THE EFFECT OF INTRINSIC QUALITY ATTRIBUTES AND EXTRINSIC QUALITY ATTRIBUTES TO CUSTOMER SATISFACTION AND WORD-OF-MOUTH (WOM) TOWARDS BANYUATIS COFFEE

This study intended to analyze the effect of intrinsic and extrinsic quality attributes on customer satisfaction and WOM on Banyuatis Coffee (Bali Original Coffee). The study utilized 100 residents who live in Denpasar, Bali who have been consuming Banyuatis Coffee in the last previous month. Data was collected using questionnaire and distributed in Denpasar areas (North, West, East and South) proportionally, then analyzed by using Structural Equation Modeling (SEM) with AMOS. The result indicated that (1) the intrinsic quality attributes has positive and significant effect on customer satisfaction, (2) the extrinsic quality attributes has positive and significant effect on customer satisfaction, also (3) customer satisfaction has positive and significant effect on WOM. The implications of this study are (1) to become a consideration to management to keep the quality of the product attribute as a whole in order to maintain customer satisfaction, (2) management can take evaluative and corrective action to attribute quality which is less satisfactory, and (3) customer satisfaction needs to be a focus for management to encourage positive WOM communication.