With data collected from 350 students in Japanese Language Extensive Program of a university, we try to find out how service value and customer satisfaction would affect customer loyalty. Our research results indicate that service value and customer satisfaction are significant predictors for customer loyalty. Respondents with higher levels of service value and customer satisfaction are more likely to have higher customer loyalty as compared to those with lower levels of service value and customer satisfaction. A mediation model that links service value to customer loyalty via customer satisfaction is proposed. The result indicates that customer satisfaction does play a mediating role in the effect of service value on customer loyalty.