Analysis of the Effect of Service Quality on Loyalty Behavior of DANA E-Wallet Users Using the E-SQUAL Extended Model

Service quality is one of the things that affects loyalty behavior that can increase the success of an electronic service. DANA is an e-wallet electronic service that is currently popular in Indonesia. Despite its popularity, DANA experienced a decline in the number of downloads in 2019 and still received many complaints from its users regarding the quality of service provided. If there are more complaints, this can affect user loyalty behavior. Therefore, the researcher has the aim to find out how much influence the quality of service has on the loyalty behavior produced by users using the E- SQUAL measurement scale and added with the satisfaction, perceived value, and loyalty intentions variables as the main dimensions that represent loyalty behavior. The population of this research is DANA users aged 18–40 years and domiciled in DKI Jakarta. Then for data analysis using the PLS-SEM approach with the help of SmartPLS 3.2.8 tools. The results of this study indicate that there are five hypotheses rejected, namely efficiency with satisfaction, system availability with perceived value, fulfillment on satisfaction, privacy on satisfaction, compensation for loyalty intentions.