Incorporating Attitude towards Islamic Banking in a Customer Loyalty Model

Abstract

: The objective of the study is to examine the mediating effect of switching costs between the relationship of customer satisfaction on customer loyalty in islamic banking. 283 respondents were used as samples using purposive sampling. By structural equation model (SEM) the findings show that of the six hypotheses, five hypotheses are supported, one hypothesis is not supported. The results of the study show, customer satisfaction affects customer loyalty both directly and indirectly through switching costs. These results are supported by previous findings, and at the same time, they reveal that switching costs do not fully mediate the influence of customer satisfaction on customer loyalty. The direct influence of customer satisfaction on customer loyalty shows the evidence.