Customer Satisfaction In Islamic Banks Research Articles

The dynamic role of the Internet of Things (IoT) on the excel performance of Islamic banks in United Arab Emirates

The rapid advancement of technology has substantially impacted numerous sectors, including the banking industry. It is now apparent that the banking industry is affected by the innovative role that the Internet of Things (IoT) plays, which affects a multitude of operations and services. This study uses a quantitative approach and PLS-SEM to investigate the widespread impact of Internet of Things (IoT) technology on the Excel Performance of Islamic Banks in the UAE. The study integrates the Resource-Based View (RBV), Islamic Banking Theories, and Fraud Triangle Theory to create a complete framework. The research's reliability is supported by a sample of 407 replies from 504 participants. The findings strongly support the hypotheses that IoT integration improves Islamic banking performance in the UAE, such as data analytics, customer service, automation systems, fraud detection capabilities, and asset-backed finance, while aligning with Sharia Principles and improving risk-sharing mechanisms. However, the influence of IoT on escalating fraudulent activities and hence negatively impacting performance was not proven. The study emphasizes the importance of IoT in improving operational efficiency and customer satisfaction in Islamic banks in the UAE.

Impact of Service Quality on Customer Satisfaction in Islamic Banks of Qatar

Setting a consistent norm to satisfy consumers is incredibly challenging in the service sector. As customers become increasingly aware of the services banks provide, their expectations for service quality rise as well. Due to the specialization of services, customers are loyal to a particular company rather than a particular service, making it difficult to retain customers (Milan, 2004). Customer satisfaction is the basis for ensuring customer loyalty, which in turn ensures future customer retention (?uki? & Kijev?anin, 2012). In the banking sector, evaluating a bank's performance is highly dependent on the quality of its services. Therefore, this research aims to study the impact of service quality on customer satisfaction in Islamic banks of Qatar using the CARTER model. A structured questionnaire is the survey method adopted to collect the data. The data will be analyzed using SPSS software to test the hypothesis about the association of each variable. Data were collected from 162 respondents of five Islamic banks in Qatar. The findings revealed that only two of the components of CARTER, assurance, and responsiveness, proved to be positive and significant and four of the other components, i.e., compliance, tangibles, empathy, and reliability were positive but insignificant to customer satisfaction. The findings of this study will lead to a better understanding of the areas of emphasis for the provision of high-quality service by Islamic banks in Qatar.

The Determinants of Customer Satisfaction in Islamic Banks in Libya

In the face of financial globalisation, the Islamic banking system seems to be thriving and robust, coexisting peacefully alongside the regular banking system. The study will look at a variety of areas, including service quality, government assistance, Shariah compliance, religious support and price. The data for this study were gathered via a survey of Tripoli’s consumer bankers. 200 questionnaires were sent to selected respondents. Conclusions may be taken from this sample by generalising the population’s interests. Random sampling was used to identify the basic units. The findings of this study will assist banks and connected stakeholders in the financial industry, including policymakers and senior management, in making Islamic banking more acceptable and beneficial to clients. The study’s key finding is that Shariah-compliant goods and services are more likely to increase customer purchase intent. These provisions would enable all parties engaged in Islamic banking, especially Libyan banks, to be more proactive in developing effective marketing strategies to recruit new customers.

Service Quality Management Practices for Customer Satisfaction in Islamic Banks of Bangladesh

This study has taken the initiative for identifying the underlying factors that would facilitate Islamic banks in satisfying their customers better. The objective was to investigate the effects of SERVQUAL model on customer satisfaction among the Islamic banks in Bangladesh. A self-administered structured questionnaire was used to collect data from 211 customers of five major Islamic banks in Bangladesh using convenience sampling technique. The collected data were later analyzed through exploratory factor analysis. Structural equation modelling technique was performed to verify the model of the study and testing the hypotheses. The findings of the study revealed that reliability, tangibility and responsiveness were significant factors for customer satisfaction whereas assurance and empathy were found insignificant . This research opens the door for future researchers to contribute to this area of research through employing a larger sample and extending the current model through the incorporation of new variables. The study will be a meaningful addition to the literature of service quality and customer satisfaction, particularly in the setting of Islamic banks in Bangladesh.

