EFFECT OF SERVICE QUALITY ON CUSTOMER LOYALTY: THE MEDIATING ROLE OF CUSTOMER SATISFACTION

This research aims to assess the quality of Muslim Consumer Services (MCSQ) in Islamic banks in Oman and to examine the mediating role of Muslim Consumer Satisfaction (MCS) between service quality and Muslim Consumer Loyalty (MCL). Data were collected through questionnaires distributed to customers of various banks in Sohar. The MCSQ model incorporates key Islamic values such as Shariah compliance, honesty, modesty, humaneness, and trustworthiness. The results show that MCSQ has a significant positive impact on both consumer satisfaction and loyalty. The study also reveals that MCS partially mediates the relationship between MCSQ and MCL. The model was developed and empirically tested in the Omani context, highlighting the need for further validation in other cultural or banking environments. Future research could include comparisons with customers of conventional banks or those who use both Islamic and traditional banking services. These findings suggest that Islamic banks can better meet the expectations of Muslim customers by aligning their services with Islamic principles and placing greater emphasis on customer satisfaction. This strategic focus can help bridge the gap between customer expectations and actual service delivery. The study contributes to the field of service marketing in Islamic banking by providing empirical evidence on how service quality, satisfaction, and loyalty are interconnected in this unique financial context.