Customer satisfaction and service quality of zakat institution in Penang

In Malaysia, zakat agencies were institutionalized since many years ago. Despite that, there are still news about dissatisfaction of Muslim community on zakat institution. The purpose of this study is to examine customer satisfaction and service quality of zakat institution in Penang, known as Zakat Pulau Pinang (ZPP) and to determine which dimensions have the most impact on customer satisfaction. The study was conducted based on demographic factors and six dimensions of service quality; compliance, assurance, reliability, tangible, empathy and responsiveness. Respondents for this study were ZPP customers, and a total of 280 questionnaires were distributed, but only 259 were eligible for analysis. Questionnaires were used as an instrument to obtain data. The data obtained were analysed using Statistical Package for Social Science (SPSS) version 22. Two types of analysis were used in this study; descriptive analysis and inferential analysis consisting of normality test, t-test, one-way analysis of variance (ANOVA), Pearson correlation and regression. The results obtained show that the relationship for all demographic factors are not significant. Whereas, the mean score for all dimensions of service quality and customer satisfaction is high. Pearson correlation test results show that all six dimensions of service quality have a positively significant relationship with customer satisfaction. Regression analysis showed that assurance, significance and empathy factors are the most critical factors on customer satisfaction. In conclusion, customers are satisfied with the service of ZPP Office based on the questionnaires collected and the analysis done