Analysis of Factors Affecting Consumer Satisfaction and Loyalty toward Bulog Rice in Mojokerto Regency

Andru Armana, Teguh Soedarto, Dita Atasa

Abstract


The current problem faced by BULOG is the low consumer interest in Bulog rice compared to other commercial brands, influenced by issues such as quality, limited distribution, price fluctuations, and a still-weak brand image. This situation poses a challenge for Bulog in maintaining consumer satisfaction and loyalty amid increasingly competitive rice markets. The main objective of this study is to examine the factors influencing consumer satisfaction and loyalty toward Bulog rice in Mojokerto Regency. The study was conducted from February to April 2025, focusing on maintaining consumer satisfaction and loyalty amid a tightening rice market competition. Accidental sampling was used, with 100 respondents. Data analysis was performed using Structural Equation Modeling with Partial Least Squares (SEM-PLS), emphasizing variables such as quality, price, agent services, sales location, and brand image. The findings indicate that not all variables significantly affect consumer satisfaction or loyalty. Quality, service, and location positively contribute to increased satisfaction, which in turn fosters consumer loyalty. In contrast, price has no significant effect on loyalty, while brand image does not significantly influence satisfaction. Bulog needs to innovate, particularly regarding pricing and brand image, to ensure the continued consumption of its rice among consumers. This study provides empirical evidence on how quality, service, and location influence consumer satisfaction and loyalty in the rice retail sector, highlighting the limited impact of price and brand image for staple food products in competitive markets.

Keywords


Bulog Rice, Consumer Loyalty, Consumer Satisfaction, Price, SEM PLS

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References


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DOI: http://dx.doi.org/10.25157/ma.v12i1.21738

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