The findings are significant as music streaming services face intense competition in Indonesia and globally. While platforms continue to invest in new features and improved technology, the study suggests that user satisfaction remains the decisive factor in retaining customers over time.
Digital Music Streaming Faces Growing Competition
The way people consume music has changed dramatically over the past two decades. Traditional formats such as CDs, radio broadcasts, and downloaded MP3 files have increasingly been replaced by digital streaming services that offer instant access to millions of songs and podcasts.
Spotify has emerged as one of the world's leading music streaming platforms through features such as personalized playlists, algorithm-based recommendations, podcasts, and both free and premium subscription options. However, maintaining user loyalty has become more challenging as competitors continue to expand their offerings.
In Indonesia, music streaming has become a major component of digital entertainment. The increasing number of internet users and the availability of multiple streaming platforms have created a highly competitive market where retaining existing users is often more cost-effective than attracting new ones.
For companies operating in the digital economy, understanding what motivates users to remain loyal has become a strategic priority.
Surveying Spotify Users in Pontianak
The study focused on university students in Pontianak, a demographic that represents a large share of Generation Z digital consumers.
Researchers collected data from 100 Spotify users aged 18 years and older who had been using the platform for at least six months. Participants completed structured questionnaires evaluating four key areas:
- Service quality
- Perceived value
- User satisfaction
- User loyalty
The researchers then analyzed the relationships among these factors using a statistical modeling approach designed to identify both direct and indirect influences.
By examining how students evaluate Spotify's services, the study provides insights into the broader behavior of young digital consumers.
Satisfaction Emerges as the Strongest Driver of Loyalty
The results revealed several important relationships among the variables.
First, higher service quality significantly increased user satisfaction. Students who perceived Spotify's services as reliable, responsive, and user-friendly reported higher levels of satisfaction.
Second, perceived value also had a strong positive effect on satisfaction. Users who believed the benefits of Spotify outweighed the costs were more likely to feel satisfied with the platform.
Most importantly, satisfaction proved to be a major predictor of loyalty.
Key findings include:
- Service quality positively influences user satisfaction.
- Perceived value positively influences user satisfaction.
- User satisfaction strongly influences loyalty.
- Perceived value directly increases loyalty.
- Service quality does not directly increase loyalty.
- Satisfaction mediates the relationship between service quality and loyalty.
- Satisfaction also mediates the relationship between perceived value and loyalty.
The statistical model showed that service quality and perceived value explained approximately 51.5% of the variation in user satisfaction. Meanwhile, service quality, perceived value, and satisfaction together explained approximately 62.8% of the variation in user loyalty.
These findings suggest that loyalty is not simply the result of delivering a technically good service. Instead, users remain loyal when the overall experience creates genuine satisfaction.
Why Service Quality Alone Is Not Enough
One of the most notable findings is that service quality did not have a significant direct impact on loyalty.
This means that even when users recognize a platform as providing high-quality service, they may not automatically become loyal customers. The service must first generate a satisfying experience that users perceive as valuable and rewarding.
According to Nova Anggilia and Helman Fachri of Universitas Muhammadiyah Pontianak, satisfaction serves as an important bridge connecting service quality to loyalty. In practical terms, users stay with a platform not merely because it functions well, but because it consistently delivers experiences that meet or exceed their expectations.
The finding reflects broader trends in the digital economy, where consumers have numerous alternatives and can switch platforms with relatively little effort.
Perceived Value Matters in the Subscription Economy
The study also highlights the growing importance of perceived value in subscription-based digital services.
Students who believed Spotify delivered strong benefits relative to the cost of using the service were more likely to remain loyal. This perception includes factors such as audio quality, content variety, personalized recommendations, ease of use, and overall user experience.
In competitive digital markets, consumers continuously evaluate whether a service justifies their investment of money, time, and attention. Platforms that successfully communicate and deliver value are more likely to retain users over the long term.
Implications for Digital Platforms and Businesses
The findings offer practical lessons for Spotify and other digital service providers.
Rather than focusing solely on technical improvements, companies should prioritize strategies that enhance user satisfaction. Service quality remains important, but its influence on loyalty depends largely on how users feel about their overall experience.
Businesses can strengthen loyalty by:
- Improving personalized user experiences.
- Delivering content that matches user preferences.
- Offering pricing that users perceive as fair and worthwhile.
- Maintaining reliable and responsive customer support.
- Continuously enhancing ease of use and platform functionality.
The conclusions may also apply to other digital sectors, including video streaming platforms, digital wallets, online education services, and mobile applications that depend on long-term customer retention.
Author Profiles
Nova Anggilia is a researcher from the Faculty of Economics and Business, Universitas Muhammadiyah Pontianak. Her academic interests include marketing management, consumer behavior, customer satisfaction, and digital business services.
Helman Fachri is a lecturer and researcher at the Faculty of Economics and Business, Universitas Muhammadiyah Pontianak. His expertise focuses on marketing strategy, customer loyalty, digital consumer behavior, and business management in the digital era.
Source
Article Title: The Effect of Service Quality and Perceived Value on the Loyalty of Spotify-Using Students in Pontianak, with Satisfaction as an Intervening Variable
Authors: Nova Anggilia and Helman Fachri
Affiliation: Faculty of Economics and Business, Universitas Muhammadiyah Pontianak, Indonesia
Journal: Asian Journal of Applied Business and Management (AJABM)
Volume and Issue: Vol. 5, No. 2
Year: 2026
Pages: 593–608
0 Komentar