Loyalty Programs and Customer Retention in the Hospitality Sector: A Study at Rumah Jawa Syariah Guest House

Ramadhan Bagus Hartanto; Fitroh Adilla; Zunan Setiawan

doi:10.31004/riggs.v4i4.4475

Authors

Ramadhan Bagus Hartanto Universitas Ahmad Dahlan
Fitroh Adilla Universitas Ahmad Dahlan
Zunan Setiawan Universitas Ahmad Dahlan

DOI:

https://doi.org/10.31004/riggs.v4i4.4475

Keywords:

Loyalty Programs, Customer Retention, Hospitality, Rumah Jawa Syariah, Qualitative Research

Abstract

This qualitative study investigates the role of loyalty programs in enhancing customer retention within the hospitality sector, focusing on Rumah Jawa Syariah Guest House as a case study. The research aims to uncover how loyalty initiatives influence guests’ decisions to return and maintain long-term engagement. Using in-depth interviews with guests and management, complemented by direct observations and document analysis, the study explores the experiences, perceptions, and motivations that shape customer loyalty. Findings indicate that loyalty programs significantly contribute to emotional attachment and overall satisfaction, which in turn foster higher retention rates. Key elements that enhance program effectiveness include personalized rewards, clear and consistent communication, attentive service quality, and the sense of being valued by the guest house. The study also reveals that guests respond positively when loyalty programs emphasize meaningful engagement rather than solely material incentives, highlighting the importance of relationship-centered strategies. These insights provide practical guidance for hospitality managers seeking to design loyalty initiatives that cultivate authentic connections with customers while sustaining competitive advantage. On a theoretical level, the research emphasizes the relevance of a human-centered approach to loyalty management, demonstrating that qualitative methods are essential for capturing the nuanced dynamics of consumer behavior in the context of Sharia-compliant hospitality. The study contributes to both academic understanding and managerial practice by bridging customer experience, loyalty program design, and retention strategies in small-scale hospitality settings.

Downloads

Download data is not yet available.

References

Abdullah, M., & Toyib, M. (2018). Islamic Education and Parental Satisfaction. Journal of Islamic Studies, 12(3), 45–60.

Ali, F., Zhou, Y., Hussain, K., Nair, P. K., & Ragavan, N. A. (2016). Does service quality affect student performance? Quality Assurance in Education, 24(3), 294–309. https://doi.org/10.1108/QAE-02-2015-0015

Al-Shbiel, S. O., & Ahmad, M. A. (2018). The impact of customer relationship management on customer satisfaction: The mediating role of service quality. International Journal of Business and Management, 13(7), 180–194. https://doi.org/10.5539/ijbm.v13n7p180

Alves, H., & Raposo, M. (2010). The influence of university image on student behaviour. International Journal of Educational Management, 24(1), 73–85. https://doi.org/10.1108/09513541011013013

Berry, L. L., Zeithaml, V. A., & Parasuraman, A. (2002). Understanding service quality. Harvard Business Review, 80(1), 25–35.

Buttle, F., & Maklan, S. (2021). Customer relationship management: Concepts and technologies. Routledge.

Chen, C., & Chen, F. (2019). Service recovery and customer satisfaction in the education sector. Asian Education Review, 7(2), 55–70.

Creswell, J. W. (2018). Qualitative inquiry and research design: Choosing among five approaches. Sage Publications.

Denzin, N. K., & Lincoln, Y. S. (2011). The SAGE handbook of qualitative research (4th ed.). Sage Publications.

Febrianto, A., & Damayanti, S. (2021). Customer relationship management and service quality in Islamic boarding schools. Journal of Islamic Education Management, 6(2), 112–129.

Finlay, L. (2002). Negotiating the swamp: The opportunity and challenge of reflexivity in research practice. Qualitative Research, 2(2), 209–230. https://doi.org/10.1177/146879410200200205

Giddens, A. (1984). The constitution of society: Outline of the theory of structuration. University of California Press.

Griffin, J. (2005). Customer loyalty: How to earn it, how to keep it. Jossey-Bass.

Gronroos, C. (2007). Service management and marketing: Customer management in service competition. John Wiley & Sons.

Gupta, A., & Singh, R. (2022). CRM and service quality in higher education: An integrated approach. Journal of Relationship Marketing, 21(2), 123–145. https://doi.org/10.1080/15332667.2020.1861423

Hapsari, M., Wibowo, A., & Pranata, J. (2022). Empathy and service experience in Islamic schools. Journal of Educational Services, 5(1), 33–47.

