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JOSS :

Journal of Social Science

THE INFLUENCE OF PRICES, BARISTAS, PRODUCTS, AND STORE

ATMOSPHERE ON SUSTAINABILITY COFFEE SHOP BUSINESS IN THE

LOWLANDS

Dhifa Meita Jihan Nabilah

, Putri Anggini Ryandi

, Riyan Frediansyah

, Wachdijono

Universitas Swadaya Gunung Jati, Indonesia

Email: [email protected]

KEYWORDS

Coffee shop;

Lowland; Product

Innovation; Product

brand; Business

sustainability

ABSTRACT

Business sustainability in the lowlands is the ability to continue to adapt to

changing consumer trends and preferences. Therefore, these business actors

must conduct research related to the sustainability of the business. This

research aims to determine the influence of prices, baristas, products, and

atmosphere on the sustainability of coffee shop businesses in the lowlands.

The study was conducted in Tangerang City, a lowland area with many

modern coffee shops. The research time is from July to September 2023.

The research design used is quantitative and survey methods. The research

population is coffee shop consumers in Tangerang City, whose number is

unknown, so the sample size was determined deliberately, namely 100

consumers. Data analysis uses the Structural Equation Modeling instrument.

The research results show that the price and product variables positively

affect coffee shop businesses' sustainability in Tangerang City's lowlands.

Still, the barista variables and shop atmosphere have no effect. The indicator

that best explains the condition of the price variable is "price according to

brand" and for products is "product innovation". For this reason, coffee shop

business managers in the lowlands of Tangerang City are recommended to

maintain or improve product branding and innovate products to sustain their

business.

INTRODUCTION

The coffee shop business has become an essential part of people's daily lives in the social

realm (Ferreira & Ferreira, 2018). Coffee shops become places for social meetings,

negotiations, creativity, and reflection for individuals (Ferreira et al., 2021). This phenomenon

creates significant business opportunities in the coffee shop sector and can inspire business

people to set up new coffee shops. The coffee shop industry has experienced rapid growth in

recent decades to become a significant element in people's lifestyles in various regions and

social classes (Song et al., 2019). In 2019, the growth of coffee shops in Indonesia was around

23% (Hariyanto, 2019).

The increasingly widespread presence of coffee shops has encouraged high competition

in this industry to seize opportunities (Li et al., 2019). Increasingly fierce competition among

existing coffee shops has inspired coffee shop managers to continue to innovate, adapt, and

implement strategies that focus on the sustainability of their business (Raniya et al., 2023). The

condition of coffee shop business sustainability can be critical in improving bargaining position

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and competitiveness (Song et al., 2019). This situation encourages coffee shop business

managers to continue ensuring that their business is sustainable throughout the business area

(topography), whether in the highlands or lowlands.

Geographic topography in the lowlands and highlands can create different characteristics

of coffee shop consumers (Arif & Agastya, 2022). Lowland and highland areas have significant

climatic and cultural differences, influencing consumer preferences, habits, and behavior

(Untari & Widyantari, 2013). Tangerang City, Banten Province, Republic of Indonesia, is a

large urban area in the lowlands. The height of the area is in the range of 10 to 30 meters above

sea level. Such conditions can represent the condition of modern coffee shops that stand in the

lowlands, including Pattani City (Thailand), Vienna (Austria), Seattle (United States), Selangor

(Malaysia), Noord-Holland (Netherlands), Barcelona (Spain), Victoria (Australia), Cape Town

(South Africa), Marrakech (Morocco), Cairo (Egypt), Hanoi (Vietnam), Busan (South Korea),

Doha (Qatar), Muscat (Oman), Osaka (Japan ), Vancouver (Canada), Mumbai (India) and

Colombo (Sri Lanka). Because there is a common desire among coffee shop business managers

in any region, namely wanting a sustainable business, in the current era, the issue of coffee

shop business sustainability has become a significant concern for coffee shop management

worldwide. Thus, research on variables related to business sustainability is very important to

carry out.

