Finding Customer Satisfaction and Loyalty Factors in Islamic Bank Digital Users

Ade Sofyan Mulazid, Fatmawati Fatmawati

Abstract


The study aims to investigate the influence of brand image, service quality, and trust on customer satisfaction and loyalty of Islamic bank digital users. This study uses primary data by distributing questionnaires to customers who have used Islamic bank digital applications. The research sample amounted to 100 respondents and used the purposive sample method. The method used in this study is Partial Least Square (PLS) using SmartPLS 3.0 data analysis tool. The results showed that brand image, service quality, and trust affect satisfaction. Brand image and service quality do not affect loyalty. Satisfaction affects loyalty. Brand image, service quality, and trust affect loyalty through customer satisfaction. This research provides a theoretical contribution to literature development as a pioneering effort to investigate the influence of brand image, service quality, and trust on customer satisfaction and loyalty of Islamic bank digital users. Managerial implications, Islamic banking seeks to develop facilities to improve customer service efficiency by implementing brand image, service quality and trust, thereby increasing customer satisfaction and loyalty.

Keywords


Brand Image; Service Quality; Trust; Satisfaction; Loyalty

Full Text:

PDF

References


Ahmed, S., Mohiuddin, M., Rahman, M., Tarique, K. M., & Azim, M. (2022). The impact of Islamic Shariah compliance on customer satisfaction in Islamic banking services: mediating role of service quality. Journal of Islamic Marketing, 13(9), 1829–1842. https://doi.org/10.1108/JIMA-11-2020-0346

Aisyah, M. (2018). Islamic Bank Service Quality and Its Impact on Indonesian Customers’ Satisfaction and Loyalty. Al-Iqtishad: Jurnal Ilmu Ekonomi Syariah, 10(2), 367–388. https://doi.org/10.15408/aiq.v10i2.7135

Ajibade, P., & Mutul, S. M. (2020). Big data, 4IR and electronic banking and banking systems applications in South Africa and Nigeria. Banks and Bank Systems, 15(2), 187–199. https://doi.org/10.21511/bbs.15(2).2020.17

Alalwan, A. A., Dwivedi, Y. K., & Rana, N. P. (2017). Factors influencing adoption of mobile banking by Jordanian bank customers: Extending UTAUT2 with trust. International Journal of Information Management, 37(3), 99–110. https://doi.org/10.1016/j.ijinfomgt.2017.01.002

Alam, M. K., Rahman, M. M., Runy, M. K., Adedeji, B. S., & Hassan, M. F. (2022). The influences of Shariah Governance mechanisms on Islamic banks performance and Shariah compliance quality. Asian Journal of Accounting Research, 7(1), 2–16. https://doi.org/10.1108/ajar-11-2020-0112

Alkawsi, G., Ali, N., & Baashar, Y. (2021). The moderating role of personal innovativeness and users experience in accepting the smart meter technology. Applied Sciences (Switzerland), 11(8). https://doi.org/10.3390/app11083297

Anggraeni, R., Hapsari, R., & Muslim, N. A. (2021). Examining Factors Influencing Consumers Intention and Usage of Digital Banking: Evidence from Indonesian Digital Banking Customers. Asia Pacific Management and Business Application, 009(03), 193–210. https://doi.org/10.21776/ub.apmba.2021.009.03.1

Ayedh, A. M., Mahyudin, W. A., Subini, M., & Samat, A. (2018). The integration of Shariah compliance in information system of Islamic fi nancial institutions Qualitative evidence of Malaysia. https://doi.org/10.1108/QRFM-05-2017-0042

Berraies, S., Chtioui, R., & Yahia, K. Ben. (2015). Functional Characteristics Of Banking Websites And Customer Loyalty: The Mediating Role Of Online Trust. The Journal of Applied Business Research, 31(3), 911–923.

