Effect of Each Marketing Mix Element

Oct 13, 2025 by orovajewels.com 20 views

Introduction

In today's competitive market, businesses are constantly seeking ways to maintain and increase customer loyalty. One of the key strategies used by businesses is the marketing mix, which consists of seven elements: product, price, place, promotion, people, physical evidence, and process. This study aims to analyze the influence of these marketing mix elements on customer loyalty at Bambu IAM stalls in Binjai. By understanding the impact of each element, businesses can develop effective marketing strategies to build strong relationships with their customers.

Background of the Study

Bambu IAM in Binjai is a rapidly growing culinary business that has gained popularity among locals and tourists alike. To maintain and increase customer loyalty, the owner of this stall applies various strategies in the marketing mix. However, the effectiveness of these strategies is still unknown, and this study aims to fill this knowledge gap.

Methodology

This study used a quantitative approach, collecting data from 100 respondents who had come to eat and drink at the bamboo stalls more than twice. The data was analyzed using multiple regression methods, including instrument testing, descriptive analysis, and quantitative methods such as classical assumption tests, multiple regression analysis, and hypothesis testing (F test and T test).

Results

The results of the analysis showed that all independent variables, namely the product (X1), price (X2), place (X3), Promotion (X4), People (X5), Physical Evidence (X6), and Process (X7), had a positive and significant effect on customer loyalty (Y). The coefficient value indicated that the process variable had the greatest effect with a value of 0.553, followed by the person variable with a value of 0.416, and the promotion variable with a value of 0.413.

Effect of Each Marketing Mix Element

The hypothesis testing using the F test showed that simultaneously, all marketing mix elements had a positive and significant effect on customer loyalty, which was indicated by the value of 7,292 more than F table 2.11 with a significance level of 0.000 smaller than 0.05. This indicates that the combination of all marketing mix elements contributes greatly to customer loyalty.

In the T test (partial test), the results showed that each independent variable also had a significant effect on customer loyalty. Product variables, prices, places, promotions, people, physical evidence, and their respective processes showed significant results with t count greater than t table. Especially, the price variable and process prominent with a value of t count that is much higher than t table, with the process as a dominant variable that makes the biggest contribution in increasing customer loyalty.

Discussion

The results of this study are very important for the manager of bamboo stalls. First, an integrated and harmonious marketing strategy will support the achievement of customer loyalty. Second, managers need to pay attention and improve aspects of processes related to customer service and experience, because this factor has proven to be the most influential element in building loyalty.

In addition, the Adjusted R Square value of 0.764 shows that 76.4% of the variation of customer loyalty can be explained by the analyzed marketing mix element, while the other 23.6% can be caused by other factors that are not examined in this study. Therefore, managers need to conduct further research to explore additional factors that can contribute to customer loyalty.

Conclusion

In conclusion, this study found that all marketing mix elements have a positive and significant effect on customer loyalty at Bambu IAM stalls in Binjai. The process variable was found to be the most influential element in building loyalty, followed by the person variable and the promotion variable. The results of this study are very important for the manager of bamboo stalls, as they provide insights into the effectiveness of marketing mix strategies in building customer loyalty.

Recommendations

Based on the findings of this study, the following recommendations are made:

Integrated and Harmonious Marketing Strategy: Managers should develop an integrated and harmonious marketing strategy that combines all marketing mix elements to achieve customer loyalty.
Improvement of Process: Managers should pay attention and improve aspects of processes related to customer service and experience, as this factor has proven to be the most influential element in building loyalty.
Further Research: Managers should conduct further research to explore additional factors that can contribute to customer loyalty.

Limitations of the Study

This study has several limitations, including:

Sample Size: The sample size of this study was limited to 100 respondents, which may not be representative of the entire population.
Data Collection Method: The data was collected using a self-administered questionnaire, which may be subject to biases and limitations.
Measurement Tools: The measurement tools used in this study may not be valid and reliable, which may affect the accuracy of the results.

Future Research Directions

Future research should aim to explore additional factors that can contribute to customer loyalty, such as:

Social Media: The impact of social media on customer loyalty and the effectiveness of social media marketing strategies.
Customer Experience: The impact of customer experience on customer loyalty and the effectiveness of customer experience management strategies.
Employee Engagement: The impact of employee engagement on customer loyalty and the effectiveness of employee engagement management strategies.

By understanding the impact of these factors, businesses can develop effective marketing strategies to build strong relationships with their customers and achieve customer loyalty.

Q: What is the marketing mix strategy, and how does it affect customer loyalty?

A: The marketing mix strategy refers to the combination of seven elements: product, price, place, promotion, people, physical evidence, and process. This study found that all marketing mix elements have a positive and significant effect on customer loyalty at Bambu IAM stalls in Binjai.

Q: What is the most influential element in building customer loyalty?

A: The process variable was found to be the most influential element in building loyalty, followed by the person variable and the promotion variable.

Q: How can managers improve customer loyalty using the marketing mix strategy?

A: Managers can improve customer loyalty by developing an integrated and harmonious marketing strategy that combines all marketing mix elements. They should also pay attention and improve aspects of processes related to customer service and experience.

Q: What is the role of social media in customer loyalty?

A: Social media can play a significant role in customer loyalty, but it was not examined in this study. Future research should aim to explore the impact of social media on customer loyalty and the effectiveness of social media marketing strategies.

Q: How can managers measure the effectiveness of their marketing mix strategy?

A: Managers can measure the effectiveness of their marketing mix strategy by using metrics such as customer satisfaction, customer retention, and customer loyalty. They can also use tools such as customer feedback surveys and customer loyalty programs to track customer behavior and preferences.

Q: What are the limitations of this study?

A: This study has several limitations, including a small sample size, a limited data collection method, and the use of measurement tools that may not be valid and reliable.

Q: What are the future research directions for this study?

A: Future research should aim to explore additional factors that can contribute to customer loyalty, such as social media, customer experience, and employee engagement.

Q: How can managers apply the findings of this study to their business?

A: Managers can apply the findings of this study by developing an integrated and harmonious marketing strategy that combines all marketing mix elements. They should also pay attention and improve aspects of processes related to customer service and experience.

Q: What are the implications of this study for businesses in the food and beverage industry?

A: The findings of this study have implications for businesses in the food and beverage industry, as they highlight the importance of developing an integrated and harmonious marketing strategy that combines all marketing mix elements to achieve customer loyalty.

Q: How can managers measure the return on investment (ROI) of their marketing mix strategy?

A: Managers can measure the ROI of their marketing mix strategy by using metrics such as customer satisfaction, customer retention, and customer loyalty. They can also use tools such as customer feedback surveys and customer loyalty programs to track customer behavior and preferences.

Q: What are the key takeaways from this study?

A: The key takeaways from this study are:

Integrated and Harmonious Marketing Strategy: Managers should develop an integrated and harmonious marketing strategy that combines all marketing mix elements to achieve customer loyalty.
Improvement of Process: Managers should pay attention and improve aspects of processes related to customer service and experience.
Further Research: Managers should conduct further research to explore additional factors that can contribute to customer loyalty.

By understanding the impact of the marketing mix strategy on customer loyalty, businesses can develop effective marketing strategies to build strong relationships with their customers and achieve customer loyalty.