BUILDING INSURANCE CUSTOMERS LOYALTY ON

PT. RAHARJA SERVICES (PERSERO)

KENDARI CITY BRANCH
Jacob Breemer
Breemerjacob8@gmail.com
Lecturer of Indotec Polytechnic Kendari

ABSTRACT
This final project is carried out at PT. Jasa Raharja (Persero) Kendari Branch with the
formulation of the problem is How to build customer loyalty insurance i . The purpose of this
study is to build insurance customer loyalty at PT. Jasa Raharja
(Persero) Kendari Branch . The data used in the writing of this final project were collected
through observation, interviews, and documentation and analyzed by qualitative descriptive
methods.
The results of this study we concluded that m embangun insurance customer loyalty at
PT. Jasa Raharja (Persero) Kendari branch through (a) Paying attention to customer
satisfaction when they buy insurance services by making it easier for customers to get the
insurance products they want , (b) Paying attention to customer satisfaction when they use
insurance services by convincing them that the program or product that they will get
according to what is offered by PT. Jasa Raharja (Persero) nationally . (c)Paying attention to
customer satisfaction after-sales service that they get by providing maximum service when
customers need help or have difficulty with this type of insurance PT. The Raharja (Persero)
services that they buy , and (d) provide attention or attention to customers after they buy a
product such as providing a marketing retention program

Keywords: Loyalty
1. INTRODUCTION
Customer loyalty will occur when the customer gets satisfaction from the results of
services provided by the insurance company. Nabasah requires certainty of services to get
their desires that make them satisfied or positive attitude from customers for services
provided by insurance companies. According to Hidayat (2009: 103) consumer loyalty is a
consumer's commitment to a market based on a positive attitude and is reflected in consistent
repurchases. For this reason, insurance companies must be able to build customer
loyalty. Customers' satisfaction and trust will make them buy back the insurance services
offered.
PT. Jasa Raharja (Persero) is one of the state-owned companies engaged in the insurance
sector carrying out marketing insurance services to the public and synergizes with the tourism
sector, the police, transportation and a number of other sectors. This relationship shows the
strategy of PT. Jasa Raharja (Persero) to carry out marketing activities for life insurance
services. But the people who use insurance services from PT. Jasa Raharja (Persero) is still
limited and disloyal because people only use insurance services according to their needs such
as when purchasing motorized vehicles, taking care of driving licenses, traveling by ship,
public transportation, or aircraft . The service offered by the company is direct assistance to the
community as a guarantee of safety such as assistance to accident victims, and so on.
On this basis, there needs to be an effort to build customer loyalty to the insurance services
offered by PT. Jasa Raharja (Persero). The company provides services to the community In
 an effort to build customer loyalty, the company carries out service activities such as providing
compensation to victims of accidents and social assistance to communities experiencing
natural disaster victims. The compensation given by the company is in the form of
responsibility to the community.
The important role of employees in building insurance customer loyalty at PT. Jasa
Raharja (Persero) Southeast Sulawesi Branch encourages work achievements in
marketing life insurance to customers by offering desired insurance products and carrying
out after-sales services with a decent impression so that consumers are motivated to use
life insurance services at PT. Jasa Raharja (Persero) Southeast Sulawesi Branch which in
turn can build customer loyalty .

