Customers’ Preference in Choosing Islamic Banks

Abstract

This study aims to find factors that affecting customers’ preference in choosing Islamic bank. The data is collected through questionnaires spread to Islamic banks’ customers in seven cities and district in South Sumatera. The total questionnaires that can be used in the analysis is 509 questionnaires. The data is then analysed using mean ranking to see the factors that prioritized by the customers. The finding shows that staff friendliness, shariah compliance and fast and efficient banking service are found to be the factors that considered important by the customers. The customers also show a little concern on interest loan and saving offered by Islamic banks as they rank very low in the mean score ranking. This study gives insight to policy makers on factors that need attention in increasing the market share of Islamic banks in Indonesia.