The Impact of Service Quality towards Customer Loyalty in Using Mobile Banking in Indonesia

Abstract

Mobile banking is the biggest digital technology services that used by banking industries in Indonesia, the second one is internet banking and ATM. Customer loyalty is very important aspect for the bank to winning the competition in digital market and keep their existing customer in this technology era. The purpose of this research is to investigate the impact of functional and technical quality towards service quality and customer loyalty in using mobile banking in Indonesia. Type of this research is a quantitative research. 100 questionnaires were successfully collected from customer that using Mobile Banking Application in Indonesia. We analyzed the collected data using Partial least squares (PLS-SEM). PLS were chosen as a methodology for this research. The result shows that both functional quality and technical quality have a positive influence towards service quality and customer loyalty. The research also indicates that service quality is significantly related and has a positive relation to customer loyalty.