Based on literature studies, previous research results were obtained, including Purnomo

& Munggaran (2023), who explained that in the context of coffee shop business, sustainability

is an essential issue regarding environmental, economic, and social impacts resulting from

business operational lines. Furthermore, Lee & Ruck (2022) explained that many variables can

influence the sustainability of a coffee shop business, including barista variables and beverage

product variables offered (Eva & Wachdijono, 2021; Ferreira et al., 2021; Oktafiani et al.,

2023) and price variables (Karomah et al., 2018; Laili & Canggih, 2021; Ratnasari and

Wachdijono, 2021; Samoggia & Riedel, 2018; Permatasari et al., 2021) and shop atmosphere

(Adhinda et al., 2022; Gunawan & Syahputra, 2020; Sofia et al., 2023). Referring to the

previous research above, this research will focus on variables related or influential to the

sustainability of the coffee shop business: price, barista, product and shop, and atmosphere.

This research aims to determine the influence of price, barista, product, and shop

atmosphere variables on coffee shop businesses' sustainability in Tangerang City's lowlands.

The difference between this research and the previous one is that in this research, the four

variables were combined, namely price, barista, product, and shop atmosphere, into a single

independent variable. In contrast, in previous research, these four variables had never included

the barista variable in a single independent variable. So that this research can add new

knowledge; therefore, this research will be useful and contribute academically to the

development of knowledge, especially regarding variables that influence the sustainability of

coffee shop businesses. It will also make practical contributions through recommendations for

coffee shop business managers in their business sustainability efforts. Thus, research entitled:

The Influence of Prices, Baristas, Products, and Store Atmosphere on the Sustainability of

Coffee Shop Businesses in the Lowlands is important to carry out.

Based on the results of previous research, it can also be used as a basis for preparing the

framework for this research, as seen in Figure 1.

The Influence Of Prices, Baristas, Products, And Store

Atmosphere On Sustainability Coffee Shop Business In

The Lowlands

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Figure 1

Research rationale framework

Source: Results of previous research

Based on the framework in Figure 1, this research hypothesis is proposed, namely:

1) H1: X1 (price) has a significant effect on Y (sustainability of the coffee shop business)

2) H2: X2 (barista) has a significant effect on Y (sustainability of the coffee shop business)

3) H3: X3 (product) has a significant effect on Y (coffee shop business sustainability)

4) H4: X4 (shop atmosphere) has a significant effect on Y (coffee shop business sustainability)

METHOD RESEARCH

This research was conducted in Tangerang City, Banten Province, Republic of Indonesia

because this city is in the lowlands and has many modern coffee shops. The research was

carried out from July to September 2023. The research objects were price variables (X1),

baristas (X2), products (X3), coffee shop atmosphere (X4), and sustainability of the coffee

shop business (Y). To facilitate and confirm the implementation of measurements on each of

these variables, an operational definition is needed for each variable, as follows:

a. Price (X1) is the consumer's perception regarding the amount of value, which shows the

amount of money that consumers must pay to buy products at a coffee shop at a particular

time and location (Apriliya, 2023; Tama & Cahyono, 2023) which is measured by four

indicators, namely: 1) price affordability, 2) price match with quality, 3) price match with

brand, and 4) recommend the price to others. All indicators are measured using a Likert

Scale.

b. Barista (X2) is a person or group of people who have competence in making and serving

coffee drinks at the coffee shop at the research location (Prasetyo et al., 2023; Rafsanjani,

2022; Rizky Oktafiani et al., 2023) which is measured by 5fiveindicators, namely: 1) skills,

2) suitability of preferences, 3) speed, 4) friendliness and 5) knowledgeable. All of these

indicators are measured using a Likert Scale.

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c. Products (X3) are all types of goods or services offered by coffee shops to consumers which

include various types of coffee drinks and food (Jaeroni & Wachdijono, 2023; Pradina &

Rohim, 2023; Soedirlan et al., 2022), which is measured by seven indicators, namely: 1)

taste, 2) aroma, 3) product stock, 4) product variants, 5) product innovation, 6) container,

and 7) brand popularity. All indicators are measured using a Likert Scale.

d. Coffee shop atmosphere (X4) is the condition of the coffee shop room and environment

which is sought to ensure that consumers are comfortable and feel satisfied in enjoying

products (Adhinda et al., 2022; Eva & Wachdijono, 2021; Jeon et al., 2016; Prasetyo et al.,

2023; Sofia et al., 2023; Tumanan & Lansangan, 2012) which is measured by ten indicators,

namely: 1) layout of tables and chairs, 2) sound of music, 3) room condition, 4)

environmental safety, 5 ) internet facilities, 6) parking, 7) interior design, 8) non-cash

payments, 9) online marketing, and 10) toilets.

e. Sustainability of the coffee shop business (Y) is the condition or status of the coffee shop

business, which reflects the ability of the coffee shop to operate sustainably, both from an

economic, social, and environmental perspective (Purnomo & Munggaran, 2023), which is

measured by five indicators, namely: 1) additional equipment and renovation of premises,

2) no conflict, 3) no environmental damage, 4) application of technology, and 5) presence

of supporting associations. All indicators are measured using a Likert Scale.

