The Roles of Lifestyle, Future Need and Customer Preferences in Customer’s Satisfaction on Islamic Banks Products and Services
This paper aims to address the relationship and the influence of lifestyle, future need, customer preferences toward customer’s satisfaction on Islamic banks products and services in northern region of Malaysia. This study used quantitative research method. Data were collected via questionnaires from 250 respondents from four different Islamic banks and data was analysed using SPSS v22 software. The study found that all the independent variables have positive significant relationship towards the satisfaction of Islamic banks’ services with the highest correlation is lifestyle and the lowest is future need factor. The study concluded that the lifestyle variable has the strongest influence to the dependent variable, followed by future need and customer preferences. This study provides a useful analysis to the policy makers in helping them to draft new policies and programmes relating to Islamic products and services which affects the masses. Besides, the result helps marketing team in Islamic banks to formulate strategies for future promotional activities. This paper empirically identified the relationship and the influence factors between lifestyle, future needs, customer preferences and the satisfaction among customers in using Islamic banks services.
‘Ismah O., Husniyati A., Anizah Z., Wan Edura W. R. & Kamaruzaman J. (2009). Customers satisfaction in Malaysian Islamic banking. International Journal of Economics and Finance, 1(1), 197-202.
Abbas, R. & Abd Kadir, M. R. (2013). Customers’ preferences toward shariah compliant services in banks among academicians and non-academicians in Higher Education Institutions (HEIs) in Pahang. The Journal of Muamalat and Islamic Finance Research, 10(1), 107-124.
Afzal, N. & Pakistan, S. (2013). Impact of customer satisfaction and demographic factors on customer’s loyalty in banking sector of Pakistan. Middle East Journal of Scientific Research, 18(5), 721-727.
Ah, K., Yingchan, E. T. & Ghose, S. (2003). Typology of online shoppers. Journal of Consumer Marketing, 20(2), 139-156.
Al-Ajam, A. S. & Nor, K. M. (2013). Influencing factors on behavioral intention to adopt internet banking service. World Applied Sciences Journal, 22(11), 1652-1656.
Almossawi, M. (2001). Bank selection criteria employed by college students in Bahrain: An empirical analysis. International Journal of Bank Marketing, 19(3), 115-125.
Gustafsson, A., Johnson, M. D. & Roos, I. (2005). The effects of customer satisfaction, relationship commitment dimensions and triggers on customer retention. Journal of Marketing, 69(4), 210-218.
Angelova, B. & Zeqiri, J. (2011). Measuring customer satisfaction with service quality using American Customer Satisfaction Model (ACSI Model). International Journal of Academic Research in Business and Social Sciences, 1(3), 232-258.
Bhatti, W. A., Hee, H. C. & Sundram, V. P. K. (2012). A guide for beginners: Data analysis using SPSS and Amos. Kuala Lumpur: Pearson Malaysia Sdn. Bhd.
Choo, C. W. (2001). Environmental scanning as information seeking and organizational. Information Research, 7(1), 1-25.
Christiansen, C. H. & Matuska, K. M. (2006). Lifestyle balance: A review of concepts and research. Journal of Occupational Science, 13(1), 49-61. DOI: 10.1080/14427591.2006.9686570.
Christopher, Z. & John, S. (2009). Consumer lifestyles and market segmentation in Chile: An exploratory study. Conference of MBAA International Annual Meetings, Academy of International Business, Chicago, Vol 23, 9-18.
Cohen, J. (1988). Statistical power analysis for the behavioral science (2nd edition). Hillsdale, NJ: Lawrence Erlbaum.
Dajani, D. & Yaseen, S. G. (2016). The applicability of technology acceptance models in the Arab business setting. Journal of Business and Retail Management Research, 10(3), 46-56.
Daud, M. A. (2013). Awareness of brand and increasing customer’s demand for FMCG in rural market: The rural market of Uttar Pradesh. International Journal of Engineering and Management Sciences, 4(1), 79-83.
Dewan, S., Low, G. & Land, L. (2009). Consumer choice model of mobile banking. Proceedings of the 20th Australasian Conference on Information Systems, Paper No. 101, Monash University, Melbourne, 2-4 December.
