Customer perceived service quality and loyalty in Islamic banks

Benefit–Risk Perceptions of FinTech Adoption for Sustainability from Bank Consumers’ Perspective: The Moderating Role of Fear of COVID-19

Industry 4.0 technologies, designed to optimize efficiencies, are indisputable change agents for sustainability. In the context of financial technology (FinTech), the burgeoning question concerns how to create FinTech natives from the COVID-19-pandemic-induced adoption and realize FinTech’s impact on sustainability? Thus, this study had the following purposes: (1) to examine whether perceived benefits and risks affect FinTech services adoption; (2) to test the role of fear of COVID-19 in FinTech adoption; and (3) to investigate whether FinTech adoption contributes to sustainability. The hypotheses derived from the net valence framework, sustainable information society theory, and protection motivation theory were tested using structural equation modeling (SEM). Our online survey of bank consumers in Malaysia between December 2021 and February 2022 yielded 1279 usable questionnaires, randomly selected to generate 400 respondents. The results revealed that: (1) the perceived benefits significantly influence FinTech adoption, whereas perceived risk does not; (2) fear of COVID-19 moderates the perceived benefits–FinTech adoption relationship and fully mediates the perceived risk–FinTech adoption relationship; and (3) FinTech adoption significantly affects sustainability. This study demonstrates that FinTech adoption models must exploit consumer sentiment (e.g., fear) to optimize FinTech’s benefits and risks, thereby creating FinTech natives to realize its impacts on economic, environmental, and social sustainability.

Management of Loyalty and Its Main Antecedents in Sport Organizations: A Systematic Analysis Review

Sports management is booming, thanks to society's growing interest in sports in general. This work provides an exhaustive review of the scientific literature of one of the variables most coveted by managers: loyalty. Antecedents positively related to loyalty are also conceptualized in this paper. The scientific literature search was limited to the last 15years to achieve a better fit with today's context. The Web of Science database was the main search method used, along with other, secondary resources, for a total of 328 scientific articles obtained as a base for this review. The results of this study bring together the most representative data in a systematic review of the loyalty variable in the field of sports management: the antecedents of loyalty, the terms with the greatest presence in the theory, the most representative authors and sources of this topic, and so on. One of the most significant results obtained from the review of these 300 bibliographical references is that the factors to be borne in mind for marketing strategies in sports organizations are satisfaction, commitment, trust, and service quality. The literature reflects that these variables, present in studies on loyalty in general, can also be found in the literature on sports management - in particular, satisfaction and service quality. However, few papers include all these antecedents at once, making this an interesting field for future research.

Bank service quality: perception of customers in the Greater Accra Region of Ghana in the post banking sector reforms era

Purpose

In the wake of fierce competition that has ensued among banks to get a share of the depositors' funds after the banking sector reforms in 2017, this study attempts to investigate bank service quality and its influence on customer satisfaction and customer loyalty in the Greater Accra Region of Ghana.

Design/methodology/approach

Using a sample of 753 respondents (bank customers), the study employs the structural equation modelling (SEM) using Smart-PLS to test the nature of relationships between service quality, customer satisfaction and customer loyalty using the SERVQUAL model.

Findings

The findings show that, with the exception of assurance, the remaining four antecedents of service quality, namely reliability, responsiveness, empathy and tangibility had significant positive influence on customer satisfaction. The results also show a significant positive influence of customer satisfaction on customer loyalty, implying that more satisfied customers in Ghana tend to become more loyal to their banks.

Practical implications

For policy purposes, the authors recommend that banks should invest in improving service quality to drive customer satisfaction, loyalty and ultimately firm performance. The satisfied customer is a reliable source of bank viability and survival.

Originality/value

To the best of the knowledge of the authors, this is the first time a study on bank service quality has been done involving the management of banks in Ghana. This ensures the reliability of results. The findings of this study enhance knowledge of the positive relationship between service quality, customer satisfaction and loyalty using a modified SERVQUAL model.

Patterns emerging from the TQM paradigm in relation to the 21st century complex context within TQM journal

Purpose

The purpose of this research is to explore the deployment of the total quality management (TQM) paradigm in the TQM Journal in relation to the context of the 21st century. The study builds on the theoretical framework of the four quality paradigms that together compose TQM. The four paradigms differ in their effectiveness based on the context in which they are used. In a complex context, one would expect the reflective and the emergence paradigm to flourish. The TQM Journal is one of the leading scientific journals on TQM. If the assumption that the reflective and emergent paradigm would flourish in a complex environment is correct, one will see that represented in the past five years of scientific research in that magazine.

Design/methodology/approach

The TQM Journal articles of the past five years from January 2016 till January 2021 have been chosen as the scope of an exploratory review. The author assessed the title and abstract of all articles based on the characteristics of the four quality paradigms, as described in the theoretical framework. If the title and abstract did not provide enough data to take the decision for the assessment, the whole article has been taken into account. The results have been collated, summarized and reported. Based on the results, the author explores the possible patterns.

