The Determinants of Online Repatronage Intention for Shariah-
Compliant Hotels among Muslim Customers in Malaysia
YATY SULAIMAN1, FAROUK DJERMANI1, MOHD YUSRI SHAHRIL ISMAIL2,
ARIANA ARIF3
1School of Business Management, College of Business
Universiti Utara Malaysia, Kedah
MALAYSIA
2Southern Pipe Industry (Malaysia) Sdn Bhd
4577, Mk. 15, Off Jalan Chain Ferry
12100 Butterworth, Pulau Pinang
MALAYSIA
3Faculty of Social Sciences
University of Malaysia Sarawak
94300 Kuching, Sarawak
MALAYSIA
Abstract: - Research studies have investigated online repatronage intentions among international and local
tourists to Malaysia on Shariah-compliant hotels (SCHs) and e-B&Bs. Malaysia’s Islamic hospitality
development sector has encouraged hotel managers to observe the Islamic hotel concept according to Muslim
travellers’ needs and demands. Malaysia introduced the "Muslim-Friendly Hotel Recognition, which recognises
Shariah-compliant accommodation for tourists. This type of recognition could be able to empower the tourism
industry. A total of 10% out of 5,520 hotels comply with Shariah requirements, indicating that the new
contribution of the SCH is needed. As of now, a comprehensive standard does not exist. The purpose of this
research is to provide awareness among Muslim customers in Malaysia regarding SCHs’ online repatronage
intentions. The number of hotels and e-B&Bs with full Shariah compliance is still small even though the
number of Shariah-friendly hotels in Malaysia has increased with 744 halal certifications issued to hotels and
resorts. The hotel management should adopt Islamic teachings even with the themes, ambiances, and
architecture. With this, travellers would feel comfortable to perform their religious obligations. This research
aims to identify online repatronage intentions of Muslims tourists to the Shariah compliant e-lodging industry
in Malaysia. Most Malaysians are unaware of the SCH's implementation. From this study, they will become
aware that the SCH not only accepts Muslim customers but also openly welcomes non-Muslim customers. A
self-administered online survey was conducted to attain responses. Five hundred data were cleaned from any
missing case and outliers, and 395 data were used for the next analysis. The sampling technique involved data
collection both from local and international tourists who intended to stay at their preferred SCHs. Analysis of
the measurement model was conducted with the structural model using the bootstrapping method via SmartPLS
version 3.2.9. It was found that Hotel Image and Shariah compliance attributes were significant towards online
repatronage intentions among Muslim customers of the SCH.
Keywords: - Hotel image, online repatronage intentions, service quality, Shariah compliance attributes
Received: August 9, 2022. Revised: February 11, 2023. Accepted: March 4, 2023. Published: March 22, 2023.
1 Introduction
There have been many debates on the issue of
Shariah-Compliant Hotel (SCH) that have been
covered in publications, seminars, and dialogues in
the past. Yet, until now, a definitive guideline on
how an SCH should be built or designed is still
lacking even though several best practices have
been accepted as an industry standard. This study
will discuss the ante of SCHs based on recent best
practices and standards. The SCH holds its own
appeal as opposed to a conventional hotel,
especially for Muslim travellers who are from the
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Middle East, Southeast Asia, the Far East Region,
Africa, as well as the Indian sub-continent.
SCHs were first established after the rise in
demands of Muslim travellers. In the Middle East,
where the population is predominantly Muslim,
SCH has gained momentum for growth. Although
the definition for SCH is still uncertain, SCHs are
benchmarked upon certain standards and are audited
periodically to conform to the standards.
1.1 Problem Statement
Rapid economic development as well as influence
of western culture has dramatically changed
Malaysia’s lifestyle. The Malaysian Government
through the Department of Standards has launched
standards that will be used to benchmark businesses
or offerings as “Muslim-friendly”. However, the
time frame for this adoption has yet to be
determined. Artificial intelligence (AI) can
streamline processes, provide valuable insights, and
optimise experiences towards driving a new wave of
responsiveness. For instance, the booking
experience can be done in the native language. The
hospitality sector is slowly shifting towards
managing booking inquiries through chatbots/AI,
where queries conducted by hotel receptionists
could be replaced with conversational bots that can
create simulated conversations between humans and
computing machines.
Customers have received recommendations from
digital platforms, hence, adopting AI in the
hospitality industry may not result in common
hurdles compared to other new technologies.
Interactions for hotels through intelligent chatbots
offer 24/7 availability, fast-paced delivery service
along with several custom options for booking room
services. Hotels with a standardised automation
process may also reduce service cost and optimise
operating cost.