Eisingerich, A. B. & Bell, S. J. (2006). Relationship marketing in the financial services industry: The importance of customer education, participation and problem management for customer loyalty. Journal of Financial Services Marketing, 10(4), 86-97.
Fazeli, M. (2003). Consumption and lifestyle. Tehran: Sobhe Sadq publications.
Fisher, R. J. & Dube L. (2005). Gender differences in responses to emotional advertising: A social desirability perspective. Journal of Consumer Research, 31(4), 850-858.
Garbarino, E. & Strahilevitz, M. (2004). Gender differences in the perceived risk of buying online and the effects of receiving a site recommendation. Journal of Business Research, 57(7), 768-775.
Gliner, J. A., Morgan, G. A. & Leech, N. L. (2009). Research method in applied settings: An integrated approach to design and analysis. New York, NY: Taylor & Francis.
González, A. M. & Bello, L. (2002). The construct “lifestyle” in market segmentation: The behavior of tourist consumers. European Journal of Marketing, 36(1/2), 51-85. https://doi.org/10.1108/03090560210412700.
Gordon, T. L., Pires, G. D. & Stanton, J. (2008). The relationship marketing orientation of Hong Kong financial services industry managers and its link to business performance. Journal of Financial Services Marketing, 13(3), 193-203.
Hai, O. T. & See, L. M. (2011). Behavioral intention of tax non-compliance among sole-proprietors in Malaysia. International Journal of Business and Social Science, 2(6), 142-152.
Hair, J. F., Anderson, R. E., Tatham, R. L. & Black, W. C. (1998). Multivariate data analysis. New Jersey, NJ: Prentice-Hall. Inc.
Hamid, A. & Masood, O. (2011). Selection criteria for Islamic home financing: A case study of Pakistan. Qualitative Research in Financial Markets, 3(2), 117- 130. doi:10.1108/17554171111155357.
Haque, A., Osman, J. & Ismail, A. Z. (2009). Factor influences selection of Islamic banking: A study on Malaysian customer preferences. American Journal of applied Sciences, 6(5), 922-928.
Haron, S. (1997). Islamic banking: Rules & regulations. Kuala Lumpur: Pelanduk Publications.
Haron, S., Ahmed, N. & Planisek, S. (1994). Bank patronage factors of Muslims and non-Muslim customers. International Journal of Bank Marketing, 12(1), 32-40.
Hawkins, D. I. & Mothersbaugh D. L. (2010). Consumer behaviour building marketing strategy (11th ed). New York, NY: McGraw Hill Irwin.
Feclikova, I. (2004). An index method for measurement of customer satisfaction. The TQM Magazine, 16(1), 57-66.
Islamic Finance Outlook Report (2017). Standard & poor global ratings. Published on September 2016.
Jalil, M. A. & Rahman, M. K. (2014). The impact of Islamic branding on consumer preference towards Islamic banking services: An empirical investigation in Malaysia. Journal of Islamic Banking and Finance, 2(1), 209-229.
Jayawardhena, C., Kuckertz, A., Karjaluoto, H. & Kautonen, T. (2009). Antecedents to permission based mobile marketing: An initial examination. European Journal of Marketing, 43(3/4), 473-499.
Jeddi, N. & Zaiem, I. (2010). The impact of label perception on the consumer’s purchase intention: An application on food products. IBIMA Business Review, 1-14. Retrieved from: www.ibimapublishing.com/journals/IBIMABR/ibimabr.html
Jun, B., Pil, K., Jae, W. & Byung, G. (2008). Adoption of on-line banking service considering the moderate effects of on-line banking service type. Proceedings of the 2008 Second International Conference on Future Generation
Communication and Networking Symposia, 77-80.
Kader, R. A., Zakaria, R. H., Razali, N. & Abdullah, N. (2014). Why this bank? Understanding learning. Information Research, 7(1), 1-25.
Kadir, H. A., Rahmani, N. & Masinaei, R. (2011). Impacts of service quality on customer satisfaction: Study of online banking and ATM services in Malaysia. International Journal of Trade, Economics and Finance, 2(1), 1-9.
