalty, directly and indirectly via mediating variables. This research establishes that consumer loyalty in the restaurant sector is mostly shaped by real experience and service quality rather than only by brand perception; hence, business stakeholders must emphasize enhancing service quality and customer satisfaction.
Co-Authors Fenty Fauziah Muhammad Risal