ANALYSIS OF THE EFFECT OF PRODUCT QUALITY AND SERVICE QUALITY ON REPURCHASE INTEREST IN CULINARY UMKM MEDIATED BY MEDIATING CUSTOMER SATISFACTION: A CASE STUDY ON WE'E DEWE SNACKS

- This study aims to examine the effect of product quality and service quality on repurchase intention directly or indirectly through customer satisfaction. The variables studied were product quality (X1), service quality (X2), customer satisfaction (M), and repurchase intention (Y). The method used in this study is using quantitative approach and analyzed using SEM-PLS. Data collection was done by using a questionnaire which was distributed online using the google form. The population in this study are people who have bought Jajanan We'e Dewe products at least 1 (one) time. Meanwhile, the research sample criteria are the customers of Jajanan We'e Dewe who have visited IG, Whatsapp, or came directly to Jajanan We'e Dewe and have an interest or desire to repurchase Jajanan We'e Dewe products. The number of respondents in the study were 50 people. The result of the study had found that there was a significant influence on the effect of product quality and service quality on customer satisfaction, the effect of customer satisfaction on repurchase intention, and the effect of product quality and service quality on repurchase intention through customer satisfaction. Meanwhile, the direct effect on product quality and service quality on repurchase intention did not show significant results.


Introduction
We'e Dewe snacks are one example of UMKM in the culinary sector located in Tangerang City.This culinary business was established in 2010.We'e Dewe Snacks mostly focus on selling market snacks, such as mayonnaise risoles, spring rolls, pastels, and others.In April 2022, We'e Dewe Snacks managed to earn revenue of IDR 11,102,000.00.However, the income of Jajanan De'e Dewe immediately experienced a very significant decline and tended to fluctuate in the following months.Even so, in customer data on sales from April 2022 to October 2022, several names continue to appear every month.In fact, in a month some customers make purchases more than 1 (one) time.The satisfaction and dissatisfaction felt by customers with the products and services provided is related to repurchase interest.Therefore, to find out what factors affect the satisfaction and interest of buying back by We'e Dewe customers, researchers conducted a pre-survey of 16 respondents.Referring to the results of the pre-survey, it can be seen that product quality is the main reason underlying the emergence of customer satisfaction Ongkowijoyo (2022) this research was conducted with the aim of finding out whether there is an influence of product quality and price on customer satisfaction and repurchase interest in the case study of Cipork Keriyuk G-Walk branch.This study used quantitative methods using purposive sample techniques with the number of samples obtained as many as 85 people.Data analysis was carried out using SEM PLS.The variables used are product quality, price, customer satisfaction, and repurchase interest.The result of this study is that price and product quality have a significant influence on customer satisfaction.Hilal and Top (2019) conducted a study entitled "Impact of Product and Service Quality of Gated Communities on the Repurchase Intentions: Case Study in Kurdistan Region of Iraq".The sampling technique in this study is random sampling with the number of research respondents as many as 320 people and the analysis technique used is SEM.The variables used in this study are product quality, service quality, customer satisfaction, and repurchase interest.The results of the study show that product quality and service quality have a significant influence on repurchase interest Rizki, et. al. (2021) this research was conducted with the aim of testing and analyzing the impact of product quality and service quality on repurchase interest.This research method was carried out using a quantitative approach with sampling techniques using snowball sampling with a total of 100 respondents.Data analysis was carried out using SEM PLS.The variables used in this study were product quality, service quality, and repurchase interest.The results of this study show positive results and there is a significant influence on product quality and service quality on repurchase interest.Albari (2020) this research was conducted with the aim to examine the effect of product quality, service quality, and price on customer satisfaction and loyalty.The research method carried out is to use a quantitative research approach.The sampling technique in this study was to use convenience sampling with the number of respondents as many as 96 people who made purchases at Bu Zuni Fried Chicken Restaurant.

Theory of Planned Behavior (TPB)
Theory of Planned Behavior (TPB) is a theory that emerged as the main framework for understanding, predicting, and changing human social behavior (Ajzen, 2012: 438).According to TPB theory, a person's interest is what precedes his behavior and it is a function of attitude towards behavior, subjective norm, and perceived behavioral control.

Product Quality
Product quality is important in increasing the competitive value of a product to provide customer satisfaction (Raharjo in Grace, et. al., (2021: 70).Product quality also reflects all dimensions that can benefit customers (Tjiptono, 2015).Service quality is a way to satisfy customer wants and needs and accuracy in delivering balanced customer expectations (Naini, et. al., 2022: 37).According to Tjiptono (2015), service quality is an effort made by a company (or business entity) to meet customer expectations of the service to be received, so that the company can survive in the market and gain customer trust.

Customer Satisfaction
Customer satisfaction arises from the expectations and realities obtained by customers.If the reality obtained exceeds expectations, then customers will feel satisfied (Setyaji &;Ngatno, 2016).Customer satisfaction arises from the expectations and realities obtained by customers.If the reality obtained exceeds expectations, then customers will feel satisfied (Setyaji &;Ngatno, 2016).

Repurchase Intention
Repurchase interest is the interest or desire of a customer to repurchase a specific product or service in the future (Wang and Yu, 2016).Hellier et al. in Manopo and Widayanto (2019) also stated that repurchase interest is a person's planned decision to buy back a particular product by considering the situation that occurs and the level of his liking.

