Green loyalty of Islamic banking customers: combined effect of green practices, green trust, green perceived value, and green satisfaction

Purpose Departing from the spirit of environmental concern, this study aims to connect green practices of Islamic banking with green customer loyalty, both directly and through the role of green trust, green perceived value and green satisfaction. Design/methodology/approach In responding to the research hypothesis, this study analyzed 341 customer questionnaires using the structural equation modeling-partial least squares method. Findings This study found that a solid green practices program directly makes customers loyal to Islamic banks. It also discovered an indirectly convincing relationship between green practices and green loyalty through the mediation path of green satisfaction and less convincing through the mediation path of green perceived value and green trust. Practical implications Practically, this study highlights the importance of green practices innovation and the development of green practices programs that please customers because these programs can generate their loyalty toward the Islamic banking industry. Originality/value To the best of the authors’ knowledge, this study is the first to investigate the relationship between green practices and the green loyalty of customers in the Islamic banking industry.