Analysis of Mobile Banking Usage in Increasing Customer Trust and Loyalty

This research aims to analyze the influence of perceived risk and perceived benefit on customer trust and loyalty in the use of mobile banking services at Bank Rakyat Indonesia (BRI) within the Jabodetabek region. Mobile banking has become an essential component of the banking sector's digital transformation, providing customers with convenient, rapid, and secure transaction capabilities. Nonetheless, concerns persist regarding data security, financial risks, and trust in this technology. The study adopts a quantitative approach utilizing Partial Least Square-Structural Equation Modeling (PLS-SEM) to investigate the relationships among the variables. The results demonstrate that perceived risk has a negative and significant impact on customer trust, while perceived benefit positively and significantly influences trust. Furthermore, trust serves as a key mediator, reinforcing the effect of perceived benefit and risk on customer loyalty. High customer loyalty is determined not only by perceived benefits but also by customers' trust in the security and dependability of mobile banking services. This study contributes to the existing literature on digital banking, particularly in the context of developing countries, by underscoring the importance of managing risks and benefits to build customer trust and loyalty. It also advocates for the development of innovative features and enhanced security measures in mobile banking services to maintain customer loyalty, which is crucial for success in the era of digital banking.