Hypothesis
From the existing presentation and chart, the following is a hypothesis of this study: H1: There is an effect of product quality on customer satisfaction H2: There is an influence of service quality on customer satisfaction H3: On the effect of product quality on repurchase interest H4: There is an effect of service quality on repurchase interest H5: There is an effect of customer satisfaction on repurchase interest H6: There is an influence of product quality on repurchase interest through customer satisfaction H7: There is an influence of service quality on repurchase interest through customer satisfaction

Research Approach
The type of research that will be used in this study is quantitative research with the object of research being We're Deer snack UMKM located in Tangerang City, Banten.

Population and Research Sample
The population of this study is customers who have purchased We'e Dewe snack products at least once from April to October 2022 with a population of 65.Sample collection using purposive sampling with the number of detectable samples or contacts totaling 50 people.

Data Collection Methods
This study will use a data collection method through a questionnaire in the form of a Google form as a primary data source with a Likert scale that uses a score of 1-7.Source: Processed by researchers (2023)

Data Analysis and Hypothesis Testing Methods
The data analysis method used in this study was Partial Least Squares (PLS) to test the five hypotheses proposed.PLS is a new approach in Structural Equation Modeling (SEM) as a multivariate statistical technique that compares multiple dependent variables and multiple independent variables.

Descriptive Analysis of Research Characteristics
According to the survey, it was found that the majority of We'e Dewe snack customers were women, with 30 female respondents.The age range of the customers was mostly between 26-45 years.Among the respondents, 26 people worked as private employees and most of them had an income of more than Rp5,000,000.00.Many respondents were from the Tangerang and DKI Jakarta areas.It was also observed that most of the customers learned about We'e Dewe snacks from their friends.The primary reason behind purchasing We'e Dewe snack 195 products was their taste, as 36 respondents mentioned it.Furthermore, 20 respondents bought the snacks more than 7 times, while 44 respondents bought them for personal consumption or for their families.

Description of Research Variables
The highest perception of respondents regarding product quality is found in Hygeniity (X1.6) with a mean value of 6,520.The highest perception of respondents regarding service quality was found in Responsiveness (X2.2) and Empathy (X2.3) with a mean value of 6,520.The highest perception of respondents regarding Customer Satisfaction (M1) is found in Good Perception After Buying Goods or Services at Stores or Companies (M1.3) with a mean value of 6,520.The respondents' highest perception of Repurchase Interest (Y) was in Future Repurchase Interest (Y1.1) with a mean value of 6,360.The diversity of customer satisfaction perceptions can be explained through customer perceptions of product quality (X1) and service quality (X2) variables of 79.5%.The diversity of perceptions of repurchase interest can be explained through customer perceptions on the variables of product quality (X1) and service quality (X2) of 56.4%.Source: Processed by researchers (2023)

The Effect of Product Quality on Customer Satisfaction
Based on the results of research that has been done, the influence of product quality on customer satisfaction provides positive and significant results.The results of positive research indicate that the better the quality of We'e Dewe snack products, the better or increased customer satisfaction.The results of the research obtained regarding the effect of service quality on customer satisfaction are positive and significant.The results of this positive research mean that the better the quality of service provided, the more customer satisfaction with We'e Dewe snacks will also increase.

The Effect of Product Quality on Repurchase Interest
The results of research on the effect of product quality on repurchase interest showed positive and insignificant results.The results of positive value research have meaning, namely the better the quality of We'e Dewe snack products, the higher the interest in rebuying We'e Dewe snack customers.

The Effect of Service Quality on Repurchase Interest
The results of research on the effect of service quality on repurchase interest show that there is a positive, but not significant, influence.Positive results show that the better the quality of service provided to We'e Dewe snack customers, the interest in repurchasing will also increase.

The Effect of Customer Satisfaction on Repurchase Interest
The results of the research show that there is a positive and significant influence between customer satisfaction and repurchase interest.A positive result indicates that the higher the customer satisfaction, the higher the interest in repurchasing We'e Dewe snack customers.

The Effect of Product Quality on Repurchase Interest through Customer Satisfaction
The results of research that has been conducted show that product quality has a positive and significant influence on repurchase interest through customer satisfaction as a mediation variable.The value of the indirect influence coefficient is higher than direct influence, so this means that customer satisfaction in mediating the effect of product quality on repurchase interest is high.

The Effect of Service Quality on Repurchase Interest through Customer Satisfaction
The results of this study show that service quality has a positive and significant influence on repurchase interest through customer satisfaction.The results of the study had a direct effect on the quality of service with repurchase interest showing positive but not significant results.Therefore, it can be said that the better the quality of service provided, the more customer satisfaction will also increase which is then followed by the interest in repurchasing We'e Dewe snack customers which also increases.

Conclusion
This study concludes that product quality (X1) and service quality (X2) can affect customer satisfaction (M) directly and significantly with a positive value.Meanwhile, the direct influence on product quality (X1) and service quality (X2) on repurchase interest (Y) shows a positive value, but with a less significant influence.Then, customer satisfaction (M) can directly influence repurchase interest (Y) with significant and positive results.In the role of customer satisfaction (M) as mediation, it shows that customer satisfaction (M) can mediate the influence between product quality (X1) and service quality (X2) on repurchase interest (Y) through customer satisfaction mediation (M).

Suggestion
1. We'e Dewe Snack Culinary UMKM Suggestions that can be given by researchers regarding improving product quality to make it better include: Using ice packs for frozen food delivery (especially for souvenirs or long-distance delivery);

Figure
Figure 3.1 Analysis Model Source: Processed by researchers (2023) a) Always ask customers for reviews about how they feel after receiving the product or eating the food they have purchased; b) Create a survey in the form of games about the rating of each food on We'e Dewe's snack Instagram Story c) Ask customers for advice on We'e Dewe's Instagram Story about what new menu customers want.