2 Literature Review
This section discusses online repatronage intentions
of the SCH and e-B&B, AI adoption, consumer
traits, demographics, desire to stay, hotel image,
overall satisfaction, religion commitment, service
quality and Shariah compliance attributes.
2.1 Relationship between Desire to Stay and
Online Repatronage Intentions of SCH and
e-B&B
It is important for a customer to choose the correct
hotel to stay at by looking and reading from online
reviews. The desire to stay with an organization or
a company remains a wish of an individual to
remain a part of the organization, [1], [2].
Individual repatronage intention can be defined as
an individual’s intention to revisit the service in the
future. In addition, after the purchasing phase, an
individual will evaluate the services and decide
whether to create a continuous relationship with the
service, [3].
There is a positive relationship between desire to
stay and online repatronage intention where the
greater satisfaction that lengthens duration of stay
can increase their level of repatronage online
intention, [4]. The positive impact of desire to stay
on loyalty-related behaviour is empirically
supported by several studies, [5], [6].
Customer satisfaction impacts willingness to pay
and desire to stay, [5]. Besides that, emotions of
pleasure also impact the customer’s repatronage
intention for the hotel, [6]. In the hotel sample, they
found that satisfaction with the services strongly
affected customers’ desire to stay on their
repatronage intention to revisit.
H1: Desire to stay is related to online repatronage
intention of SCH and e-B&B.
2.2 Relationship between AI Adoption and
Online Repatronage Intention of SCH and e-
B&B
The ability of a machine to work and perform its
cognitive function parallel with human minds which
are to perceive, reason, learn and solve problems is
the definition of AI adoption. It also includes other
capabilities that allow AI to solve business
problems. Other than that, technology adoption is
the choice of using new inventions and innovations
of the machine, [7].
Previous studies have proved that perceived
usefulness, ease-of-use, and enjoyment impacts
behaviour and online repatronage intention, [8], [9],
[10], [11], [12]. The results show that perceived
usefulness influences customer loyalty and online
repatronage intention to purchase, [8]. Good attitude
towards a website’s usefulness leads to customers’
buying intention, [9].
Besides that, perceived usefulness is part of the
purchasing expectations that are closely correlated
to the satisfaction of the customer and influence of
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behaviour towards AI adoption usage [10-11]. Other
than that, perceived ease of use can determine
customer satisfaction, [13]. This enjoyment can also
increase interest and may encourage consumers who
use AI adoption to have repatronage intention
towards the website, [12].
H2: AI adoption is related to online repatronage
intention of SCH and e-B&B.
2.3 Relationship between Service Quality and
Online Repatronage Intention of SCH and e-
B&B
Service quality is the most sustainable and distinct
among leading service companies. [14]. It is crucial
to balance customer satisfaction and value to push
market share and profitability and develop
appropriate strategies, [15], [16].
There is significant evidence on the direct link
between service quality and online repatronage.
[17]. Service quality can influence customers’
behaviour, decision, intentions, and preferences.
This is because when an individual chooses a
service provider or product provider, it means that
their service quality meets or exceeds their
expectations. [18]. This can lead them to choose the
same provider and have repatronage intentions in
the future. Besides that, another author also agreed
that service quality positively affects repatronage
intention, [19].
Customers with higher perceptions of a firm’s
performance and overall service quality are more
connected to the repatronage intentions of the firm’s
services through generating positive word-of-mouth
and recommending the service. [20].
H3: Service quality is related to online repatronage
intention of SCH and e-B&B.
2.4 Relationship between Service Quality and
AI Adoption
The rapid increase of AI adoption occurs in almost
every aspect of hotel operations and management. In
fact, AI adoption in the hotel industry does not
replace laborers but rather supports them to make
the work easier. Technology is not the master but a
servant. AI adoption gives the organization a better
way to do things and will benefit them in many
ways, including the employees and customers, [21].
In contrast, hotels that do not focus on the service
quality of their management through AI adoption
will face serious risks of having a negative and bad
impact on profitability, [22]. In conclusion, based on
the service quality of AI adoption, the management
of the hotel’s operations is important as opposed to
the price to differentiate a hotel from its competitors
and to gain loyalty from their guests, [23].
H4: Service quality is related to AI adoption.
2.5 Relationship between Service Quality and
Desire to Stay
Consumers' thoughts on service of quality run along
a continuum that range from ideal quality to
unacceptable quality. This depends on whether
consumers’ thoughts on the received service
meeting is below or beyond their expectations,
based on [24]. In addition, service quality is about a
person’s main expectations about the performance
offered by the firm, and this attitude impacts their
desire to stay, [25].
