scholarly journals Customer satisfaction in the digital era: evidence from Islamic banking

2020 ◽  
Author(s):  
Ghazi zouari ◽  
Marwa Abdelhedi
Keyword(s):  
Factor Analysis ◽  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Service ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Five Dimensions ◽  
Islamic Bank ◽  
Digital Era ◽  
The Impact

Abstract PurposeBased upon an extended SERVQUAL model, this paper attempts to contribute to the Islamic banking literature by examining the impact of digitalization, as a service quality dimension, on customer satisfaction.Design/methodology/approachTwo dimensions, i.e. digitalization and compliance are added to the existing SERVQUAL model of five dimensions. Results are drawn from a self-completed survey of a convenience sample of 145 Tunisian Islamic bank customers for the year 2018. Factor analysis and regression analysis are used to determine factor structure and determine the impact of service quality dimensions, especially digitalization, on customer satisfaction in Islamic banking.FindingsThe factor analysis extracted five dimensions of service quality, i.e. confidence, compliance, digitalization, tangibles and human skills. The paper demonstrates a positive and significant relationship between the main dimensions of customer service quality and customer satisfaction, except for tangibles.Research limitations/implicationsAlthough the outcomes lend support to the extended SERVQUAL model, the results are derived based on a relatively small sample size in one country (Tunisia). This limits the generalizability of the study results. It might also be useful to enlarge the study sample and include a comparison between Islamic versus conventional banking about service quality and customer satisfaction.Managerial implications:To remain competitive, Tunisian Islamic banks need to pay attention to the way the services are delivered and not take it for granted that customers are only focusing on compliance. Dealing henceforth with Generation Y customers, they must persevere in bringing their customer service into the digital era.Originality/valueThis study is one of few which try to investigate the drivers of customer satisfaction for Islamic banks in a Digital Era. It reveals that although customers pay special attention to Sharia’ laws, the way services are delivered matters to them too. From now on, digital banking must appear among the Islamic bank features to stay relevant in the Digital Era.

scholarly journals Customer satisfaction in the digital era: evidence from Islamic banking

2020 ◽  
Author(s):  
Ghazi zouari ◽  
Marwa Abdelhedi
Keyword(s):  
Factor Analysis ◽  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Service ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Five Dimensions ◽  
Islamic Bank ◽  
Digital Era ◽  
The Impact

Abstract Purpose: Based upon an extended SERVQUAL model, this paper attempts to contribute to the Islamic banking literature by examining the impact of digitalization, as a service quality dimension, on customer satisfaction.Design/methodology/approach: Two dimensions, i.e. digitalization and compliance are added to the existing SERVQUAL model of five dimensions. Results are drawn from a self-completed survey of a convenience sample of 145 Tunisian Islamic bank customers for the year 2018. Factor analysis and regression analysis are used to determine factor structure and determine the impact of service quality dimensions, especially digitalization, on customer satisfaction in Islamic banking.Findings: The factor analysis extracted five dimensions of service quality, i.e. confidence, compliance, digitalization, tangibles, and human skills. The paper demonstrates a positive and significant relationship between the main dimensions of customer service quality and customer satisfaction, except for tangibles.Research limitations/implications: Although the outcomes lend support to the extended SERVQUAL model, the results are derived based on a relatively average sample size in one country (Tunisia). It might also be useful to enlarge the study sample for better generalization of the findings in other countries and include a comparison between Islamic versus conventional banking about service quality and customer satisfaction.Managerial implications: To remain competitive, Tunisian Islamic banks need to pay attention to the way the services are delivered and not take it for granted that customers are only focusing on compliance. Dealing henceforth with Generation Y customers, they must persevere in bringing their customer service into the digital era.Originality/value: This study is one of few which try to investigate the drivers of customer satisfaction for Islamic banks in a Digital Era. It reveals that although customers pay special attention to Sharia laws, the way services are delivered matters to them too. From now on, digital banking must appear among the Islamic bank features to stay relevant in the Digital Era.

scholarly journals Customer satisfaction in the digital era: evidence from Islamic banking

2021 ◽  
Vol 10 (1) ◽  
Author(s):  
Ghazi Zouari ◽  
Marwa Abdelhedi
Keyword(s):  
Factor Analysis ◽  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Service ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Five Dimensions ◽  
Islamic Bank ◽  
Digital Era ◽  
The Impact

