Factors Influence Customer Loyalty in Kuwait Islamic Banks : An Exploratory Study

2015 ◽  
Vol 11 (3) ◽  
pp. 167-178
Author(s):  
Alaa Alobaad ◽  
Muhamad Abduh
2019 ◽  
Vol 11 (1) ◽  
pp. 66-80 ◽  
Author(s):  
Dwi Suhartanto ◽  
Christopher Gan ◽  
Ira Siti Sarah ◽  
Setiawan Setiawan

Purpose This paper aims to integrate and examine three loyalty routes (i.e. service quality, emotional attachment and religiosity) in developing customer loyalty towards Islamic banking. Design/methodology/approach Data were collected from 412 Islamic bank customers from Indonesia. Variance-based structural equation modelling was applied to evaluate the association between service quality, emotional attachment, religiosity and customer loyalty. Findings This study reveals that customer loyalty is more driven by emotional attachment and religiosity rather than by perceived service quality. Although not directly affecting customer loyalty, service quality strengthens customer satisfaction towards Islamic banks. Practical implications This study provides an opportunity for Islamic bank managers to increase their customer loyalty through the development of emotional attachment and religiosity. To improve customer loyalty, this study suggests that Islamic banks have to provide prompt, accurate and non-personal service. It is also important for Islamic bank managers to keep the bank operation compliant with the Sharia law. Originality/value This study is the first attempt to assess the three loyalty routes simultaneously in influencing customer loyalty.


2012 ◽  
Vol 2 (2) ◽  
pp. 101 ◽  
Author(s):  
M. Taimoor Hassan ◽  
Bilal Ahmed ◽  
Saleem Ahmed ◽  
Umair Habib ◽  
Saim Riaz ◽  
...  

Purpose: The basic purpose of measuring the customer’s loyalty in Islamic banking in Bahawalpur region is their long term commitment.Design/methodology/approach: This research has been conducted utilizing the actual data with the help of a questionnaire based on the literature extensively written on Islamic banking services, to develop a viable model to explore the attributes which lead towards the customer loyalty in utilizing the financial services of Islamic banks in Bahawalpur region. A new dimension is added by conducting research on customer’s loyalty in Islamic banking in Bahawalpur region, taking sample of 125 respondents from 20 banks operating in Islamic banking services of this region.Findings: Factors abstracted from the customers loyalty are, customers satisfaction, switching cost, customers perception, success philosophy and trust and commitment. It is found that these factors significantly affect the customer’s loyalty in Islamic banking and are greatly associated with the customer’s loyalty.Research limitations/ implication: Only available material is studied in spite of all the material and research is implicated in Bahawalpur region only.  The sample size is small to only 125 respondents but the results are implicated on overall customer’s loyalty in Islamic banking.Practical implications: Pakistani banks are needed to take initiative in creating awareness about Islamic banking and providing more effective services.Originality/ value: This is one of the very first researches on customers loyalty in Islamic banking conducted in Bahawalpur region and could be very useful for countries adopting Islamic banking.Key words: Customers loyalty, Islamic banking.


2017 ◽  
Vol 7 (2) ◽  
pp. 141
Author(s):  
Nurhayati Nurhayati ◽  
Fatmasaris Sukesti

<em>Competitive rivalry between conventional banks and Islamic banks make Islamic banks should be able to compete with conventional banks in providing good quality of service, product quality and customer satisfaction, thereby increasing the number of customers. Quality of service also can affect customer loyalty directly and indirectly. The quality of service and satisfaction to encourage customers to be loyal to a company's products and services that have an impact on the improvement of market share for a product. Quality of service and customer satisfaction, especially in service companies is very important in retaining customers in a long time. Quality of service and customer satisfaction will determine the performance of the company. Factors religiosity in Indonesia also played in determining and pushing for elections on islamic bank customers because the system for different results offered by the system of interest of conventional banks. These results indicate that the quality of service and level of customer satisfaction and religiosity jointly effect on customer loyalty. Quality of service and customer satisfaction levels also have an effect on customer loyalty which variabels most influence on customer loyalty is the degree of religiosity.</em>


2016 ◽  
Vol 17 (2) ◽  
pp. 41-58
Author(s):  
Theingi ◽  
Suchira Phoorithewet ◽  
Yunmei Wang ◽  
Sikankaew Panthongprasert

This study explores the antecedents and consequences of customer engagement behaviors in the Thai mobile network business. This study found that the approach to switching behavior and cross-buying behavior is connected to customer loyalty behaviors. However, the spending behaviors of customers may not be a good indicator of customer loyalty in the mobile network business because those who do not have the intention to switch to another brand do not necessarily increase their spending. In addition, most respondents are concerned with competitive promotional packages, which influence customer engagement behaviors. Hence, it was proposed that service quality and competitive promotional packages are antecedents to customer engagement behaviors and all these factors are important in explaining customer loyalty toward mobile network providers in Thailand.


