The Effect of Product Quality and Sales Promotion on Customer Loyalty: The Mediating Role of Customer Satisfaction (A Case Study of Saudara Shoe Store)

Dian Ramadani (Universitas Merdeka Malang)
Mohamad Nur Singgih (Universitas Merdeka Malang)
Fitria Earlike Anwar Sani (Universitas Merdeka Malang)

Indonesian Journal of Applied and Industrial Sciences (ESA)
Vol. 5 No. 1 (2026): January 2026

This study investigates the effects of product quality and sales promotion on customer loyalty, with customer satisfaction serving as a mediating variable, at Saudara Shoe Store, contributing empirical evidence to retail marketing literature by clarifying the indirect mechanism linking promotional and quality strategies to loyalty. A quantitative, explanatory design was employed using survey data collected from 290 customers over a three-month observation period. Data were analyzed through Partial Least Squares Structural Equation Modeling (PLS-SEM) to test direct and indirect relationships among product quality, sales promotion, customer satisfaction, and loyalty. Findings reveal that product quality and sales promotion significantly enhance satisfaction, while satisfaction and sales promotion directly strengthen loyalty and mediate indirect effects, implying that integrated quality and promotional strategies are essential for sustaining long-term customer retention.