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Purpose

This study aims to investigate how artificial intelligence (AI)-enabled service features and perceived Shariah compliance jointly shape brand experience, satisfaction and customer loyalty in Islamic digital banking. It explores the dual influence of functional intelligence and symbolic religiosity on Muslim consumers’ behavioural responses.

Design/methodology/approach

Grounded in service-dominant logic and value congruence theory, a dual-pathway conceptual model was developed. Five AI service components – interaction, information quality, accessibility, customization and problem-solving – were examined alongside perceived Shariah compliance. Survey data from 603 Muslim users in Indonesia were analysed using Partial Least Squares Structural Equation Modelling.

Findings

Results reveal that problem-solving, customization and information quality significantly enhance brand experience, whereas perceived Shariah compliance strongly predicts both satisfaction and brand preference. Satisfaction serves as a full mediator between brand experience and the outcomes of intention to use and word-of-mouth, thereby underscoring its pivotal role as a behavioural catalyst. Interaction and accessibility, however, show limited influence, suggesting their declining distinctiveness in mature digital ecosystems.

Practical implications

Islamic banks should design AI-driven services that combine technical excellence with faith-aware interface cues. Embedding Shariah-aligned features – such as ethical chat responses, zakat tools and halal investment filters – into digital platforms can enhance spiritual trust and loyalty. Managers are encouraged to view compliance not merely as a regulatory requirement but as a personalized strategy for enriching customer experience.

Originality/value

This study advances Islamic fintech research by conceptualizing perceived Shariah compliance as a symbolic operant resource that co-creates experiential value. It introduces the concept of spiritually intelligent service design, positioning ethical signalling and functional personalization as complementary drivers of digital value in Islamic banking.

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