Millennial behavioural intention in Islamic banks: the role of social media influencers

Abstract

Purpose This study aims to examine the role of social media influencers (SMI) in millennial behavioural intentions towards Islamic banks, from the perspective of both bank clients and non-clients. Design/methodology/approach Of the 484 Indonesian millennials in the sample, 278 were clients and 206 non-clients of Islamic banks. Factor analysis was used to examine the SMI dimension in the Islamic banking context. This study then used the partial least square to evaluate the proposed model and test the relationships between SMI, bank image, trust and behavioural intention. Findings Three SMI dimensions were confirmed, i.e. expertise, celebrity and similarity. For bank clients, the findings show that SMI has a significant influence on behavioural intention and reinforces bank image and trust. For non-clients, SMI does not have a significant impact on behavioural intentions but significantly strengthens bank image and trust. Practical implications Islamic bank managers can take benefit of this study findings by learning to foster the behavioural intentions of their millennial clients and non-clients using SMIs. Further, choosing the right SMIs for their Islamic bank is an important activity, and if they want to make a positive impact on existing and potential millennial clients, they need to choose popular millennials who are knowledgeable about the Islamic value compliance of Islamic banking services. Originality/value This study is an early study to explore SMI’s role in influencing the behavioural intentions of millennials towards Islamic banks.

Influence of Utilitarian Motivation, Ideal Self-Concept, and Perception of Consumers on Intention to Use Islamic Banking Products

“…They also become influencers by recommending Islamic banking products to friends and relatives. This finding is in line with previous research by (Dean et al, 2021), which showed a significant positive relationship between trust and intention to use. (Roth et al, 2017) and (Cakici & Tekeli, 2021) stated that higher perceptions result in lower intentions.…”

“…(Haron et al, 2020) stated that trust can influence customer decisions to build long-term relationships with Islamic banks, such as opening more savings. In addition, a person who receives positive bank comments from influencers will have good trust and attitude toward the bank, thereby increasing their behavioral intentions (Dean et al, 2021).…”

Social Media, Islamic Financial Literacy, and Islamic Banking Product Ownership: A Moderating Model

“…In exchange for providing information, influencers can get huge rewards for posting on their social media. Dean et al (2021) prove that social media influencers have a positive and significant influence on behavioral intention in Islamic banks, but for millennials who are not customers of Islamic banks, social media influencers have no significant effect on behavioral intention. Tariq et al (2020) prove that influencer marketing can increase sales of financial products in Pakistani banks.…”

“…Unfortunately, studies on this topic have not been carried out in Indonesia, especially for Generation Z. A limited number of the referred studies were conducted in developed countries (Ajina, 2019;Dean et al, 2021;Tutberidze et al, 2020). Therefore, this study assesses the effect of influencer attractiveness and social media engagement on the intention to own Islamic banking investment products of Gen Z moderated by Islamic financial literacy and income levels.…”

The Effect of Social Media Interactive Messaging on Customer Loyalty of Commercial Banks in Nairobi City County, Kenya

“…Modern customers require instant response to inquiries to enable them make purchase decisions. Advanced technologies have provided a basis for instant messaging through social media platforms (Yang & Lee, 2020;Dean et al, 2021). Corporations are leveraging social media interactive messaging to address customer needs, enhance satisfaction, and eventually inspire customer loyalty.…”