2. LITERATURE REVIEW
Marketing is one of the main activities in a company to maintain life and to make a
profit. Marketing activities within the company must be able to provide satisfaction to
consumers so that the company can continue to develop, or consumers have a good view
of the company. Understanding marketing according to Kotler and Armstrong (2008: 6),
"is a process in which companies create value for customers and build strong
relationships with customers with the aim of capturing the value of customers in return.
Companies that have started to recognize and understand that marketing is an
important factor in achieving company success marketing concept aims to provide
satisfaction to the wants and needs of consumers. According to Kotler and Armstrong
(2008: 34), "The concept of marketing is an orientation towards the needs and desires of
customers, supported by an integrated marketing aimed at generating customer
satisfaction as a key to meeting organizational goals,
Strategy is a tool to achieve goals and in its development the concept of strategy
continues to develop. This can be shown by the different concepts of strategy over the
past 30 years. According to Porter strategy is a very important tool to achieve
competitive advantage (Rangkuti, 2004: 4). S Strategy is an action that
is incremental (ever-increasing) and continuous, is based on the standpoint of what is
expected by the customer in the future (Rangkuti, 2004: 4).
Marketing strategy is a set of goals and objectives, policies and rules that give
direction to marketing efforts from time to time at each level and location. Modern
marketing strategy generally consists of three stages, namely: market segmentation
( segmenting ), the determination of the target market ( targeting ) and the establishment
of market positioning ( positioning ).
According to McDonald (2002: 55), one of the goals of establishing a marketing
strategy is so that companies can choose consumers and markets to be entered. The main
elements in the strategy are companies, consumers, products / services, and
competitors. To face competition, companies need to build sustainable competitive
advantage . Sustainable in question is a temporary advantage owned by the company
when compared to competitors, where the advantages can be achieved in various ways,
such as unique sales promotions.
The marketing strategy according to Guiltinan and Paul (2000: 170) is "a plan that
indicates how managers can manage resources in individual products or product lines to
achieve certain product goals". Like growing market share or maximizing profits.
According to Tull and Kehle in Tjiptono, (2008: 6), marketing strategies are
"fundamental tools planned to achieve company goals by developing sustainable
competitive advantage through the markets entered and marketing programs used to
serve these target markets". All organizations need marketing to achieve their goals and
objectives, so companies need different strategies for the long term that are used for the
 guidelines of each company level. According to Kotler and Armstrong (2008: 68),
marketing strategies are marketing logic and based on that, business units are expected to
achieve their marketing goals
Loyalty literally means loyalty, or loyalty can be interpreted as loyalty. This loyalty
is taken without coercion, but arises from one's own awareness in the past. Efforts made
to create consumer satisfaction are more likely to influence consumer attitudes. While
the concept of consumer loyalty is more explained to the buyer's behavior.
The commitment that accompanies repeated purchases is a situation where
consumers do not want to move even though the product or service is scarce in the
market and consumers voluntarily recommend the product or service to colleagues,
family or other consumers. According to Rangkuti (2004: 60), "Consumer loyalty is
consumer loyalty to companies, brands and products. Sutisna (2003: 41) defines loyalty
as a liking attitude towards a brand that is presented in a consistent purchase of that
brand over time.
According to Tjiptono (2004: 110), "customer loyalty is a customer commitment to a
brand, store or supplier based on the very positive nature of long-term purchases". From
this understanding it can be interpreted that loyalty to the brand is obtained because of
the combination of satisfaction and complaints. While customer satisfaction comes from
how much the company's performance to generate satisfaction by minimizing complaints
in order to obtain long-term purchases made by consumers.
According to Durianto (2001: 4), "Loyal consumers in general will buy the brand
even though faced with many alternative competing product brands that offer superior
product characteristics viewed from various angles. Viewed from various angles its
attributes. If many consumers of a brand fall into this category, it means that they have
strong brand equity. Brand equity is a set of brand assets and debts associated with a
brand, name, symbol, which is able to add or reduce the value given by a product or
service both to the company and to the customer .
According to Dick and Basu (quoted by Tjiptono 2004) states that by combining
the components of repurchase attitudes and behavior, 4 loyalty situations will be
obtained, namely:
1) No Loyalty Occurs when repurchase attitudes and behavior are equally weak, so
loyalty is not formed. There are two possible causes, first, a weak attitude
(approaching neutral) can occur if a new product / service is introduced and / or the
marketer is unable to communicate the superiority of his product. Second, related to
market dynamics in which competing brands are perceived as the same / similar.
2) Spurious Loyalty In this situation a relatively weak attitude is accompanied by a
strong repurchase pattern, so what happens is spurious loyalty. Such situations are
characterized by the influence of non-attitude factors on behavior, such as subjective
norms and situational factors. This situation can be said to be inertia, where
consumers find it difficult to differentiate various brands in product categories with a
low level of involvement, so repurchases are made on a situational basis, such as the
location of service outlets in shopping centers or strategic crossroads.
3) Latent Loyalty The Latent Loyalty situation is reflected when a strong attitude is
accompanied by a weak repurchase pattern. A situation which is of great concern
marketers is due to the influence of factors - a non factor equally strong attitude or
even tend to be more powerful than the attitude factor in determining repeat
purchase. For example, someone can be positive about a particular restaurant, but still
he is looking for variations because of price considerations or preferences for a
variety of menu or cuisine.
 4) Loyalty This situation is the ideal situation most marketers expect, where consumers
are positive about the service or service provider concerned and accompanied by a
consistent repurchase pattern.
According to Zeithaml, (2001) argues that, there are four indicators for customer
loyalty variables, namely: 1. Recurring transactions 2. Recommending to others 3. Using
other services offered 4. Not affected by bids from competitors
According to the law on insurance business No. 2/1992, in Darmawi (2000: 4)
states that insurance or coverage is an agreement between two or more parties that the
guarantor binds himself to the insured by receiving insurance premiums to provide
compensation to the insured due to loss, damage or loss of expected profits, or legal
liability to third parties that may be suffered by the insured, arising from an uncertain
event, or to provide a payment based on the life or life of an insured person.
Insurance as described above various types of business, including the most
important according to Alma (2004: 333), namely:
1) Fire insurance
Fire insurance is insurance that covers losses due to fires that occur on
land. If a building has been insured against a fire disaster, then it is included in the
agreement.
2) Transportation insurance
Freight insurance is insurance that covers possible risks to the carriage of
goods.
Transportation insurance can be divided into:
a. Land-river transportation insurance
b. Sea freight insurance
c. Air freight insurance
3) Life insurance
Agreement between the two parties, which lists which party promised to pay a
premium and the other party who promised to pay a specified amount of money if an
insured person dies or not later than the specified time. Life insurance is an agreement
between an insurance company and a consumer that states that the insurance company
will provide a sum of funds if the consumer dies, or is covered for a certain period .

