An Analytical Study on the Role of Satisfaction in Mediating Customer Loyalty and AI-Powered Digital Banking

Mohd Arif Hussain (), Md Arshad Ur Rahman (), Mohammed Ashfaq Hussain (), Kasturi Bangla Vanitha (), Prakash Kumar () and Amrutha Kuril ()
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Mohd Arif Hussain: Lords Institute of Engineering and Technology, Hyderabad, Telangana, India
Md Arshad Ur Rahman: Lords Institute of Engineering and Technology, Hyderabad, Telangana, India
Mohammed Ashfaq Hussain: Lords Institute of Engineering and Technology, Hyderabad, Telangana, India
Kasturi Bangla Vanitha: Lords Institute of Engineering and Technology, Hyderabad, Telangana, India
Prakash Kumar: Dhruva College of Management, Hyderabad, Telangana, India
Amrutha Kuril: Shadan College of Engineering and Technology, Hyderabad, Telangana, India

International Review of Management and Marketing, 2026, vol. 16, issue 2, 406-417

Abstract: In modern digitech world, Artificial Intelligence (AI) technology that is acknowledged to have received the most impact on the global economy. AI is expected to benefit the world economy nearly $ 15.7 trillion by 2030 due to its reach, scope, application and environmental protection. Achieving sustainable development goals relies on long-term customer loyalty, which has a huge impact on the circular economy and social responsibility. The study aims to use satisfaction as a mediator to better understand how the changed AI technology acceptance factors connect to customer loyalty for digital banking services. This study used a cross-sectional survey in Hyderabad, India to get valid responses from 380 participants. A measurement model was created utilising a survey questionnaire and partial least squares path modeling to validate the measured items, test hypotheses, and assess the relationship between the various constructs. In terms of digital banking services, satisfaction totally mediates the modified AI Technology Acceptance Model (TAM) factors (perceived usefulness, perceived ease of use, perceived risk, perceived trust, and perceived benefit), as well as customer loyalty. Subsequently, the findings indicate that satisfaction plays a partial role in mediating AI acceptance factors and customer loyalty for digital banking services. Gender does not alter the association between AI acceptance criteria, customer loyalty, or satisfaction. In contrast, age serves as a moderator in the relationship between satisfaction, loyalty, and AI acceptance. According to the study's findings, the employment of AI technology in sustainable financial services is critical for offering excellent customer experiences, which improves customer satisfaction and loyalty and hence pulls people to those services. The study shows how marketing managers can use modified AI acceptance factors to their advantage while promoting digital banking services in order to promote positive client loyalty.

Keywords: Digital Banking; Artificial Intelligence; Sustainability; Partial Least Square Path Modeling Method; AI Acceptance Factors; Satisfaction and Customer Loyalty (search for similar items in EconPapers)
Date: 2026
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DOI: 10.32479/irmm.22326

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