“A STUDY OF CUSTOMER RELATIONSHIP MANAGEMENT IN

PRIVATE SECTOR BANKS IN INDIA”.

A PROJECT SUBMITTED TO
UNIVERSITY OF MUMBAI FOR PARTIAL COMPLETION OF
THE DEGREE OF BACHELOR IN COMMERCE
(BANKING AND INSURANCE)
UNDER THE FACULTY OF COMMERCE

BY
RADHIKA S. YADAV

UNDER THE GUIDANCE OF

PROF. KAUSTUBH KHORWAL

D.S.P.M.'s
K.V.PENDHARKAR COLLEGE OF
ARTS, SCIENCE AND COMMERCE
DOMBIVALI (EAST) 421203 DIST.THANE

MARCH 2019

1
“A STUDY OF CUSTOMER RELATIONSHIP MANAGEMENT IN
PRIVATE SECTOR BANKS IN INDIA”.

A PROJECT SUBMITTED TO
UNIVERSITY OF MUMBAI FOR PARTIAL COMPLETION OF
THE DEGREE OF BACHELOR IN COMMERCE
(BANKING AND INSURANCE)
UNDER THE FACULTY OF COMMERCE

BY
RADHIKA S. YADAV

UNDER THE GUIDANCE OF

PROF. KAUSTUBH KHORWAL

D.S.P.M.'s
K.V.PENDHARKAR COLLEGE OF
ARTS, SCIENCE AND COMMERCE
DOMBIVALI (EAST) 421203 DIST.THANE

MARCH 2019

2
 DECLARATION BY LEARNER

I the undersigned Miss Radhika S. Yadav here by, declare that the work embodied in this project
work titled “A STUDY OF CUSTOMER RELATIONSHIP MANAGEMENT IN PRIVATE
SECTOR BANKS IN INDIA” forms my own contribution to the research work carried out under
the guidance of PROF. KAUSTUBH KHORWAL is a result of my own research work and has
not been previously submitted to any other University for any other degree/ diploma to this or any
other University.

Wherever reference has been made to previous works of others, it has been clearly indicated as
such and included in the bibliography.

I, here by further declare that all information of this document has been obtained and presented in
accordance with academic rules and ethical conduct.

Signature of learner

Radhika S. Yadav

Certified by

Prof. Kaustubh Khorwal

3
 ACKNOWLEDGEMENT

To list who all have helped me is difficult because they are so numerous and the
depth is so enormous.

I would like to acknowledge the following as being idealistic channels and fresh
dimensions in the completion of this project.

I take this opportunity to thank the University Of Mumbai for giving me chance to
do this project.

I would like to thank my Principal, A.K.RANADE for providing the necessary

facilities required for this project.

I take this opportunity to thank our Coordinator SNEHA VAIDYA.

I would also like to express my sincere gratitude towards my project guide

KAUSTUBH KHORWAL whose guidance and care made the project successful.

I would like to thank my college library, for having providing various reference
books and magazines related to my project.

Lastly, I would like to thank each and every person who directly or indirectly helped me in the
completion of the project especially my parents and peers who supported throughout my
project.

4
 Index

CHAPTERS DESCRIPTION PAGE NO

INTRODUCTION

1.1 What is CRM 7-8

1.2 Ingredients of CRM 9 - 10
1.3 Features of CRM 11 - 13
1. 1.4 Types of CRM 14 - 15
1.5 Origin of CRM 16 - 17
1.6 History of CRM 18 - 21
1.7 CRM in banks 22 - 24
1.8 CRM in banks : Indian scenario 25 - 26
1.9 Need of CRM in banks 27 - 28
1.10 Benefits of CRM 29 - 30
1.11 CRM in banking issues and challenges 31 - 33

RESEARCH MEDOTHOLOGY

2.1 Objectives of the study 34

2. 2.2 Hypothesis 35
2.3 Scope of the study 36
2.4 Methodology 37
2.5 Data collection 38
2.6 Sampling technique 39 - 41
2.7 Limitation of the study 42

