Examining the Drivers of Switching Intention from Conventional Banks to Islamic Banks in Morocco

Abstract

To explore the reasons behind Moroccan bank account holders’ intention to switch to Islamic banks through primary data collection, the data for this study were collected via a survey with a sample size of 301 respondents. Five-point Likert scale questions related to distinct variables were asked to either verify or reject the set hypotheses. Smart PLS was the software opted for to analyze the data. This study demonstrates that subjective norms, religiosity, and perceived Sharia compliance positively impact customers’ switching intention to Islamic banks, while customer satisfaction negatively impacts it. Then again, the authors also exhibit that service quality positively affects customer satisfaction, as well as that brand reputation does not influence the switching intention. This research is one of the first to address the motives behind switching from conventional to Islamic banks in the Moroccan context. The study findings help banks focus on Islamic compliance, the quality of the service, and effective advertising. Islamic banking managers should produce marketing strategies that focus on social, religious, and customer demographics as well as pull Islamic banking products to a sizable proportion of the Muslim population. The holistic strategy will not only keep its customers happy but also reduce cases of negative reviews that might result in the migration of customers from the online shopping store.