The Impact of 7Ps on Customer Satisfaction and Customer Loyalty: The Case of Cosmetics Customers in Bangkok
Main Article Content
Abstract
Aim/Purpose: This study addressed the intensifying competition faced by Thai cosmetics retailers from price-driven online platforms with variable product reliability. It examined how service quality, trust, store atmosphere, location, pricing, and promotion influence customer satisfaction and loyalty, informing strategies for sustaining competitive advantage in Thailand’s cosmetics retail sector.
Introduction/Background: This study examined how the 7Ps marketing mix influences customer satisfaction and customer loyalty in Thailand’s cosmetics retail sector, with satisfaction serving as a mediating mechanism. In the context of sustained industry growth and increasing competition from e-commerce and omnichannel platforms, understanding how product quality, service delivery, store environment, accessibility, and value perception shape satisfaction and loyalty is critical for sustaining competitive advantage.
Methodology: This study utilized a quantitative, cross-sectional survey design to empirically test the impact of the 7Ps marketing mix on customer satisfaction and customer loyalty. Data were collected from walk-in customers at Casual Beauty, a boutique cosmetics retailer in suburban Bangkok, using structured, self-administered questionnaires, with the sample size determined by Cochran’s (1977) formula. The instrument applied Likert-scale measures, and data were analyzed using SPSS through descriptive statistics, reliability testing (Cronbach’s alpha), correlation analysis, multicollinearity assessment (VIF), Heterotrait-Monotrait Ratio (HTMT), Fornell-Larcker criterion, and multiple regression analysis, including mediation testing based on the approach of Baron and Kenny (1986).
Findings: The 7Ps marketing mix and customer satisfaction significantly influenced customer loyalty in the cosmetics retail context, with customer satisfaction serving as a mediating mechanism. The measurement scale demonstrated high reliability; no multicollinearity was found. Customer satisfaction exhibited a strong positive effect on loyalty. Among the 7Ps, product quality emerged as the most influential determinant of customer satisfaction, while price and process were not significant predictors. Direct effects revealed that price, promotion, and physical evidence significantly influenced customer loyalty. Overall, the results underscored customer satisfaction as the primary pathway through which marketing mix strategies translated into sustained customer loyalty.
Contribution/Impact on Society: These findings contribute to the marketing and retail literature by empirically demonstrating the central mediating role of customer satisfaction in translating the 7Ps marketing mix into sustained customer loyalty. The findings provide practical guidance for retail managers to prioritize product quality, store atmosphere, staff competence, accessibility, and targeted promotional and pricing strategies in strengthening long-term customer relationships. Additionally, the results highlight societal relevance by reinforcing consumer trust through product safety, transparent pricing, and service standards, while supporting policymakers in enhancing retail competitiveness and consumer protection.
Recommendations: The empirical findings suggest that cosmetics retailers should adopt an integrated marketing approach that prioritizes product quality, store atmosphere, and staff competence, while strategically leveraging pricing and promotions to reinforce customer loyalty. Aligning operational processes and omnichannel accessibility with customer satisfaction may further strengthen long-term competitive positioning.
Research Limitations: This research was subject to several limitations. The use of non-probability convenience sampling and data collection from a single cosmetics retailer may have limited its generalizability. The cross-sectional design restricted the ability to establish causal relationships among the variables, and potential moderating effects such as demographic factors were not accounted for.
Future Research: Future research should employ probability-based sampling and collect data from multiple retail locations to enhance generalizability. Longitudinal research designs are recommended to better capture stronger causal relationships, although future studies should examine the moderating effects of demographic factors and expand the framework across diverse retail contexts.
Article Details
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