A variable operationalization table was created to make it easier to measure the variables

above, which can be seen in Table 1.

Table 1

Operational variable

Variable

Indicator

Interpretation

Measurement

Scale

Measurement

Unit

Price (X1)

Affordability

prices are affordable

to consumers

Likert/Ordinal

5,4,3,2,1

1. Quality

compliance

Prices correspond to

the quality of the

coffee

Likert/Ordinal

5,4,3,2,1

2. Brand

Sustainability

Price according to

brand condition

Likert/Ordinal

5,4,3,2,1

3. Recommenda

tions

Consumers

recommend to others

Likert/Ordinal

5,4,3,2,1

Barista (X2)

4. Skill

Baristas have coffee-

making skills

Likert/Ordinal

5,4,3,2,1

5. Reference

suitability

Baristas provide

services according to

consumer

preferences

Likert/Ordinal

5,4,3,2,1

6. Speed

Baristas

serve quickly

Likert/Ordinal

5,4,3,2,1

7. Friendliness

The barista serves in

a friendly manner

Likert/Ordinal

5,4,3,2,1

8. Knowledge

Baristas know coffee

profiles

Likert/Ordinal

5,4,3,2,1

Product (X3)

9. Taste

The product has a

delicious taste

Likert/Ordinal

5,4,3,2,1

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10. Aroma

The product has a

distinctive aroma

Likert/Ordinal

5,4,3,2,1

11. Stock

availability

Products ordered by

consumers are always

available

Likert/Ordinal

5,4,3,2,1

12. Variant

The product has

various variants

Likert/Ordinal

5,4,3,2,1

13. Innovation

There is an

innovative coffee

drink menu

Likert/Ordinal

5,4,3,2,1

14. Container

Coffee drink holder

made of

glass/ceramic.

Likert/Ordinal

5,4,3,2,1

15. Brand

Popularity

The product brand is

already popular

Likert/Ordinal

5,4,3,2,1

Store

Atmosphere

(X4)

16. Table-chair

layout

The layout of tables

and chairs makes

consumers

comfortable

Likert/Ordinal

5,4,3,2,1

17. Music sound

The sound of music

suits consumer tastes

Likert/Ordinal

5,4,3,2,1

18. Consumer

space

The aroma of the

coffee shop smells

good

Likert/Ordinal

5,4,3,2,1

19. Environment

al safety

Consumer safety is

guaranteed

Likert/Ordinal

5,4,3,2,1

20. Internet

facilities

Internet services are

available to support

consumer activities

Likert/Ordinal

5,4,3,2,1

21. Ample

parking

There is a large

parking area

Likert/Ordinal

5,4,3,2,1

22. Interior

design

The coffee shop has

an attractive interior

design.

Likert/Ordinal

5,4,3,2,1

23. Non cash

payment

Digital (online)

payments are

available, for

example, credit cards

and e-money.

Likert/Ordinal

5,4,3,2,1

24. Online

Marketing

Promotions, sales,

orders, and payments

are made online

Likert/Ordinal

5,4,3,2,1

25. Toilets

The condition of the

toilets is dry, fresh,

spacious and clean

Likert/Ordinal

5,4,3,2,1

Business

Sustainabilit

y (Y)

26. Addition of

equipment and

renovations

The tools that support

services are

increasingly

complete, and the

coffee shop building

has been renovated.

Likert/Ordinal

5,4,3,2,1

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27. There is no

conflict

There is no social

conflict in the

establishment of the

coffee shop

Likert/Ordinal

5,4,3,2,1

28. No

environmental

damage occurs

There is no

environmental

damage caused

Likert/Ordinal

5,4,3,2,1

29. Application of

technology

The coffee shop has

implemented

supporting

technology

Likert/Ordinal

5,4,3,2,1

30. There are

associations or

institutions

Some associations

support the coffee

shop business

Likert/Ordinal

5,4,3,2,1

The population in the research is coffee shop consumers in the lowlands of Tangerang

City, whose number is unknown, so the sample size was determined based on the Lemeshow

Formula, namely 100 respondents (Azizah et al., 2023). The sampling technique is accidental

sampling. Data analysis uses the Structure Equation Modeling (SEM) instrument with the help

of the Analysis of Moment Structural (AMOS) data processing application. It is known as

SEM-AMOS analysis (Prasetyo et al., 2023; Oktafiani et al., 2023; Sofia et al., 2023).