3. LITERATURE REVIEW 43

DATA ANALYSIS, INTERPRETATION

4. & 44 - 65
PRESENTATION

5. CONCLUSION & SUGGESTIONS 66 - 68

BIBLIOGRAPHY 69

APPENDIX 70 - 72

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 Chapter 1. INTRODUCTION

1.1 What is CRM?

Customer-relationship management (CRM) is an approach to manage a company's

interaction with current and potential customers. It uses data analysis about customers' history
with a company to improve business relationships with customers, specifically focusing on
customer retention and ultimately driving sales growth.

One important aspect of the CRM approach is the systems of CRM that compile data from a
range of different communication channels, including a company's website, telephone,
email, live chat, marketing materials and more recently, social media. Through the CRM
approach and the systems used to facilitate it, businesses learn more about their target
audiences and how to best cater to their needs.

There can be multiple definitions of CRM from different perspectives −

 From the viewpoint of the Management, CRM can be defined as an organized

approach of developing, managing, and maintaining a profitable relationship with
customers.
 By equating the term with technology, the IT organizations define CRM as a software
that assists marketing, merchandising, selling, and smooth service operations of a
business.
 As per Franics Buttle, World’s first professor of CRM, it is the core business strategy
that integrates internal processes and functions, and external networks, to create and
deliver value to a target customer at profit. It is grounded on high quality customer
data and information technology.

The primary goal of CRM is to increase customer loyalty and in turn improve business
profitability. The purpose of business is to create new customers and retain old
customers. Customer orientation is the ultimate key to success of any business.
Customer Relationship Management (CRM) is a comprehensive approach for creating,
maintaining and expanding customer relationships. CRM does not just belong to sales

6
and marketing rather it is an intelligent blend of marketing and information technology
for serving the customer with greater care and value and in deed it’s a new way of doing
business covering all aspects. Further, CRM is an integrated approach of dealing with
customers with smart use of Information Technology. Computerisation of records,
maintenance of customer data base, online customer service will enhance the customer
loyalty apart from exploring new opportunities for cross selling/sell ups. It involves a
dramatic change in the marketing strategies from products or sales-centric to customer-
centric approach, where it focuses on the total customer requirements. When any CRM
strategy is implemented, it computes and analyses data about the target customers and
their buying habits in multiple ways. Relationship marketing is discovering the new and
potential ways and strategies for enhancing customer’s value to business. Earlier,
companies focused on Massmarketing. But now they are selecting their customers more
carefully and building long lasting and direct relationships with targeted customers.
Today, marketing managers realised the fact that instead of adding some more new
customers, it is always profitable and easier to concentrate on the known market with old
customers with new options and opportunities for business. The goal of every company
is shifting from making a profit on each sale to making long term profits by managing
the life time value of a customer. As a result, today, marketers spend less time on
increasing the share of market and more time in enhancing the Share of customer. They
offer new or improved products to current customers and train employees to cross sell
and up sell in order to market more products and services to existing customers

7
1.2 Ingredients of CRM
Take a look at the following illustration. It shows the ingredients that work together to form
a successful CRM system.

Here are some of the important ingredients of CRM –

• Analytics − Analytics is the process of studying, handling, and representing data in

various graphical formats such as charts, tables, trends, etc., in order to observe
market trends.

• Business Reporting − Business Reporting includes accurate reports of sales,

customer care, and marketing.

• Customer Service − Customer Service involves collecting and sending the

following customer related information to the concerned department –

1. Personal information such as name, address, age

2. Previous purchase patterns.

3. Requirements and preferences.

4. Complaints and suggestions.

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• Human Resource Management − Human Resource Management involves
employing and placing the most eligible human resource at a required place in the
business.

