Short answer

Focus on the core value proposition and service quality that resonates with the target audience's principles, rather than superficial attributes.

Field: Innovation & Markets
Source: Journal of Islamic Economics Lariba (2023)
Method: Quantitative research using Structural Equation Modeling (SEM).
Sample: 113 participants
Evidence: Strong effect

Customer loyalty in Sharia-compliant hotels is primarily driven by factors like self-satisfaction, perceived value (transactional and hedonic), fair pricing, and service quality, rather than aesthetic appeal or prestige. This innovation & markets research insight is drawn from a 2023 study published in Journal of Islamic Economics Lariba. Using Quantitative research using structural equation modeling (sem). with 113 participants, researchers explored how this design variable affects real-world outcomes. The key design takeaway: Focus on the core value proposition and service quality that resonates with the target audience's principles, rather than superficial attributes.

Study

Innovation & MarketsRecentStrong effect

Sharia-compliant hotels can boost loyalty by focusing on value and quality over aesthetics.

Journal of Islamic Economics Lariba · 2023

Key Findings

01Self-satisfaction, price, transactional value, hedonic value, and quality significantly enhance customer satisfaction.
02Customer satisfaction strongly predicts customer loyalty.
03Aesthetics and prestige did not show significant effects on customer satisfaction.

Application

Design takeaway

Focus on the core value proposition and service quality that resonates with the target audience's principles, rather than superficial attributes.

How to apply

When designing or marketing services in religiously or ethically-aligned sectors, conduct thorough research to understand which factors truly drive satisfaction and loyalty, ensuring resources are allocated effectively.

Project actions

01When researching customer preferences, ensure your survey questions capture both tangible value (price, quality) and intangible aspects (self-satisfaction, hedonic experience).
02Consider how to measure 'self-satisfaction' in relation to the core principles of your design project.

Method & Evidence

AimWhat are the key drivers of customer satisfaction and loyalty in Sharia-compliant hotels, and how do factors like self-satisfaction, aesthetics, price, prestige, transactional value, hedonic value, and quality influence these outcomes?

MethodQuantitative research using Structural Equation Modeling (SEM).

ProcedureA structured questionnaire was administered to customers of three Sharia-compliant hotels in Yogyakarta, Indonesia, to collect data on their perceptions of various influencing factors and their satisfaction and loyalty. SEM was then used to analyze the relationships between these variables.

Sample113 participants

ContextHospitality industry, specifically Sharia-compliant hotels in Yogyakarta, Indonesia.

Variables

IV["Self-satisfaction","Aesthetics","Price","Prestige","Transactional value","Hedonic value","Quality"]

DV["Customer satisfaction","Customer loyalty"]

Strengths & Limitations

Strengths

+Investigates a specific and growing niche market (Sharia-compliant hospitality).
+Utilizes a robust statistical method (SEM) to analyze complex relationships between variables.

Limitations

The sample size might be considered small, and the findings are specific to the cultural context of Yogyakarta, Indonesia. Generalizing these findings to Western markets or non-Sharia compliant hotels would require further investigation.

Reliability & validity

The study's reliability would be supported by the use of validated scales in the questionnaire and the robustness of the SEM analysis. Validity would be enhanced by the clear definition of constructs and the testing of theoretical relationships.

Think critically

To what extent do the findings regarding aesthetics and prestige hold true for other niche markets with strong ethical or value-based positioning? Are there specific cultural nuances that might amplify or diminish the importance of these factors?

Design Principles

"Prioritize intrinsic value and principle-aligned quality over extrinsic appeal in niche markets."

This insight is crucial for businesses operating within niche markets, particularly those guided by specific ethical or religious principles. It highlights that while brand image is important, the core delivery of value and quality, aligned with the guiding principles, forms the bedrock of customer retention.

What This Means for Your Design

For hotels that follow religious rules (like Sharia), customers care more about feeling good about their choice, getting good value for their money, and receiving good service than how fancy the hotel looks or how prestigious it is.

How to use in your project

1.Use this research to justify focusing on specific features or value propositions in your design project, demonstrating an understanding of market drivers.
2.Cite this study when discussing the importance of value and quality in your user research or market analysis section.

Add to My Project

Quick Cite

Paragraph starter

Research indicates that in niche markets, such as Sharia-compliant hospitality, customer loyalty is significantly influenced by factors like perceived value, service quality, and self-satisfaction, rather than solely by aesthetic appeal or prestige. For instance, a study on Sharia-compliant hotels found that transactional value, hedonic value, and quality were strong predictors of customer satisfaction, which in turn drove loyalty (Suhud et al., 2023). This suggests that design projects targeting similar markets should prioritize delivering tangible benefits and aligning with core principles to foster strong customer relationships.

Source

Journal of Islamic Economics Lariba

Factors influencing customer satisfaction and loyalty in Sharia-compliant hotels in Yogyakarta, Indonesia

journal · 2023

View source

Questions About This Research

What does the research say about sharia-compliant hotels can boost loyalty by focusing on value and quality over aesthetics?: Focus on the core value proposition and service quality that resonates with the target audience's principles, rather than superficial attributes. Evidence: Journal of Islamic Economics Lariba (2023).
Why does "Sharia-compliant hotels can boost loyalty by focusing on value and quality over aesthetics." matter for design?: This insight is crucial for businesses operating within niche markets, particularly those guided by specific ethical or religious principles. It highlights that while brand image is important, the core delivery of value and quality, aligned with the guiding principles, forms the bedrock of customer retention.
How can designers apply this research?: Focus on the core value proposition and service quality that resonates with the target audience's principles, rather than superficial attributes.
What were the main findings?: Self-satisfaction, price, transactional value, hedonic value, and quality significantly enhance customer satisfaction.. Customer satisfaction strongly predicts customer loyalty.. Aesthetics and prestige did not show significant effects on customer satisfaction.
What research method was used?: Quantitative research using Structural Equation Modeling (SEM). with 113 participants.
How strong is the evidence?: Evidence strength is rated Strong effect, based on a 2023 journal from Journal of Islamic Economics Lariba.
What should I do differently in my next project?: When designing or marketing services in religiously or ethically-aligned sectors, conduct thorough research to understand which factors truly drive satisfaction and loyalty, ensuring resources are allocated effectively.
What are the limitations?: The study was conducted in a specific geographical location (Yogyakarta, Indonesia) and focused on Sharia-compliant hotels, which may limit the generalizability of findings to other contexts or types of hospitality businesses.