Abstract Purpose Based upon an extended SERVQUAL model, this paper attempts to contribute to the Islamic banking literature by examining the impact of digitalization, as a service quality dimension, on customer satisfaction. Design/methodology/approach Two dimensions, i.e., digitalization and compliance, are added to the existing SERVQUAL model of five dimensions. Results are drawn from a self-completed survey of a convenience sample of 145 Tunisian Islamic bank customers for the year 2018. Factor analysis and regression analysis are used to determine factor structure and determine the impact of service quality dimensions, especially digitalization, on customer satisfaction in Islamic banking. Findings The factor analysis extracted five dimensions of service quality, i.e., confidence, compliance, digitalization, tangibles, and human skills. The paper demonstrates a positive and significant relationship between the main dimensions of customer service quality and customer satisfaction, except for tangibles. Research limitations/implications Although the outcomes lend support to the extended SERVQUAL model, the results are derived based on a relatively average sample size in one country (Tunisia). It might also be useful to enlarge the study sample for better generalization of the findings in other countries and include a comparison between Islamic versus conventional banking about service quality and customer satisfaction. Moreover, we can applicate another original method for the Measuring and Implementing Service Quality like the multicriteria method dubbed (MUSA). Managerial implications To remain competitive, Tunisian Islamic banks need to pay attention to the way the services are delivered and not take it for granted that customers are only focusing on compliance. Dealing henceforth with Generation Y customers, they must persevere in bringing their customer service into the digital era. Originality/value This study is one of the few which tries to investigate the drivers of customer satisfaction for Islamic banks in a Digital Era. It reveals that although customers pay special attention to Sharia laws, the way services are delivered matters to them too. From now on, digital banking must appear among the Islamic bank features to stay relevant in the Digital Era.

scholarly journals Customer satisfaction in the digital era: evidence from Islamic banking

2021 ◽  
Author(s):  
Ghazi zouari ◽  
Marwa Abdelhedi
Keyword(s):  
Factor Analysis ◽  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Service ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Five Dimensions ◽  
Islamic Bank ◽  
Digital Era ◽  
The Impact

Abstract Purpose: Based upon an extended SERVQUAL model, this paper attempts to contribute to the Islamic banking literature by examining the impact of digitalization, as a service quality dimension, on customer satisfaction.Design/methodology/approach: Two dimensions, i.e. digitalization and compliance are added to the existing SERVQUAL model of five dimensions. Results are drawn from a self-completed survey of a convenience sample of 145 Tunisian Islamic bank customers for the year 2018. Factor analysis and regression analysis are used to determine factor structure and determine the impact of service quality dimensions, especially digitalization, on customer satisfaction in Islamic banking.Findings: The factor analysis extracted five dimensions of service quality, i.e. confidence, compliance, digitalization, tangibles, and human skills. The paper demonstrates a positive and significant relationship between the main dimensions of customer service quality and customer satisfaction, except for tangibles.Research limitations/implications: Although the outcomes lend support to the extended SERVQUAL model, the results are derived based on a relatively average sample size in one country (Tunisia). It might also be useful to enlarge the study sample for better generalization of the findings in other countries and include a comparison between Islamic versus conventional banking about service quality and customer satisfaction. Moreover, we can applicate another original method for Measuring and Implementing Service Quality like the multicriteria method dubbed (MUSA).Managerial implications: To remain competitive, Tunisian Islamic banks need to pay attention to the way the services are delivered and not take it for granted that customers are only focusing on compliance. Dealing henceforth with Generation Y customers, they must persevere in bringing their customer service into the digital era.Originality/value: This study is one of few which try to investigate the drivers of customer satisfaction for Islamic banks in a Digital Era. It reveals that although customers pay special attention to Sharia laws, the way services are delivered matters to them too. From now on, digital banking must appear among the Islamic bank features to stay relevant in the Digital Era.

The impact of customer service quality on customer satisfaction in Islamic banking

2017 ◽  
Vol 8 (4) ◽  
pp. 595-604 ◽  
Author(s):  
Mohamed Abdulnaser Janahi ◽  
Muneer Mohamed Saeed Al Mubarak
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Service ◽  
Banking Sector ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Content Type ◽  
Quality Dimensions ◽  
Service Quality Dimensions ◽  
The Impact

Purpose The purpose of this paper is to contribute to the Islamic banking literature by examining the impact of different factors of customer service quality on customer satisfaction. Design/methodology/approach The paper presents a model which is not frequently used in Islamic banking literature and shows relationships between six factors of customer service quality and customer satisfaction in the Islamic banking sector. Customers of five main Islamic banks are contributing in this study. Findings This paper demonstrates strong and positive relationships between the six main dimensions of customer service quality (Compliance, Assurance, Reliability, Tangibility, Empathy and Responsiveness) and customer satisfaction. Research limitations/implications The study may suffer from lack of generalization, as it is conducted in one country (Bahrain). It might also be useful to enlarge the study sample and include comparison between Islamic versus conventional banking with regard to service quality and customer satisfaction. Practical implications This paper can influence the current Islamic banks with regard to service quality with an ultimate aim of increasing customer satisfaction and retaining customers. Originality/value This study is one of the few that focus on effects of customer service quality dimensions on customer satisfaction in the Islamic banking sector. It reveals that, although customers pay special attention to Sharia’h laws (compliance) in their transactions with banks, the way services are delivered matters to them too.

