An insight into e-customer relationship management strategies of some public and private sector banks

Abstract

Customer Relationship Management (CRM), being disciplined and holistic approach in identifying the tastes and preferences on individual basis to enhance relationship over the customer’s life, is the buzz word for competitive advantage and so the companies, including banks are spending enormous resources on it. In CRM every customer is viewed on his life time value, and the realization is loud and clear that not only customer retention but customer satisfaction is more important than just customer acquisition for a transaction. In real terms CRM is a philosophy and the software solution part is a mere tool to aid better implementation of the philosophy. CRM goes way beyond a software solution. The challenge of managing organizational change has been raised as a potentially important factor affecting the successful outcome of e-CRM efforts. Change in an organization is a multifaceted phenomenon. In today’s business world, companies are shifting from a product-oriented business strategy to a customer-focused one and it has been a major change agent in companies recently.

The concept of e-CRM has taken centre stage in the business world and companies agree that e-CRM is critical to their businesses. This study provides a holistic view of e-CRM in Banking from both a business and a technology perspective with the help of a survey from NCR region. The present research is an attempt to access the factors influencing e-Customer Relationship Management. It explains the necessary features of e-CRM and also the benefits e-CRM is offering. It tries to access the E-CRM Strategies of public and private sector banks. Then, this research helps to study the relation between key strategies of e-CRM and e-CRM benefits using a regression analysis. Finally it highlights the differences in e-CRM features and strategies of public and private sector banks.