THE INFLUENCE OF BRAND AND COMPANY CHARACTERISTICS ON CUSTOMER LOYALTY: A CASE STUDY OF LION AIR AT YOGYAKARTA INTERNATIONAL AIRPORT

Abstract

The rapid advancement of technology and the growing demand for mobility have driven the air transportation industry
to continuously innovate in order to maintain market presence and customer loyalty. As one of the airlines operating at
Yogyakarta International Airport, Lion Air faces challenges in sustaining brand reputation and customer trust. This
study examines the relationship between brand characteristics and company characteristics on customer loyalty among
Lion Air passengers. A quantitative approach with a descriptive-evaluative method was employed, involving 50
respondents who had traveled on the Yogyakarta–Medan route and vice versa. Data were collected via questionnaires
developed from established indicators of brand characteristics, company characteristics, and customer loyalty. Statistical
analysis using multiple linear regression revealed that both brand characteristics (β = 0.514, p = 0.001) and company
characteristics (β = 0.473, p = 0.000) have significant positive relationships with customer loyalty, jointly explaining
79% of its variance. The findings suggest that consistent improvements in brand and company attributes can strengthen
long-term customer loyalty in the airline industry.