The Relationship between Service Quality Dimensions, Customer Satisfaction and Loyalty in Technology based Self Service Banking

Abstract

The technology based self service banking (TBSSB) refers to automated banking services that customer avail without interaction with bank employees. This paper investigates the relationship between dimensions of TBSSB service quality, customer satisfaction and loyalty. The paper also examines the mediating role of customer satisfaction in the relationship. The dimensions are identified and confirmed by conducting EFA and CFA respectively using SPSS 16.0 and AMOS 20.0. Dimensions of TBSSB SQ are identified as Convenience, Reliability & Security, Responsiveness and Personalization. AMOS 20.0 is used to investigate the relationship between dimensions using SEM. It is found that Convenience and personalization have significant effect on customer satisfaction, and personalization and customer satisfaction have significant effect on loyalty. Customer satisfaction is also confirmed as a mediating factor. This study may help bank managers to investigate the customers' quality perceptions about TBSSB services and enlighten banks about the aspects of services to be focused.

Satisfaction and Loyalty of Banking Customers in Indonesia

“…When customers are satisfied with the products or services they have purchased and used, the customers will be loyal to the company's products and services therefore they will be loyal to the company. This is proven by previous researzch in the following industries: banking [2][3][4][5][6][7][8], airlines [9], education [10], entertainment [11], food [12][13][14], hospital [15], hotel [16], manufacture [17], retail [18][19][20][21], shipping [22][23], telecommunication [24][25][26][27]. Those research conclude that customer satisfaction has a significant positive effect on customer loyalty.…”

Strategi Pemasaran Berbasis Kepuasan Pelanggan : Memahami Peran Kualitas Layanan dan Harga

“…Jika pelanggan puas dengan produk dan jasa yang mereka beli, pelanggan tersebut akan tetap loyal terhadap produk dan jasa perusahaan. Hal ini dibuktikan dengan penelitian sebelumnya pada industri berikut yaitu perbankan (Hayati dkk, 2020;Djajanto dkk, 2019;Yilmaz and Gurbuz, 2018;Rivai and Wahyudi, 2016;Sindwani and Goel, 2016;Al-Msllam, 2015;Dhurup, 2014), untuk makanan Suchanek and Kralova, 2019;Jalali, Hosseinipour, 2016, Zena and Hadisumarto. 2013, rumah sakit Ardiani and Murwatiningsih, 2017hotel diteliti oleh Liat, Mansori, Chuan and Imrie, 2017;ritel diteliti oleh Yulisetiarini, 2015;Wahab, Hassan, Shahid and Maon, 2016;Zakaria, Rahman, Othman, Yunus and Osman, 2014;Castaneda, 2011. Penelitian-penelitian tersebut menyimpulkan bahwa kepuasan pelanggan mempunyai pengaruh positif yang signifikan terhadap loyalitas pelanggan.…”

Mobile wallet adoption intention amid COVID-19 pandemic outbreak: A novel conceptual framework

“…M-wallet provides the users with a relative advantage as it is more effective and efficient than other electronic payment systems ( Chawla and Joshi, 2020 , Kaur et al, 2020 ). Users experience ease as m-wallets are user-friendly, and save time and mental efforts ( Kapoor et al, 2021b , Sindwani and Goel, 2016 ). Organisational and technical foundations are in pace to brace the use of m-wallet ( Bhattacharyya et al, 2021 ).…”