Ideological War: Fighting terrorism or Islam

Terrorism is one of the global problems facing the world today. Most of the world leaders have focused on using military and weaponry to counter the expanding terror threats across the world. However, this method has not yield much result; in fact the use of weapons has only led to emergence of new and deadly terror groups such as ISIS.
But why is the war on terror failing? The main problem is that terrorism and radical Islam is more of an ideological war than other common wars. Remember, terrorists unlike typical criminals do not fight or kill for material stuffs but to impose religion on others. This is more of religious intolerance!
Personally, I think, in addition to using weapons and other restrictive measures to prevent the expansion of terrorism, governments should also employ ideology in the fight. An effective ideological stance is for governments to collaborate with the moderate Muslims to help transform the radical ones.
Lets talk.