Predicting the Effect of Digitalization and Brand Trust on Customers’ Saving Intention of Islamic Banking

Abstract

Aims: This study aims to determine the effect of digitalization on customers' saving intention of Islamic banking and also the mediating effect of brand trust on customers' saving effect. Study Design: This research was conducted using a quantitative research methods. The results of the research in the form of numbers are described in the form of interpretations of words and sentences so that they are clearly understood. Place of Study: The respondents in this study were 130 customers of Bank Syariah Indonesia located in Malang City. Methodology: The sampling technique in the research uses the Purposive Sampling method, where samples are taken based on the 13 indicators in this research so that the minimum number of samples that must be used in the research is 130 responses. The data collection process was carried out by distributing questionnaires. Data analysis techniques in the form of descriptive analysis using the Structural Equation Model (SEM) and mediation testing are carried out by bootstrapping operated using SmartPLS version 4. Results: The results of this study show that Digitalization and Brand Trust have a significant influence on Customer Interest in Saving at Bank Syariah Indonesia Malang City. Brand Trust is able to mediate the relationship of digitalization variables to customer interest in saving at Bank Syariah Indonesia, and Furthermore digitalization is the most dominant variable compared to other variables. Conclusion: Innovative digitalization at Bank Syariah Indonesia can reflect excellence in providing modern and efficient services. Digitalization which can be accessed via mobile applications also makes it easy for customers to make transactions and manage their savings from anywhere and at any time. This convenience can increase brand trust because customers feel that Bank Syariah Indonesia provides solutions that make customers' lives easier.