Considering that the measurement of the indicators for each latent variable above uses a

Likert Scale (5,4,3,2,1), the application is: Scale 5 means "strongly agree" if the statement is

very consistent with the facts; Scale 4 means "agree" if the statement matches the facts; Scale

3 means "quite agree" if the statement is entirely by the points; Scale 2 means "disagree" if the

statement does not match the facts, and Scale 1 means "strongly disagree" if the statement is

very inconsistent with the facts. To test the hypothesis that has been proposed, it is carried out

based on the hypothesis testing criteria, namely: 1) If the significance value (sig) < 0.05, then

Ho is rejected, meaning that there is a real influence of variable X (independent) on variable Y

(dependent); and 2) If the significance value (sig) is > 0.05 then Ho is accepted, meaning that

there is an unreal influence from variable X (independent) on variable Y (dependent) (Ghozali,

2018).

RESULTS AND DISCUSSION

Research Result

Based on primary data analysis using the SEM-AMOS instrument, the results can be seen

in Figure 2.

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Figure 2

The influence of price, barista, product, and shop atmosphere on the sustainability of

coffee shop businesses in the lowlands of Tangerang City

Source: SEM-AMOS analysis output, 2023

Figure 2 shows that variables X1, X2, X3, and X4 affect variable Y. However, to

determine the significance (real or not) of this influence, it can be seen in the probability value

(P) as shown in Table 2.

Table 2

Significance of the influence of variables X1, X2,X3, and X4 on Y

Variable Y

(dependent)

Line

Variable X

(Independe

nt)

Estimate

S.E.

C.R.

Label

Standard

ized

Estimate

Y_Sustainabili

<---

X1_Price

,249

,092

2,713

,007

par_29

,420

Y_Sustainabili

<---

X2_ Baristas

,082

,120

,681

,496

par_1

,078

Y_Sustainabili

<---

X3_Product

,821

,288

2,847

,004

par_2

,803

Y_Sustainabili

<---

X4_Atmosp

here

,136

,072

1,894

,058

par_30

,228

Source: SEM-AMOS analysis output-text output (adjusted), 2023

Table 2 path X1→Y shows the influence of X1 (price) on Y (business sustainability) with

a P value of 0.007 (P < 0.05), meaning that the influence of Therefore, the hypothesis which

states that the price variable (X1) has a real effect on variable Y (business sustainability), can

be accepted.

Table 2 path X2 → Y shows the influence of X2 (barista) on Y (business sustainability)

with a P value of 0.496 (P > 0.05), meaning that the influence of Therefore, the hypothesis

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which states that the barista variable (X2) has a real effect on variable Y (business

sustainability), cannot be accepted.

Table 2 path X3 → Y shows the influence of X3 (product) on Y (business sustainability)

with a P value of 0.004 (P < 0.05), meaning that the influence of Therefore, the hypothesis

which states that the product variable (X3) has a real effect on variable Y (business

sustainability), can be accepted.

Table 2 path X4 → Y shows that the influence of X4 (store atmosphere) on Y (business

sustainability) with a P value of 0.058 (P > 0.05) means that the influence of Therefore, the

hypothesis which states that the shop atmosphere variable (X4) has a significant effect on

variable Y (business sustainability), cannot be accepted.

To find out the indicators that best explain the condition of variables X1, X2, X3, X4,

and Y, you can see the most significant factor loading values, as shown in Table 3.

