Does Implementation of Customer Relationship Management (CRM) has enhanced the Customer Loyalty – an Empirical Research in Banking Sector

Abstract

Managing mutual relationship with the customer is a decisive task in every sector. Many earlier research outcomes evidenced this as a major backdrop 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 in 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 selected through simple random sampling technique. Various quantitative techniques were carried out and the result emphasized that the CRM has optimistic influence on loyalty through Customer Knowledge Management, Satisfaction and Trust and all were all found as significant drivers to customer’s Trustworthiness. This study has recommended that bankers to provide reliable services and make them satisfied as it is the forerunner for creating loyalty.