One study examined service quality, which is
positively correlated with desire to stay in a banking
setting. In the same view, service quality is also
positively related to desire to stay and subsequently
leads to customer loyalty towards a product and
service, [26]. The author suggested that the
SERVQUAL model is a suitable instrument to
measure bank service quality.
H5: Service quality is related to desire to stay
2.6 Relationship between Service Quality and
Overall Satisfaction
Satisfaction is the extended emotion of a person on
a service encounter, [27]. Satisfaction is related to a
person’s behaviour in buying and exchanging at a
particular cost. Based on [28], it is possible to
compare between past purchase and the expected
benefit from the product or service brand with the
potential to fulfil the consumer’s aim [29], [30].
Satisfaction is a person’s gratifying reaction towards
the characteristics of the product and service that is
provided with a parallel experience, [31].
Past studies have found a positive relation of SSTs
user’s satisfaction, loyalty, and behavioural
intentions, [32], [27]. SSTQUAL found that SST is
related to loyalty through the indirect effect of
customer satisfaction, [32]. Partial mediation occurs
between customer satisfaction and the relationship
of service quality, corporate image, and customer
loyalty, [33], [34].
H6: Service quality is related to overall satisfaction.
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2.7 Relationship between Overall Satisfaction
and Online Repatronage Intention of SCH
and e-B&B
Customers are satisfied with the product for reasons
such as quality and performance of the products or
services. These are the main factors of customer
satisfaction, [35]. The outcome of customer
satisfaction can influence their future purchasing
and loyalty, [35].
There are a variety of studies done by researchers
that support the correlation between overall
satisfaction and repatronage intention, [36],[37].
Two types of customer satisfaction evaluation are
transaction-specific satisfaction and cumulative
satisfaction, [38].
Satisfaction and online repatronage intention have a
positive relationship,, [38]. From above, satisfied
customers with a product, service, brand,
or organization will spread positive feelings and
increase the level of repatronage intention about
those products, service, brand, or organization.
H7: Overall satisfaction of hotel customer is related
to online repatronage intention of SCH and e-B&B.
2.8 Relationship between Overall Satisfaction
and AI Adoption
Previous studies have investigated technology
readiness and user satisfaction, which found a
relationship between AI adoption and satisfaction in
self-service technologies, [27]. An increase in
customer’s technology readiness also increases
customer satisfaction using self-service AI adoption
or technologies, [27].
Satisfaction includes an evaluation of feelings,
which also impacts a consumer’s beliefs that the
possession and use of a service evokes a positive
feeling, [30], [37]. A satisfied customer is willing to
spend extra money with longer stay and be loyal to
the business, [39].
H8: Overall satisfaction of hotel customer is related
to AI adoption.
2.9 Relationship between Hotel and e-B&B
Image and Service Quality
Hotels are influenced by the personal value and
meanings that their customers attach to their stay. In
the hotel industry, the hotel will provide tangible
accommodations for their guests such as a bed and
toilet. However, the most important emotional
appeal to guests is in providing excellent service and
recovery, [40].
The corporate image is a business identity that
comes to the customers’ mind, [41]. Even though
there is only a few consensus in the literature on
how to define and understand the image construct,
this study adopts past research in developing the
indicators for image, which are deemed as the most
suitable in the hotel industry, [23]. This research
will identify if the same scenario applies to the hotel
industry.
H9: Hotel image is related to service quality.
2.10 Relationship between Hotel Image,
Service Quality and Online Repatronage
Intention of SCH and e-B&B
The corporate image is an important factor in
service and an organization, [16]. Corporate image
relates to customers’ perceptions of organization
ability and role of social responsibility. Corporate
ability refers to the organization’s skills to deliver
the product and services, [42].
Meanwhile, service quality is for repatronage
intention, where its indirect effect through customer
satisfaction generates favourable repatronage
intention,[42].
H10: Service quality mediates the relationship
between hotel image and online repatronage
intention.
2.11 Relationship between Hotel Image,
Service Quality and Desire to Stay and
Online Repatronage Intention of SCH and E-
B&B
The measurement quality in the service industry
such as hoteliers will focus on the external quality
of intangible goods, [42]. It is a subjective reaction
from consumers towards the situation and objects
which cannot be measured as quantitative in terms
of the nature and characteristics of the situation or
objects, [24]. Other than that, invisible hotel
elements such as services offer a major consequence
towards customer’s awareness of service quality
compared to visible hotel elements such as
corporate image and equipment, [43],[44]. In a
survey about a guest in a hotel in San Francisco,
corporate image affects the customer’s perception of
service quality and the desire to stay at hotels, [45].
