THE IMPACT OF CLOUD SERVICES, SECURITY AND SERVICES QUALITY ON CUSTOMERS LOYALTY: THE MEDIATING ROLE OF CUSTOMERS SATISFACTION WITH BANKING SERVICES

Abstract

This study aims to investigate the effects of Cloud Services, Security, and Service Quality: Mediating Role of Customer Satisfaction in Banking Loyalty. A cross-sectional survey was conducted involving 291 bank customers in Kaduna metropolis, utilizing a questionnaire with Likert-type questions for data collection, customers were randomly approached as they exited three major banks. Structural equation modelling was employed to analyze the proposed relationships. The measurement model shows that the convergent and discriminant validity were suitable for further analysis. The findings indicated that customer satisfaction has a significant positive impact on loyalty. Additionally, both cloud services and service quality directly and indirectly contribute to customer satisfaction with banking services. In contrast, the security of banking services does not have a direct or indirect effect on customer satisfaction. Overall, the results suggest that while all factors except security significantly influence satisfaction and loyalty, cloud banking services and service quality are crucial drivers of both loyalty and satisfaction. As competition in the Nigerian banking sector intensifies, banks should prioritize delivering exceptional service to enhance customer loyalty by ensuring that staff adhere to ethical standards in their interactions with customers.