The main purpose of this study is to investigate the relationship between customers perceived market orientation and their loyalty to banks in Palestine as well as the mediating role of customers satisfaction with banking services in the relationship between perceived market orientation and loyalty. To achieve the purpose of this study, two hypotheses were developed and data are collected using a questionnaire administered to a convenience sample of 300 customers. The study found appositive significant effect of perceived market orientation on customers loyalty. The study also found that there is a significant mediating effect of customers satisfaction in the relationship between customers perceived market orientation and their loyalty.
The study concludes with a number of marketing implications, including encouraging banks managements to practically implement market orientation philosophies to maintain their customers and improve their competitive position.