A CASE STUDY FOR CUSTOMER AND BANK RELATIONSHIP FOR BUSINESS MANAGEMENT MODEL
Abstract
Backgrounds/Objectives: The present study attempts to identify the effectiveness ofCRM and to determine the lacunae in the process of CRM by establishing an empirically tested CRM model.
Methods/Analysis: Analytical and descriptive types of research have been carried out forthe purpose of the study. The majority of the study is conducted using primary data.Simple Random Sampling Method is used to gather the primary data. The sample for theresearch study is selected scientifically. Two sets of questionnaires have been used for thestudy to collect information from Customers and Bank Employees.
Findings: The average mean scores of six elements of CRM of customers and employeesare 21.23 and 24.53 respectively. This parametric yield is a perfect projection of customers and employee’s perception. Since the services/facilities are offered by the banks, it isconsidered to be 100% for CRM effectiveness. The total mean scores of the employeesare considered as the effectiveness of CRM in customers’ perceptions. The percentagedifference would reveal the effectiveness side of CRM as well as the lacunae in theprocess. The model concludes that the customers’ perception of the CRM elements iseffective at 86.55% (21.23/24.53*100) level and the lacuna is 13.45%. The banks have toemploy specific strategies to fulfill the lacunae in the process of CRM and to obtain the fulleffectiveness of CRM. The study has given a clear message that the real challenge beforethe banks is to translate sentiments into dealings, and a dealings-based relationship into apsychologically linked and dedicated one within a time period.
Novelty: The studies have developed an empirically tested CRM model for the banks to acquire new customers and retain the existing ones.
Keywords: Customer Acquisition; Customer Retention; Customer Satisfaction; Customer Loyalty
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