The Effect of Experiential Marketing on Perceived Service Value and Implications on Customer Loyalty

Authors

  • Tita Setiawati Universitas Pasundan, Indonesia

DOI:

https://doi.org/10.37641/jimkes.v13i5.3887

Keywords:

Customer Loyalty, Experiential Marketing, Hospitality Industry, Perceived Service Value

Abstract

Experiential marketing has emerged as a powerful strategy to foster emotional and sensory engagement between consumers and brands. This study investigates the direct impact of experiential marketing on customer loyalty and examines the mediating role of perceived service value in the context of restaurants and cafés in Bandung, Indonesia, a city known for its rapidly growing food and beverage industry. Drawing on data collected from 200 valid questionnaires, this research employs a quantitative explanatory design and utilizes Structural Equation Modeling (SEM) with AMOS software to analyze the relationships among variables. The results indicate that experiential marketing significantly enhances both perceived service value and customer loyalty. Moreover, perceived service value is found to mediate the relationship between experiential marketing and customer loyalty partially. These findings highlight the importance of designing immersive and emotionally engaging experiences not only to satisfy but also to retain customers in the competitive hospitality sector. By integrating experiential marketing strategies that elevate perceived value, restaurant and café businesses can strengthen long-term customer relationships. This study contributes to both academic literature and managerial practice by offering empirical evidence on the mechanisms through which experiential marketing influences loyalty in an emerging market setting.

Downloads

Download data is not yet available.

References

Abu-Alhaija, A. S., Hussein, H. S., & Allan, A. J. A. (2019). Relationship between customer satisfaction and customer loyalty: a review and future directions of its nature and approaches. Eurasian Journal of Social Sciences, 7(4), 28–39.

Ahmad, B., & Akbar, M. I. ud D. (2023). Validating a multidimensional perspective of relationship marketing on brand attachment, customer loyalty and purchase intentions: A serial mediation model. Journal of Strategic Marketing, 31(3), 669–692.

Amin, S., & Tarun, M. T. (2019). Experiential marketing and customer satisfaction: A study on the restaurant industry of Bangladesh. Asian Business Review, 9(1), 43-48.

Cankül, D., Kaya, S., & Kızıltaş, M. Ç. (2024). The effect of gastronomic experience on restaurant image, customer perceived value, customer satisfaction and customer loyalty. International Journal of Gastronomy and Food Science, 36(1), 100908.

Carmo, I. S. do, Marques, S., & Dias, Á. (2022). The influence of experiential marketing on customer satisfaction and loyalty. Journal of Promotion Management, 28(7), 994–1018.

Chawkradian, S., & Lalaeng, C. (2023). Experiential marketing and business innovation affecting customer loyalty in cafe business. Asian Administration & Management Review, 6(2), 37-47.

Coelho, F. J. F., Bairrada, C. M., & de Matos Coelho, A. F. (2020). Functional brand qualities and perceived value: The mediating role of brand experience and brand personality. Psychology & Marketing, 37(1), 41–55.

Curzi, D., Materia, V. C., & Vaquero-Piñeiro, C. (2023). Innovation as a resilience strategy to economic crises for international food and drink firms. Agribusiness, 39(2), 303–321.

Davey, A., Sung, B., & Butcher, L. (2024). Revisiting experiential marketing: a Delphi study. Journal of Brand Management, 31(1), 16–37.

El-Adly, M. I. (2019). Modelling the relationship between hotel perceived value, customer satisfaction, and customer loyalty. Journal of Retailing and Consumer Services, 50, 322–332.

Hair., J. F., Matthews, L. M., Matthews, R. L., & Sarstedt, M. (2017). PLS-SEM or CB-SEM: updated guidelines on which method to use. International Journal of Multivariate Data Analysis, 1(2), 107-123.

Hermanto, H., & Ngatimun, N. (2023). Does customer satisfaction mediate experiential marketing and promotion against customer loyalty at Kentucky Fried Chicken (KFC) Restaurants in City” P” East Java?. International Journal of Social Science and Business, 7(4), 1083-1095.

Hidayati, W., & Faiz, I. A. (2020). The role of accommodation and food service industry to the development of tourism in Jawa-Bali. Eko-Regional Jurnal Pengembangan Ekonomi Wilayah, 15(1), 747-762.

Ihtiyar, A., Barut, M., & Ihtiyar, H. G. (2019). Experiential marketing, social judgements, and customer shopping experience in emerging markets. Asia Pacific Journal of Marketing and Logistics, 31(2), 499-515.

Khairawati, S. (2020). Effect of customer loyalty program on customer satisfaction and its impact on customer loyalty. International journal of research in business and social science, 9(1), 15-23.

Kim, J. H., Kim, M., Yoo, J., & Park, M. (2021). Consumer decision-making in a retail store: the role of mental imagery and gender difference. International Journal of Retail and Distribution Management, 49(3), 421–445.

Kusumawati, A., & Sri Rahayu, K. (2020). The effect of experience quality on customer perceived value and customer satisfaction and its impact on customer loyalty. Human Systems Management, 39(2), 219–232.

Malešević-Perović, L., & Ćorić, B. (2024). Sustainable development and economic disasters. Journal of Cleaner Production, 434 (1), 1-12.

Manosuthi, N., Lee, J. S., & Han, H. (2021). Causal-predictive model of customer lifetime/influence value: mediating roles of memorable experiences and customer engagement in hotels and airlines. Journal of Travel & Tourism Marketing, 38(5), 461–477.

Mehta, A. M., & Tariq, M. (2020). How brand image and perceived service quality affect customer loyalty through customer satisfaction. Academy of Marketing Studies Journal, 24(1), 1-10.