Hubungan Islamic Marketing Ethics dan Customer Satisfaction pada Perbankan Syariah

Islamic marketing ethics in Islamic institutions are used to encourage customer satisfaction. The purpose of this study is to examine the relationship between Islamic marketing ethics and customer satisfaction in Islamic banking. The method used in the preparation of this article is a literature review. Based on the discussion of the previous literature, it can be denied that Islamic banking has a stable existence and tends to experience positive growth every year. Islamic banking is one form of business in general that requires a marketing strategy so that sharia marketing ethics becomes the basic concept in marketing. Marketing ethics that prioritizes morality, honesty, and openness represent ethical values that can shape customer preferences. The advantages of Islamic banks in interest-free products with profit and share principles must be packaged in Islamic marketing ethics so as to build customer confidence. Products that are trusted and free from customer complaints that serve customer satisfaction optimally. The formation of customer satisfaction is able to create long-term customer loyalty so that it can maintain the financial performance of Islamic banks.

Determinant of service quality to Islamic banking customer satisfaction during Covid-19

Customer satisfaction is the key, where the company will survive because there is customer loyalty. This study aims to evaluate the effect of service quality (SERVQUAL) in measuring customer satisfaction in Islamic banking. The respondents of this study are Islamic banking customers in Surakarta. The sampling technique using convenience random sampling was obtained as many as 121 respondents. Data analysis used multiple linear regression with additional modifications of dummy variables to see the effect of the covid-19 pandemic on customer satisfaction. The results show that tangible, reliability, and empathy have a significant effect on customer satisfaction. Meanwhile, responsiveness and assurance variables have no significant effect on customer satisfaction. Other results found that the pandemic had no significant effect, meaning that Islamic banking continued to try to provide excellent service, whether in a pandemic or not.

Pengaruh Kualitas Pelayanan Islami Terhadap Kepuasan Nasabah Studi Pada Bank Umum Syariah di Provinsi Lampung

This research aims to analyze the effect of Islamic service quality on customer satisfaction in Islamic banking in Lampung Province. The CARTER dimensions influence on Islamic service quality consists of sharia compliance, assurance, reliability, tangibles, empathy, and responsiveness. In this study, collecting data using a questionnaire was given to 100 samples using regression analysis. The analysis results prove that simultaneously the CARTER dimension has a significant effect on customer satisfaction. In contrast, reliability, sharia compliance, and responsiveness partially significantly affect customer satisfaction in Islamic banking in Lampung Province. Meanwhile, assurance, tangibles, and empathy do not considerably affect customer satisfaction in Islamic banking in Lampung Province. Based on the value of Adjusted R Square, the magnitude of the influence of Islamic service quality using the CARTER dimension on customer satisfaction in sharia banking in Lampung Province is 73.8%, so simultaneously, the CARTER dimension affects the quality of Islamic services. Therefore, to maintain and improve this quality, the quality of Islamic banking must be further enhanced through the dimensions of assurance and empathy, namely the bank's ability to give sincere attention and individual or personal care to its customers, as well as commitment and certainty of customer satisfaction, such as showing easy procedures, good bank reputation, the number of front liners, security, and facilities and infrastructure provided is even better.

Pengaruh Keunggulan Produk Pembiayaan Murabahah, Rahn Dan Penerapan Nilai-Nilai Islam Dengan Kualitas Pelayanan Terhadap Kepuasan Nasabah Pada PT BPR Syariah Lantabur Tebuireng Kantor Cabang Gresik