H11: The sequential mediator of service quality and
desire to stay mediates the relationship between
hotel and e-B&B image and online repatronage
intention.
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2.12 Relationship between Hotel Image,
Service Quality, AI adoption, Overall
Satisfaction and Online Repatronage
Intention of SCH and e-B&B
AI adoption is the primary communication channel
between service providers and consumers. A good
quality website can lead to satisfied customers and
help to transform the web browsers into buyers,
[46]. Therefore, the quality of AI adoption has
become a priority topic within computer and human
communication studies. Besides that, some scholars
have identified dimensions to measure a quality
website, which are information, quality of system,
ease of use, privacy, service quality and reactivity,
[46], [47]
A significant relationship with AI adoption service
quality includes system quality and users’ flow
experience, [47]. Therefore, this study also proposes
that consumers’ positive perceptions toward AI
adoption quality overall results in their involvement
in the website. In short, to have a good image, the
hotel must have positive AI adoption quality which
can increase the level of repatronage intention from
their guests.
H12: The sequential mediator of service quality and
AI adoption mediates the relationship between hotel
and e-B&B image and online repatronage intention.
H13: The sequential mediator of service quality,
overall satisfaction and AI adoption mediates the
relationship between hotel and e-B&B image and
online repatronage intention.
2.13 Relationship between Hotel Image,
Service Quality, Overall Satisfaction and
Online Repatronage Intention of SCH and e-
B&B
There exists a connection between service quality,
customer satisfaction, and behaviour intention [48].
Satisfaction with the professional service is
positively associated with positive recommendation
and repatronage intention, [49].
Past studies have also identified that customer
satisfaction correlates with repatronage intention,
[50]. Service quality, customer satisfaction and
customer repatronage intention in the hotel industry
are also correlated.
H14: The sequential mediator of service quality and
overall satisfaction mediates the relationship
between hotel and e-B&B image and online
repatronage intention.
2.14 Relationship between Consumer Traits,
Service Quality and Online Repatronage
Intention of SCH and e-B&B
The relationship between individual traits and
perceived service quality was first suggested by
[51]. A study of the banking industry involving 23
banks discovered that the climate for service in a
bank is related to customers’ traits, service quality,
satisfaction, and loyalty with 623 attitudes about
service quality. A strong connection between
consumer traits of service orientation and
customers’ perceptions of service quality exists.
There is significant evidence of the direct link
between service quality and online repatronage,
[52]. Service quality can influence customer’s
behaviour, decision, intentions, and preferences,
[34]. This is because when an individual chooses a
service provider or product provider, it means that
their service quality meets or exceeds their
expectations, [18], [53], [54]. This can lead them to
choose the same provider and have repatronage
intentions in the future. Besides that, another author
also agreed that service quality significantly affects
repatronage intention, [19].
H15: Consumer traits is related to service quality.
3 Methodology
This section discusses the research design,
population and sampling procedures, improvement
of survey instrument, measurement, and data
collection procedures.
This study was conducted using cross-sectional
research where the data was collected, analysed, and
summarised statistically and linguistically. Past
studies have proven that the cross-sectional study is
suitable over a longitudinal study in most cases due
to the resources available and time constraints, [55],
[56]. There are two appropriate methods that can be
adopted for this study, which are survey and
interview methods.
The unit analysis of this study includes guests from
selected SCH and e-B&B. The sampling frame
follows the SCH star ranking (5-star, 4 -star, and 3-
star) and Shariah compliance e-B&B Muslim guests
in Melaka, Langkawi, Penang, and Kuala Lumpur.
The variables are divided into two types of
measurements which are the survey and interview
method. The items for the survey method are from
past instruments and use the method for observation
(cognitive skills). The 5-point Likert scale from 1-
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strongly disagree to 5-strongly agree was used to
measure the variables.
A total of 140 items were adopted for this study.
Three items for variables of hotel and e-B&B Image
were adopted from [57] and five items were
from [58-59] with a reliability consistency of 0.60
and above. Besides that, for consumer traits, there
were 22 items[ [60] with an internal consistency of
more than 0.60. Meanwhile for religious
commitment, 17 items were adopted, [61] with
a consistency of 0.50 and above. Shariah
compliance attributes were adopted from [62]. On
the other hand, for service quality, a total of seven
items were adopted [63]. Besides that, there were
three items for overall satisfaction, [64, with a
consistency more than 0.8. For the demographic
section, a total of 13 items were adopted, [65].