Hennig-Thurau, T., Langer, M. F., & Hansen, U. (2001). Modeling and managing student loyalty. Journal of Service Research, 3(4), 331–344. https://doi.org/10.1177/109467050134004

Husserl, E. (1970). The crisis of European sciences and transcendental phenomenology. Northwestern University Press.

Joviando, M., & Kurniawati, N. (2022). The effects of overall service quality, customer value, customer trust, and customer satisfaction on customer loyalty in the hotel industry. Jurnal Ekonomi dan Bisnis, 7(2), 45–56.

Kim, H., & Kim, Y. (2009). A CRM performance measurement framework. Journal of Marketing, 73(4), 52–64. https://doi.org/10.1509/jmkg.73.4.52

Kotler, P., & Keller, K. L. (2016). Marketing management (15th ed.). Pearson Education.

Kvale, S. (1996). Interviews: An introduction to qualitative research interviewing. Sage Publications.

Lee, Y., & Hwan, H. (2019). Service quality and parental satisfaction in elementary schools. Taiwan Journal of Education,45(1),77–95.

Ling, C., & Yen, L. (2021). Relationship marketing and service quality in private schools. International Journal of Educational Management, 35(4), 623–640. https://doi.org/10.1108/IJEM-10-2020-0472

Lincoln, Y. S., & Guba, E. G. (1985). Naturalistic inquiry. Sage Publications.

Lincoln, Y. S., & Guba, E. G. (2020). The constructivist credo. Left Coast Press.

Lovelock, C., & Wirtz, J. (2017). Services marketing: People, technology, strategy. Pearson.

Miles, M. B., Huberman, A. M., & Saldaña, J. (2014). Qualitative data analysis: A methods sourcebook (3rd ed.). Sage Publications.

Moleong, L. J. (2017). Metodologi penelitian kualitatif. Remaja Rosdakarya.

Nguyen, B., Mutum, D. S., & Ghazali, E. (2020). Customer relationship management in education: A systematic review. International Journal of Educational Management, 34(5), 823–843. https://doi.org/10.1108/IJEM-02-2019-0063

Oliver, R. L. (2010). Satisfaction: A behavioral perspective on the consumer. Routledge.

Owusu, G. M. Y., & Poku, K. (2012). Service quality and student satisfaction. Journal of Educational Management, 6(1), 1–15.

Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1985). A conceptual model of service quality and its implications for future research. Journal of Marketing, 49(4), 41–50.

Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1988). SERVQUAL: A multiple-item scale for measuring consumer perceptions of service quality. Journal of Retailing, 64(1), 12–40.

Payne, A., & Frow, P. (2005). A strategic framework for customer relationship management. Journal of Marketing, 69(4), 167–176.

Rachman, Z., Putra, S. A., Herdiyanto, R., & Pratiwi, A. L. (2023). Customer relationship management and customer loyalty. Djtechno: Jurnal Teknologi Informasi, 4(2), 310–330.

Raman, P., Aashish, K., & Murti, A. (2022). The role of CRM and service quality in customer retention. Journal of Relationship Marketing, 21(2), 123–145.

Rizaldi, M. L., & Hardini, R. (2019). Service quality, brand image dan CRM terhadap loyalitas. Oikonomia, 14(2), 77–94.

Sari, N., & Pratama, D. (2021). Service quality and parental satisfaction in Islamic schools. Jurnal Pendidikan Islam, 3(2), 55–70.

Setiawan, R., & Hidayat, F. (2020). Service quality and school reputation. Jurnal Manajemen Pendidikan, 11(1), 18–29.

Suhartanto, D. (2016). Customer satisfaction and loyalty in the hotel industry. Asia Pacific Journal of Tourism Research, 21(12), 1315–1328.

Sugiyono. (2019). Metode penelitian kuantitatif, kualitatif, dan R&D. Alfabeta.

Tse, D. K., & Wilton, P. C. (1988). Models of consumer satisfaction formation. Journal of Marketing Research, 25(2), 204–212.

Van Maanen, J. (2011). Tales of the field: On writing ethnography. University of Chicago Press.

Wijaya, T. (2005). The effect of loyalty programs on customer loyalty in the hospitality industry. Jurnal Manajemen Perhotelan Petra, 5(1), 14–22.

Zeithaml, V. A., Berry, L. L., & Parasuraman, A. (2018). The behavioral consequences of service quality. Journal of Marketing, 60(2), 31–46.