• Lead Management − Lead Management involves keeping a track of the sales leads
and distribution, managing the campaigns, designing customized forms, finalizing the
mailing lists, and studying the purchase patterns of the customers.

• Marketing − Marketing involves forming and implementing sales strategies by

studying existing and potential customers in order to sell the product.

• Sales Force Automation − Sales Force Automation includes forecasting, recording

sales, processing, and keeping a track of the potential interactions.

• Workflow Automation − Workflow Automation involves streamlining and

scheduling various processes that run in parallel. It reduces costs and time, and
prevents assigning the same task to multiple employees.

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 1.3 FEATURES OF CUSTOMER RELATIONSHIP MANAGEMENT:

Customer Relationship Management is a strategy which is customized by an

organization to manage and administrate its customers and vendors in an efficient
manner for achieving excellence in business. It is primarily entangled with following
features:

 Customers Needs-

An organization can never assume what actually a customer needs. Hence it is

extremely important to interview a customer about all the likes and dislikes so that
the actual needs can be ascertained and prioritized. Without modulating the actual
needs it is arduous to serve the customer effectively and maintain a long-term deal.

 Customers Response-

Customer response is the reaction by the organization to the queries and activities of
the customer. Dealing with these queries intelligently is very important as small
misunderstandings could convey unalike perceptions. Success totally depends on
the understanding and interpreting these queries and then working out to provide the
best solution. During this situation if the supplier wins to satisfy the customer by
properly answering to his queries, he succeeds in explicating a professional and
emotional relationship with him.

 Customer Satisfaction-

Customer satisfaction is the measure of how the needs and responses are
collaborated and delivered to excel customer expectation. In today’s competitive
business marketplace, customer satisfaction is an important performance exponent
and basic differentiator of business strategies. Hence, the more is customer
satisfaction; more is the business and the bonding with customer.

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 Customer Loyalty-

Customer loyalty is the tendency of the customer to remain in business with a

particular supplier and buy the products regularly. This is usually seen when a
customer is very much satisfied by the supplier and re-visits the organization for
business deals, or when he is tended towards re-buying a particular product or brand
over times by that supplier. To continue the customer loyalty the most important
aspect an organization should focus on is customer satisfaction. Hence, customer
loyalty is an influencing aspect of CRM and is always crucial for business success.

 Customer Retention-

Customer retention is a strategic process to keep or retain the existing customers and
not letting them to diverge or defect to other suppliers or organization for business.
Usually a loyal customer is tended towards sticking to a particular brand or product
as far as his basic needs continue to be properly fulfilled. He does not opt for taking a
risk in going for a new product. More is the possibility to retain customers the more
is the probability of net growth of business.

 Customer Complaints- Always there exists a challenge for suppliers to deal with
complaints raised by customers. Normally raising a complaint indicates the act of
dissatisfaction of the customer. There can be several reasons for a customer to
launch a complaint. A genuine reason can also exist due to which the customer is
dissatisfied but sometimes complaints are launched due to some sort of
misunderstanding in analyzing and interpreting the conditions of the deal provided
by the supplier regarding any product or service. Handling these complaints to
ultimate satisfaction of the customer is substantial for any organization and hence it
is essential for them to have predefined set of process in CRM to deal with these
complaints and efficiently resolve it in no time.

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  Customer Service-

In an organization Customer Service is the process of delivering information and

services regarding all the products and brands. Customer satisfaction depends on
quality of service provided to him by the supplier. The organization has not only to
elaborate and clarify the details of the services to be provided to the customer but also
to abide with the conditions as well. If the quality and trend of service go beyond
customer’s expectation, the organization is supposed to have a good business with
customers.

Let it be a newly brought up enterprise or a well established organization the above aspects
prove to be of prime importance in dealing with a genuine customer through a well organized
CRM system.

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 1.4 TYPES OF CRM

Nowadays, three major types of customer relationship management systems,

namely operational CRM, analytical CRM and collaborative CRM are being used in many
organizations.

