Customer Relationship Management In Banking Sector

The banking business is becoming more and more complex with the changes emanating from the liberalization and globalization. For a new bank, customer creation is important, but in an established bank the retention is much more efficient and cost effective mechanism. CRM is a sound business strategy to identify the banks most profitable customers and prospects, and devotes time and attention to expanding account relationships with them. Customer data may be used as a platform for CRM systems for communicating, creating loyalty, customer service, trust cultivation and relationship maintenance. This paper studies about the role of CRM in banking sector and the customer perception about CRM.