The Effect of M-Banking Service Quality and Customer Perceived Value to Satisfaction and Loyalty of Bank XYZ Customers

Elvriawati Tumewah,Juniarta Juniarta,Yonathan Kurniawan,Magister Of Management Business Management, Binus University, Jakarta, Indonesia

doi:10.35940/ijmh.f0634.024620

Abstract

Many banks in Indonesia have been conducting surveys to customers related to services at branch offices (Branch Service Quality) and Customer Engagement with results that continue to growevery year. With the advancement of digital technology, counter services have begun to shift to digital channels, especially mobile banking. Existing research related to the use of mobile banking uses e-servquality more often, which is generally used in research to see the excellence of services in internet banking, online shops, and digital marketplaces. Therefore, we consider it is necessary to carry on a research about the effect of mobile banking service quality on customer satisfaction and loyalty, the effect of customer perceived value on customer satisfaction and loyalty, and the effect of customer satisfaction with customer loyalty. The research was conducted by setting a sample of Bank XYZ customers who use Bank XYZ mobile banking, the total is 505 respondents. Structural equation modeling was used to carry outconfirmatory factor analysis and path analysis. From the results, it can be seen that mobile banking service quality and customer perceived value have a significant effect on customer satisfaction, but no significant effect on customer loyalty. Meanwhile, customer satisfaction has a significant effect on customer loyalty.

Highlights

IntroductionCustomer satisfaction is a degree when the needs, desires, and expectations of customers can be met
Satisfaction of a customer is an important thing for sustainability of a company
The result would be a repurchase or continued devotion.Customer Satisfaction will appearafter someone is comparing the performance/product resultsto the expected performance, whether it is a feeling of pleasure or disappointment [1].A customer, if satisfied with the value provided by the product or service provided, is very likely to be a customer for a long time [1].Based on data from the Financial Services Authority (OJK), there was a significant growth for users who usee-banking (SMS banking, phone banking, internet banking and mobile banking) in Indonesia which escalated to 50.4 million customers in 2016 from 13.6 million customers in 2012

Summary

Introduction

Customer satisfaction is a degree when the needs, desires, and expectations of customers can be met. The result would be a repurchase or continued devotion.Customer Satisfaction will appearafter someone is comparing the performance/product resultsto the expected performance, whether it is a feeling of pleasure or disappointment [1].A customer, if satisfied with the value provided by the product or service provided, is very likely to be a customer for a long time [1].Based on data from the Financial Services Authority (OJK), there was a significant growth for users who usee-banking (SMS banking, phone banking, internet banking and mobile banking) in Indonesia which escalated to 50.4 million customers in 2016 from 13.6 million customers in 2012.

Objectives

Results

Conclusion