scholarly journals Determining the Effect of Banking Service Quality on Customer Loyalty Using Customer Satisfaction as a Mediating Variable: An Applied Study on the Jordanian Commercial Banking Sector

2021 ◽  
Vol 14 (4) ◽  
pp. 58
Author(s):  
Zaher Abdel Fattah Al-Slehat

Banks operate in an environment characterized by competition between banking service providers and the continuous development of financial technology. On this basis, the quality of banking services determines the success of banks. This study aims to test customer satisfaction as a mediating variable in the relationship between banking service quality and customer loyalty using the convenience sample method. Using the SmartPLS software, the data analysis and hypothesis test results show that the quality of banking service in all its dimensions positively affects customer loyalty. Moreover, customer satisfaction mediates such a relationship. Accordingly, the Jordanian commercial banking sector should focus on the tangibility dimension and influence customer satisfaction to promote customer loyalty.

2012 ◽  
Vol 4 (4) ◽  
pp. 159-167 ◽  
Author(s):  
Mohsin Zafar ◽  
Aasia Asif . ◽  
Ahmed Imran Hunjra . ◽  
H. Mushtaq Ahmad .

The basic aim of this study is to explore most common constructs for quality of banking services, which influence customer satisfaction and examine the impact of customer satisfaction on customer loyalty in the context of banking relationships. The questionnaire was used to collect the data from 192 valid respondents by convenience sampling method. SPSS was used to analyze the data and AMOS was used to test the model. The results of the study show that there is a positive and significant link between customer satisfaction and constructs of service quality like tangibility, reliability, competence conflict handling and further study inferred that customer satisfaction is positively significant related to customer loyalty.


2020 ◽  
Vol 32 (6) ◽  
pp. 1443-1466 ◽  
Author(s):  
Syed Ali Raza ◽  
Amna Umer ◽  
Muhammad Asif Qureshi ◽  
Abdul Samad Dahri

PurposeThis study explores the service quality dimensions in Internet banking and their impact on e-customer’s satisfaction and e-customer’s loyalty. This study tries to inspect the structural association between Internet banking service quality, electronic customer satisfaction and electronic customer loyalty based on separate constructs.Design/methodology/approachIn this present research, quantitative approach is applied. The data is gathered from 500 bank clients in Pakistan by using structured questionnaires, and the theoretical model is tested by partial least square structured equation modeling (PLS-SEM). Moreover, convergent validity and discriminant validity were assessed.FindingsResults show that all the dimensions are found to have a positive and significant influence on customer satisfaction while customer’s satisfaction has a significant and positive impact on customer’s loyalty. Findings indicate that service quality plays a very important role in every society, as it has become the basis for how customers interpret online banking and, in the end, how it interacts and operates with online services.Practical implicationsThis research adds up considerably to the literature of bank marketing, and it is also fruitful for the academicians since it demonstrates the way Internet banking service quality determinants predict e-satisfaction of clients which ultimately raises the e-loyalty of clients. This study is useful for those E-retailers and managers who want to grab e-retailing market.Originality/valueThis research suggests a model which ultimately enhances customer loyalty towards Internet banking service quality through customer satisfaction in Pakistan. It involves modified model of E-SERVQUAL (user friendliness, efficiency of websites, personal need, and site organization) which connects it to electronic customer satisfaction and electronic customer loyalty. Therefore, it will assist the Internet banking sector in building effective marketing tactics, establishing long lasting relationships with clients and acquiring the competitive edge in the market.


