The Effect of Customer Trust and Customer Loyalty on Youtube Premium

Customer Retention in Students in DKI Jakarta

Sri Nurhayati1*, Eti Rochaeti2, Deni Adha Akbari3

Muhammadiyah Prof. DR. HAMKA University, Jakarta, Indonesian

Corresponding Author: srinrh16@gmail.com

Abstract
Purpose – This article is intended to reveal whether the existing independent variables (customer
trust and customer loyalty) have an influence on the dependent variable (customer retention).
This test was conducted on premium youtube users who are also students and live in the DKI
Jakarta Province area.

Methodology – This research was conducted using descriptive quantitative methods. As well as
using the pusposive sampling method in an effort to obtain the desired sample. Furthermore, the
samples obtained were processed using statistical software, namely IBM SPSS

Findings – Thefinding obtained from this research is that customer trust has a positive and
significant influence on customer retention. Likewise, customer loyalty was found to have a
positive and significant influence on customer retention. In determination, each independent
variable has an influence of 0.275 or 27.5 percent on the dependent variable.

Originality – This research has a number of limitations, such as only using students as samples
and only students who live in the DKI Jakarta Province area are taken. Furthermore, this research
is also only limited to Youtube Premium users.

Keywords: customer trust, loyalty, customer retention

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Introduction
The current digital era of Internet and social media applications is very influential in everyday
life, especially students, one of the applications that is widely used by students, namely YouTube
premium, in addition to supporting academic needs, is also used for entertainment. Youtube
premium is a paid application from the Google company, Youtube is one of the most widely
used video applications for the public in general, including students. In retaining customers to
keep using Youtube premium, the company applies a method so that this paid application is still
used and in demand by its users.
The commitment that consumers have is also very important to create customer retention. The
trust built in a customer towards a product or service is not easily built and this is very positive
value still the sustainability of a company (Indah Yani & Sugiyanto, 2022). Trust in products or
services offered by consumers can have a good impact, because if a product or service produced
by a company is no longer trusted, then the company will experience a loss of revenue (Kusuma,
2023). Trust built in consumers will make the emergence of loyalty in a customer (Ettah &
Pondaag, 2019). A person's trust in using a product or service will make an individual not
reluctant to recommend what they consume to friends or relatives (Kurniawati, 2019). This trust
can also arise as a result of good interaction between employees and consumers, which is felt
well by these consumers (Winarni & Nur Rohmah, 2022).
Then no less important is customer loyalty. In the midst of intense competition between
companies, loyalty is an important indicator of the company's sustainability in the long term
(Ettah & Pondaag, 2019). Consumers with great loyalty provide good benefits for a company,
because it can maintain the survival of the company (Y. O. Rahmawati et al., 2019). Loyalty
does not arise because of coercion, but is created by itself due to satisfaction with existing
products (Siregar, 2019). A customer's loyalty to a product or service can be seen from the many
or frequent use of the product or service continuously (Indah Yani & Sugiyanto, 2022). Loyalty
arises as a result of the satisfaction felt by consumers for the products or services they receive
(Baisyir, 2021). For the company, maintaining good trust in customers is a good effort for
sustainability (Amanda et al., 2021).
The commitment that consumers have is also very important to create customer retention. The
trust built in a customer towards a product or service is not easily built and this is very positive
value still the sustainability of a company (Indah Yani & Sugiyanto, 2022). Retaining customers
is harder than finding customers, but retaining customers can build good sustainability for the
company (Sumarsid & Paryanti, 2021). A business owned by a company will grow rapidly if it
has many loyal consumers and customers (Ibrahim, 2022).
From the description above, several problems faced by companies and application users in using
Youtube premium can be taken so that the application can be in demand in the future related to
price and saturation in use. Based on this, researchers want to research and analyze "The Effect
of Customer Trust and Loyalty on Youtube Premium Customer Retention on students in DKI
Jakarta", it is hoped that with this research all related and interested parties can take advantage
of the maximum results.

Literature review
Customer Retention
Customer retention is a form of meeting expectations felt by consumers, so they voluntarily
repeatedly use existing products or services (Sumarsid & Paryanti, 2021). Customer retention is

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a loyalty carried out by consumers by being shown by the high level of consumers towards a
product or service continuously (Ibrahim, 2022).

Customer Trust
Consumer trust is something that arises from within customers towards a product or service they
use (Ettah & Pondaag, 2019). Customer trust is a feeling that arises in customers due to the
service or quality of the product produced by a feeling (Winarni & Nur Rohmah, 2022). Trust is
an expectation that exists in consumers for services or services they feel for a product or service
(Andriyani et al., 2022).

Loyalty
Loyalty is an attitude of an individual by using a product continuously (Sumadi et al., 2021). It
can also be interpreted as a commitment in making purchases for a long time, to recommend
used products to friends (Triandewo & Yustine, 2020). Maintaining loyalty is very difficult to
do, companies must consistently maintain quality and service in order to build strong lolyality in
customers (Bali, 2022). Customer loyalty can also be interpreted as a repeated action carried out
by an individual to buy or use products from a company (Siregar, 2019). Andriyani et al., (2022)
Explaining that loyalty is the consistency carried out by an individual in using a product or
service.

