Analysing Public Interest in Sharia Banking Using Utaut2 Method

The majority of Indonesia’s population are Muslim, hence, the market for Sharia banking should be more dominant than conventional banking. However, the market share of Sharia banking in Indonesia is still relatively small, i.e. less than 8% of the total population. Some studies have found that awareness of Sharia banking among Muslims is high but the importance of using the product is low. The purpose of the present study is to find out potential user interest in Sharia banks, more specifically the Sharia Bank, by investigating the relationship between behavioral intention and two control variables as well as a number of latent variables that are affected most. These variables describe behavioral intention and use behavior. The result shows that high significant variables to be influential of behavioral intention for the age groups 21-30 years, 31-40 years and >40 years are perceived trust and perceived risk. Women aged >40 years are more interested than other age groups. The results obtained can help Sharia banks in Indonesia to improve strategies in the market share.