The Path to Build Loyalty: The Influence of Marketing Mix and Relationship Quality in Banking Industry

Abstract:

The relationship quality of services has three important elements, namely satisfaction, trust and commitment. To provide the best quality service, the marketing mix has an important role. In this study, the authors focused on the marketing mix strategy applied by Bank Sumsel Babel as one of the 26 regional banks in Indonesia. This research aims to measure the attitudinal loyalty of customers of the Bank Sumsel Babel and future behavioral loyalty by looking at the relationship between relationship quality and dimensions of marketing mix for Services Company. The data was collected through the questionnaire that was disseminated to 280 customers of Bank Sumsel Babel. The data then processed and analyzed using Structural Equation Modeling (SEM). The results of the research show that all the relationship quality (satisfaction, trust and commitment) have positive and significant influence on attitudinal and behavioral loyalty. Furthermore, from all marketing mix variables, product quality is found to have the biggest influence on satisfaction, while service quality has the biggest influence on trust. These results are useful as inputs for banking industry in assessing performance and making management decisions to be able to formulate the right corporate strategy.