The impact of Islamic Shariah compliance on customer satisfaction in Islamic banking services: mediating role of service quality

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Selim Ahmed ◽  
Muhammad Mohiuddin ◽  
Mahfuzur Rahman ◽  
Kazi Md Tarique ◽  
Md. Azim
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Service ◽  
Mediating Effect ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Banking Services ◽  
Content Type ◽  
The Impact ◽  
The Relationship

Purpose The purpose of this paper is to investigate the impact of Islamic Shariah compliance on customer satisfaction through the mediating effect of service quality in Islamic banking services. Design/methodology/approach A total of 334 completed and usable questionnaires were collected from customers of Islamic banks in Bangladesh to test the hypotheses. The data were analyzed using SmartPLS 3. Findings The findings of this study indicate that Islamic Shariah compliance has a positive and significant influence on service quality and customer satisfaction of Islamic banking services. The research findings also indicate that service quality partially mediate the relationship between Islamic Shariah compliance and customer satisfaction of Islamic banking services. Research limitations/implications This study only emphasized on the Islamic banking services of Bangladesh and thus findings of the present study may not be applicable to other service areas. Practical implications The implications of the research are twofold. First, a strong standardized effect of Islamic Shariah compliance on service quality implies that customers are very sensitive to Shariah compliance related to Islamic banking services. Next, maintaining service quality is another crucial aspect to satisfy customers of Islamic banks. Quality of services will only be materialized when all the promises made by the bank function accordingly. Therefore, strategy makers of Islamic banks should assess the customer service quality and satisfaction regularly to improve the overall service experience of customers. Originality/value Limited studies have been conducted to investigate the mediating effect of service quality on the relationship between Shariah compliance and customer satisfaction in Islamic banking services. This study provides valuable insights to Islamic bank to integrate the service quality along with Shariah compliance to enhance customer satisfaction.

scholarly journals The Impact THE IMPACT OF EMPLOYEE SATISFACTION ON CUSTOMER SERVICE QUALITY IN ISLAMIC BANK

2020 ◽  
Vol 5 (2) ◽  
pp. 53-64
Author(s):  
Alfalisyado Alfalisyado
Keyword(s):  
Service Quality ◽  
Customer Service ◽  
Employee Satisfaction ◽  
Islamic Banks ◽  
Islamic Bank ◽  
The Subject ◽  
The Impact

The aim of this study is to examine the impact of employee satisfaction on customer service quality. The subject of this research is Islamic banks in Indonesia with two variables are employee satisfaction and customer service quality. The results of this study is shown that there is a relationship between employee satisfaction and customer service quality. The degree of influence of employee satisfaction to customer service quality is 13.1% which mean there are many variables can be determined for the next research.

scholarly journals AN EXPLORATION OF CUSTOMERS’ SWITCHING BEHAVIOR IN ISLAMIC BANKING INDUSTRY

2017 ◽  
Vol 2 (2) ◽  
pp. 251-286
Author(s):  
Ali Rama
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Banking Industry ◽  
Service Failure ◽  
Switching Behavior ◽  
Survey Method ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Islamic Bank ◽  
Customer Switching

The existence of the switching behavior among Islamic bank customers may affect to the survival of the Islamic banks of the country. Switching behavior is mostly as an outcome of the negative service experience that may be related to several factors. The purpose of the study is to provide an insight of the drivers that lead to a bank customer switching behavior from one Islamic bank to another bank. The study employed survey method through questionnaire instrument and distributed to Islamic banking customers in several areas of Banten Province, Indonesia. The result of statistical analysis shows that customer satisfaction, service quality, shariah compliance, prices and involuntary switching have their significant effect on customers’ switching behavior in the Islamic banks. However, service failure and advertisement are not statistically significant in driving bank switching. Therefore, the Islamic bank manager should shape their business model around customers’ needs and focuses operational improvements on customers’ most valued interactions.  Keywords: Switching behavior, Customer satisfaction, Service quality, Shariah compliance, PricesJEL Classification: G14, G20, G21, M30, D10

scholarly journals Assessing the Service Quality and Customer Satisfaction on Islamic Banking by Using SERVQUAL Model

2019 ◽  
Vol 10 (2) ◽  
pp. 79
Author(s):  
Muhammad Zulfaris Mohd Salleh ◽  
Azwan Abdullah ◽  
Noorshella Che Nawi ◽  
Mohd Zulkifli Muhammad
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Banking Industry ◽  
Social Scientist ◽  
Sampling Technique ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Five Dimensions ◽  
The Relationship

