The Mediating Role of Customer Satisfaction in the Relationship between Service Quality and Customer Loyalty in Multi-Channel Retail Banking

this study examines the interrelationships among service quality (sQ), customersatisfaction (cs), and customer loyalty (cl) in the context of multi-channel retailbanking. While customer satisfaction measures a customer’s present evaluation ofservice, customer loyalty reflects their long-term commitment to an organisation.service quality assessment involves comparing perceived service delivery againstcustomer expectations. convenience sampling was used to obtain 466 responses frombank customers. Using structural equation modelling, this research analyses primarydata from 466 bank customers in Durban, south africa, using a self-administeredquestionnaire to investigate these relationships. a refined model demonstrates thatservice quality indirectly affects customer loyalty through customer satisfaction,reinforcing the importance of customer experience in multi-channel banking.Furthermore, the results show that satisfied customers demonstrate stronger bankallegiance in a multichannel banking environment. Unlike previous studies that focuson traditional banking models, this research investigates multichannel bankingenvironments where customers interact across multiple platforms. this study contributesnew insights into the mediating role of satisfaction in the service loyalty relationship,highlighting the importance of integrating service strategies. the findings provideactionable insights for banks aiming to enhance service quality across multiple channels.