The antecedents of customer loyalty of five star hotels in Jakarta: perspective of service quality dimensions, value and satisfaction

Indonesia’s hotel industry has seen tremendous expansion over the past ten years due to the country’s expanding demand. However, global travel, tourism, and hospitality have all been severely and widely impacted by Covid-19. The condition even started before the pandemic, which was stated by the decreasing occupancy rate in Indonesia. This prompted the redefining of the loyalty concept landscape in today’s hospitality industry. The study aims to predict customer loyalty in five-star hotels based on the perspective of service quality dimensions, perceived value, and satisfaction. Therefore, through SEMPLS analysis, this study has presented a survey of 100 guests of five-star hotels toexamine the effects of the antecedents oncustomer loyalty. Surprisingly, perceived value does not significantly affect customer satisfaction, but satisfaction successfully leads to customer loyalty. On the other hand, service loyalty significantly affects satisfaction and perceived value. As such arguments imply in this study, customer loyalty depends moreon satisfaction levels resulting from the organization’s services or performance. This study presents some implications forfive-star hotels to be more effective in accomplishing service performance to boost customer loyalty, which will help themsurvive in a market with such intense competition before and after the Covid-19 pandemic.