Chao, C. M. (2019). Factors determining the behavioral intention to use mobile learning: An application and extension of the UTAUT model. Frontiers in Psychology, 10, 1–14. https://doi.org/10.3389/fpsyg.2019.01652

Chao, X., Kou, G., Peng, Y., & Viedma, E. H. (2021). Large-scale group decision-making with non-cooperative behaviors and heterogeneous preferences: An application in financial inclusion. European Journal of Operational Research, 288(1), 271–293. https://doi.org/10.1016/j.ejor.2020.05.047

Chu, P. Y., Lee, G. Y., & Chao, Y. (2012). Service quality, customer satisfaction, customer trust, and loyalty in an e-banking context. Social Behavior and Personality, 40(8), 1271–1284. https://doi.org/10.2224/sbp.2012.40.8.1271

Fianto, B. A., Gan, C., Widiastuti, T., & Sukmana, R. (2020). Customer loyalty to Islamic banks: Evidence from Indonesia. Cogent Business and Management, 7(1). https://doi.org/10.1080/23311975.2020.1859849

Gunasinghe, A., Hamid, J. A., Khatibi, A., & Azam, S. M. F. (2020). The adequacy of UTAUT-3 in interpreting academician’s adoption to e-Learning in higher education environments. Interactive Technology and Smart Education, 17(1), 86–106. https://doi.org/10.1108/ITSE-05-2019-0020

Haider, M. J., Changchun, G., Akram, T., & Hussain, S. T. (2018). Does gender differences play any role in intention to adopt Islamic mobile banking in Pakistan?: An empirical study. Journal of Islamic Marketing, 9(2), 439–460. https://doi.org/10.1108/JIMA-11-2016-0082

Hamidi, M. L., & Worthington, A. C. (2021). Islamic banking sustainability: theory and evidence using a novel quadruple bottom line framework. International Journal of Bank Marketing, 39(5), 751–767. https://doi.org/10.1108/IJBM-06-2020-0345

Hammoud, J., Bizri, R. M., & El Baba, I. (2018). The Impact of E-Banking Service Quality on Customer Satisfaction: Evidence From the Lebanese Banking Sector. SAGE Open, 8(3). https://doi.org/10.1177/2158244018790633

Haridan, N. M., Hassan, A. F. S., & Alahmadi, H. A. (2020). Financial Technology Inclusion in Islamic Banks: Implication on Shariah Compliance Assurance. International Journal of Academic Research in Business and Social Sciences, 10(14), 38–48. https://doi.org/10.6007/ijarbss/v10-i14/7361

Hidayat-Ur-Rehman, I., Alzahrani, S., Rehman, M. Z., & Akhter, F. (2022). Determining the factors of m-wallets adoption. A twofold SEM-ANN approach. PLoS ONE, 17(1 January), 1–24. https://doi.org/10.1371/journal.pone.0262954

Jaya, T. J. (2020). Branding Perbankan Syariah Melalui Produk-Produk Pendanaan. Islamic Banking : Jurnal Pemikiran Dan Pengembangan Perbankan Syariah, 6(1), 69–80. https://doi.org/10.36908/isbank.v6i1.133

Kam, H. J., Katerattanakul, P., & Hong, S. (2015). A tale of two cities: Information security policy compliance of the banking industry in the United States and South Korea. 23rd European Conference on Information Systems, ECIS 2015, 2015-May, 0–16.

Maroofi, F. (2013). Factors Affecting Customer Loyalty of Using Internet Banking in Iran. 28(11), 1685–1693. https://doi.org/10.5829/idosi.wasj.2013.28.11.1674

Mazaheri, M., Sadat, N., & Nourseresh, M. (2016). Prioritizing Factors Affecting Customer Satisfaction in the Internet Banking System Based on Cause and Effect Relationships. 36(16), 210–219. https://doi.org/10.1016/S2212-5671(16)30032-6

Mulazid, A. S. (2016). Pelaksanaan Sharia Complience Pada Bank Syariah( Studi Kasus Pada Bank Syariah Mandiri , Jakarta ). Madania, 20(1), 37–54.

Mulazid, A. S., M. Arief Mufraini, Saharuddin, D., & Wicaksono, A. T. S. (2020). Attributes of Islamic Bank Service Quality : A Survey to Map Metropolitan Customer Satisfaction. International Journal of Business and Society, 21(2), 883–897.

Nguyen, T. T., Nguyen, H. T., Mai, H. T., & Tran, T. T. M. (2020). Determinants of digital banking services in Vietnam: Applying utaut2 model. Asian Economic and Financial Review, 10(6), 680–697. https://doi.org/10.18488/journal.aefr.2020.106.680.697

OJK. (2021). Every well built house started in the form of a definite purpose plus a definite plan in the nature of a set of blueprints. " ".