2019 ◽  
Vol 11 (6) ◽  
pp. 1691-1705 ◽  
Author(s):  
Abror Abror ◽  
Dina Patrisia ◽  
Yunita Engriani ◽  
Susi Evanita ◽  
Yasri Yasri ◽  
...  

Purpose The purpose of this study is to investigate the influential factors of customer loyalty to Islamic banks, namely, service quality, customer satisfaction, customer engagement and religiosity. Design/methodology/approach This study is a survey of 335 Islamic bank customers in West Sumatra, Indonesia. This research deployed purposive sampling and analyzed the data by using covariance-based structural equation modeling. Findings Service quality has a positive and significant impact on customer satisfaction. Religiosity has a significant and negative moderating impact on the service quality–customer satisfaction relationship. Service quality has no significant influence on customer loyalty. Customer satisfaction is a significant antecedent of customer engagement and loyalty. Finally, customer engagement has a significant and positive effect on customer loyalty. Research limitations/implications This study is a combination of cross-sectional and a single-country case. Accordingly, the results may not be representative of other countries. Similar studies in longitudinal data collection are conducted in other countries (e.g. ASEAN countries), which would therefore be worthwhile. Some antecedents of customer loyalty have been neglected in this study (e.g. customer value co-creation and customer commitment); hence, the future study may investigate those factors. Practical implications By considering these Islamic banks’ antecedents, the Islamic banks might enhance their customer loyalty. Also, this study has revealed the moderating role of religiosity in a loyalty relationship. Therefore, it will give insights for the Islamic bank managers in decision-making. Originality/value This study has revealed the moderating role of religiosity on the link between service quality and customer satisfaction in Islamic banks, which is, to the authors’ knowledge, neglected in the previous studies. The customers with high religiosity will have a higher standard of satisfaction and demand a better service quality than the customers with low religiosity. This study has also examined the relationships between service quality, religiosity, customer satisfaction, customer engagement and loyalty as a whole, which have been limited previously.


2001 ◽  
Vol 19 (4) ◽  
pp. 146-155 ◽  
Author(s):  
Per E. Pedersen ◽  
Herbjørn Nysveen

2021 ◽  
Vol 4 (2) ◽  
pp. 239
Author(s):  
Langgeng Setyono

Indonesia is a country with a majority Muslim population. In the context of Indonesian’s, Muslims constitute a very large market share for marketing products, especially Islamic products. One of the products based on Islamic values is Islamic Bank. In Indonesia, Bank Muamalat is the first bank in existence. With such a large Muslim population, on the other hand, Islamic banks do not hold market share in the national banking industry. Islamic banks lag behind other conventional banks. Therefore, a strategy is needed to increase that market share. Islamic marketing is a strategy that can be used to increase customer satisfaction and loyalty at Bank Muamalat Indonesia.This research is an explanatory research with a quantitative approach. The sampling technique used in this study was purposive sampling. Respondents in this study were 120 people. The Machin and Campbell formula is used to determine the number of respondents. The objectives of this study are (1) to determine the effect of Islamic marketing on customer satisfaction; (2) to determine the effect of Islamic marketing on customer loyalty; (3) To determine the effect of customer satisfaction on customer loyalty.The results of this study are (1) Islamic marketing has a significant effect on customer satisfaction; (2) Islamic marketing has a significant effect on customer loyalty; and (3) Customer satisfaction has a significant effect on customer loyalty. So that Bank Muamalat in increasing customer satisfaction and loyalty needs to improve the existing indicators in Islamic Marketing


2021 ◽  
Vol 187 (1-2) ◽  
pp. 189-196
Author(s):  
Moh Nasuka ◽  
◽  
Tony Wijaya ◽  
Anas Hidayat ◽  
◽  
...  

This study aims to build a conceptual and empirical model of Islamic marketing ethics’ influence on Islamic banks’ customer loyalty through customer satisfaction on salesperson services and customer satisfaction to Islamic banks over the year 2020. This study develops a new theoretical model, namely the ethical behaviour of Islamic marketing which is predicted to influence customer loyalty in Islamic banks by integrating customer satisfaction variables. The marketing ethics measurement model in the current research was built employing the Islamic marketing concept approach. The research paradigm used in this study is post-positivistic. The data were collected from 217 customers of Islamic banks in Central Java utilizing the purposive sampling technique. The results showed that Islamic ethical behaviour has a significant impact on customer loyalty directly or indirectly through customer satisfaction. Customer satisfaction with core services has a direct impact on customer loyalty at Islamic banks.


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