Factors Influencing Customer Loyalty in the Banking Industry: A Case Study of Selected Private Commercial Banks in Hawassa City

In the current competitive environment, customer loyalty is crucial for businesses to survive and thrive. This study aims to identify the factors that influence customer loyalty in selected private commercial banks in Hawassa city. Through a descriptive and explanatory research design, data was collected from 323 respondents and analyzed using SPSS software 26. The findings revealed that customer satisfaction, trust, and service delivery quality significantly impact customer loyalty. However, factors like switching cost, image, and commitment did not show a significant influence. The study highlights the importance of focusing on customer satisfaction, trust, and service quality to build and maintain brand loyalty in the banking industry.