Oliveira, T., Thomas, M., Baptista, G., & Campos, F. (2016). Mobile payment: Understanding the determinants of customer adoption and intention to recommend the technology. Computers in Human Behavior, 61(2016), 404–414. https://doi.org/10.1016/j.chb.2016.03.030

Raza, S. A., Shah, N., & Ali, M. (2018). Acceptance of mobile banking in Islamic banks: evidence from modified UTAUT model. Journal of Islamic Marketing, 10(1), 357–376. https://doi.org/10.1108/JIMA-04-2017-0038

Ribadu, M. B., & Wan Ab. Rahman, W. N. (2019). An integrated approach towards Sharia compliance E-commerce trust. Applied Computing and Informatics, 15(1), 1–6. https://doi.org/10.1016/j.aci.2017.09.002

Riza, A. F. (2021). The potential of digital banking to handle the Covid-19 pandemic crisis: Modification of UTAUT model for Islamic finance industry. Jurnal Ekonomi & Keuangan Islam, 7(1), 1–16. https://doi.org/10.20885/jeki.vol7.iss1.art1

Sleimi, M., Musleh, M., & Qubbaj, I. (2020). E-Banking services quality and customer loyalty: The moderating effect of customer service satisfaction: Empirical evidence from the UAE banking sector. Management Science Letters, 10(15), 3663–3674. https://doi.org/10.5267/j.msl.2020.6.027

Solanki, U. (2018). Impact of Electronic Banking on Customer Satisfaction. International Journal of Trend in Scientific Research and Development, Volume-2(Issue-5), 978–982. https://doi.org/10.31142/ijtsrd17012

Subagiyo, R., Djamaluddin, B., & Ahsan, M. (2021). Comparative Analysis of Customer Loyalty in Islamic and Conventional Banks : A Literature Review. 5(28), 97–118. https://doi.org/10.26740/al-uqud.v5n1.p97-118

Suma Vally, K., & Shankar, C. (2020). Factors that affect the digital banking adoption in Hyderabad city-UTAUT model approach. European Journal of Molecular and Clinical Medicine, 7(4), 857–865.

Tugade, C., Reyes, J., & Nartea, M. (2021). Components Affecting Intention to Use Digital Banking Among Generation Y and Z : An Empirical Study from the Philippines. Journal of Asian Finance, Economics and Business, 8(12), 509–518. https://doi.org/10.13106/jafeb.2021.vol8.no12.0509

Usman, H., Projo, N. W. K., Chairy, C., & Haque, M. G. (2022). The exploration role of Sharia compliance in technology acceptance model for e-banking (case: Islamic bank in Indonesia). Journal of Islamic Marketing, 13(5), 1089–1110. https://doi.org/10.1108/JIMA-08-2020-0230

Venkatesh, V., Morris, M. G., Davis, G. B., & Davis, F. D. (2003). User Acceptance of Information Technology: Toward a Unified View. MIS Quarterly, 27(3), 425–478.

Xie, J., Ye, L., Huang, W., & Ye, M. (2021). Understanding fintech platform adoption: Impacts of perceived value and perceived risk. Journal of Theoretical and Applied Electronic Commerce Research, 16(5), 1893–1911. https://doi.org/10.3390/jtaer16050106

Yahaya, M. H., & Ahmada, K. (2019). Factors Affecting the Acceptance of Financial Technology among Asnaf for the Distribution of Zakat in Selangor - A Study Using UTAUT. Journal of Islamic Finance, 8(December), 035–046.

Zouari, G., & Abdelhedi, M. (2021). Customer satisfaction in the digital era: evidence from Islamic banking. Journal of Innovation and Entrepreneurship, 10(1). https://doi.org/10.1186/s13731-021-00151-x




DOI: https://doi.org/10.18860/miec.v3i1.21240

Refbacks

  • There are currently no refbacks.


Creative Commons License
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

Editorial Office:
Megawati Soekarnoputri Building
Faculty of Economics
Jln. Gajayana 50 Telp (0341) 558881
E-mail: m-iecjournal@uin-malang.ac.id
Universitas Islam Negeri Maulana Malik Ibrahim Malang

Member of:

 

Indexed by:

   

Creative Commons License

M-IEC Journal under a CC BY SA 4.0 International License.

View My Stats