Nurdin, H., & Par, S. S. (2017). How does strong experiential marketing affect the customer value?. International Journal of Manrketing Studies, 9(4), 89-96.

Nurrizky, M., Harisudin, M., & Barokah, U. (2023). Influence of experiential marketing to consumer satisfaction and repurchase intentions: “Goreng” Taichan restaurants as a case study. Int J Sustain Dev Plan, 18(7), 247-253.

Öztürk, R. (2015). Exploring the relationships between experiential marketing, customer satisfaction and customer loyalty: An empirical examination in Konya. International Journal of Social, Behavioral, Educational, Economic, Business and Industrial Engineering, 9(8), 2817-2820.

Pang, H. (2024). How multi-dimensional mobile social media characteristics promote user loyalty and positive word-of-mouth: the moderating role of functional value and experiential value. Current Psychology, 43(48), 36629–36642.

Paramitha, T. M., & Pranoto, H. S. (2023). Mediating effect of video-on-demand on xxi’s customer perceived value and loyalty. Riset: Jurnal Aplikasi Ekonomi Akuntansi dan Bisnis, 5(2), 029-042.

Paulose, D., & Shakeel, A. (2022). Perceived experience, perceived value and customer satisfaction as antecedents to loyalty among hotel guests. Journal of Quality Assurance in Hospitality & Tourism, 23(2), 447–481.

Puspitasari, A. T., Epriliyana, N. N., & Saputra, H. T. (2025). Pengaruh experiential marketing terhadap kepuasan konsumen dan loyalitas konsumen pada Kafe Kopi Kampus Jember. Jurnal Manajemen Dayasaing, 27(1), 90-101.

Rane, N. L., Achari, A., & Choudhary, S. P. (2023). Enhancing customer loyalty through quality of service: Effective strategies to improve customer satisfaction, experience, relationship, and engagement. International Research Journal of Modernization in Engineering Technology and Science, 5(5), 427–452.

Rasoolimanesh, S. M., Iranmanesh, M., Amin, M., Hussain, K., Jaafar, M., & Ataeishad, H. (2020). Are functional, emotional and social values interrelated? A study of traditional guesthouses in Iran. International Journal of Contemporary Hospitality Management, 32(9), 2857–2880.

Rather, R. A. (2020). Customer experience and engagement in tourism destinations: The experiential marketing perspective. Journal of Travel & Tourism Marketing, 37(1), 15–32.

Rintamäki, T., & Kirves, K. (2017). From perceptions to propositions: Profiling customer value across retail contexts. Journal of Retailing and Consumer Services, 37(1), 159–167.

Saadah, A., Hertanty, A., Maulina, F. G., Kusumah, I. T., Agustine, M. F., & Yuliasari, R. (2021). Jurnal Pengabdian Masyarakat PGSD. Jurnal Pengabdian Masyarakat PGSD, 1(1), 70–81.

Shahid, S., Paul, J., Gilal, F. G., & Ansari, S. (2022). The role of sensory marketing and brand experience in building emotional attachment and brand loyalty in luxury retail stores. Psychology and Marketing, 39(7), 1398–1412.

Singh, I., Nayyar, A., & Das, S. (2019). A study of antecedents of customer loyalty in banking & insurance sector and their impact on business performance. Revista ESPACIOS, 40(06), 746-758.

Singh, V., Sharma, M. P., Jayapriya, K., Kumar, B. K., Chander, M. A. R. N., & Kumar, B. R. (2023). Service quality, customer satisfaction and customer loyalty: A comprehensive literature review. Journal of Survey in Fisheries Sciences, 10(4S), 3457-3464.

Smith, A. K., & Bolton, R. N. (1998). An experimental investigation of customer reactions to service failure and recovery encounters. Journal of Service Research, 1(1), 65–81.

Sujana, S., & Yusni, Y. (2024). The influence of service quality and price perceptions on customer loyalty and customer satisfaction as intervening variables. Jurnal Ilmiah Manajemen Kesatuan, 12(4), 1165–1178.

Urdea, A. M., & Constantin, C. P. (2021). Experts’ perspective on the development of experiential marketing strategy: Implementation steps, benefits, and challenges. Journal of Risk and Financial Management, 14(10), 737-749.

Vildayanti, R. A. (2020). The effect of experiental marketing on cafe Excelso customer loyalty in Central Jakarta 2019. JABE (Journal of Applied Business and Economic), 6(4), 413-428.

Vilkaite-Vaitone, N., & Skackauskiene, I. (2020). Service customer loyalty: An evaluation based on loyalty factors. Sustainability, 12(6), 2260.

Wiedmann, K. P., Labenz, F., Haase, J., & Hennigs, N. (2018). The power of experiential marketing: Exploring the causal relationships among multisensory marketing, brand experience, customer perceived value and brand strength. Journal of Brand Management, 25(2), 101–118.

Yeh, T. M., Chen, S. H., & Chen, T. F. (2019). The relationships among experiential marketing, service innovation, and customer satisfaction: A case study of tourism factories in Taiwan. Sustainability 2019, 11(4), 1041.

Zha, D., Foroudi, P., Melewar, T. C., & Jin, Z. (2024). Examining the impact of sensory brand experience on brand loyalty. Corporate Reputation Review, 28(1), 14–42.

Downloads

Published

2025-09-30

How to Cite

Setiawati, T. (2025). The Effect of Experiential Marketing on Perceived Service Value and Implications on Customer Loyalty. Jurnal Ilmiah Manajemen Kesatuan, 13(5), 3765–3776. https://doi.org/10.37641/jimkes.v13i5.3887