Findings

In total, 283 articles from 2016 to 2021 (from Volume 28, Issue 1 to Volume 33, Issue 1) were included in this study. In total, 45 were read fully to be able to characterize the article. Most of the studies relate the tertiary (33.3%) and secondary (27.9%) sectors. Healthcare was the sector in 32 of the cases (11.3%). Most studies have been conducted in Europe (n = 82, 28.9%) and Asia (n = 58, 20.5%). Within Europe, Italy was the most prolific country with, respectively, 25 (30.8%) of the articles. The USA and Canada only had five articles in these five years (1.8%). Many articles did not specify the region. More than half of the articles (52.4%) worked with surveys, questionnaires or other methods to involve the customer in the research; 16 articles (5.6%) used experts in the field through expert panels and such to collect data from. In total, 107 articles (37.8%) did involve no other stakeholders than the researchers themselves. Eight studies (2.8%) used action research or co-design methodology to create optimal stakeholder participation. Based on the data, four patterns can be discovered: the context sensitivity of the articles, reflexivity, coping with uncertainty and co-creation.

Research limitations/implications

It is acknowledged that the articles in the study were published in just one scientific journal. One can expect that this will be represented in other journals on TQM. Still, it would be interesting to conduct a follow-up study in other journals on TQM and compare the results. The research is done by one subjective researcher.

Practical implications

Research on TQM should take the complexity of the context into account. For that purpose, researchers should focus more on the emergence paradigm within TQM.

Originality/value

This study is the first to investigate TQM as a holistic paradigm, including the empirical, reflective, reference and emergence paradigm in TQM research.

The effects of CARTER model on attitudinal loyalty in Islamic banks

Purpose

The purpose of this paper is to investigate how the CARTER model impact on attitudinal loyalty in Islamic banks.

Design/methodology/approach

The paper presents primary data collected by self-administered questionnaires involving a sample of 655 respondents from all local Islamic banks in Jordan. SPSS was used to analyse the data and AMOS was used to analyse confirmatory factor analysis.

Findings

In terms of the dimensions of CARTER model, the results show that empathy, assurance and compliance are the most influential factors leading to attitudinal loyalty. Insignificant relationship between tangibles and attitudinal loyalty was found. The findings also show that customer satisfaction plays as a mediating variable between dimensions of service quality and attitudinal loyalty.

Practical implications

Islamic banks should focus on continuous improvement of service quality because of the direct effect on attitudinal loyalty. Managers should pay special attention to the quality provided by their employees and develop their skill set through training and education programmes using Islamic knowledge. They should make sure that all activities are carried out in the right manner the first time and every time to enhance customer loyalty at all times. They also are recommended to comply with the Shariah board alliances and collaboration and other decisions of the Islamic Fiqh Academy.

Originality/value

As the first study of its kind in Jordan, the paper’s contribution stems from filling the research gap in examining the effects of the various service quality dimensions on the impact of attitudinal loyalty in Islamic banks using the CARTER model.

Examining the relationships among service features, customer loyalty and switching barriers in the Greek banking sector

Purpose

The aim of this paper is to present and empirically validate a conceptual framework that explores the links between the two service features (physical and interactive) and their impact on customer loyalty. It also introduces and investigates the potential intervening role of a single personality dimension (neuroticism) in the relationship between service features and customer loyalty. In addition, examining whether the customer’s switching barriers affect customer loyalty is also an aim of the present study.

Design/methodology/approach

A structured questionnaire was used to collect data from a sample of 224 customers in the banking industry in Greece. The respondents were picked using simple random sampling. Exploratory and confirmatory factor analyses were used to validate the latent factors of the proposed conceptual framework, whereas their relationships were examined through linear regression analyses.

Findings

The empirical data verify that physical and interactive features of service quality have a significant impact on customer loyalty. The study also concludes that customer neuroticism has an intervening effect on the relationship between service features and customer loyalty. In addition, switching barriers such as confidence benefits, special treatment benefits, switching costs and availability and attentiveness of alternatives affect a bank’s customer loyalty.

Practical implications

This perspective could improve managerial understanding of the service-quality/customer-loyalty relationship and lead to more focused decisions. During the period of economic Greek crisis, the customers’ learning and understanding, the immediate response to their needs and expectations, the provision of customer services in accordance with their personality type and the establishment a long and effective relationship with them may have an important impact not only on success but also mainly on bank survival.

Originality/value

Previous studies have shown the positive and significant relationship between customer satisfaction and loyalty in the banking industry, but this study extends the literature of consumer behavior theory by examining the distinct role that the physical and interactive service features play in the formation of customer loyalty. While it is known the role of personality in customer satisfaction has not been analyzed sufficiently the effect of neuroticism in the evolution of the above relationship. The present study tries to fill the bibliographic gap focusing on the Greek banking sector in the period of economic crisis.