Customer relations management in banking sector and an application regarding the issue

It is important that the Banks consider the importance and the vital role of CRM in directing the management and marketing of the relations of the banks with the customers in banking sector so that banking services could be improved. The Banks should also consider creating competitive advantage for the customers, which offers more value in comparison to competitive proposals. The banks have focused on customer satisfaction and retention of customers with widespread use of technology for the delivery and innovation of services among themselves and they are engaged in an extreme competition. In this context, the banks would like to enhance customer relations and maintain the same at communication points in a large spectrum such as branches, ATM's, internet, e-mails, electronic banking, call centres and telephones. It is essential to create customer satisfaction along with customer loyalty thereby developing customer value, communication, and interaction practices with customers so that the banks would continue their existence. It is required to promote relations with the customers in the long term to maintain the good relations with the current customers and gain new customers. This study promotes CRM and indicates the role of CRM applications and offers a descriptive analysis discussion regarding the issue. This study also aims to reveal how customer communication, interaction and value practices in the banking sector affect customer loyalty. Key Words: Customer, Banking Sector, Customer Relations Management, Customer Royalty