Marketing Mix Shariah Compliance and Loyalty Of Sharia Bank Customers in Palopo City

Abstract

This research aims to determine the implementation of marketing mix shariah compliance and its impact on trust, satisfaction, and loyalty of customers in Palopo city. Data were randomly obtained from less active customers by distributing questionnaires and interviewing respondents. The Path Analysis with Partial Least Square (PLS) was used to analyze the data direct and indirect effects of exogenous and endogenous variables. Furthermore, modeling was carried out, from structural and measurement models, path diagram construction, estimation of path coefficients, evaluation of the goodness of fit, and hypothesis testing using a significance level of 5% or 0.05. The result formulated 16 hypotheses as follows: (1) People have a positive and significant effect on satisfaction, (2) People have a positive and significant effect on trust, (3) physical avident has a positive and insignificant effect on satisfaction, (4) physical avident has a positive and insignificant effect on trust, (5) place has a positive and insignificant effect on satisfaction, (6) place has a positive and insignificant effect on trust, (7) price has a positive and significant effect on satisfaction, (8) price has a positive and significant effect on trust, (9) process has a positive and insignificant effect on satisfaction, (10) process has a positive and insignificant effect on trust, (11) product has a positive and significant effect on satisfaction, (12) product has a positive and significant effect on trust, (13) promotion has a positive and significant effect on satisfaction, (14) promotion has a positive and significant effect on trust, (15) satisfaction has a positive and significant effect on customer loyalty, and (16) trust has a positive and significant effect on customer loyalty. Therefore, in general, the implementation of the marketing mix shariah compliance is properly utilized by sharia banking customers.