Krishnan, J. (2011). Lifestyle: A tool for understanding buyer behaviour. International Journal of Economics and Management, 5(1), 283– 298.
Kaynak, E., Harcar, T. D. (2005). American consumers' attitudes towards commercial banks: A comparison of local and national bank customers by use of geodemographic segmentation. International Journal of Bank
Marketing, 23(1), 73-89. https//doi.org/10.1108/02652320510577375.
Kennington, C., Hill J. & Rakowska, A. (1996). Consumer selection criteria for banks in Poland. International Journal of Bank Marketing, 14(4), 12-21.
Khattak, N. A. & Rehman, K. U. (2010). Customer satisfaction and awareness of Islamic banking system in Pakistan. African Journal of Business Management, 4(5), 662-671.
Kotler, P. & Armstrong, G. (2007). Principles of marketing (11th ed.). Englewood Cliffs, NJ: Prentice Hall International.
Lazer, W. (1963). Symbolism and Lifestyle, in Toward Scientific Marketing, (Ed.) Stephen A. Greyser, American Marketing Association, Chicago, II, 140-149.
Marimuthu, M., Wai Jing, C., Phei Gie, L., Pey Mun, L. & Yew Ping, T. (2010). Islamic banking: selection criteria and implications. Global Journal of Human-Social Science Research, 10(4), 52-62.
Melnyk, V., Van Osselaer, S. M. J. & Bijmolt, T. H. A. (2009). Are women more loyal customers than men? Gender differences in loyalty to firms and individual service providers. Journal of Marketing, 73(4), 82-96.
Mohammed, A. A. (2017). The impact of banking services quality on customer satisfaction: Case study in Dubai Islamic Bank-Al-Ain Branch. The Journal of Muamalat and Islamic Finance Research, 14(1), 107-125.
Molesworth, M. & Suortti, J. P. (2001). Buying cars online: The adoption of the web for high-involvement, high-cost purchases. Journal of Consumer Behavior, 2(2), 155-168.
Moore, D. G. (1963). Lifestyle in mobile Suburbia. In Greyser, S. A. (Ed.), Toward scientific marketing (pp. 151-164). Chicago, IL: American Marketing Association
Munnukka, J. (2007). Characteristics of early adopters in mobile communications markets. Marketing Intelligence & Planning, 25(7), 719-731.
Naser, K., Jamal, A. & Al Khatib, K. (1999). Islamic banking: A study of customer satisfaction and preferences in Jordan. International Journal of Bank Marketing, 17(3), 135-151.
Norazah, M. S., Lian, J. C. C. & Norbayah, M. S. (2011). Do patients’ perceptions exceed their expectations in private healthcare settings?. International Journal of Health Care Quality Assurance, 24(1), 42-56.
Norma, M. S. (2012). Comparative analysis of customer satisfaction on Islamic and conventional banks in Malaysia. Asian Social Science, 8(1), 73-80. doi:10.5539/ass.v8n1p73.
Owusu-Frimpong, N. (1999). Patronage behaviour of Ghanaian bank customers, perspectives and implications. International Journal of Bank Marketing, 16(7), 299-313.
Pallant, J. (2013). SPSS survival manual. A step by step guide to data analysis using IBM SPSS. United Kingdom, UK: McGraw-Hill Education.
Peyton, R. M., Pitts, S. & Kamery, H. R. (2003). Consumer satisfaction/dissatisfaction (cs/d): A review of the literature prior to the 1990s. Proceedings of the Academy of Organizational Culture, Communication and Conflict. Vol. 7. No. 2.
Phau, I. & Woo, C. (2008). Understanding compulsive buying tendencies among young Australians: The roles of money attitude and credit card usage. Marketing Intelligence and Planning, 26(5), 441-458.
Porter, C. E. & Donthu, N. (2006). Using the technology acceptance model to explain how attitudes determine internet usage: The role of perceived access barriers and demographics. Journal of Business Research, 59(9), 999-1007.
Punj, G. (2011). Effect of consumer beliefs on online purchase behavior: The influence of demographic characteristics and consumption values. Journal of Interactive Marketing, 25(3), 134-144.