Author(s):  
Pham Thi Thanh Hong ◽  
Tran Van Hai

This study explores the factors influencing the quality of telecommunication services in Hanoi and Ho Chi Minh City. By conducting an online survey of 413 office workers, the results indicate that among the five components of the perceived quality of telecommunications services, reliability, assurance, and empathy are Key factors affecting consumer satisfaction in Hanoi and Ho Chi Minh City. The findings of this research help mobile service providers to understand how consumers perceive the quality of mobile services. Thus, mobile service providers would effectively design marketing strategy to improve customer loyalty as well as enter new markets. Keywords: Mobile service, service quality, online survey, empirical study, Vietnam. References [1] Boohene, R., & Agyapong, G., “Analysis of the antecedents of customer loyalty of telecommunication industry in Ghana: The case of Vodafone (Ghana)”, International Business Research, 4 (2011) 1, 229-240.[2] Leelakulthanit, O., & Hongcharu, B., “Factors that impact customers satisfaction: Evidence from the Thailand mobile cellular network industry”, International Journal of Management and Marketing Research, 4 (2011) 2, 67-76.[3] Eugenia Y. Huang, Sheng-Wei Lin, Ya-Chu Fan, “M-S-Qual: Mobile service quality measurement”, Electronic Commerce Research and Applications, 14 (2015), 126-142, http://dx.doi.org/10.2016/j.elerap.2015.01.003[4] Omotayo, O., & Abiodun, A., “Service quality, value offer, satisfaction, and loyalty: An empirical relationship in the Nigerian telecom industry”, Contemporary Management Research, 5 (2011) 2, 14-23.[5] Lee, Roy Chun, “Telecommunications in Vietnam”, Chung-Hua Institution for Economic Research (CIER). Chinese Taipei WTO Center, C.20 (2011), p.1.[6] Agarwal, S., M. Erramilli, et al., “Market orientation and performance in service firms: role of innovation”, Journal of Services Marketing 17 (2003) 1, 68-82.[7] Agyapong, G., “The effect of service quality on customer satisfaction in the utility industry: A case of Vodafone (Ghana)”, International Journal of Business and Management, 6 (2011) 5, 203-210. http://dx.doi.org/10.5539/ijbm.v6n5p203[8] Yee, R. W. Y., Yeung, A. C. L. & Cheng, T. C. E., “An empirical study of employee loyalty, service quality and firm performance in the service industry”, International Journal of Production Economics, 124 (2010) 1, 109-120. http://dx.doi.org/10.1016/j.ijpe.2009.10.015[9] Le The Gioi and Nguyen Minh Duan, “Improving the competitiveness of VMS-MOBIFONE on mobile communication market”, Journal of Science and Technology, University of Da Nang, 2 (2007) 19, 68-72.[10] Dinh Thi Hong Thuy, “Research the factors affecting on the decision for mobile telecommunications of students in Ho Chi Minh City”, Master Thesis, (2008).[11] Le Thi Tuyet Trinh, “Research the customer satisfaction in using Vinaphone mobile service in Binh Dinh province”, Master Thesis, 2012.[12] Bui Van Trinh and Luu Ngoc Mai Anh, “Research the customer satisfaction in using Viettel mobile service in Hai Giang province”, Master Thesis, 2013.[13] Pizam, A., Ellis, T., “Customer satisfaction and its measurement in hospitality enterprises”, International Journal of Contemporary Hospitality Management 11 (1999) 7, p. 326-339, http://dx.doi.org/10.1108/09596119910293231[14] A. Parasuraman, Valarie A. Zeithaml, Leonard L. Berry, “A Conceptual Model of Service Quality and Its Implications for Future Research”, The Journal of Marketing, Vol. 49, No. 4 (1985), pp. 41-50[15] Cronin Jr, J. J., & Taylor, S. A. “SERVPERF versus SERVQUAL: reconciling performance-based and perceptions-minus-expectations measurement of service quality”. The Journal of Marketing, 58 (1994). 125-131.[16] Aydin, S. and G. Ozer, “National Customer Satisfaction Indices: An Implementation in the Turkish Mobile Telephone Market”, Marketing Intelligence and Planning, 23 (2005) 5, 486-504.[17] Mishra, R.C and Sandilya, A., Reliability and Quality Management, New Age International Publishers, 2009.[18] Torsten J. Gerpott, Ilknur Bicak, “Telecommunication service choice and use among migrants: The case of German-Turkish consumers”, Computers in Human Behavior, 6 (2016), 584-596, http://dx.doi.org/10.2016/j.chb.2016.03.018[19] Uddin, M. B., Akhter, B., “Customer satisfaction in mobile phone services in Bangladesh: A survey research”, Management & Marketing X (1) (2012), 20-36.


Author(s):  
Bentil Anthony Ewusi ◽  
He YouShi ◽  
Ruth Appiah ◽  
Ninnette Attisogbe ◽  
Geoffrey Bentum-Micah ◽  
...  

