Importance Of Customer Relationship Management In Banking Sector

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Introduction: Customer Relationship Management (CRM) In recent years, customer relationship management (CRM) has been a topic of the utmost importance for scholars and managers. Despite the evidence provided by numerous empirical studies, many companies that have implemented CRM systems report unsatisfactory levels of improvement. This study analyzes what influence companies can expect CRM implementation to have on performance and how they can leverage its impact. The authors propose a conceptual model that investigates the link between technological and organizational implementations, as well as the implementations' interactions with management and employee support and CRM process-related performance. By measuring CRM performance in terms…show more content…
At this point, close relationship with customers will require a strong coordination between IT and marketing departments to provide a long-term retention of selected customers. This paper deals with the role of Customer Relationship Management in the banking sector and the need for Customer Relationship Management to increase customer value by using some analytical methods in CRM…show more content…
Companies that implement CRM make better relationships with their customers, achieve loyal customers and a substantial payback, increased revenue and reduced cost. Implementation of CRM helps the organization in a reduction of its advertising costs. It also makes it easier to target specific customers by focusing on their needs. CRM allows organizations to compete for customers based on service, not prices and also prevents overspending on low-value clients or underspending on high-value ones. CRM improves the use of customer channel, thus making the most of each contact with a customer. The success of a Customer Relationship Management (CRM) strategy is often measured in terms of customer retention (i.e., the longevity of the customer's relationship with the marketer), customer share development (i.e., the proportion of customer purchases in a particular product or service category a marketer can capture), and customer advocacy (i.e., generation of word of mouth referrals.) (Menon & Connor, 2007, p.157) Our Business Banking systems (VAPM) & ESP – also enables us to see the opportunities for cross-selling for our clients – if this tool can be used effectively and have a good conversation with our clients. Our Client PBM Local municipality – because of the good conversation and VAPM system positively assisted us to

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