The Effect of Religiosity, Bank Image, and Perceived Quality on Customer Purchase Intention towards Islamic Banking

Abstract

Islam is a religion that guides its followers in every aspect of life including economic activities. Islamic banks provide services to their customers on the basis of Islamic principles (Sharia) and guided by Islamic economics. Many factors influence customer Purchase Intention towards Islamic banking services. This study investigates the influence of Religiosity, Bank Image and Perceived Quality on Customer Purchase Intention towards Islamic Banking Services in Pakistan with the mediating role of Customer Attitude. Questionnaire (survey) was conducted to know the customer response about Islamic Banking. A sample of 250 bank customers was taken as respondents. A 5 point Likert scale was used to measure customer responses. Correlations and SEM tests are applied for complete study analysis by using IBM SPSS V21 and AMOS V 21. The findings of the study indicate that Perceived Quality and Bank Image are more influencing factors in determining Customer Purchase Intention. Religiosity also has significant role in forming the customer Purchase Intention towards Islamic banking services. The results suggest that marketers at Islamic banks should adapt marketing strategies that enhance Bank Image and Perceived Quality.