CUSTOMER SATISFACTION IN THE COFFEE SHOP BUSINESS: THE INTERPLAY OF PRODUCT AND SERVICE QUALITY

Abstract

Customer satisfaction in the coffee shop industry is influenced by both product quality and service quality, yet limited studies have quantitatively examined their simultaneous impact in emerging markets. This study aims to investigate the effect of product quality and service quality on customer satisfaction in coffee shops. A quantitative approach was employed, with data collected from 96 regular coffee shop customers through structured questionnaires. Descriptive statistics show that respondents perceive product and service quality at moderate to high levels, reflecting a generally positive experience. Classical assumption tests—including normality, heteroscedasticity, and multicollinearity confirmed that the data met the requirements for multiple linear regression analysis. Regression results reveal that product quality (β = 0.353, t = 3.202, p = 0.002) and service quality (β = 0.525, t = 4.760, p < 0.001) significantly enhance customer satisfaction. The coefficient of determination (R² = 0.724) indicates that 72.4% of customer satisfaction variance is explained by these two factors, while simultaneous F-test results confirm their combined effect (F = 122.074, p < 0.001). The study concludes that both superior products and high-quality service are critical drivers of customer satisfaction in coffee shops.