Desire to stay consisted of two sections, whereby
three items were adopted from [66] with a
consistency of 0.8 above and four items were from
[67-68] with an internal consistency of 0.8 above.
Online repatronage intention was adopted from [69]
with 22 items and a consistency of 0.8 and above.
Lastly, AI adoption was extracted from [70] with an
internal consistency of 0.7 above for 23 items.
4 Findings
This study employed PLS-SEM which is more
efficient in estimating parameters with high
statistical power than CB-SEM [71]. The findings of
respondent profile and research variables were
presented.
4.1 Demographic Profile of Respondents
The demographic profile of the 395 respondents
describes the background of the SCH and e-B&B
guests in Malaysia. The descriptive results postulate
that 47.6% were male and 52.4% were female. From
this, 23.4% were single, 3.6% were divorced and
73.0% were married. The ethnicity of the
respondents consisted of 95.2% Malays, 0.4%
Chinese, and 4.4% Others, and all respondents were
Muslims. The education of the respondent found
that high school leavers made up 44.9%, diploma
holders were 3.6%, degree holders were 44.8%, and
master holders were 6.3%. The majority of the
respondents were also working in the private sector
(62.3%) with their incomes between RM2,000 to
RM4,000. The majority of respondents were also
Malaysians (95.2%), while 2.4% were from the
United Arab Emirates, 1.2% were from Singapore,
and 1.2% were from Pakistan.
About 26.6% of the respondents made the
reservation through phone calls. Meanwhile, 20.6%
of the respondents preferred to walk in and the most
popular method to make a hotel room reservation
was through hotel websites at 76.2%. Another
method respondents used to make a reservation was
via a travel agent (20.6%), which is usually popular
for international tourists and only 8.7% used
corporate booking.
In addition, Booking.com was the most popular site
that respondents used to make hotel bookings at
58.7%, followed by Agoda.com, Airbnb and
Hotel.com at 47.2%, 31.7% and 25.8% respectively.
About 63.8% respondents preferred to choose 3 to
4-star SCH while about 29.8% chose to stay at a
Shariah-compliant Airbnb for their stay.
Respondents were also asked about their awareness
and knowledge about SCH in Malaysia. A total of
81.7% of respondents were aware of SCHs and
Airbnbs. Moreover, about 70.6% have knowledge
on SCHs and Airbnb. They were also asked about
their observation on any AI gadgets in the SCHs or
Airbnb, however, the majority of them failed to spot
this part.
4.2 PLS-SEM Path Modelling
PLS-SEM was used to measure and assess the
models. PLS-SEM is able to accept and interact well
with smaller numbers of sample size and no
assumption on the non-normality data. It is capable
to run data measurements with both reflective and
formative items, handle single-item constructs, and
implies no identification problems, [72]. It is an
efficient parameter resulting in higher statistical
power than the CB-SEM [72]. PLS-SEM received
the most popularity and favourable approach from
numerous disciplines.
PLS-SEM was used due to the complex model of
reflective constructs. It is also beneficial to use the
PLS-SEM as the more perfect statistical technique
as compared to covariance based structural equation
modelling (CB-SEM) or others. The study applied
the two-step process of PLS path model assessment
as suggested by [73].
4.2.1 Measurement Model
This study employed a “two-stage approach” as
suggested by [74]. Fig.1 is Stage One of the
measurement model assessment, while Fig.2 is the
Stage Two assessment.
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Fig. 1: Measurement Model (stage one)
Fig. 2: Measurement Model (stage two)
Fig.1 illustrates the first stage of the measurement
model assessment, where there are 21 latent
variables (i.e., 22 first order constructs; IMA, CTR,
BEL, RIT, KNO, CON, FIN, OPR, ID, SERVQ,
CUSAT, DTS, AUTO, REC, FNB, HOU, ATT,
PEOU, PU, SN, DN and IN with four second order
constructs; RCO, SCA, AIA and ORI). The first
order constructs represent the dimensions of the
second order constructs. Meanwhile, Fig.2
illustrates the second stage of the measurement
model assessment, whereby there were only eight
latent variables (i.e., IMA, SERVQ, CUSAT, DTS,
RCO, SCA, AIA and ORI). Table 1 presents these
values in detail.
Table 1. Measurement Model of Online
Repatronage Intention (n=395)
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In this measurement model, several items/indicators
(i.e., ORIin1, CT1, CT2, CT3, CT4, CT5, CT6,
CT7, CT8, CT9, CT10, CT11, CT13, CT14, CT15,
CT16, SCAO1, SCAO2, SCAID3, SCAID7,
AIAF1) have been dropped from the model to
achieve convergent and discriminant validity
requirements. The researchers were allowed to drop
no more than 20% items for any construct from the
total items in the model in order to achieve
convergent and discriminant validity requirements
based on [72]. Hence, it was acceptable to drop 22
out of 131 items (i.e., ≈16.8%) from this model.