3. RESEARCH METHODS
A. Research Time and Research Place
1. Research time
This research was conducted from April to May 201 9
2. Place of Research
This research was conducted at PT. Jasa Raharja (Persero) Branch of Southeast
Sulawesi having its address at Jl . Sam Ratulangi Kendari.
B. Method of collecting data
In this research data were collected by the following methods:
1. Observation
Observation in this study is a form of data collection with direct observation
techniques to the object of research on matters relating to the research objectives
2. Interview
Interviews are a form of qualitative data collection to obtain additional data in this
study, then interviews with employees are recommended by branch managers
3. Documentation
Documentation is a method of data collection which is done by collecting
documented data such as PT. Jasa Raharja (Persero) Southeast Sulawesi Branch.
 C. Types of research
This research is a qualitative research that is research conducted by explaining the
research objectives to be achieved based on data and information obtained from
observations, interviews and documentation

4. RESULTS AND DISCUSSION

Loyalty occurs whenever there is a high level of engagement that goes hand in hand
with the repurchase activities carried out by the customer. PT Jasa Raharja (Persero) Branch
of Southeast Sulawesi really expects loyalty from every high preference business. Loyalty
premium is a sense of pride that arises when customers find and use the product or service
and are happy to share their knowledge and recommend it to friends, family and others. This
happens to insurance products where the customer will tell others about the usefulness of the
insurance.
Customers PT Prog (Persero) Branch Sulawesi is any member of the
public who buy a vehicle motor , and use the services of transportation , as well
as customers who will carry out the maintenance letter of permission to
drive . This activity is protected by PT. Jasa Raharja ( Persero ) Southeast
Sulawesi Branch . Society is obliged to buy the services of insurance accident which is
provided by PT. Jasa Raharja ( Persero ) as a guarantee of health and safety. PT. Service
Prog ( Persero ) also serves the protection to workers in firms with risk of work that
is big like PT. PLN, PT. Telkom, Mining and other as. The aim is to protect workers in
carrying out their work .
Loyalty of insurance customers PT Jasa Raharja (Persero) Southeast Sulawesi
Branch is a Kendari City community that uses term insurance and social insurance. The
characteristics of insurance customer loyalty that need to be considered are:
a) Repurchase regularly insurance services Regular repurchase insurance services are a
form of customer action that wishes to obtain self-protection in carrying out work at
PT. PLN, PT. Telkom, Mining and other companies. Consumers who have become
independent customers or groups in companies that protect their employees will
make continuous purchases of PT Jasa Raharja (Persero) Southeast Sulawesi Branch
insurance products. This happens when the insurance contract agreement period is
completed at PT. Jasa Raharja (Persero) Southeast Sulawesi Branch and there was a
repurchase at the Satlantas office insurance service center due to the arrangement of a
driving license and the purchase of reinsurance services at the time of departure, both
through the airport and the port.
b) Purchasing insurance product lines and services of PT Jasa Raharja (Persero)
Southeast Sulawesi Branch. Consumers not only buy and use key services to protect
themselves, but consumers also buy product lines and services from the same
company to protect themselves from accidents.
c) Referring to others. Customers who have understood the benefits of insurance offered
by PT. Jasa Raharja (Persero) will refer to others by means of that customer
communicating through word of mouth regarding the accident insurance carried out
by PT. Jasa Raharja (Persero) Southeast Sulawesi Branch.
d) Demonstrate immunity to competition from competitors.
The results of experience in the field obtained that there are insurance service offers
from other companies. But customers who already know and use the services of PT. Jasa
Raharja (Persero) Southeast Sulawesi Branch will not be affected by offering insurance
services from these competitors.
 The number of competing companies that offer insurance services makes each
customer must be able to face the pull of competitors and refuse to use insurance or
alternative services offered by competitors.
Loyal customers are assets for PT Jasa Raharja (Persero) Southeast Sulawesi Branch,
this can be seen based on its characteristics. Therefore, the loyalty of insurance customers is a
reliable tool for predicting the future growth of marketing insurance services for PT Jasa
Raharja (Persero), Southeast Sulawesi Branch.
Insurance customer loyalty is a nasabag commitment to an insurance purchased from
PT Jasa Raharja (Persero) Southeast Sulawesi Branch based on a positive attitude and
