Abstract
This study examines the impact of co-creation on customer trust, satisfaction, and loyalty in the context of Islamic banks, the relationship between co-creation and customer satisfaction and loyalty mediated by trust and customer satisfaction. 379 Islamic bank customers data were analyzed using variance-based structural equation modeling to test the nine hypotheses proposed. The study results found that customer co-creation positively influences customer trust and satisfaction, which further implicates loyalty. However, surprisingly co-creation does not affect Islamic bank customer loyalty. Islamic bank managers in Indonesia need to involve customers to participate in value co-creation. Because Islamic bank's customer loyalty relationship with co-creation is mediated in full by trust and satisfaction, this research is the first empirical investigation that tests customer co-creation in an integrated manner and its implications on trust, satisfaction, and customer loyalty in the Islamic bank industry.
Highlights
Over the past decade, researchers agree that research on customer engagement through cocreation activities has become a research priority in the marketing literature [2], especially financial services [3], [4], Islamic banking [6]
This study examines the impact of co-creation on customer trust, satisfaction, and loyalty in the context of Islamic banks, the relationship between co-creation and customer satisfaction and loyalty mediated by trust and customer satisfaction
The study results found that customer co-creation positively influences customer trust and satisfaction, which further implicates loyalty
Summary
Researchers agree that research on customer engagement through cocreation activities has become a research priority in the marketing literature [2], especially financial services [3], [4], Islamic banking (iB - the logo for the identity of the Islamic banking industry in Indonesia since 2007, which means it is a crystallization of the main values of the iB system, which is modern, transparent, fair, balanced, and ethical [5]) [6]. Co-creation is very relevant in the banking sector because customer involvement in sharing ideas for the design process and product development is an important mission for banks to remain competitive while creating unique experiences for customers [14], [15]. This is relevant to the Service-Dominant (SD) logic proposition [16], [17], which considers customers as co-creators of value [18] and contributors to innovation [19], [20]. This study seeks to understand the importance of co-creation better to benefit organizations and customer relationships in the long term
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
