International journal of

ADVANCED AND APPLIED SCIENCES

EISSN: 2313-3724, Print ISSN:2313-626X

Frequency: 12
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 Volume 6, Issue 12 (December 2019), Pages: 122-131

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 Original Research Paper

 Title: Benefits sought, service quality, and their relationship with satisfaction and loyalty of banking customers in Indonesia

 Author(s): Soni Harsono *

 Affiliation(s):

 STIE Perbanas Surabaya, Surabaya, Indonesia

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 * Corresponding Author. 

  Corresponding author's ORCID profile: https://orcid.org/0000-0002-3871-6034

 Digital Object Identifier: 

 https://doi.org/10.21833/ijaas.2019.12.015

 Abstract:

The competition between banks needs to question: What is the reason someone becomes a bank customer? Whether for safeguards, security, investment or speculation or because of many other factors, such as comfort, benefits, personal relationships, and many other motives. The purpose of this study is to analyze: The effect of satisfaction on loyalty, the effect of satisfaction on loyalty depends on the quality of service and the benefits sought, and find out the differences in customers of commercial banks, Islamic banks, regional development banks, and rural banks. This study involved 442 respondents of banking customers. Data collection was carried out using a questionnaire. Data analysis was performed by applying the structural equation modeling method. The findings of this study support all the hypotheses that satisfaction has a positive and significant effect on customer loyalty for all categories of banks but do not support the hypothesis that the effect of satisfaction on customer loyalty depends on the quality of service and the benefits sought for all banks category. There is no difference in customers from all bank categories. The practical implication is that the concepts of satisfaction and loyalty do not depend on the benefits sought and the quality of service, but both are antecedents of customer satisfaction. The originality of this research is the first study that makes the benefits sought and service quality a moderating factor in the relationship between satisfaction and loyalty in various bank categories. This study proves that the benefits sought and service quality do not strengthen or weaken the relationship between satisfaction and loyalty, and there are no differences in the various bank categories. 

 © 2019 The Authors. Published by IASE.

 This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).

 Keywords: Satisfaction, Loyalty, Benefits sought, Service quality

 Article History: Received 15 July 2019, Received in revised form 15 October 2019, Accepted 16 October 2019

 Acknowledgement:

I would like to express my sincere gratitude to the Rector of STIE Perbanas Dr. Yudi Sutarso, SE., M.Sc, the Chair of the Research Section Dr. Muazaroh, and the Customers and the Heads of Bank Rakyat Indonesia (BRI), Bank BNI Syariah, BPD Bali, and Modern Express Rural Bank (BPR) Ambon.

 Compliance with ethical standards

 Conflict of interest:  The authors declare that they have no conflict of interest.

 Citation:

 Harsono S (2019). Benefits sought, service quality, and their relationship with satisfaction and loyalty of banking customers in Indonesia. International Journal of Advanced and Applied Sciences, 6(12): 122-131

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 Figures

 Fig. 1 Fig. 2 Fig. 3 Fig. 4 Fig. 5 

 Tables

 Table 1 Table 2 Table 3 Table 4 Table 5 

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