EXAMINING BRAND IMAGE, SERVICE QUALITY, AND LOYALTY IN DRIVING PURCHASE DECISIONS: THE MODERATING EFFECT OF PRICE

Authors

  • Diana Titik Windayati Prodi Manajemen, Fakultas Ekonomi dan Bisnis, Universitas Batam, Batam
  • Nona Jane Onoyi Prodi Akuntansi, Fakultas Ekonomi dan Bisnis, Universitas Batam, Batam
  • Ely Kurniawati Prodi Akuntansi, Fakultas Ekonomi dan Bisnis, Universitas Batam, Batam

DOI:

https://doi.org/10.30631/innovatio.v25i2.5723

Keywords:

brand image, service quality, loyalty, price, purchase decision

Abstract

The growing competition in service industries requires companies not only to deliver high-quality services but also to establish a strong brand image and foster customer loyalty. This study aims to examine the influence of brand image, service quality, and loyalty on purchase decisions, with price as a moderating variable, in the shoe laundry business Shoesbox located in Batam. A quantitative method was employed by distributing questionnaires to 130 purposively selected respondents. Data were analyzed using Structural Equation Modelling–Partial Least Square (SEM-PLS). The findings reveal that brand image and loyalty significantly and positively influence purchase decisions, while service quality shows no significant effect. An interesting result emerges from the moderating role of price: price weakens the relationship between brand image and purchase decisions but strengthens the relationship between service quality and purchase decisions. Meanwhile, the moderating effect of price on the relationship between loyalty and purchase decisions is not significant. Overall, the study highlights that brand image and loyalty are the main determinants of purchase decisions, while price strategies play a crucial role in shaping consumer value perception. These results are expected to provide practical contributions for service businesses in designing marketing strategies that balance quality, brand image, and pricing policies.

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Published

2026-01-02