Introduction: The organizations nowadays are getting more concerned with their valuable customers in the market, especially in the banking industry. Therefore, the level of customer retention and loyalty are emphasized strongly within the business operations. In the past, a variety of previous research studies demonstrated different types of factors influencing the customer retention and loyalty which is derived from the customer satisfaction. The primary initiative of this research paper is to determine the antecedents of customer retention and loyalty exist among the bank users of local commercial banks in Malaysia. Design and methodology: There are five different types of factors involved in this research to test the respective relationships with customer retention and loyalty in Malaysia context. A proposed conceptual framework is established to facilitate the research study. Five hypotheses were tested by implementing the SPSS software. In order to realize the viability of the research study, a set of questionnaires were designed and distributed to 300 individual respondents. Results and findings:The data collected from the questionnaires survey was analysed and explained based on the results obtained. The SPSS software was used to analyse the data collection in this research project. Thus, it is found out that both antecedents of switching costs and customer trust are able to influence the level of retention and loyalty among the bank customers. Origin and contribution:This paper fills the gap in the literature where the topic of customer retention and loyalty towards local commercial banks is discussed. In a practical sense, the contribution of paper is evident in proving the connection between the switching costs and customer trust towards the customer retention and loyalty.
Volume 11 | 08-Special Issue
Pages: 177-186