The Effects of Digital Marketing and Service Quality on Customer Loyalty Among Food-Related Small and Medium Enterprises in North Bekasi

Abstract

The growing competition among culinary MSMEs requires business actors to optimize digital marketing and service quality to maintain customer loyalty. This study aims to analyze the effect of digital marketing and service quality on customer loyalty among culinary micro, small, and medium enterprises (MSMEs) in North Bekasi. The research is grounded in the increasingly competitive culinary MSME sector, which requires business actors to optimize digital marketing while maintaining service quality to retain customer loyalty. A quantitative associative approach was employed. The sample consisted of 30 respondents who were customers of culinary MSMEs in North Bekasi, selected through purposive sampling. Data were collected using a 1–5 Likert-scale questionnaire and analyzed using Partial Least Squares- Structural Equation Modeling (PLS-SEM) with SmartPLS 4.0. The outer model evaluation indicated that all indicators met the validity and reliability requirements. The inner model results show that digital marketing has a positive and significant effect on customer loyalty, service quality has a positive and significant effect on customer loyalty, and both variables together explain 61.2% of the variance in customer loyalty. These findings highlight the importance of continuously optimizing digital marketing strategies and improving service quality to sustain customer loyalty in culinary MSMEs.