Table 1 shows that all constructs have passed the
internal consistency reliability (i.e., α and ρc more
than .708) and convergent validity (i.e., AVE more
than .50) tests [36],[72]. Although outer loadings of
some items were below the benchmarking value
(i.e., .708 according to [72] the values were still
acceptable based on other relevant sources, [72]. In
addition, the researchers were allowed to retain any
item with an outer loading of .40 and above if the
AVE value for its construct had already achieved
.50, which is the minimum indication for convergent
validity.
4.2.2 Structural Model
In this study, structural model analysis was
performed to answer the main research objectives.
Using bootstrapping procedures with 5,000
resamples in SmartPLS 3.2.8 software [74] the
empirical t- values (t-statistics) were computed to
indicate the significance of the hypothesised
relationships, [71], [72]. The structural model for
this study was illustrated in Fig.3
Fig. 3: Structural model
Structural model analysis was used to answer the
main research objectives. Bootstrapping procedures
with 5,000 resamples were used, [72] in SmartPLS
3.2.8 software, [75]. The empirical t- values (t-
statistics) were computed to indicate the
significance of the hypothesised relationships. The
structural model for this study was illustrated in
Fig.3, which demonstrates the latent variables and
their path relationships (i.e., hypotheses). Table 2
presents the results of hypothesis testing for this
study. Out of 30 hypotheses developed in this study,
only 10 hypotheses were accepted.
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Table 2. Results of Hypotheses Testing
5 Discussion
To investigate the demand of SCH and e-B&B
The Malaysian government recognised Islamic
tourism as a significant contributor to the country's
economy [76-77]. According to [78], Malaysia
currently receives US$600 million in direct tax
contributions from the inbound Muslim travel
sector, accounting for nearly a quarter (24.4%) of
the total direct tax contributions collected in the
Association of Southeast Asian Nations (ASEAN).
Furthermore, the Malaysian government's ambition
to become a hub of Islamic tourism and a leader in
the Islamic tourism market demonstrates how
significant the opportunities created by the Islamic
tourism market are. Considering the foregoing, it
can be concluded that the concept of establishing an
SCH business is both intriguing and has recently
come into prominence in the tourism industry. In
another view, the descriptive results found that
respondents agreed to make an online repatronage
intention to stay at SCHs and e-B&B. This indicates
that this business will continue to emerge.
To determine the adoption of AI in SCH and e-B&B
AI has grown in popularity in recent years as more
businesses began to automate processes using AI
and robotics. AI-based solutions are considered
intelligent enough to completely replace human
activities while increasing transaction speed and
accuracy. To successfully integrate AI into business
operations, firms must overcome a few obstacles,
[79]. For example, AI is still prohibitively expensive
or risky to implement due to the novelty of the
technology and managers' general lack of expertise
and understanding of how to implement it, [79].
Additionally, some hotels have reported having
difficulty providing seamless services with AI
applications [80]. Findings also revealed that the
majority of respondents agreed that SCHs in
Malaysia have not yet adopted AI. Adoption of new
disruptive technologies is influenced by a variety of
factors, depending on the industry and the maturity
of the technology. As a result, this study contributes
to the identification of critical decision factors
affecting the adoption of AI and robotics.
To investigate the reason of few SCHs and e-B&B in
Malaysia
The quality service is required to foster long-term
relationships between the hotel industry and hotel
guests. The ability to retain loyal guests
significantly impacts performance and hotels’
profitability, [81]. Thus, the hotel management must
seek out methods and strategies to increase their
guests' loyalty. In the hotel industry, there is an
increasing demand for hotels that provide Shariah-
compliant facilities and rooms. SCH practices are
appealing because they place a premium on
cleanliness, quality, and safety, requiring that
products and services be prepared in a sanitary and
safe manner, [82], [83]. All of these are beneficial to
Muslims and non-Muslims alike. Malaysians are
still unaware of the existence of SCH practices.
Many five-star hotels are global brands that
influence other hotel operators to incorporate
Shariah-compliant concepts into their operations.
