Measuring the effects of service quality by using CARTER model towards customer satisfaction, trust and loyalty in Indonesian Islamic banking

Purpose There are two primary objectives of the research. Firstly, the study aims to explore the service quality dimension of Indonesian Islamic banking using a CARTER model. Secondly, the study aims to examine the relationship of service quality towards customer satisfaction, trust and loyalty in Indonesian Islamic banking. Design/methodology/approach The conceptual framework of the study will be examined using the PLS–SEM approach. Then, it will be examined using the 392 collected data from Indonesian Islamic banking customer in Surabaya. Findings Reliability becomes a key driver of customer satisfaction towards Indonesian Islamic banking. Then, customer loyalty will improve more significant if the Indonesian Islamic bank can firstly improve its customers trust. Research limitations/implications The research results are questionable to represents Indonesia in general because all the sample of the research is Islamic banking customers in Surabaya, East Java Province. Practical implications Updating with the newest technology in delivering integrated products or services will lead Indonesian Islamic banking satisfying its customer more. Then, Indonesia Islamic banking should develop the capability of human resources related to banking skills and understanding of Islamic principles to increase customer trust. Originality/value This research is essential in complementing the previous research regarding the level of contribution of compliance in Indonesia Islamic banking. Then, the research discusses how compliance becomes an essential part of service quality that could increase the market share of Indonesian Islamic banking by enhancing the level of customer trust.