Factors Influencing the Preference of Customers Toward Using the Products and Services of Islamic Banking in Malaysia

Abstract

This research paper analyzes the factors influencing the preference of customers toward using the products and services of Islamic Banking in Malaysia. This study concentrated on the four independent variables and one dependent variable. Consumer desire for Islamic banking products and services is a dependent variable, whereas the attitude, image of bank, religion, and service quality are independent factors. A purposive sampling technique method was employed to collect the data from 384 respondents who use Islamic banking in Malaysia. Data was gathered through the questionnaire which was distributed through Whatsapp, Facebook, and Instagram. According to the Multiple Linear Regression (MLR) aided by Statistical Programmers for Social Sciences (SPSS), attitude and religiosity has a significant impact on Malaysian consumers' decisions to use Islamic banking products and services while the image of the bank and service quality did not significant. In conclusion, not all of the factors in this study affected the preferences of customers toward using the products and services of Islamic Banking in Malaysia.