The objectives of this research were to find the influence of murabahah, rahn financing product superiority and the application of Islamic values ​​with quality of service to customer satisfaction in Islamic banks (PT BPR Syariah Lantabur Tebuireng Cabang Gresik). The approach of this research was quantitative using primary data. The sample in this research were customers of PT BPR Syariah Lantabur Tebuireng Cabang Gresik. With the sampling technique using non-probability sampling, so the authors get a total sample of 75 respondents. Analysis of the data in this research using Smart PLS 2.0 analysis tools. The results showed that Murabahah Financing a significant positive effect on Service Quality. Rahn had a significant positive effect on service quality. Islamic values ​​had a positive and not significant effect on service quality. Service Quality had a significant positive effect on Customer Satisfaction. Murabahah Financing had no significant negative effect on Customer Satisfaction. Rahn had a significant positive significant effect on Customer Satisfaction. Islamic values ​​had an insignificant negative effect on customer satisfaction. From the results of the path test, intervening variables it was service quality proven to be able to mediate the relationship between, Murabahah Financing, Rahn and Islamic Values ​​on customer satisfaction of PT BPR Syariah Lantabur Tebuireng Cabang Gresik.
 Keywords: Murabahah, Rahn, Islamic Values, Service Quality, Customer Satisfaction.

Service Quality Perception and Customer Satisfaction in Islamic Banks of Oman

Service Quality Perception and Customer Satisfaction in Islamic Banks of Oman

Impact of Service Quality on Customer Loyalty and Customer Satisfaction in Islamic Banks in the Sultanate of Oman

This study attempts to examine the impact of service quality on customer loyalty and customer satisfaction using the SERVQUAL model for four main Islamic banks in the Sultanate of Oman. This is a quantitative nature of a study, which involved a structured, self-administered questionnaire based on a convenience sampling method gathering data from 120 customers of Islamic banks in Oman. The study data were analyzed using SPSS, and the reliability coefficient (Cronbach’s alpha) was established. The correlation analysis examined the significant relationships among the study variables. The impact of service quality dimensions on customer satisfaction was captured through regression analysis. The key findings of the study revealed that the respondents showed on average an “Agree” response in the five areas, namely, tangibles, responsiveness, reliability, assurance, and empathy. The correlation results depicted a significant relationship between the three variables: service quality, customer satisfaction, and customer loyalty. Similarly, regression results demonstrated that empathy and responsiveness dimensions have a significant positive impact on customer satisfaction. It is, therefore, recommended that banks should focus more on empathy and responsiveness considering the significant relationship of these two variables on customer satisfaction. However, banks should not neglect the importance of other variables such as reliability, assurance, and tangibles that are revealed as important by responses of the participants for the bank’s provisions.

Service quality, religiosity, customer satisfaction, customer engagement and Islamic bank’s customer loyalty

PurposeThe purpose of this study is to investigate the influential factors of customer loyalty to Islamic banks, namely, service quality, customer satisfaction, customer engagement and religiosity.Design/methodology/approachThis study is a survey of 335 Islamic bank customers in West Sumatra, Indonesia. This research deployed purposive sampling and analyzed the data by using covariance-based structural equation modeling.FindingsService quality has a positive and significant impact on customer satisfaction. Religiosity has a significant and negative moderating impact on the service quality–customer satisfaction relationship. Service quality has no significant influence on customer loyalty. Customer satisfaction is a significant antecedent of customer engagement and loyalty. Finally, customer engagement has a significant and positive effect on customer loyalty.Research limitations/implicationsThis study is a combination of cross-sectional and a single-country case. Accordingly, the results may not be representative of other countries. Similar studies in longitudinal data collection are conducted in other countries (e.g. ASEAN countries), which would therefore be worthwhile. Some antecedents of customer loyalty have been neglected in this study (e.g. customer value co-creation and customer commitment); hence, the future study may investigate those factors.Practical implicationsBy considering these Islamic banks’ antecedents, the Islamic banks might enhance their customer loyalty. Also, this study has revealed the moderating role of religiosity in a loyalty relationship. Therefore, it will give insights for the Islamic bank managers in decision-making.Originality/valueThis study has revealed the moderating role of religiosity on the link between service quality and customer satisfaction in Islamic banks, which is, to the authors’ knowledge, neglected in the previous studies. The customers with high religiosity will have a higher standard of satisfaction and demand a better service quality than the customers with low religiosity. This study has also examined the relationships between service quality, religiosity, customer satisfaction, customer engagement and loyalty as a whole, which have been limited previously.