Table 3

The largest loading factor values are for variables X1, X2, X3, X4 and Y

Research Variable

Indicator with the most considerable

loading factor value

The most

considerable loading

factor value

X1 (Price)

X1.3 (Price according to brand)

0,75

X2 (Barista)

X2.1 (Barista skills)

0,72

X3 (Product)

X3.5 (Product innovation)

0,72

X4 (Atmosphere

Coffee Shop)

X4.5 (Internet facilities are available)

0,73

Y (Business

Sustainability)

Y3 (no environmental damage occurs)

0,57

Source: SEM-AMOS analysis output-text output (adjusted), 2023

Table 3 shows the most significant loading values for the variable indicators X1, X2, X3,

X4, Y, and everything is substantial because the probability value (P) is *** (0.000) or below

0.05. These indicators can best explain the condition of each variable if variable X has a real

effect on variable Y. However, suppose there is one of the X variables that does not have a real

impact on the Y variable. In that case, the indicators cannot explain the condition of each

variable unless there may be an intervening variable that has a real effect in mediating the X

variable to Y. The indicators can explain the condition of these variables again so that they

have more statistical meaning (Oktafiani et al., 2023).

Discussion

Based on the research results above, the following discussion can be made:

The Influence of price (X1) on coffee shop business sustainability (Y)

The price of coffee beverage products measures the value consumers must pay to get

these products. This size or weight is generally expressed in rupiah (Rp / glass). However,

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consumers buy/pay for coffee beverage products not only for this purpose but there are several

purposes for consumers to purchase coffee beverage products in coffee shops, including 1)

Enjoying specialist and innovative coffee; 2) getting a unique place experience; 3) Looking for

menu variations; 4) Enjoying quality and branded coffee; and 5) Enjoying social experiences.

Therefore, knowledge about the effect of price on consumer purchasing decisions, which

impacts the sustainability of the coffee shop business, is essential.

The results show that the effect of X1 on Y (X1→Y) is significant with a standardized

regression coefficient value of 0.42 and is positive, meaning that if X1 is increased by 100%,

it will increase Y by 42%. The nature of the effect is inelastic, meaning that the proportion of

changes in X1 is greater than the proportion of changes in Y (Gilarso, 2008; Sukirno, 2014;

Wachdijono, 2020). Price positively affects coffee shops' sustainability in Tangerang City's

lowlands because the prices offered align with the brand. Consumers consider the brands of

coffee beverage products to reflect good product quality and service so that even though the

price to be offered is high, consumers will still buy it. The brands of coffee beverage products

in coffee shops in Tangerang City that are modern and have many consumers include

Starbucks, Janji Jiwa, Oxigen Coffe, Kobar Coffee, Kopi Tuku, and My Coffee. Thus, in this

context, it can be explained that price affects consumer purchasing decisions or repurchases,

and consumer purchases will positively impact the sustainability of the coffee shop business.

For this reason, a strategy is needed to implement prices to influence the level of sales, profits,

and the ability of coffee shops to reinvest in sustainable practices (Raniya et al., 2023; Ratu et

al., 2023).

The argument above is based on the most considerable loading factor value (0.75) on the

price variable indicator, namely "the price is by the brand," so that it can be interpreted that if

the price is increased at any cost, consumers will still buy it as long as the coffee shop business

actors can maintain their brand, including in the aspects of product quality and good service.

The loading factor value of 0.75 can be seen in Figure 2 and Table 3 above. The results of this

study are in line with the results of the study Wachdijono et al., (2019); Zulfi et al., (2018)

showing that the level of coffee consumer preference lies in the brand and Darmansyah et al.,

(2020); Fathurrahman et al., (2023); Putra & Ekawati (2017); Ratnasari and Wachdijono

(2021), which explain that price affects consumer purchases. However, this is contrary to the

results of the research by Anwardin et al. (2021), which concluded that price has no significant

effect on the sustainability of fish feed stores and also contradicts the law of demand, which

says: "if the price increases, the number of products demanded will decrease" (Gilarso, 2008;

Sukirno, 2014). The differences in the results of these studies indicate that the conditions of

the price variable are conditionally variable, so the results cannot be applied in general

(generalization).

The Influence of Barista (X2) on coffee shop business sustainability (Y)

A barista is a person or group of people in a coffee shop who plays a role in

mixing/making various coffee beverage products ordered by consumers and then serving them.

Therefore, the barista's position strategically operationalizes a coffee shop anywhere. In

addition, baristas can provide superior quality coffee products, ensure good customer service,

and contribute to the brand image. Thus, barista expertise can attract consumers and, at the

same time, create customer satisfaction to support business sustainability.

