THE INFLUENCE OF PRICING STRATEGY ON CUSTOMER SATISFACTION AND LOYALTY IN THE HOSPITALITY INDUSTRY

In today's business era, competition inbusiness is getting tighter. This increasingly tight competition requires business people to be able to maximize their company's performance in order to compete in the market. The hotel industry plays an important role as one of the supporting sectors of tourism. The success or failure of the hotel business depends on the management of each hotel. Aims:The purpose of this study itself is to 1) Determine the effect of price on customer satisfaction at Nivia Hotel Medan. 2) Determine the effect of promotionon customer satisfaction at Nivia Hotel Medan.The methods used in this study are quantitative data and qualitative data. The population in the study was 1370 customers. The number of samples in the study was determined based on the Slovin formula 93.10 rounded to 100 respondents.The results obtained from this study are based on the hypothesis test, it can be said that the price policy with customer satisfaction can be said to have a significant influence. In the significant test between promotion and customer satisfaction, the value of þvalue= 0.000 is obtained. In addition, it has a tcountvalue of 3.889 and ttable= 1.661, because the tcountvalue of 3.889 > ttable1.661, and has a þvaluevalue of 0.000 < 0.05. Thus, it can be said that promotion with customer satisfaction can be said to have a significant influence. The results of the regression model test for all variables show a calculated F value of 24.284 with a significance of 0.000. By using a significance limit of 0.05, the significance value issmaller than 0.05. With a positive coefficient direction, it can be accepted that the hypothesis that price and promotion together have a significant influence on customer satisfaction can be accepted.Based on the results of the study, it can be concluded that the results of the regression test obtained the results of the regression coefficient for the price and promotion variables which have a positive regression coefficient, so it can be said that both variables have a significant influence on increasing customer satisfaction at the Nivia Hotel Medan so it can be said that the first hypothesis proposed is proven to be true.