Additionally, JAKIM and MOTAC agreed that a
HYPOTHESES
BETA
T-
VALUE
DECISION
H1:
Desire to Stay -> Online Repatronage Intention
0.163
2.280
Accept
H2:
AI Adoption -> Online Repatronage Intention
-0.082
1.597
Reject
H3:
Service Quality -> Online Repatronage Intention
-0.033
0.426
Reject
H4:
Service Quality -> AI Adoption
0.290
4.906
Accept
H5:
Service Quality -> Desire to Stay
0.405
6.034
Accept
H6:
Service Quality -> Customer Satisfaction
0.687
17.325
Accept
H7:
Customer Satisfaction -> Online Repatronage Intention
-0.055
0.729
Reject
H8:
Customer Satisfaction -> AI Adoption
0.105
1.398
Reject
H9:
Image -> Service Quality
0.247
4.404
Accept
H10:
Image -> Service Quality -> Online Repatronage Intention
-0.009
0.410
Reject
H11:
Image -> Service Quality -> Desire to Stay -> Online Repatronage Intention
0.018
2.002
Accept
H12:
Image -> Service Quality -> AI Adoption -> Online Repatronage Intention
-0.005
1.145
Reject
H13:
Image -> Service Quality -> Customer Satisfaction -> AI Adoption -> Online
Repatronage Intention
-0.002
0.978
Reject
H14:
Image -> Service Quality -> Customer Satisfaction -> Online Repatronage
Intention
-0.011
0.762
Reject
H15:
Consumer Traits -> Service Quality
0.218
4.562
Accept
H16:
Consumer Traits -> Service Quality -> Online Repatronage Intention
-0.008
0.385
Reject
H17:
Consumer Traits -> Customer Satisfaction
0.098
2.501
Accept
H18:
Consumer Traits -> Customer Satisfaction -> Online Repatronage Intention
-0.005
0.745
Reject
H19:
Consumer Traits -> Service Quality -> Desire to Stay -> Online Repatronage
Intention
0.016
1.867
Reject
H20:
Consumer Traits -> Service Quality -> AI Adoption -> Online Repatronage
Intention
-0.004
1.134
Reject
H21:
Consumer Traits -> Service Quality -> Customer Satisfaction -> AI Adoption ->
Online Repatronage Intention
-0.001
0.881
Reject
H22:
Consumer Traits -> Customer Satisfaction -> AI Adoption -> Online Repatronage
Intention
-0.001
0.749
Reject
H23:
Consumer Traits -> Service Quality -> Customer Satisfaction -> Online
Repatronage Intention
-0.009
0.756
Reject
H24:
Religious Commitment -> Customer Satisfaction
0.089
2.624
Accept
H25:
Religious Commitment -> Customer Satisfaction -> Online Repatronage Intention
-0.005
0.729
Reject
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2023.20.66
Yaty Sulaiman, Farouk Djermani,
Mohd Yusri Shahril Ismail, Ariana Arif
E-ISSN: 2224-2899
724
Volume 20, 2023
lack of understanding of what constitutes Halal
products and services contributed to these
challenges.
To determine the criteria of Shariah SCH and e-
B&B
Islamic tourism has spawned a phenomenon, with
many countries opting to offer specially packaged
products that are Muslim-friendly in order to
capitalise on the trend. In response to this growing
trend, the Malaysian government has established a
few facilities for the development of Shariah-
compliant concepts [76]. Because of the
accessibility of mosques, halal food outlets, and
business transactions in Islamic banking, Malaysia
is considered a safe and preferable destination to
visit for Muslim travellers, particularly because it
makes it easy for travellers to meet their basic and
special needs while travelling, [84]. In terms of
service quality, many respondents expressed
satisfaction with the service provided by the SCH
they chose. Muslim customers are also satisfied with
the SCH’s amenities, and they felt at ease and
secure while staying there. The findings indicated
that Muslim customers were influenced by the SCH
positively. In line with past research, this indicates
that Muslim customers are a critical segment of the
target market for SCHs.
To examine the repatronage intention of SCH and e-
B&B in Malaysia
Studies demonstrate that the intention to revisit an
SCH in Malaysia can be significantly influenced by
overall satisfaction, hotel image, and service quality
during the initial visit. Research concludes that
guest satisfaction is critical to foster future positive
behaviour among hotel guests. Hoteliers should be
more aware of what guests require, particularly
religious features, in order to cater to this niche
market. Hotel operators should place a greater
emphasis on service innovation in terms of offering
attributes that adhere to Shariah principles, which
can result in an increased level of guest satisfaction.
Meanwhile, sourcing for halal is the most obedient
behaviour for Muslims, and revisiting an SCH
indicates they are practicing Islam correctly. This is
supported by the fact that by maximising traveller
satisfaction, travel destinations can encourage
travellers to return within a year or two, [85].
