IDEAS home Printed from https://ideas.repec.org/a/ibn/ibrjnl/v14y2021i4p58.html

Determining the Effect of Banking Service Quality on Customer Loyalty Using Customer Satisfaction as a Mediating Variable: An Applied Study on the Jordanian Commercial Banking Sector

Author

Listed:
  • Zaher Abdel Fattah Al-Slehat

Abstract

Banks operate in an environment characterized by competition between banking service providers and the continuous development of financial technology. On this basis, the quality of banking services determines the success of banks. This study aims to test customer satisfaction as a mediating variable in the relationship between banking service quality and customer loyalty using the convenience sample method. Using the SmartPLS software, the data analysis and hypothesis test results show that the quality of banking service in all its dimensions positively affects customer loyalty. Moreover, customer satisfaction mediates such a relationship. Accordingly, the Jordanian commercial banking sector should focus on the tangibility dimension and influence customer satisfaction to promote customer loyalty.

Suggested Citation

  • Zaher Abdel Fattah Al-Slehat, 2021. "Determining the Effect of Banking Service Quality on Customer Loyalty Using Customer Satisfaction as a Mediating Variable: An Applied Study on the Jordanian Commercial Banking Sector," International Business Research, Canadian Center of Science and Education, vol. 14(4), pages 1-58, April.
    • Handle: RePEc:ibn:ibrjnl:v:14:y:2021:i:4:p:58
    as