DAMPAK KUALITAS LAYANAN DAN NILAI NASABAH TERHADAP KEPUASAN NASABAH PERBANKAN SYARIAH

Abstract: This research refers to studying service quality and customer value towards customer satisfaction in Islamic banking with a case study in PT Bank Syariah Mandiri Lhokseumawe Branch. The data used in this study are primary data through interviews using a questionnaire. The sample in this study was accidental sampling. The research method used is qualitative and quantitative methods, with multiple linear regression analysis. The results released by simultaneous shows, service quality and customer value have a positive and significant influence on customer satisfaction. While the results of the study indicate that, service quality has a positive and significant effect on customer satisfaction, the customer value also has a positive and significant influence on customer satisfaction. From the variable Quality of service and value of customers that are just the same as partial to customer satisfaction in Islamic banking. This research can be used as an evaluation and input for the management of a special sharia banking company, PT Bank Syariah Mandiri, Lhokseumawe Branch, to always improve service quality and value customers receive customers satisfied with services and benefits obtained or obtained by customers. Keywords: Service Quality, Customer Value, Customer Satisfaction

Relevance of e-SERVQUAL for determining the quality of FinTech services

Despite the rise of FinTech, the definition of this sector is still vague. The services offered by FinTech differ widely, but all share some commonalities. As FinTech is a growing service sector, there is a need to check the service quality offered by the different service providers. The study was conducted on Islamic banks of Malaysia and UAE which offer Fintech services to their customers. A 26-item questionnaire was used to gather data from 325 customers by strata sampling. Statistical data was analysed through various tests like reliability analysis, sample adequacy, factor analysis and regression analysis using SPSS 25.0. Shariah compliance variable was added to the e-SERVQUAL model to make it relevant for Islamic banks. This study found that Shariah compliance information, site aesthetic, efficient and reliable services, and fulfilment of promises and transaction has a significant impact on the customer satisfaction in Islamic banks for the FinTech services offered.

Relevance of e-SERVQUAL for determining the quality of FinTech services

Despite the rise of FinTech, the definition of this sector is still vague. The services offered by FinTech differ widely, but all share some commonalities. As FinTech is a growing service sector, there is a need to check the service quality offered by the different service providers. The study was conducted on Islamic banks of Malaysia and UAE which offer Fintech services to their customers. A 26-item questionnaire was used to gather data from 325 customers by strata sampling. Statistical data was analysed through various tests like reliability analysis, sample adequacy, factor analysis and regression analysis using SPSS 25.0. Shariah compliance variable was added to the e-SERVQUAL model to make it relevant for Islamic banks. This study found that Shariah compliance information, site aesthetic, efficient and reliable services, and fulfilment of promises and transaction has a significant impact on the customer satisfaction in Islamic banks for the FinTech services offered.

Customer Satisfaction Comparison between Islamic and Conventional Banks: Case Study of Qatari Banks

This paper examines customer satisfaction in Islamic banks in Qatar in comparison with their conventional counterpart. It is an attempt to investigate whether Islamic banks have overcome the obstacle of being relatively new; whether they have started providing satisfying services to their customers or whether they act as taking advantage of their customers’ needs for Islamic finance products and treat them as captive clients who resort to Islamic banks for religious reasons. The research queries needed to be answered by the bank’s customers themselves to test their view of the services they get. A comprehensive comparative questionnaire was formulated. Responses from the questionnaire and other data collected from banks’ websites, personal interviews, etc., were analyzed. The paper conducted cross-sector comparisons of Islamic and conventional banking as well as individual comparisons between banks. Analysis of these results, computing averages and comparing them at the level of each bank as well as at the sectoral level between Islamic banks and conventional banks, was conducted. Through this, the paper attempts to uncover banks’ performance and find out all areas of improvements that the Islamic and conventional banks need to work on.

