The Effect of Banks Website Service Quality and E-satisfaction on E-loyalty: An Empirical Study on Swedish Banks

The increase in internet use in Sweden provides the country’s banking industry with an important commercial opportunity. High websites service quality (website SQ) and electronic satisfaction (e-satisfaction) are vital if the banks are to keep and guarantee their customers’ electronic loyalty (e-loyalty). The purpose of this study is to provide empirical evidence of the association between website SQ and e-satisfaction, and the impact of both on e-loyalty in Swedish banks. The author used the E-S-QUAL model to measure the four dimensions of website SQ- fulfilment, availability, efficiency and privacy. Questionnaires were sent to 450 customers, of which 213 were returned, either in-person or online. The results showed that website SQ and e-satisfaction have a strong positive correlation with e-loyalty. The relationship between website SQ and e-satisfaction should be continuously measured, and website processes reviewed in line with advances in ICT and changes in levels of e-loyalty. This study gives feedback to these banks on their website SQ, helping them avoid shortcomings and keep their customers satisfied and loyal. Customers with high levels of e-satisfaction have significantly higher levels of e-loyalty compared to those with low levels.