Riquelme, H. E. & Rios, R. E. (2010). The moderating effect of gender in the adoption of mobile banking. The International Journal of Bank Marketing, 28(5), 328-341.
Sadiq, R., Arshed, N. & Ahmad, H. K. (2017). Determinants of cost efficiency of Islamic banks of Pakistan. The Journal of Muamalat and Islamic Finance Research, 14(2), 111-128.
Şafakli, O. V. (2007). A research on the basic motivational factors in consumer bank selection: Evidence from Northern Cyprus. Banks and Banks System, 2(4), 93-100.
Salajeghe, S. & Mousavi, E. (2012). Effect of lifestyle on consumers of luxury goods. Journal of Basic and Applied Scientific Research, 2(9), 8600-8599.
Sekaran, U. & Bougie, R. (2013). Research methods for business. A skill building approach (6th ed.). United Kingdom,UK: John Wiley & Sons Ltd.
Sekaran, U. (2003). Research methods for business a skill building approach. United State of America: John Wiley & Sons Ltd.
Mohd Shahril, A. R., & Abd Rahim, R. (2017). Non-Muslim perception on Islamic banking products and services in Malaysia. World Journal of Islamic History and Civilisation, 7(2), 7-11.
Shahrizan, A. A. & Al-Hasan, A. A. (2017). Customer awareness and satisfaction of local Islamic banks in Malaysia, International Journal of Islamic Business, 2(2), 18-37.
Sikdar, P. & Makkad, M. (2015). Online banking adoption a factor validation and satisfaction causation study in the context of Indian banking customers. International Journal of Bank Marketing, 33(6), 760-785.
Singh, S. (2014). Customer perception of mobile banking: An empirical study in National Capital Region Delhi. Journal of Internet Banking and Commerce, 19(3), 2-23.
Sormunen, M. (2017). Customer satisfaction survey process in a service-based company (Bachelor thesis). Faculty of Business Information Technology, Oulu University of Applied Sciences.
Ta, H. P., Har, K. Y. (2000). A study of bank selection decisions in Singapore using the analytical hierarchical process. International Journal of Bank Marketing, 18(4), 170-180.
Tai, S. & Tam, J. (1996). A comparative study of Chinese consumers in Asian markets– A lifestyle analysis. Journal of International Consumer Marketing, 9(1), 25-42.
Thomas, J. W. (2017). Market segmentation. Decision Analyst, Arlington USA, 1-8.
Tsai, C., Zhu, D. & Jang, Y. (2013). A study on the consumer adoption behaviors of internet bank, Journal of Networks, 8(12), 2956-2963.
Veal, A. J. (1993). The concept of lifestyle: A review. Leisure Studies, 12(4), 233-252.
Veal, A. J. (2001). Leisure, culture and lifestyle. Society and Leisure, 24(2), 359-76.
Wahab, M. Z. H. (2018). Perception of the takaful operators’ performance towards customers’ intention in using medical takaful card among public sector. Journal of Islamic Marketing, 9(3), 527-543. https://doi.org/10.1108/JIMA-10-2016/0076.
Wan, W. W. N., Luk, C. L. & Chow, C. W. C. (2005). Customers’ adoption of banking channels in Hong Kong. International Journal of Bank Marketing, 23(3), 255-272.
Worthington, A.C. (2006). Predicting financial literacy in Australia. Financial Services Review, 15(1), 59-79.
Yousuff, R. & K. N. Md. Azurah (2006). Selection factors of Islamic banking between Bank Islam Malaysia Berhad and conventional banks amongst public servants in Kota Kinabalu. Proceeding of the Annual Conference on Malaysian Finance Associations, May 8-9, pp. 315-329.
Zikmund, W. G., Carr, J. C. & Griffin, M. (1997). Business research method. New York, NY: Cengage Publication.
Copyright (c) 2019 The Journal of Muamalat and Islamic Finance Research
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution-NonCommercial 4.0 International License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work.
Copyright of the accepted articles will not remain with author(s). Prior to publication of accepted article, author(s) will be asked to assign copyright to the JMIFR. All published articles in the journal are copyrighted to the JMIFR.