Price Discounts as the Strongest Predictor of Customer Loyalty: The Roles of Service Quality and Online Reviews in the Entertainment Industry

Abstract

This study aims to examine the effects of service quality, price discounts, and online reviews on customer loyalty at Pentagon Billiard amid the increasingly competitive entertainment service industry. A quantitative method with an explanatory approach was employed. Data were collected through questionnaires distributed to customers of Pentagon Billiard using a purposive sampling technique. The collected data were analyzed using SPSS version 25 through t-tests, F-tests, and the coefficient of determination. The results indicate that service quality, price discounts, and online reviews have positive and significant effects on customer loyalty, both partially and simultaneously. Among the three independent variables, price discounts were found to have the strongest influence on customer loyalty. High service quality contributes to positive customer experiences and encourages repeat visits, while price discounts enhance the perceived value received by customers. In addition, online reviews play an important role in building customer trust and strengthening the company’s reputation. These factors collectively contribute to maintaining long-term customer relationships and fostering loyalty. Therefore, Pentagon Billiard should continuously improve its service quality, offer attractive discount programs, and effectively manage online reviews to strengthen customer loyalty and enhance its competitive advantage.