To examine the best model of Shariah compliance
repatronage intention in hotel and e-B&B in
Malaysia
This study capitulates a weak model of Shariah
compliance repatronage intention model as the R2
of the model is 12.8 percent. Yet, the R2 for
customer satisfaction was explained by 54.8% of
hotel image, service quality, consumer traits,
religious commitment, and Shariah compliance
attributes. This finding indicates that these factors
play an important role to improve customer
satisfaction of Muslim tourists’ stay at an SCH,
[82]. Additionally, while AI has become an
important element in the technology frontier
nowadays, we found that the adoption of AI is far
beyond compared to western countries. This also
challenges the industry to keep moving with the
rapid changes of technology.
6 Conclusion
Therefore, the study examined the factors that
contribute to a customer's decision to return to an
SCH. Malaysia, on the other hand, has established
itself as one of the world's Islamic countries.
Malaysia has long been recognised as one of the
country's most popular tourist destinations. Many
Muslim tourists from around the world travel to
Malaysia. However, this study will emphasise the
factors that influence Muslim visitors' decision to
stay in a Halal hotel in Malaysia. Islamic tourism
and the concept of Shariah hotels have garnered
considerable attention in recent years. Some of the
pioneering Halal and non-Halal tourist destinations
are pressuring every Muslim country including
those in the Middle East to address this major issue.
Numerous hotels cater to Muslim consumers and
promote Shariah-compliant goods in their
establishments.
Islamic tourism appears to adhere to all Islamic laws
and Shariah-compliant establishments such as Halal
hotels which provide additional Halal amenities.
This includes halal food, prayer rooms, Muslim
vacation packages, religious figures, and general
morality. These factors tend to influence the
happiness of Muslim visitors. Additionally,
improved service quality and image will also help to
promote SCHs to more non-Muslim customers.
Moreover, quality assurance is important for
continuous improvement in an organization [34],
[82], [86], [88]. All this will help to improve the
SCH industry to ensure a position in the growing
global industry world and technology.
Many Malaysians are unaware of the SCH's
implementation. They will become aware and reset
their minds as a result of this study that the SCH not
only accepts Muslim customers but also welcomes
non-Muslim customers openly. Additionally, the
SCHs ensure that it not only serves halal food but
also adheres to all of Islam's principles. This
research will provide critical information to
members of the community who are still unfamiliar
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2023.20.66
Yaty Sulaiman, Farouk Djermani,
Mohd Yusri Shahril Ismail, Ariana Arif
E-ISSN: 2224-2899
725
Volume 20, 2023
with and who may be misinformed about the
concept and practices of SCH adoption in Malaysia.
In general, this study identifies success factors that
can be emphasised to aid in the successful
implementation of the SCH concept and improve
the customer's intention to revisit SCHs. SCHs have
the potential to expand in the future, as previous
studies indicate that an increase in Arab tourists
visiting Malaysia implies a high potential demand
for Islamic tourism. It is expected that global
hospitality brands will seize this opportunity and
will likely increase their focus on halal tourism in
Muslim countries, [89].
Acknowledgment:
This research was supported by the Ministry of
Higher Education (MoHE) of Malaysia through the
Fundamental Research Grant Scheme
(FRGS/1/2019/SS01/UUM/02/30).
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Contribution of Individual Authors to the
Creation of a Sci0entific Article (Ghost writing
Policy)
-Yaty Sulaiman was responsible for
conceptualization, funding acquisition, project
administration, resources, and supervision.
-Farouk Djermani was responsible for data curation,
formal analysis, methodology, validation, and
writing the original draft.
-Mohd Yusri Shahril Ismail was responsible for
review of the article.
-Ariana Arif was responsible for editing of article.
Sources of Funding for Research Presented in a
Scientific Article or Scientific Article Itself
This research was supported by Ministry of Higher
Education (MoHE) of Malaysia through
Fundamental Research Grant Scheme
(FRGS/1/2019/SS01/UUM/02/30).
Creative Commons Attribution License 4.0
(Attribution 4.0 International, CC BY 4.0)
This article is published under the terms of the
Creative Commons Attribution License 4.0
https://creativecommons.org/licenses/by/4.0/deed.en
_US
WSEAS TRANSACTIONS on BUSINESS and ECONOMICS
DOI: 10.37394/23207.2023.20.66
Yaty Sulaiman, Farouk Djermani,
Mohd Yusri Shahril Ismail, Ariana Arif
E-ISSN: 2224-2899
729
Volume 20, 2023
Conflict of Interest
The authors have no conflicts of interest to declare
that are relevant to the content of this article.