 |
| Illustration by Ai |
Customer Satisfaction Drives Loyalty in Livin’ by Mandiri Mobile Banking, Study Finds
A study published in 2026 by Ervina Hardiyanti and Sri Wahyuni of the Perbanas Institute, Indonesia, has found that customer satisfaction plays the most important role in building long-term loyalty among users of Livin’ by Mandiri, the mobile banking platform developed by Bank Mandiri. The research examined how service quality influences customer loyalty through trust and satisfaction and found that while both trust and satisfaction contribute to loyalty, satisfaction has a significantly stronger impact.
The findings come at a time when Indonesia’s digital banking sector is experiencing rapid growth. As financial institutions increasingly compete through mobile applications and digital services, understanding the factors that encourage customers to remain loyal has become a strategic priority for banks and financial technology providers.
Digital Banking Competition Intensifies
Mobile banking has transformed the way consumers manage their finances. Customers now expect to transfer funds, pay bills, invest, and access banking services anytime and anywhere through their smartphones.
In Indonesia, rising internet penetration and widespread smartphone adoption have accelerated the growth of digital banking. Banks are no longer competing solely through branch networks and financial products. Instead, they are increasingly competing through user experience, application reliability, security, and customer service.
Bank Mandiri, one of Indonesia’s largest state-owned banks, has positioned Livin’ by Mandiri as a key component of its digital transformation strategy. According to Bank Mandiri’s 2024 Annual Report, the application recorded approximately 29.3 million users by the end of 2024, representing a 29 percent increase compared to the previous year. The platform also processed around 3.9 billion transactions, with a total transaction value reaching approximately IDR 4,027 trillion.
Despite this strong growth, increasing user numbers do not automatically guarantee customer loyalty. Some users may download and occasionally use an application without developing long-term engagement or maintaining consistent transaction activity.
Examining Loyalty in Digital Banking
To better understand what drives customer loyalty, Ervina Hardiyanti and Sri Wahyuni conducted research involving 200 active Livin’ by Mandiri users at PT Bank Mandiri KCP Jakarta Pejaten.
The researchers collected data through structured questionnaires distributed to active users of the application. Responses were analyzed using a statistical modeling approach designed to examine the relationships among service quality, trust, customer satisfaction, and loyalty.
The study focused on four key variables:
- Service quality
- Customer trust
- Customer satisfaction
- Customer loyalty
The goal was to determine whether trust and satisfaction act as bridges between service quality and customer loyalty in digital banking services.
Service Quality Directly Influences Satisfaction and Loyalty
The research revealed that service quality significantly affects both customer satisfaction and customer loyalty.
Users who perceived the application as reliable, secure, responsive, and easy to use were more likely to report positive experiences and remain loyal to the platform.
The study highlighted several aspects of service quality that strongly influence user perceptions:
- Application stability
- Transaction reliability
- Security features
- Responsiveness to customer complaints
- Ease of use
When these elements function effectively, customers are more likely to continue using the application and recommend it to others.
Satisfaction Emerges as the Strongest Loyalty Driver
One of the most important findings is that customer satisfaction serves as the strongest factor influencing loyalty among Livin’ by Mandiri users.
The mediation analysis demonstrated that satisfaction successfully strengthens the relationship between service quality and loyalty. In other words, better service quality increases customer satisfaction, which subsequently encourages long-term loyalty.
Customers who feel satisfied with their digital banking experience are more likely to:
- Continue using the application regularly
- Conduct transactions more frequently
- Maintain long-term relationships with the bank
- Recommend the service to others
The findings align with established customer behavior theories suggesting that loyalty develops when service performance consistently meets or exceeds customer expectations.
Trust Matters, But Plays a Different Role
The study also found that trust positively influences customer loyalty. However, unlike satisfaction, trust did not significantly mediate the relationship between service quality and loyalty.
This result suggests that trust remains important in digital banking, particularly because customers expect secure and reliable financial transactions. Nevertheless, trust alone may not be sufficient to strengthen loyalty unless it is accompanied by positive user experiences and high levels of satisfaction.
According to the researchers, customers may trust a banking application to perform transactions safely while still choosing alternative services if their overall experience is unsatisfactory.
Implications for Indonesia’s Banking Industry
The findings have practical implications for banks, financial technology companies, and policymakers involved in digital financial services.
For banking institutions, the research suggests that improving customer satisfaction should be a strategic priority. Investments in technology and customer service should focus on delivering seamless experiences rather than solely increasing user acquisition.
Key areas identified for improvement include:
- Enhancing application stability
- Strengthening cybersecurity and transaction security
- Increasing system reliability
- Improving customer support responsiveness
- Reducing technical disruptions and service delays
As competition intensifies among digital banking providers, customer retention may become more valuable than simply attracting new users.
The study also highlights the importance of measuring customer satisfaction continuously to identify service weaknesses before they affect loyalty levels.
Academic Insight
According to Ervina Hardiyanti and Sri Wahyuni of the Perbanas Institute, customer satisfaction serves as the primary mechanism through which service quality translates into long-term customer loyalty in mobile banking services.
Their findings indicate that while trust remains an essential component of digital banking relationships, satisfaction ultimately plays a more decisive role in encouraging customers to continue using and supporting a mobile banking platform.
The researchers emphasize that maintaining high-quality digital services is essential for sustaining customer loyalty in Indonesia’s rapidly evolving banking landscape.
Author Profiles
Ervina Hardiyanti
Ervina Hardiyanti is a researcher and student at the Perbanas Institute, Indonesia, with academic interests in digital banking, customer behavior, service quality, and financial services management.
Sri Wahyuni
Sri Wahyuni is a lecturer and researcher at the Perbanas Institute, Indonesia, specializing in marketing management, customer relationship management, banking services, and digital business strategy.
Source
Article Title: The Effect of Service Quality on User Loyalty Through Trust and Satisfaction as Intervening Variables of Livin’ by Mandiri Mobile Banking Users at PT. Bank Mandiri KCP Jakarta Pejaten
0 Komentar