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The results showed that the effect of X2 on Y (X2→Y) was not significant because the

P value was 0.496 (> 0.05). Such conditions are due to competition among coffee shops, so

product quality and price have a more significant impact than the skills of a barista. In addition,

the assessment of coffee shop managers shows that good management, operational strategies,

and efficient financial management are also decisive in maintaining their business's

sustainability, so the baristas' role is not significant. The results of this study are in line with

the results of research by Oktafiani et al. (2023), which concluded that baristas do not affect

consumer loyalty, but in contrast to the effects of research by Jaeroni & Wachdijono (2023),

which concluded that baristas affect coffee shop consumer loyalty in the highlands of Bandung

City.

However, in general, barista variables have a positive effect on customer satisfaction and

loyalty, which positively impacts the sustainability of the coffee shop business. This argument

is based on several research results that conclude so, including; Basir & Hanafi (2019);

Pambayun & Soedarsono (2019); and Wulandari (2019). Baristas are significant human

resources for coffee shop operations, especially barista skills in blending coffee, recognizing

different types of beans, and understanding consumer preferences contribute significantly to

customer satisfaction (Lee & Ruck, 2022; Sofia et al., 2023). In addition, the ability of baristas

to understand sustainability values and practice them in their daily work can play an essential

role in maintaining the sustainability of coffee shops (Lucas, 2020; Sidewalk, 2019). However,

suppose there are research results that conclude that baristas do not affect business

sustainability. In that case, this is an exciting event because there is an opportunity to apply

intervening variables so that baristas can have an indirect and significant effect (Oktafiani et

al., 2023).

The Influence of Product (X3) on coffee shop business sustainability (Y)

Products are all types of drinks made with raw coffee materials in coffee shops, which

are then sold to consumers. A product's essence is the consumers’ benefits after buying and

consuming it (Gilarso, 2008; Kotler & Keller, 2016; Sumarwan & Tjiptono, 2019). Therefore,

the product must adjust to the needs or desires of consumers. Suitable products will be

purchased, while consumers will not buy products that are not suitable. Continuous product

purchases can create consumer satisfaction and loyalty, positively impacting the sustainability

of the coffee shop business concerned.

The results showed that the effect of the product (X3) on business sustainability (Y) or

X3→Y is significant with a standardized regression coefficient value of 0.8 and is positive,

meaning that if X3 is increased by 100%, it will increase Y by 80%. The nature of the effect is

inelastic, meaning that the proportion of changes in X3 is greater than the proportion of changes

in Y (Wachdijono, 2020). Products have a positive effect on the sustainability of coffee shops

in the lowlands of Tangerang City, indicating that consumers are very concerned about the

existence of coffee beverage products, meaning that if there is a change in product conditions,

it will have an impact on the sustainability of the coffee shop business. This condition is

because the coffee beverage products offered by coffee shops can fulfill the wants or needs of

consumers so that products have a strategic position to attract consumers. This argument is in

line with the results of research by Bungin et al., (2023); Purnomo et al., (2023); Prasetyo et

The Influence Of Prices, Baristas, Products, And Store

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The Lowlands

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al., (2023); Ferreira et al., (2021); Hasanuddin et al., (2020); Paludi & Juwita (2021;); Adnan,

(2020).

To find out the indicator that best explains the condition of the product variable (X3) is

by looking at the most considerable loading factor value, as shown in Figure 2 and Table 3

above, which is 0.72, located on indicator X3.5, namely "product innovation". This finding

can be interpreted that coffee shop consumers in the lowlands of Tangerang City prefer the

"product innovation" indicator over the other six indicators. This consumer attitude is because

"product innovation" in coffee drinks can help coffee shops differentiate themselves from other

coffee shops to become a coffee shop identity that is more unique and favored by consumers.

Some examples of coffee beverage product innovation include white coffee, cold brew, wine

coffee, split coffee, foam cake coffee, black insomnia coffee, decaffeinated coffee, joss/arrange

coffee, avocado coffee, and clear coffee. These results are in line with the results of previous

studies, among others (Aryani, 2019; Nasihin et al., 2020; Mustamu & Ngatno, 2021; Raniya

et al., 2023; Sobri et al., 2023).

According to Pambayun and Soedarsono (2019), innovation results from developing or

utilizing skills and experience to create or improve new products, processes, or systems that

provide significant value. This value is the key to creating a competitive advantage for the

product. Furthermore, Kotler & and Keller (2016) added that product innovation involves a

series of processes that interact with each other. Therefore, coffee beverage product innovation

is significant to pay attention to, especially when there is competition among coffee shops

(Puspasari & Rahardjo, 2017).

