The Effect of Service Quality and Digitalization of Betang Mobile Banking on Customer Loyalty Through Customer Satisfaction at PT. Bank Kalteng Sub-Branch of Bahaur
DOI:
https://doi.org/10.59188/jurnalsosains.v6i11.32814Keywords:
Service Quality, Banking Digitalization, Customer Loyalty, Mobile Banking, Betang MobileAbstract
This study aimed to examine the effect of service quality on customer loyalty and the moderating role of banking digitalization through the Betang Mobile application at PT Bank Kalteng, Bahaur Sub-Branch. The study was motivated by increasing competition in the banking industry during the digital era and inconsistent findings from previous research regarding the relationship between service quality and customer loyalty. An explanatory quantitative research design was employed. The study involved 96 customers, with the sample size determined using the Lemeshow formula and participants selected through purposive sampling. Data were collected using questionnaires and analyzed through partial least squares structural equation modeling (PLS-SEM) using SmartPLS version 4.1.1. The results indicated that service quality had a positive and statistically significant effect on customer loyalty (β = 0.328; t = 4.439; p < 0.001). Furthermore, banking digitalization positively and significantly moderated the relationship between service quality and customer loyalty (interaction coefficient β = 0.098; t = 2.193; p = 0.028), indicating that digitalization strengthened this relationship. The structural model explained 63.8% of the variance in customer loyalty (R² = 0.638). Reliability emerged as the strongest indicator of service quality, while repeat usage was the most prominent indicator of customer loyalty. These findings suggest that reliable banking services, supported by digital service innovations, can contribute to stronger customer loyalty and encourage continued use of banking services. Therefore, PT Bank Kalteng should prioritize improvements in service reliability while continuously enhancing the functionality, accessibility, and user experience of the Betang Mobile application to strengthen and sustain customer loyalty.
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