IDEAS home Printed from https://ideas.repec.org/a/eme/iespps/ies-12-2019-0041.html
   My bibliography  Save this article

Service quality of Islamic banks: satisfaction, loyalty and the mediating role of trust

Author

Listed:
  • Razali Haron
  • Noradilah Abdul Subar
  • Khairunisah Ibrahim

Abstract

Purpose - The objective of this study is to examine the impact of PAKSERV model on customers' satisfaction, loyalty and trust in Malaysian Islamic banks. These comprehensive measures concern on the cultural dimension of service quality by focusing on the mediating role of trust in the Malaysian context. Design/methodology/approach - A survey was conducted involving 401 customers of Islamic banks in the states of Kuala Lumpur and Selangor, Malaysia. The data were analyzed through exploratory factor analysis, confirmatory factor analysis and structural equation model employing AMOS 23 and SPSS 23. Findings - The study found positive relationship of PAKSERV dimensions of service quality, customers' satisfaction, customers' loyalty and the mediating role of trust in enhancing customers' loyalty. This study provides new evidence on how trust can act as a partial mediation on the relationship between customers' satisfaction and customers' loyalty in the cultural context of Islamic banking in Malaysia. Practical implications - The findings of this study can be used as a framework for other Islamic Financial Institutions (IFIs) in improving services to its customers. Originality/value - This study contributes to the body of knowledge in enhancing the understanding on customers' satisfaction, loyalty and trust in Islamic banks in Malaysia. This study also covers a broad range of respondents, hence representing a good diversity of Islamic banks' customers.

Suggested Citation

  • Razali Haron & Noradilah Abdul Subar & Khairunisah Ibrahim, 2020. "Service quality of Islamic banks: satisfaction, loyalty and the mediating role of trust," Islamic Economic Studies, Emerald Group Publishing Limited, vol. 28(1), pages 3-23, July.
    • Handle: RePEc:eme:iespps:ies-12-2019-0041
    DOI: 10.1108/IES-12-2019-0041
    as

    Download full text from publisher

    File URL: https://www.emerald.com/insight/content/doi/10.1108/IES-12-2019-0041/full/html?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: no
    File URL: https://www.emerald.com/insight/content/doi/10.1108/IES-12-2019-0041/full/pdf?utm_source=repec&utm_medium=feed&utm_campaign=repec
    Download Restriction: no
    File URL: https://libkey.io/10.1108/IES-12-2019-0041?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Rizaldi Yusfiarto & Septy Setia Nugraha & Galuh Tri Pambekti & Annes Nisrina Khoirunnisa, 2023. "Building loyalty in Islamic banking relationship: a multiple mediation approach empirically in Indonesia," Journal of Financial Services Marketing, Palgrave Macmillan, vol. 28(2), pages 306-320, June.
    2. Ahmed Hassanein & Mohamed M. Mostafa, 2023. "Bibliometric network analysis of thirty years of islamic banking and finance scholarly research," Quality & Quantity: International Journal of Methodology, Springer, vol. 57(3), pages 1961-1989, June.
    3. Victor William Bwachele & Yee-Lee Chong & Gengeswari Krishnapillai, 2023. "Perceived service quality and student satisfaction in higher learning institutions in Tanzania," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-12, December.
    4. Kiran Faiza, 2023. "Determinants of Consumers’ Decision to Switch to Islamic Banking System: A Case Study of Oman," Contemporary Review of the Middle East, , vol. 10(1), pages 46-61, March.

    More about this item

    Keywords

    Service quality; Satisfaction; Loyalty; PAKSERV; Islamic bank; L6; L4; I43; L6; L4; I43;
    All these keywords.

    JEL classification:

    • L6 - Industrial Organization - - Industry Studies: Manufacturing
    • L4 - Industrial Organization - - Antitrust Issues and Policies
    • L6 - Industrial Organization - - Industry Studies: Manufacturing
    • L4 - Industrial Organization - - Antitrust Issues and Policies

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eme:iespps:ies-12-2019-0041. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Emerald Support (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.