Assessing satisfaction among Islamic Bank Customers’ in Bangladesh

This study is conducted to assess the level of customer satisfaction in Islamic banks from the context of Bangladesh. In the process, 300 questionnaires were distributed, and 236 were returned completed. The results of the questionnaire analysis reveal that there is significant relationship between three of the independent variables, namely- tangible products, personnel service quality and level of commitment to customer satisfaction. In contrast, level of compassion does not have a significant relationship with customer satisfaction. The analyses further reveal that the respondents were satisfied with the overall Islamic Banks’ infrastructure operating in Bangladesh, and most of the respondents did not have intentions to switch to the conventional counterparts. However, the main reason for the account holders to switch to Islamic banks is because they wanted to deal with Shahriah compliant banking. The analyses also indicate that a significant percentage of the respondents have accounts with both Islamic banks and conventional banks. The study has suggested that Islamic Banks should enhance Shahriah compliant framework to generate more income, experience speedy growth, and remain sustainable in the long run.

Assessing satisfaction among Islamic Bank Customers’ in Bangladesh

This study is conducted to assess the level of customer satisfaction in Islamic banks from the context of Bangladesh. In the process, 300 questionnaires were distributed, and 236 were returned completed. The results of the questionnaire analysis reveal that there is significant relationship between three of the independent variables, namely- tangible products, personnel service quality and level of commitment to customer satisfaction. In contrast, level of compassion does not have a significant relationship with customer satisfaction. The analyses further reveal that the respondents were satisfied with the overall Islamic Banks’ infrastructure operating in Bangladesh, and most of the respondents did not have intentions to switch to the conventional counterparts. However, the main reason for the account holders to switch to Islamic banks is because they wanted to deal with Shahriah compliant banking. The analyses also indicate that a significant percentage of the respondents have accounts with both Islamic banks and conventional banks. The study has suggested that Islamic Banks should enhance Shahriah compliant framework to generate more income, experience speedy growth, and remain sustainable in the long run.

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

PurposeThe 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/approachThe 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.FindingsThis 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/implicationsThe 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 implicationsThis paper can influence the current Islamic banks with regard to service quality with an ultimate aim of increasing customer satisfaction and retaining customers.Originality/valueThis 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.

Service quality perception and customer satisfaction in Islamic banks of Pakistan: the modified SERVQUAL model

The aim of this study is to measure the relationship between service quality and customer satisfaction among the customers of Pakistani Islamic banks. This study employed a modified SERVQUAL model by introducing a unique dimension of compliance in the context of service industry. A self-administered questionnaire-based field survey was conducted with the help of modified SERVQUAL dimensions. Data were gathered from 450 walk-in customers of Islamic bank. The sample data were statistically analysed through exploratory factor analysis followed by confirmatory factor analysis (CFA) and structural equation modelling (SEM) analysis to determine the service quality perception and customer satisfaction. Namely, CFA is used in order to test the model validity, while SEM is used for testing the impact of different service quality dimensions on customer satisfaction. Results revealed that the multidimensional service quality scale is positively and significantly associated with the unidimensional scale of customer satisfaction. In addition, the compliance dimension of the SERVQUAL model proved its importance by showing the highest contributing factor in the overall model. Furthermore, this study has practical implications for the policy-makers of Islamic banks to better understand the behavioural intentions of Islamic bank customers.

Determinants of customer satisfaction in Islamic banking: evidence from Iran

PurposeThe purpose of this paper is to clarify and extend the conceptualization and measurement of customer satisfaction in the Islamic banking sector in Iran.Design/methodology/approachThe authors perform a review of the set of attributes which are capable of being incorporated in the measure of customer satisfaction for Islamic banks. Later, the possibility is posed of grouping these attributes into dimensions of quality, proceeding to value various alternative structures by means of confirmatory factor analysis methodology and testing their reliability and validity.FindingsThe findings from this study reveal that service quality in Iranian banking adopting the commercial format of Islamic services has a two‐factor structure: Value proposition quality and Service delivery quality.Originality/valueThe paper contributes to the literature on Islamic Banking in a Middle Eastern economy.