RELATIONAL MARKETING AND CUSTOMERS SHIFTING TENDENCY IN ISLAMIC BANKING IN EAST JAVA

The purpose of this study was to explain the relationships between relational bonds, customers’ value, and customers’ loyalty of three consumer groups of Islamic banking in East Java. Samples were obtained from 613 Islamic banks’ customers in East Java and were analyzed using SEM. The findings were: For stayers, the three types of bonds raised utilitarian and hedonistic values, which raised loyalty. For dissatisfied switchers, only structural bond affected the utilitarian value, which raised loyalty. For satisfied switchers, social bond affected hedonistic value, while structural bond affected utilitarian value.