CUSTOMER LOYALTY IN TRADITIONAL AND MODERN COFFEE SHOPS: A COMPARATIVE PLS-SEM ANALYSIS IN BANDA ACEH, INDONESIA

M. Danil Furqansyah, Nurulia Dimitha, Silvia Zahara

Abstract


While market saturation intensifies competition among food and beverage (F&B) stakeholders in Banda Aceh, existing literature relies on standardized, transaction-based frameworks that fail to contrast customer loyalty across divergent service contexts. To address this gap, this study compares the key drivers of customer loyalty between traditional keude kuphi and modern coffee shops.Data were collected from 100 dual-format consumers who visited both store types at least twice in the past three months Using Partial Least Squares Structural Equation Modeling (PLS-SEM), this study proposes a Dual-Pathway Loyalty Framework. The structural and measurement analyses reveal fundamentally divergent loyalty mechanisms. In modern coffee shops, loyalty follows a functional-transactional pathway in which positive emotions do not directly drive customer loyalty; instead, loyalty is fully mediated by satisfaction and manifests primarily as word-of-mouth advocacy rather than resilient behavioral loyalty. Conversely, traditional keude kuphi operate via a communal-relational pathway in which positive emotions exert a strong direct effect on customer loyalty, fostering frequent return visits and resilience to price changes, bypassing satisfaction as a necessary mediator. Theoretically, this research advances relationship marketing by demonstrating that customer loyalty in traditional coffeehouses is communal and relational, whereas in modern coffee shops, it remains functional and transactional. In practice, these insights enable agribusiness stakeholders to adopt segment-specific, culturally aligned strategies for long-term business sustainability.

Keywords


Customer loyalty; Dual-pathway loyalty framework; Keude kuphi; Modern coffee shops; PLS-SEM

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DOI: https://doi.org/10.20961/sepa.v23i2.110039

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