BANKING INDUSTRY AND CUSTOMER RELATIONSHIP MANAGEMENT AN APPROACH

Abstract

Customer relationship management is a complete business strategy that enables an organization to maintain good relationships with customers. The customer is considered the king of the market. Customers and banks have a unique relationship. Some banks are still following traditional marketing because of many reasons like lack of training, risk of failure etc. and on the other hand; Some are adopting CRM to maintain profitable relationships with customers. In this competitive era customers have many options they are usually not loyal to any one organization, hence implementation of CRM in banking sector can lead to long term customer retention. CRM is concerned with creating, establishing and enhancing customer relationships to increase customer value. Implementation of CRM has changed the bank culture from task oriented to results oriented. But still organizations face some problems while implementing CRM such as assessing customer perception is not an easy task. This paper highlights the challenges facing the banking sector. The purpose of this research is to examine the relevance of CRM and the impact of CRM in the Indian banking sector.