reflected in consistent repurchases. Indicators of consumer loyalty are:
a. rust is an expression of a customer who believes in insurance services provided by
PT Jasa Raharja (Persero) Southeast Sulawesi Branch. Trust is not an easy thing to
use insurance services, therefore customers who express their trust in PT. Jasa
Raharja (Persero) Southeast Sulawesi Branch then he will repurchase and
communicate to others.
b. Emotion commitment shows that customers will form a psychological commitment to
PT Jasa Raharja (Persero) Southeast Sulawesi Branch and always remember its
benefits when traveling or on the move.
c. Switching costs indicate readiness in dealing with insurance company costs at PT Jasa
Raharja (Persero) Sulawesi Tenggara Branch. This change occurred because of the
operational costs used by the company in marketing insurance service activities to
third parties to protect workers and citizens of public service users such as ships,
aircraft and motor vehicles.
d. Word of mouth is a publicity behavior carried out by customers towards the insurance
market at PT Jasa Raharja (Persero) Sulawesi Tenggara Branch.
e. Cooperation is a customer behavior that shows the attitude of working with PT Jasa
Raharja (Persero), Southeast Sulawesi Branch.
At present to make a sale mostly concentrate more on new sales or just chasing
greater profits. But not necessarily customers will be loyal customers. To keep the
insurance business growing is to make customers loyal to the company.
The secret to following up the insurance business so that it continues to grow, one
way is to give a positive impression to customers and prospective customers who will be
recruited. In addition, there are several effective ways to follow up and can ensure that
the insurance business will always be remembered by customers:
a. Let customers know what the company is doing to serve customers well .
The work carried out by PT. Jasa Raharja (Persero) Southeast Sulawesi
Branch must be clearly known by the customers so they can trust the insurance
services they use. In the implementation of work. Most customers leave the insurance
services they previously used because there is no transparency of activities and
adequate socialization. Like visiting accident victims, meeting with work partners and
so on.
Openness attitude of PT. Jasa Raharja (Persero) in serving customers is one part
of the company's strategy to build customer loyalty. The observations in the office of
PT. Jasa Raharja (Persero) Southeast Sulawesi Branch , the services provided to
customers are very open and always ready to provide services in accordance with the
wishes of the community. Things like this are the expectations of customers of
PT. Jasa Raharja (Persero).
b. Keep treating consumers personally.
Leaving voicemail, e-mail or other communication tools that cannot connect
customers directly seems to make PT. Jasa Raharja (Persero) with customers looks a
 bit lacking. PT. Jasa Raharja (Persero) seeks to build good personal relationships with
consumers such as the provision of inboxes and advice from customers through
telephone numbers.
This strategy is one form of service that can facilitate customers to submit all
complaints and claims before receiving service directly. Today PT. Jasa Raharja
(Persero) has a number of links to support customer services effectively and
efficiently, only the customer must be able and understand the use of the link facilities
that have been provided.
PT. Jasa Raharja (Persero) provides services to customers by picking up
customers and listening to customer complaints carefully then responding and
providing solutions to them. Things like this have been prepared by PT. Jasa Raharja
(Persero) so that customers do not experience difficulties in accessing services at
PT. Jasa Raharja (Persero). In addition, employees who are assigned are provided
with education and training on raharja services insurance so that they can provide the
best service to customers so that they will reuse insurance services from PT. Jasa
Raharja (Persero) Southeast Sulawesi Branch . This also relates to the maintenance of
customer relations because of the increasingly rapid competition in insurance services
in Kendari City.
c. Remind Customers Special Events
Sending a birthday card to a customer, sending a holiday celebration card, or
giving a special gift to a customer is an excellent way to follow up to build loyal
customers.
d. Submit information.
Insurance customers at PT. Jasa Raharja (Persero) can use the existing
information services at PT. Jasa Raharja (Persero) Branch of Southeast Sulawesi and
can also convey the information obtained to employees of PT. Jasa Raharja (Persero)
for information clarification. This is done as openness in service. PT. Jasa Raharja
(Persero) not only serves customers or manages life insurance but also carries out the
publication of the results of their activities to be utilized by the community.
News or information posted to customers must be reputable and accountable. If