 Operational CRM: It provides support to front-office business processes that

involve direct interaction with customers through any communication channel, such as
phone, fax, e-mail, etc. The details of every interaction with customers, including
their requirements, preferences, topics of discussion etc., are stored in the customers’
contact history and can be retrieved by the organization’s staff whenever required.
This, it presents a unified view of customers across the organization and across all
communication channels. Examples of operational CRM applications are sales force
automation (SFA), customer service and support (CSS), enterprise marketing
automation (EMA), etc.

 Analytical CRM: It enables to analyse customer data generated by operational CRM

applications, understand the customers’ behaviour, and derive their true value to the
organization. This helps to approach the customers with pertinent information and
proposals that satisfy their needs. The analytical customer relationship management
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 applications use analytical marketing tools like data mining to extract meaningful
information like the buying patterns of the customers, target market, profitable and
unprofitable customers, etc., that help to improve performance of the business.

 Collaborative CRM: It allows easier collaboration with customers, suppliers, and

business partners and, thus, enhances sales and customer services across all the
marketing channels. The major goal of collaborative customer relationship
management applications is to improve the quality of services provided to the
customers, thereby increasing the customers loyalty. Examples of collaborative CRM
applications are partner relationship management (PRM), customer self-service and
feedback, etc.





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1.5 Origin of CRM
CRM originated in early 1970s when the business units had a manifestation that it
would be advisable to become ‘customer emphatic’ rather that ‘product emphatic’. Birth
of CRM was because of this heedful perceptiveness. The famous writer and
management consultant Peter Drucker wrote; ‘The true business of every company is to
make and keep customers’.
Traditionally every transaction was on paper and dependent on goodwill which created
hindrance in clutching customers. People used to work hard in entertaining customers by
presenting new products with astonishing services; they were ready to work overtime for
grasping more and more customers for increasing business. This too resulted in customer
satisfaction and loyalty up to some extent, but at the end of the day there was no such
bonding or relation between the two to carry on with future business smoothly.
Previously business was quite easy as it was mere a one-to-one dealing without any specific
process. But with time, due to incoming complexities in communication, it found itself in
troubled waters. Emerging of new strategies and technologies in global marketplace and a
mammoth degree of competition in business, the approach needed to be changed to
proactive rather than reactive. Origination of CRM turned out to be a piece of cake for all
suppliers and customers due to its advantages. Customer relationship management came as a
process that dealt with relationships with customers surpassing the whole business.
Originally customer relationship management was based on three major principles;
shielding the current customers, fostering new customers and enhancing asset value of all
the customers. With the advent of CRM which was integrated with high end software and
technology, business perspectives were totally changed. A CRM system eventually
emerged as consisting of company-full of information which is depicted sophistically to
increase business profit and meliorate customer satisfaction and loyalty, on the same hand
reduces business cost and investment. The outgrowth in origin of CRM as a strategic
approach is a result of some of the following important perspectives:

15
1. The belief that customers are the real assets and not just the people in the audience.

2. The maturation of one-to-one transaction advent.

3. Extensive use of software and technologies to maintain useful information

and no manual labour.

4. The realization of the benefits of utilizing information proactively and not reactively.

5. The change of business view to relationship approach rather than transactional approach.

6. The approach of concentrating more on customer values rather than

concentrating on how the product is delivered to the customer.
7. The approach of focusing on customer satisfaction and loyalty rather than focusing
self satisfaction and profit.
8. The acceptance of the fact that using high end technologies and software the cost
can radically be decreased without compromising on quality and service of
products.
9. The increasing tendency to retain existing customers and trying to get more and
more business out of them.
10. The realization that the traditional trends of marketing and selling are
increasingly fading out in the current economic scenario.