    Download full text from publisher

    File URL: http://www.ccsenet.org/journal/index.php/ibr/article/download/0/0/44948/47659
    Download Restriction: no
    File URL: http://www.ccsenet.org/journal/index.php/ibr/article/view/0/44948
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Bashir Ahmad Fida & Umar Ahmed & Yousuf Al-Balushi & Dharmendra Singh, 2020. "Impact of Service Quality on Customer Loyalty and Customer Satisfaction in Islamic Banks in the Sultanate of Oman," SAGE Open, , vol. 10(2), pages 21582440209, May.
    2. Vithya Leninkumar, 2017. "The Relationship between Customer Satisfaction and Customer Trust on Customer Loyalty," International Journal of Academic Research in Business and Social Sciences, Human Resource Management Academic Research Society, International Journal of Academic Research in Business and Social Sciences, vol. 7(4), pages 450-465, April.
    3. Jamil Hammoud & Rima M. Bizri & Ibrahim El Baba, 2018. "The Impact of E-Banking Service Quality on Customer Satisfaction: Evidence From the Lebanese Banking Sector," SAGE Open, , vol. 8(3), pages 21582440187, July.
    4. VENCATAYA Lomendra & PUDARUTH Sharmila & JUWAHEER Roubina TD & DIRPAL Ganess & SUMODHEE Nabeelah Meh Zabeen, 2019. "Assessing The Impact Of Service Quality Dimensions On Customer Satisfaction In Commercial Banks Of Mauritius," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 14(1), pages 259-270, April.
    5. Sadia Khatoon & Xu Zhengliang & Hamid Hussain, 2020. "The Mediating Effect of Customer Satisfaction on the Relationship Between Electronic Banking Service Quality and Customer Purchase Intention: Evidence From the Qatar Banking Sector," SAGE Open, , vol. 10(2), pages 21582440209, June.
    6. Supeecha Panichpathom, 2016. "Building Customers' Re-Patronage Intention through Service Quality of Community Mall in Bangkok," Entrepreneurial Business and Economics Review, Centre for Strategic and International Entrepreneurship at the Cracow University of Economics., vol. 4(2), pages 9-25.
    7. Jaime Torres Fragoso & Ignacio Luna Espinoza, 2017. "Assessment of banking service quality perception using the SERVPERF model," Contaduría y Administración, Accounting and Management, vol. 62(4), pages 1294-1316, Octubre-D.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Aini, Zahriatul, 2025. "The Effect Of Marketing Mix On Customer Loyalty Indonesian Sharia Bank In Banda Aceh With Satisfaction As An Intervening Variable," SocArXiv qr7u2_v1, Center for Open Science.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dhruba Kumar Gautam & Gunja Kumari Sah, 2023. "Online Banking Service Practices and Its Impact on E-Customer Satisfaction and E-Customer Loyalty in Developing Country of South Asia-Nepal," SAGE Open, , vol. 13(3), pages 21582440231, July.
    2. Mohamed Albaity & Mahfuzur Rahman, 2021. "Customer Loyalty towards Islamic Banks: The Mediating Role of Trust and Attitude," Sustainability, MDPI, vol. 13(19), pages 1-19, September.
    3. Mazhar Hussain & Asad Javed & Samar Hayat Khan & Muhammad Yasir, 2025. "Pillars of Customer Retention in the Services Sector: Understanding the Role of Relationship Marketing, Customer Satisfaction, and Customer Loyalty," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 16(1), pages 2047-2067, March.
    4. Mohammad Asif & Mohammed Arshad Khan & Hamad Alhumoudi & Mohammad Wasiq, 2023. "Examining the Role of Self-Reliance, Social Domination, Perceived Surveillance, and Customer Support with Respect to the Adoption of Mobile Banking," IJERPH, MDPI, vol. 20(5), pages 1-19, February.
    5. Abdul Karim Kamara & Foday Sulaiman Bangura, 2026. "Electronic banking services quality and customer loyalty: double mediation," Future Business Journal, Springer, vol. 12(1), pages 1-15, December.
    6. Andreea-Daniela MORARU & Margareta ILIE, 2022. "Analysing the Impact of e-Banking and Socio-Demographic Factors on Customer Satisfaction with Banking Services using Graphical Visualization," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 3, pages 149-156.
    7. Fahad Najeeb Khan & Muhammad Usman Arshad & Muhammad Munir, 2023. "Impact of e-service quality on e-loyalty of online banking customers in Pakistan during the Covid-19 pandemic: mediating role of e-satisfaction," Future Business Journal, Springer, vol. 9(1), pages 1-12, December.
    8. Adjeng Mariana Febrianti & Ruth Margaret Violenta Sihombing & Salsabila Jannatain Catur Soetjipto, 2022. "Determinant of customer satisfaction and loyalty in using online shopping applications," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 11(2), pages 119-126, March.
    9. Siti Noor Aishah Mohd Sidik & Hanis Athirah Abd Sukor & Nur Fatwa Atiqah & Aiezwa Zetty Syafina Saedon & Fatin Syafiqah Mohd Apandi & Muhammad Kamal Fudhail Mohd Rahim, 2024. "Customer Satisfaction among J&T Users in Terengganu," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(9), pages 352-362, September.
    10. Toru TAKAHASHI & Kurtz LAW & Claudiu CICEA, 2020. "Japanese Company Success Factors €“ Culture And Leadership Mindset For Organizational Sustainability In Difficult Economic And Social Climates," Proceedings of the INTERNATIONAL MANAGEMENT CONFERENCE, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 14(1), pages 454-460, November.
    11. Muhammad Sohaib, 2022. "An Investigation of Repurchase Intentions in the Banking Industry: What Reason Do They Return?," SAGE Open, , vol. 12(1), pages 21582440211, January.
    12. Sadia Khatoon & Xu Zhengliang & Hamid Hussain, 2020. "The Mediating Effect of Customer Satisfaction on the Relationship Between Electronic Banking Service Quality and Customer Purchase Intention: Evidence From the Qatar Banking Sector," SAGE Open, , vol. 10(2), pages 21582440209, June.
    13. Lulzim Rashiti & Art Shala & Xhevat Sopi, 2023. "Digital Marketing In Retail Banking – Analysis Of Managers’ Attitudes," Business Management, D. A. Tsenov Academy of Economics, Svishtov, Bulgaria, issue 2 Year 20, pages 23-46.
    14. Shalini Srivastava & Sushama Vishnani, 2021. "Determinants of mobile bank usage among the bank users in North India," Journal of Financial Services Marketing, Palgrave Macmillan, vol. 26(1), pages 34-51, March.
    15. Fiona Kigen & Marike Venter de Villiers, 2024. "Decoding the Symphony of Satisfaction, Commitment and Trust as Predictors of Customer Loyalty in Demarketing Situations," International Review of Management and Marketing, Econjournals, vol. 14(5), pages 235-249, September.
    16. Kolawole L. Fijabi & John T. Oladapo & Opeyemi B. Kareem, 2024. "E-Payment Systems, Competitive Advantage, and Customer Satisfaction in Nigerian Banking Industry," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(7), pages 1451-1468, July.
    17. Fathi, Mohammad Reza & Zeinali, Mahsa & Torabi, Mohsen & Alavizadeh, Seyed Mohammad, 2022. "Structural analysis of the future of Iranian online banking employing a MICMAC approach," Technological Forecasting and Social Change, Elsevier, vol. 183(C).
    18. Hatice Doğan-Südaş & Ali Kara & Emre Karaca, 2023. "Effects of Gamified Mobile Apps on Purchase Intentions and Word-of-Mouth Engagement: Implications for Sustainability Behavior," Sustainability, MDPI, vol. 15(13), pages 1-17, July.
    19. Rizaldi Yusfiarto & Septy Setia Nugraha & Galuh Tri Pambekti & Annes Nisrina Khoirunnisa, 2023. "Building loyalty in Islamic banking relationship: a multiple mediation approach empirically in Indonesia," Journal of Financial Services Marketing, Palgrave Macmillan, vol. 28(2), pages 306-320, June.
    20. Jenel Ituriaga & Klint Allen Mariñas & Charmine Sheena Saflor, 2024. "Enhancing Government Services to Rice Farmers in the Philippines: A Service Quality–Sustainability-Focused Approach for Long-Term Agricultural Resilience," Sustainability, MDPI, vol. 16(18), pages 1-24, September.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:ibrjnl:v:14:y:2021:i:4:p:58. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.