This study makes an empirical study on the relationship between service quality, customer satisfaction and customer loyalty in the banking sector for cocoa farmers of Sefwi-Wiawso in the western-north region of Ghana. Based on the servqual model the researcher constructed a model which brings to light the relationship amid quality of service and customer loyalty in the banking service sector using ADB as a case. The paper puts forward the relevant research hypothesis and develops standard measurements based on the data obtained in the survey questionnaire. The convenient sampling method was applied with 300 customers as samples from the Bank. In all, 360 questionnaires were successfully completed and analyzed. Descriptive statistics, correlation analysis, and regression analysis were carried out using Statistical Package for Social Sciences software (SPSS) to estimate the relationship between variables. The overall results of this study show that there is a positive and significant relationship between all constructs. Service quality and Customer satisfaction positively affect customer loyalty. The study recommends that strategic services bordering on the servqual dimensions should be introduced to provide high-quality services. This will also improve customer loyalty in the long run.


2018 ◽  
Vol 10 (2) ◽  
pp. 201
Author(s):  
Mutmainnah Mutmainnah

<p><em>As a primary factor in satisfaction and loyalty,</em><em> </em><em>service quality and image has been given a lot of attention</em><em>. </em><em>This research used a sample of 120 respondents and analyzed the data using structural equation modeling. Findings reveal that service quality and corporate image are antecedents of customer satisfaction, but customer satisfaction surprisingly does not have positive and significant effect on customer loyalty. </em><em>The implications for service providers in any platform service industry is that customer satisfaction has not key success to loyalty but continuously improves the quality of service and corporate image of satisfaction, but it creates loyalty to buy services and recommend to others.  </em><em></em></p><p><em> </em></p>


Author(s):  
Bareerah Khan ◽  
Muhammad Rizwan

Customer Loyalty has been realized as a significant aspect in the establishment and maintenance of competitive edge in services sectors. Firm’s performance is positively affected with customer loyalty.  Customer Loyalty not only increases the business value but they also allow it to uphold costs lower than those associated with attracting new customers. Now days, banking sectors are promoting Relational marketing which is beneficial for them to build long-term relationship with their customers. Empirical research of this paper examines the extent to which customer Satisfaction in accordance with Perceived Service quality and Trust, Switching Cost, Corporate Image, Customer Involvement Influence the Customer Loyalty in banking sector. For this analysis, Questionnaires were distributed among 150 people and data were collected from 148 questionnaires selected through non-probability sampling technique. Regression and Correlation techniques were used for the analysis of this study. Findings show that there is a direct positive and significant relationship between Customer Satisfaction together with Perceived Service Quality, Corporate Image, Customer involvement and Customer Loyalty. While, Switching Cost has a positive but insignificant relationship on Customer Loyalty.


Author(s):  
Tariq Saeed Mian

Maintaining a strong and loyal customer base is the objective of every organisation. However, in reality this is difficult to achieve in the current competitive environment. When the widespread challenges of the business environment are taken into account, organisations cannot simply plan to absorb new customers but instead adopt the strategy of preserving existing customers and promoting their loyalty to the organisation. This study examined customer loyalty in the banking sector in the Kingdom of Saudi Arabia (KSA). A theoretical model was constructed through an extensive literature review and by extracting the most relevant and important variables for customer loyalty. A questionnaire was used to collect data from customers of different banks. Regression results showed that service quality significantly influences customer satisfaction and customer trust. Furthermore, customer satisfaction and trust significantly affect customer loyalty towards banks. In this respect, service quality is imperative to maintain customer loyalty through customer satisfaction and trust. 


2021 ◽  
Vol 7 (1) ◽  
pp. 143-154
Author(s):  
Danish Ali ◽  
Mohammad Alam ◽  
Hazrat Bilal

The purpose of this research is to examine the influence of service quality (SQ), Price (P) and Restaurant Environment (RE) on customer loyalty (LOY), via the mediating role of customer satisfaction (SAT) in the context of the restaurant industry in the capital city of Pakistan (Islamabad). Five hundred questionnaires were distributed at various restaurants in a different location at Islamabad, and 385 were returned. Multiple Regression Analysis was used to test hypothesis relationships. The outcome of this research shows that SQ, Pand RE have a positive association with the SAT. In contrast, customer satisfaction also leads to customer loyalty. Moreover, customer satisfaction significantly mediates the association among SQ, P, RE, and customer loyalty. The restaurant operators need to consider that good quality of service, fairness in price, pleasant and attractive restaurant the environment can increase customer satisfaction, which often contributes to customer loyalty.


Sign in / Sign up

Export Citation Format

Share Document