ABSTRACT
The rapid growth of the coffee shop industry has intensified competition among small and medium-sized enterprises (SMEs), making customer retention an important strategic concern. This study examines the influence of serv ice quality on repurchase intention among customers of SME coffee shops in Antipolo City, Philippines, with customer satisfaction serving as a mediating variable. Quantitative research design was employed, and survey data were collected from 130 customers who had recently visited selected SME coffee shops in the city. Service quality was measured using the SERVQUAL framework, while repurchase intention was assessed through indicators of purchase continuity, advocacy intention, preferential choice, and visit frequency intention. The data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The results indicate that service quality has a significant positive effect on both customer satisfaction and repurchase intention. Customer satisfaction also significantly influences repurchase intention and partially mediates the relationship between service quality and repurchase intention. These findings highlight the importance of delivering consistent and high-quality service experiences in encouraging repeat patronage and continued purchase behavior among coffee shop customers. The study contributes to the service marketing and hospitality literature by providing empirical evidence from the SME coffee shop sector in the Philippines and offers practical insights for coffee shop owners seeking to improve service performance and strengthen customer retention.
Keywords: service quality, customer satisfaction, repurchase intention, SERVQUAL, SME coffee shops, Philippines
https://doi.org/10.65494/pinagpalapublishing.179