The quality services demanding by Islamic bank’s customers are increased due to the increasing of customer’s awareness on the quality services in Islamic banks. In evaluating the service quality, SERVQUAL instrument that divided by five dimensions which is reliability, responsiveness, tangibility, assurance and empathy will be used. So that, the main objective of this research is to investigate the impacts of (reliability, responsiveness, tangibility, assurance, empathy) on the satisfaction of the customer in the Islamic banking industry. The questionnaires are designed by adapting SERVQUAL model then distributed by employing the convenient sampling technique. Then, the data analysed using Statistical Package for Social Scientist (SPSS). The result indicated the relationship between assurance and empathy are very significance on customer satisfaction while reliability, responsiveness and tangibility are not significance on customer satisfaction.

Customer perception regarding Sharī‘ah compliance of Islamic banking sector of Pakistan

2016 ◽  
Vol 7 (4) ◽  
pp. 282-303 ◽  
Author(s):  
Lutfullah Saqib ◽  
Muhammad Aitisam Farooq ◽  
Aliya Mueen Zafar
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Banking Sector ◽  
Public Awareness ◽  
Interactive Effect ◽  
Islamic Banking ◽  
Main Stream ◽  
Islamic Banks ◽  
Content Type ◽  
The Impact

Purpose This paper aims to analyze the impact of Sharī‘ah compliance perception on customer satisfaction in Islamic banking sector of Pakistan. Design/methodology/approach Primary data were collected from 242 account holders of Islamic banks and Islamic banking branches of conventional commercial banks and analyzed by correlation and regression through self-administered questionnaires based on SERVQUAL model. Findings Significant moderating effects of Sharī‘ah compliance perception on the relation between service quality and customer satisfaction have been identified. Research limitations/implications As a cross-sectional study with convenience sampling restricts generalizability and because financial benefits offered by banks were not included as a variable, the scope of this study is limited to service quality only. Future research may focus on the moderating effect of Sharī‘ah compliance perception through longitudinal study with larger sample size in a multi-cultural environment. Practical implications Results of this paper recommend Islamic banks to focus on their core strength “Sharī‘ah compliance” while developing their product/service and building marketing strategies. Moreover, assurance of high-quality services will sustain such strategies against competition with conventional banks. Social implications Islamic banks must primarily develop their brand through extensive communication and public awareness programs regarding Sharī‘ah compliance standards in terms of products/services, policy/procedures, code of conduct and Sharī‘ah board. Originality/value This research examines moderating role of Sharī‘ah compliance perception between service quality and customer satisfaction in Islamic banking sector of an Islamic Republic with dual banking system. This interactive effect of Sharī‘ah compliance perception has not been found as an overriding theme in any of the main stream journals/articles. Therefore, this study fills this gap.

The Determinants of Service Quality and Its Impact on Customer Satisfaction (A Survey of Islamic Banks Customers in Indonesia)

2017 ◽  
Vol 2 (4) ◽  
pp. 36-45
Author(s):  
Salamah Wahyuni ◽  
Arif Lukman Santoso ◽  
Yacob Suparno
Keyword(s):  
Customer Satisfaction ◽  
Service Quality ◽  
Customer Service ◽  
Descriptive Analysis ◽  
Personal Characteristics ◽  
Islamic Banking ◽  
Islamic Banks ◽  
Banking Services ◽  
Automatic Teller Machine

Objective - This study examines the factors affecting the quality of Islamic banking services in Indonesia, and its impact on customer satisfaction. Methodology/Technique - Questionnaires were distributed to 300 people, with 286 respondents having completed and returned the questionnaires. A descriptive analysis was conducted to ascertain the elements of Islamic banking services. Further, multiple regression analysis was used to analyze the influence of the quality of Islamic banking services on customer satisfaction. The results show that all elements of banking services are not in accordance with the expectations of the respondents as customers, particularly with respect to Automatic Teller Machine ('ATM') services. Findings - The results show that, with respect to all elements examined, the value of expectations was higher than the service received by customers. In addition, not all of the study hypotheses were accepted. The expectations of banking services were not influenced by Word of Mouth ('WOM'), personal characteristics or experience. Further, the source of information obtained, the age or income of the respondents, and their education and experience, did not have an affect on the expectations of Islamic banking services. Novelty - A high quality of Islamic banking services significantly affects customer satisfaction. In an effort to improve services in that industry, Islamic banking in Indonesia would benefit from placing more attention on all elements of the services provided to customers, particularly ATM services. Further, based on the findings of this study, the elements of customer service should be addressed regardless of the characteristics of the customers, such as age, income, education or experience. Type of Paper - Empirical Keywords: Service Quality; Customer Satisfaction; Islamic Banks; Indonesia. JEL Classification: G20, G21, G29.

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