Relationship Between Internet Banking Service Quality, e-Customer Satisfaction, and Loyalty: A Comparative Study of India and Pakistan

Abstract The objective of this study is to examine the structural relationship between e-service quality, e-satisfaction, and e-loyalty for both Pakistani and Indian Banks. The study was conducted on 800 respondents who were users of internet banking services. The independent variables were 1) reliability, 2) responsiveness, 3) accessibility, 4) ease of use, and 5) security. The e-customer satisfaction and e-customer loyalty are independent variables. The study was conducted on 400 Indians and 400 Pakistani who had been availed internet banking services. The theoretical model was assessed using the PLS-SEM technique. The study found overall significant positive relationship between e-service quality, e-satisfaction, and e-loyalty for both Pakistani and Indian banks. The study has managerial implications that the managers of the banks should focus more on the internet banking services for customer loyalty. The study found overall significant relationship in both India and Pakistan, as both are emerging economies. This study intends to fill the void and adds to the literature on internet banking and provides pathways for the researchers working in the domain of banking services. The study provides recommendations for the top level of management and bank branch managers as well.