this is not so then the Nasaba will lose trust and disloyalty. Customer loyalty can be
formed from the news and information obtained about social insurance and life
insurance managed by PT. Jasa Raharja (Persero) Southeast Sulawesi Branch .
e. Customer Service
As much as possible make the communication of PT. Jasa Raharja (Persero) with
customers is much easier. Things that must be considered by PT. Jasa Raharja
(Persero) is not until the customer needs after sales service from PT. Jasa Raharja
(Persero) but in reality is very difficult to contact. If maybe too busy, PT. Jasa Raharja
(Persero) can also appoint special employees to help respond if there are complaints
from customers. Quick and responsive responses, will make customers more
confident that PT. Jasa Raharja (Persero) is really serious about serving customers
well.
Customer is the most valuable asset for PT. Jasa Raharja (Persero) . Without
customers, PT. Jasa Raharja (Persero) will be difficult to develop even survive. For this
reason, the management of a company or business has a very big challenge to protect its
customers. The amount of customer loyalty can not be separated from the amount of
satisfaction obtained from life insurance services offered by PT. Jasa Raharja
(Persero) . Therefore, customer satisfaction is a must. Customer satisfaction is a level
where the needs, desires and expectations of customers can be met which will result in a
repeat purchase or continued loyalty (loyalty).
 Customer loyalty is an attitude or behavior that motivates behavior to purchase
insurance services from PT. Jasa Raharja (Persero) which includes the feeling aspect in
it, especially those who buy regularly and repeatedly with high consistency, but not only
buy repeatedly a product and service, but also have a commitment and a positive attitude
towards PT. Jasa Raharja (Persero) which offers life insurance and social insurance
services.
The means to build insurance customer loyalty at PT. Jasa Raharja
(Persero) Southeast Sulawesi Branch is carried out as follows:
1) Paying attention to customer satisfaction when they buy insurance services by making
it easier for customers to get the insurance products they want
2) Paying attention to customer satisfaction when they use insurance services by
convincing them that the program or product they will get is in accordance with what
is offered by PT. Jasa Raharja (Persero) nationally .
3) Paying attention to customer satisfaction after-sales service that they get by providing
maximum service when customers need help or have difficulty with the type of
insurance PT. Jasa Raharja (Persero) that they bought.
4) Give attention or attention to customers after they buy a product such as providing a
marketing retention program.
For a long time, the strength of Words of Mouth was the most powerful factor in
giving the trust of prospective customers from customers who had bought first. WOM's
level of trust is the highest compared to other sources of information on a particular
brand. Therefore, when customer loyalty is high, the customer will tend to provide
references to the product to other prospective nabasah, even without the need to be
asked, which is usually set forth in the form of references or testimonials.
Some influences or effects that can be felt directly by the brand or company
include the following:
a) The level of trust in insurance services from PT. Jasa Raharja (Persero) increased
b) Sales of insurance services increase every year through direct sales and partnerships
with the police and transportation services in Kendari City.
c) The value of insurance services offered increases
d) The potential to be the most remembered product ( Top of Mind ) is even greater.
So, if you want to get a pleasant customer, then for PT. Jasa Raharja (Persero) Southeast
Sulawesi Branch must apply insurance services well to its customers and prospective
customers in the future .

5. CONCLUSION
The results of research on building insurance customer loyalty at PT. Prog
(Persero) Branch of Southeast Sulawesi can be summarized as follows that m embangun
insurance customer loyalty at PT. Jasa Raharja (Persero) Southeast Sulawesi
Branch through (a) Paying attention to customer satisfaction when they buy insurance
services by making it easier for customers to get the insurance products they want ,
(b) Paying attention to customer satisfaction when they use insurance services by
convincing them that the program or the products they will get in accordance with what is
offered by PT. Jasa Raharja (Persero) nationally . (c) Paying attention to customer
satisfaction after-sales service that they get by providing maximum service when
customers need help or have difficulty with the type of insurance PT. The Raharja
(Persero) services that they buy , and (d) provide attention or attention to customers after
they buy a product such as providing a marketing retention program
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