Islamic Marketing Ethics and Its Impact on Customer Satisfaction in the Islamic Banking Industry

Abstract

Abstract. Islamic marketing ethics combines the principle of value maximisation with the principles of equity and justice for the welfare of the society. Adherence to the Islamic ethics in the Islamic banking industry can help elevate the standards of both behaviour and living of bankers and customers alike. In a rapidly changing marketing environment the need to be customer-focused has never been as important as it is today. At present where customers are becoming more demanding and increasingly mobile between competing financial providers, being customer-focussed is not enough. Islamic banks and more specifically their customer-contact employees (customer relation advisers or officers) need to be perceived by their customers as being Islamic.This study represents an initial step in analysing the role of Islamic ethical sales behaviour as it may be perceived by the customers of Islamic Banks.

The Significant Contribution of Islamic Relationship Marketing Practice in Malaysian Takaful Industry Towards Determining Customer Gratitude, Trust, and Commitment

“…Given today's challenging market environment and customer demands for quality services, marketers not only have to be customer-focused but also need to be perceived as Islamic by their customers (Hassan et al, 2008). A review of past literature has revealed a large volume of research in marketing that indicate ethics as among the main issues in marketing and sales (Wotruba, 1990;Piercy & Lane, 2007).…”

“…Basically, this relates to religious aspects that promote affiliation, commitment, motivation, knowledge, and social consequences, and is believed to influence customers' confidence with the sales person (Nazlida & Mizerski, 2010). In addition, Hassan et al (2008) have advocated that Islamic ethical behaviours play a significant role in the development and maintenance of the buyer-seller relationship. This is further supported by a more recent study by Shamsudin et al (2010), in which the authors claim that Islamic ethical behaviour has promoted a positive environment in relationship marketing practice, and this naturally would lead to customer satisfaction.…”

“…Islamic marketing perceives the marketer as a professional who embodies religious values (Kartajaya & Sula, 2006), feels accountable to God (Hassan, Chachi, & Salma, 2008), and is moderate and generous in dealing with customers (Yusuf, 2010;Hassan et al, 2008;Kartajaya & Sula, 2006;Rice, 1999). Conversely, unethical behaviour such as inequality, injustice, exploitation and cheating are completely impermissible in Islamic marketing (Rice, 1999;Hassan et al, 2008).…”

“…Conversely, unethical behaviour such as inequality, injustice, exploitation and cheating are completely impermissible in Islamic marketing (Rice, 1999;Hassan et al, 2008). IRM thus can be interpreted as the marketing process that emerged for the purpose of building relationship between marketer and consumer based on the Islamic guidance towards Allah's (God the Almighty) blessing.…”

A Conceptual Model of Literature Review for Family Takaful (Islamic Life Insurance) Demand in Malaysia

“…There have been some research on marketing and advertising which can influence customers' buying behaviour (Abideen & Saleem, 2011;Gilaninia & Ghashlagh, 2012) and the selection of Islamic banks (Haron et al, 1994;Gerrard & Cunningham, 1997;Hassan et al, 2008;Haque, 2010;Adnan, 2010;Hakim et al, 2011). Similarly, other studies have indicated that there is significant relationship between effective marketing and advertising and the consumers' buying behaviour (Abideen & Saleem, 2011;Gilaninia & Ghashlagh, 2012).…”