Does Implementation of Customer Relationship Management (CRM) Enhance the Customer Loyalty? An Empirical Research in Banking Sector

Document Type : Research Paper

Authors

1 Head of the Department (Commerce), Trinity College for Women (Arts and Science), Namakkal, Tamilnadu, India

2 Research Scholar (Commerce), Periyar University, Salem, Tamilnadu, India

Abstract

Managing mutual relationship with the customer is a decisive task in every sector. Many earlier research outcomes evidenced this as a major drawback, particularly in the banking industries, as they are not using this asset as a competitive advantage for retaining their customers. Taking this as a core issue, this study concentrates on evaluating the consequence of customer relationship management practices on customer loyalty with 779 respondents who were the clients of public and private sector banks located in India and were selected using simple random sampling technique. Various quantitative techniques were carried out and the results emphasized that the CRM has a positive influence on loyalty through customer knowledge management, customer satisfaction, and customer trust, and all were all found as significant drivers to customer’s trustworthiness. This study recommends bankers to provide reliable services to their customers and make them satisfied, as it is the forerunner for creating loyalty.

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Main Subjects

References

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Interdisciplinary Journal of Management Studies (Formerly known as Iranian Journal of Management Studies)
Volume 14, Issue 2
April 2021
Pages 401-417

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