This argument is in line with the results of research by Afriyanti & Rasmikayati (2018)

and Deliana (2018), which state that competition between coffee shops lies in product variables

(Aryani, 2019) and Mustamu & Ngatno (2021) added that the attention to coffee beverage

products related to consumer loyalty is product innovation. Coffee drink products created from

the results of innovation have a better bargaining position than those from coffee shops that do

not have innovative products (Sari & Halim, 2022). In addition, product innovation can show

a creative menu that creates an exclusive menu (Wahyuwanti, 2022) and is favored by

consumers.

Regarding innovative products that consumers like, there is something significant

regarding the stage of product innovation, namely the timing of creation (Febriyanti et al.,

2022). The importance of timing in innovation is in choosing the appropriate time to introduce

innovative products or new products to the market (Kotler & Keller, 2016) because if

innovative products are not presented at the right time, it can have a severe impact, namely

product innovation will fail in the market.

The Influence of Atmosphere Coffee Shop (X4) on Coffee Shop Business Sustainability

(Y)

The shop atmosphere is the coffee shop business's overall condition, which consumers

can see and feel. The shop atmosphere is built to attract new consumers or retain old ones. A

good shop atmosphere can attract consumers, create a pleasant experience, and create a loyal

consumer base (Rasmikayati et al., 2020). Jeon et al., (2016) conveyed that a comfortable,

environmentally friendly, and unique store atmosphere can create a bond between consumers

and coffee shops. Furthermore, Ilyas and Sari (2021) added that consumers who prefer a shop

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atmosphere that suits their personality tend to be able to return and recommend it to others. On

the other hand, if the shop atmosphere is unattractive, then consumers do not want to visit the

coffee shop or even be abandoned by old consumers. Therefore, only in a store atmosphere that

matches consumer preferences will be able to attract consumers who ultimately support the

sustainability of their business.

The results of research on the effect of store atmosphere (X4) on business sustainability

(Y) or X4→Y are not significant because the P value is 0.058 (> 0.05). This condition is due

to the preference of coffee shop consumers in the lowlands of Tangerang City at the time of

the research, more on product variables, prices, or other variables, so the store atmosphere

variable (X4) has not been able to have a significant influence. For this reason, the indicators

(there are ten indicators) also cannot explain their influence on the variable of business

sustainability (Y), either directly or indirectly. These results contradict the results of research

by Alfandry (2022; Fibrianto et al., (2020; Indasari and Bachri (2021; Kumalasari &

Masreviastuti (2022), which concluded that the store atmosphere affects both purchasing

decisions, customer satisfaction, and customer loyalty, all of which support business

sustainability.

The difference in the results of this study with previous studies indicates a research gap

in the form of a theoretical gap, namely a gap caused by inconsistent research results (Miles et

al., 2018). Such conditions are very good in supporting the development of science, namely,

the idea of involving other variables, namely intervening variables, as suggested by Oktafiani

et al. (2023) through the results of their research entitled: The Influence of Barista on Coffee

Shop Consumer Loyalty (Utilizing Indicators for Theoretical and Practical Purposes). By

involving the intervening variable, it is expected that the store atmosphere variable (X4) can at

least indirectly affect the coffee shop business sustainability variable (Y). The idea of involving

this intervening variable is in line with the results of research by Sofia et al. (2023), which

concluded that the barista variable indirectly affects customer satisfaction through the store

atmosphere as an intervening variable.

CONCLUSION

Price and product variables positively affect coffee shops' sustainability in the lowlands

of Tangerang City, while barista and shop atmosphere variables have no effect. The indicator

that best explains the condition of the price variable is "price by the brand" and the product

variable is "product innovation". For this reason, it is recommended for coffee shop business

managers in the lowlands of Tangerang City to maintain or improve product branding and

product innovation so that their businesses are sustainable.

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Pembelian Kopi Instan White Coffee Di Kecamatan Kebumen Kabupaten Kebumen.

Sepa: Jurnal Sosial Ekonomi Pertanian Dan Agribisnis, 14(2), 159.

Https://Doi.Org/10.20961/Sepa.V14i2.25008

Dhifa Meita Jihan Nabilah

, Putri Anggini Ryandi

, Riyan Frediansyah

Wachdijono

(2023)

First publication right:

JoSS - Journal of Social Science

This article is licensed under a Creative Commons Attribution-ShareAlike 4.0

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