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Archives of Business Review – Vol. 8, No.6
Publication Date: June 25, 2020
DOI: 10.14738/abr.86.8489.
Kurnianingrum, A. F., & Hidayat, A. (2020). The Influence of Service Quality and Price Perception on Cunsumer Trust and Revisit
Intention at Beauty Care Clinic in Indonesia. Archives of Business Research, 8(6). 268-281.
The Influence of Service Quality and Price Perception on Cunsumer
Trust and Revisit Intention at Beauty Care Clinic in Indonesia
Ayu Fitria Kurnianingrum
Magister of Management Program, Department of Management,
Faculty of Business and Economics, Universitas Islam Indonesia
Anas Hidayat
Magister of Management Program, Department of Management,
Faculty of Business and Economics, Universitas Islam Indonesia
ABSTRACT
A lot of research has been done. These involved variables of service
quality, price perception, and trust on revisit intention. However, there
are still not many researches on these variables investigating
consumer behaviors in beauty care clinics. For this reason, this
research aims to determine the influence of service quality and price
perception on consumer trust and revisit intention of the consumers at
beauty care clinics in Indonesia. Survey data were collected from 276
customers of beauty care clinics in Indonesia. Data was analysed using
descriptive statistics and partial least square (PLS) path modelling. The
result found that service quality had a significant and positive influence
on consumer trust, price perception had a significant and positive
influence on consumer trust and consumer trust had a significant and
positive influence on revisit intention. The novelty of the research was
the quality of service and price perception had an important role in
building consumer trust that would increase their intention to revisit
the beauty care clinic.
Keywords: Quality Service, Price Perception, Trust, Revisit Intention, Beauty
Care Clinic in Indonesia.
INTRODUCTION
The aesthetic clinic or beauty care clinic business is growing very rapidly in big and small cities in
Indonesia. Competition among aesthetic clinics is increasingly competitive. This is evident from the
increasing number of beauty care clinics in various cities. Even in one area, there are about 3-5
beauty care clinics. The development of beauty care clinics is growing rapidly, related to people's
wants and needs that change over time, where beauty is very important. Beauty has become a top
priority for everyone and this is an opportunity for cosmetics manufacturers and beauty care
business owners. In Indonesia, the development of the beauty care clinic industry reached 15
percent, which is relatively high compared to Malaysia and Singapore which are still under 10
percent (Fajriana, 2018). With the increasing growth of the beauty care clinic business in
Indonesia, beauty care clinics must improve their quality and provide the best service to
consumers to achieve competitive advantage. Beside providing the best service, beauty care clinics
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must offer competitive prices with good quality to achieve customer satisfaction that will increase
consumer trust in beauty care clinics. When consumers are satisfied and believe it, it will encourage
consumers to review their intentions.
There are two types of revisit intention, the intention to return to a place based on one's own
experience and the intention to visit a place based on other experience (Lin, 2012). The intention
to revisit comes from the process of activating memory as a stored plan and based on beliefs and
values relating to the purchase or use of the product (Li et al., 2017). Consumer trust, service
quality and price perception can encourage behavioral revisit intentions.
Trust is the trust of consumers in a particular store, brand or certain product that they consider to
meet their needs and expectations. Trust is important in maintaining relationships between service
providers and customers (Cheng et al., 2017). Trust is one important factor in making decisions
whether consumers will return to the place and reuse services / products or not. Therefore, beauty
care clinics can capture a larger market share when it can increase consumer trust on them. The
increase of consumer trust on a place is influenced by the service provided to consumers and the
price perception provided at the place.
Dortyol et al., (2014) defined service quality as "the overall features and characteristics of the
product or service to provide satisfaction in meeting the desires of consumers". According to Seo
et al., (2015), service quality is a cognitive response to consumer experience and an indicator for
each company to improve its services according to the needs and expectations of consumers. The
service quality in the beauty care clinic industry is related to the clinic's ability to provide beauty
care in accordance with service standards to meet consumer expectations.
