The Mediating Effect of Customer Satisfaction on Customer Loyalty: A Study of Islamic Banks in Indonesia
This study aims at analyzing the influence of customer perceived value (CPV), Islamic bank service quality (IBSQ) on customer satisfaction and customer loyalty with the mediation of customer satisfaction as intervening variable and without the mediation of customer satisfaction as intervening variable. The population in this study is the customers of islamic banks in Jambi province. The design of this research is quantitative. Survey was conducted to 280 customers of islamic bank in Jambi. The sampling method applied non-probability method with purposive sampling technique. This study used SEM analysis method with Amos 21 and Sobel test. The findings in this study show that CPV and IBSQ influence customer satisfaction and CPV also influences customer loyalty. In the other hand, IBSQ and customer satisfaction do not influence customer loyalty. With intervening variable, CPV and IBSQ do not influence customer loyalty at Islamic Banks. This research suggests that the management team of Islamic Banks in Jambi province should improve the service quality in responding to customer demand, customer needs and customer value in order to provide customer satisfaction which in the end affect the customer loyalty to Islamic bank in Jambi.