Methodology
This research was conducted using descriptive quantitative methods. Where in this study
researchers collected research data through online questionnaires, which were then described
based on the findings obtained. The population of all students who use the Youtube Premium
application and live in DKI Jakarta. Furthermore, the collected data is analyzed using SPSS
software.
Thecriteria that researchers usein sample selection are as follows:
1. DKI Jakarta students who are still using the premium YouTube application
2. DKI Jakarta students who have used the YouTube premium application
3. The age range is less than 19 to above 25 years old, which represents the majority of
students.
4. Students who come from or live in DKI Jakarta.
5. Use of Youtube Premium in the range of less than 2 months to more than 1 year.
From the existing population, then the author found a sample that became the data of this study,
which was as many as 135 respondents. The samples obtained are selected based on pre-set
criteria, or by using pusposive sampling techniques. Furthermore, the collected data is analyzed
using SPSS software.

Findings and Discussion

Uji Realibilitas
A research instrument is said to be reliable if Cronbach's Alpha value is greater than 0.6. Based
on Table 4.10, it can be seen that the value of Cronbach's Alpha of each measurement item of the
research variable is greater than 0.6. This shows that the research instrument has a high level of
reliability or good consistency.
Table 1. Reliability Test Results
Cronbach's Alpha Conditions Conclusion

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 X1 0,714 >0,6 RELIABEL
X2 0,733 >0,6 RELIABEL
Y 0,703 >0,6 RELIABEL
Source: Data processed 2023
Based on reliability tests in table 4.10 It can be seen that c has a value of Cronbach's Alpha
coefficient > 0.6 customer trust, customer loyalty and customer retention, meaning that the
statement instruments used in this study are reliable or consistent if used in the future.

Determination Test (R-Square)

Based on the SPSS Model Summary output table below, it is known that the R-Square of 0.275
means that 27.5% of the dependent variable Y (customer retention) is influenced by independent
variables X1 and X2 (customer trust and customer loyalty), while the remaining 73.5% may be
affected by other independent variables not considered in this study.
Table 2. R-Square Test
Model Summaryb
Std. Error Change Statistics
R Adjusted R of the R Square F Sig. F
Model R Square Square Estimate Change Change df1 df2 Change
1 ,534a ,286 ,275 1,442 ,286 26,381 2 132 ,000
a. Predictors: (Constant), TOTAL_X2, TOTAL_X1
b. Dependent Variable: TOTAL_Y
Source: Data Processed in 2023
Hypothesis Test
The t test is a test used to determine the significance of the influence of independent variables
(X1 customer trust and X2 customer loyalty) partially on the variable (Y customer retention).
For the interpretation of the coefficient of independent variables using unstandardized
coefficients and standardized coefficients, namely by looking at the significance value of each
variable. At the level of significance α= 5% or 0.05, the df value used is obtained from (α/2:n-k-
1) then (0.05/2:135-2-1) then produces a table t value of 1.979.

Table 3. Test t
Coefficientsa
Unstandardized Standardized Collinearity
Coefficients Coefficients Statistics
Model B Std. Error Beta t Sig. Tolerance VIF
1 (Constant) 7,946 1,573 5,053 ,000
TOTAL_X1,295 ,066 ,392 4,476 ,000 ,707 1,415
TOTAL_X2,158 ,066 ,209 2,385 ,018 ,707 1,415
a. Dependent Variable: TOTAL_Y
Source: Data Processed in 2023
From the table above, it can be seen that the t-statistics value is 4.476 with a significance value
of 0.00 in the variable X1. This means that customer trust has a positive and significant
influence on customer retention. Meanwhile, the customer loyalty variable has a significant
positive influence on customer retention, which is indicated by a t-statistics value of 2.385 and a
significance of 0.018.
Discusion

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Customer Trust to Customer Retention
Trust is an important thing in the foundation of a company's business (Muttaqiin et al., 2021). In
the research that the researchers did, a finding was obtained that customer trust was proven to
have a positive and significant influence on customer retention. This is certainly a value that
must be considered by the YouTube platform. They must be able to build and maintain consumer
trust that has been built so far. This is critical to the company's long-term sustainability. The trust
built in consumers will provide long-term guarantees for the company (C. Rahmawati et al.,
2022).

Customer Loyalty to Customer Retention

Loyalty is the awareness that exists in an individual to use a product or service consistently and
continuously (C. Rahmawati et al., 2022). From the research that researchers conducted, it can be
found that customer loyalty has a significant influence on customer retention. These results can
be taken into consideration for the YouTube company to continue to be able to maintain the
loyalty built in its consumers. If this cannot be managed properly, of course consumers will
switch to other social media that can offer better products than YouTube.

Conclusion
The conclusions that can be obtained from research that researchers have conducted on students
who use YouTube Premium in the DKI Jakarta Province area are as follows: :
1. Customer trust is proven to have a positive and significant effect on customer retention.
With this result, companies must be able to pay attention to the trust that already exists in
consumers.
2. Customer loyalty is proven to have a positive and significant influence on customer
retention. Similar to trust, loyalty built in consumers is something that needs to be
maintained by the company, because it is a long-term value that can encourage the
continuity of the company.
3. Taken together, the independent variables taken in this study have a determination influence
of 0.275 or 27.5 percent on the dependent variables studied. While the remaining 82.5
percent may be influenced by other factors that were not studied in this study.

References

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