The moderating effect of Islamic practices on the relationship between satisfaction and customers‘ loyalty in online purchasing

Islamic values have always been practised as a way of life by the believers. Today's consumers and society are highly knowledgeable and technology-savvy but based on the literature, practising Islamic values in online purchasing environment is rather scanty. The motivation behind this study is...

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Bibliographic Details
Main Author: Kasim, Malik
Format: Thesis
Language:eng
eng
eng
Published: 2020
Subjects:
Online Access:https://etd.uum.edu.my/9370/1/s900716_01.pdf
https://etd.uum.edu.my/9370/2/s900716_02.pdf
https://etd.uum.edu.my/9370/3/s900716_references.docx
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Summary:Islamic values have always been practised as a way of life by the believers. Today's consumers and society are highly knowledgeable and technology-savvy but based on the literature, practising Islamic values in online purchasing environment is rather scanty. The motivation behind this study is driven by the lack of studies on Islamic practices in online purchases situation that could lead to customer loyalty. Thus, the aim of this study is to investigate the moderating effect of Islamic practices on the relationship of electronic service quality, customers‘ satisfaction and online security to customer loyalty among post-graduates‘ students in the region of Kuala Lumpur. The post-graduates are seen as being more stable financially and are mature in their purchases. The primary data were collected using a questionnaire distributed to the respondents. The data were analyzed using PLS-SEM 3.0. The correlation statistics showed that electronic service quality, customer satisfaction and online security are significant and positively related to customer loyalty. The R‘ = 0.599 suggests that 59.9 percent of the variance in customer loyalty can be explained by electronic service quality, customers‗ satisfaction and online security variables. Customers‘ satisfaction is the most influential variable, followed by electronic service quality. As a moderation variable, Islamic practices have a moderate effect on the relationship between electronic service quality and customer loyalty, and secondly on the relationship between customer satisfaction and customer loyalty. Islamic practices have a weak effect on the relationship between online security and customer loyalty. It could be concluded that companies must adhere to fair and honest trade practices, and shared values to result in beliefs that are rooted in Islamic practices which will ultimately satisfy customers‘ expectations and may lead to a greater loyalty.