On the other hand, price perception can also influence consumer trust. Price perception is an
indicator for consumers in assessing the benefits and quality of a product and service (Kotler &
Keller, 2016). Price perception (such as expensive or cheap, reasonable or unreasonable) has an
important role in the customer's decision making process. Price perception influences customer
decisions in making repeated purchases (Han & Sunghyup, 2015). An individual's assessment of
whether the price of a product or service offered is reasonable or not will lead to an unfavorable
decision regarding the product or service for example, products with high prices, but the quality is
not good or the service is expensive, does not does not meet consumers expectation. This can give
a negative assessment on the products and services that the company has. Price can give consumer
trust either trust in the quality of products or services or trust in the company itself.
There are many reseach that study the influence of service quality and price perception on trust
and the influence of consumer trust on revisit intention. However, there are still not many research
on service quality, price perception, trust and revisit intention in beauty care clinics. In addition, it
is because there are still research gaps such as in research conducted by Isa et al. (2019) which
stated that there is no significant influence between patient trust and the intention of patient to
revisit. Therefore, the purpose of this research is to determine the influence of service quality and
price perception of consumer trust and revisit intention in beauty care clinics in Indonesia.
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URL: http://dx.doi.org/10.14738/abr.86.8489 270
Kurnianingrum, A. F., & Hidayat, A. (2020). The Influence of Service Quality and Price Perception on Cunsumer Trust and Revisit Intention at Beauty
Care Clinic in Indonesia. Archives of Business Research, 8(6). 268-281.
LITERATURE REVIEW
Service Quality
Service quality is difficult to determine because customers can determine quality when an
organization supplies goods or services with specifications that satisfy their needs and meet
customer expectations (Mbise & Ronald, 2013). Service quality serves as the extent to which a
service meets the needs or expectations of customers (Kaura et al., 2013). Service quality is defined
as the difference between the real service received by customers (perceived service) with
customer expectations and as a customer's evaluation of overall excellence or service excellence
(Liu & Tingko, 2016).
In health services, service quality is an important key to gain a competitive advantage and increase
patient satisfaction, trust, and loyalty on health services so that doctors and medical personnel
must always focus on improving the quality of services to patients (Fatima et al., 2018).
Good service quality will increase the desire of customers to repurchase a product or service,
reduce price sensitivity and willing to recommend the product or service to others (Akroush, M. et
al, 2016). Service quality in the health sector is evaluated through three dimensions, namely the
quality of interaction between customers and employees, the quality of the physical environment
and the quality of the results obtained by customers (Lien et al, 2015).
Previous research about service quality on customer trust, was conducted by Thaichon and Thu
(2015). They research found that service quality has a positive relationship with customer trust.
When a company provides the best quality of service, the customer will trust the product or service
provided and this will bring great customer trust on the company.
Previous research about service quality on customer trust was conducted by Thaichon and Thu
(2015). This research found that service quality has a positive relationship with customer trust.
When a company provides the best quality of service, the customer will trust the product or service
provided, and this will bring great customer trust on the company.
Price Perception
Kaura et al. (2013) stated that price are distinguished from two resolutions as objective price and
subjective price. Subjective prices are prices felt by consumers based on objective prices of
products / services whereas objective prices are actual prices held by the product or service.
According to Kotler and Keller (2016), price is an indicator of quality and is effective for sensitive
products, higher prices are considered as high quality products / services. In addition, when
information about a product / service is not available, consumers make a price signal to illustrate
the quality of the product / service. Price perception whether cheap, expensive, reasonable or
unreasonable has an important role in the consumer decision making process (Ryu & Heesup,
2010).
Research conducted by Jeaheng et al. (2020) found that price perception has a positive and
significant influence on consumer trust and satisfaction. Another research conducted by Suhaily
and Darmoyo (2017) stated that product quality, brand image and price perception have a positive
and significant influence on consumer trust.