The Effect of Marketing Literacy and Service Quality on Customer Loyalty with Purchase Decision as an Intervening Variable

(Case Study at the PT NSS AHASS Workshop in Palopo City)

Abstract

This study examines the effects of Marketing Literacy and Service Quality on Customer Loyalty, with Purchase Decision as an intervening variable at the PT NSS AHASS Workshop in Palopo City. A quantitative associative design was applied to 80 respondents selected through purposive sampling. Data were collected through questionnaires, observation, and documentation and analyzed using classical assumption tests, multiple regression, path analysis, and Sobel tests for indirect effects. The results show that Marketing Literacy does not significantly affect Purchase Decision (β = 0.100; p = 0.367), whereas Service Quality has a positive and significant effect on Purchase Decision (β = 0.264; p = 0.019). Purchase Decision (β = 0.207; p = 0.004), Marketing Literacy (β = 0.265; p = 0.020), and Service Quality (β = 0.295; p = 0.014) significantly affect Customer Loyalty. Sobel tests show that Purchase Decision does not significantly mediate the effect of Marketing Literacy (z = 0.649; p = 0.516) or Service Quality (z = 0.873; p = 0.383) on Customer Loyalty. These findings indicate that customer loyalty is driven primarily by direct effects.