The purpose of this paper is to investigate how the CARTER model impact on attitudinal loyalty in Islamic banks.
The paper presents primary data collected by self-administered questionnaires involving a sample of 655 respondents from all local Islamic banks in Jordan. SPSS was used to analyse the data and AMOS was used to analyse confirmatory factor analysis.
In terms of the dimensions of CARTER model, the results show that empathy, assurance and compliance are the most influential factors leading to attitudinal loyalty. Insignificant relationship between tangibles and attitudinal loyalty was found. The findings also show that customer satisfaction plays as a mediating variable between dimensions of service quality and attitudinal loyalty.
Islamic banks should focus on continuous improvement of service quality because of the direct effect on attitudinal loyalty. Managers should pay special attention to the quality provided by their employees and develop their skill set through training and education programmes using Islamic knowledge. They should make sure that all activities are carried out in the right manner the first time and every time to enhance customer loyalty at all times. They also are recommended to comply with the Shariah board alliances and collaboration and other decisions of the Islamic Fiqh Academy.
As the first study of its kind in Jordan, the paper’s contribution stems from filling the research gap in examining the effects of the various service quality dimensions on the impact of attitudinal loyalty in Islamic banks using the CARTER model.
