Word of Mouth’s Structural Equation Modeling of Customer Satisfaction toward Marketing Factors of Lobo Condiment Product

Abstract

The purpose of this research is to study customer satisfaction toward marketing factors of Lobo condiment product via Lobo’s LINE Official Account (Lobo’s LINE OA) which affecting customer’s word of mouth. In this research, totally 400 samples were selected from customers who purchased Lobo condiment product via Lobo’s LINE OA. A statistical methodology, technique of Structural equation modeling (SEM) was used to analyze data. The-first-order and the-second-order Confirmatory factor analysis (CFA) had been used to test relationship between variables. After adjusted the second-order CFA model, the respecified model was fit the data well. Therefore, the research results revealed that customer satisfaction toward marketing factors, product, price, place, promotion, process, safety, information and service of Lobo condiment product had an effect to word of mouth.

The first-order CFA model was adjusted three times. The final of first-order CFA model revealed Chi-square value = 373.924, DF = 266, P-value 0.000, CMIN/DF =1.406, GFI = 0.935, CFI = 0.988 and RMSEA = 0.032. The results showed that customer satisfied the most three marketing factors which were (1) Information3 “Providing link of product line information” with factor loading was 0.86. (2) Pomotion2 “Free premium” and (3) Service4 “Polite respond and building trust to customer”. Factor loading of these latter two factors had been exhibited the same value of 0.85. The final of second-order CFA model was adjusted two times and revealed Chi-square value = 417.690, DF = 2641, P-value 0.000, CMIN/DF =1.582, GFI = 0.923, CFI = 0.981 and RMSEA = 0.038.   The analyzing result revealed that the marketing factor which mostly affected customer’s word of mouth was Safety with factor loading was 1.00. Meanwhile, Information and Process had an effect on the other in the second priority. The factor loading revealed the same value at 0.98.