THE ROLE OF CUSTOMER SATISFACTION AND PRICE FAIRNESS IN MEDIATING THE INFLUENCE OF SERVICE QUALITY ON WORD OF MOUTH – AJHSSR

THE ROLE OF CUSTOMER SATISFACTION AND PRICE FAIRNESS IN MEDIATING THE INFLUENCE OF SERVICE QUALITY ON WORD OF MOUTH

THE ROLE OF CUSTOMER SATISFACTION AND PRICE FAIRNESS IN MEDIATING THE INFLUENCE OF SERVICE QUALITY ON WORD OF MOUTH

ABSTRACT: This study has a purpose to explain the role of customer satisfaction and price fairness inmediating the influence of service quality on word of mouth. There were 112 respondents as the sample in thisstudy. The sampling method used was the purposive sampling method. This research used the Partial LeastSquare (PLS) analysis technique. The results of this study revealed that service quality, price fairness andcustomer satisfaction have a significant and positive influence on word of mouth. Service quality and pricefairness have a significant and positive influence on customer satisfaction. Service quality has a significant andpositive influence on price fairness. Customer satisfaction and price fairness are able to partially mediate theinfluence of service quality on word of mouth. The implication of this research is that to improve the word ofmouth behavior of PT.TIKI customers, it is necessary to evaluate and improve their service quality, customersatisfaction and price fairness.

Keywords: Word of mouth, service quality, customer satisfaction, and price fairness