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 1.6 History of CRM

CRM hasn’t always been the robust, stand-alone software that so many businesses rely on
today. Over the past four decades, it has evolved out of a variety of other business programs.
During that time, the CRM industry has undergone sea-changes and shakeups that could have
derailed the entire concept.
The 1980s: Pioneered by Robert and Kate Kestnbaum, database marketing collected and
analysed customer information. Using statistical modeling, that data was then used to help
customize communications with other potential customers.

In 1986, ACT! introduced the business world to contact management software. Essentially a
digital rolodex, ACT! allowed for the efficient storage and organization of customer contact
information. Goldmine and other vendors also released CMS programs throughout the 80s.

Near the close of the decade, the proliferation of personal computers and the advent of
server/client architecture paved the way for an explosive growth in software development.

The 1990s: The beginning of the 90s brought the first major step toward true CRM software.
Early innovators like Brock Control Systems helped push the evolution of contact management
software toward sales force automation (SFA). SFA took many of the features of database
marketing, automated them, and combined them with contact management. This provided
businesses with much more useful customer information. It also automated business tasks like
inventory control, and sales tasks like customer interaction tracking. In 1993, Tom Siebel left
Oracle to create Siebel Systems. While at Oracle, Siebel tried unsuccessfully to convince CEO
Larry Ellison to package and sell their internal sales application as a standalone product.

Siebel Systems quickly became the leading SFA provider on the market.

By 1995, SFA and contact management had evolved to closely resemble modern CRM
software. However, this emerging product still didn’t have a proper name. A number of terms
like enterprise customer management (ECM) and customer information system (CIS) were in
use. By the end of 1995, CRM won out. Some attribute this to the technology research company
Gartner, while Tom Siebel is also named as a possible source. Either way, the CRM industry
finally had a name.

17
The last half of the decade brought huge changes to the CRM industry. Enterprise resource
management (ERP) vendors like Oracle and Baan entered the CRM market, hoping to use their
size and ERP in-roads to dominate the industry. Unlike other software companies that were
transitioning to CRM, SAP entered the market with the sole purpose of capitalizing on emerging
applications. All of this competition pushed CRM vendors to provide a broader suite of
services. More marketing, sales, and service applications were added to CRM on a near-constant
basis.

1999 was a busy year for the CRM industry. A number of notable, high-value acquisitions
consolidated the overall market, while emerging e-CRM vendors provided fierce competition.
Using intranet, extranet, and internet, e-CRM vendors offered a level of intra-organizational
collaboration that hadn’t previously been available in the CRM industry. CRM also made its
first foray into the mobile market, with the introduction of Siebel Handheld.

The 90s came to an end with the debut of the first major Software as a Service (SaaS) vendor.
Geared toward smaller businesses, Salesforce was initially ignored by larger vendors. Under the
leadership of Mark Benioff, Salesforce eventually grew to rival CRM industry giants like Siebel
Systems.

The 2000s: Like most software industries, the CRM industry was hit hard by the bursting of the
dot-com bubble. The entire industry retracted, with giants like Oracle reporting license losses of
more than twenty-five percent.

Due to a reluctance to use “dot-com” technologies, e-CRM vendors were hit the hardest.

In the early years of the 00’s, Paul Greenberg’s book “CRM at the Speed of Light” suggested a
more comprehensive CRM system that manages all business relationships. By the end of the
decade, this became the common thinking across the CRM industry.
Through the middle of the decade, interoperability with legacy software became more
important. Software giant Microsoft entered the CRM market with D ynamics CRM, and Oracle
acquired Siebel and numerous other enterprise application vendors.

18
In 2007, Salesforce created the next big change in the CRM industry. Force.com introduced the
world to cloud-based CRM. Force.com addressed the criticism that cloud-based applications
weren’t customizable. Social CRM exploded onto the market with the introduction of Comcast
Cares—an application that focused more on interaction than transaction. Most large
corporations quickly followed Comcast’s example, solidifying the place of social CRM.

Through the end of the first decade, and up to the present day, cloud-based and SaaS CRM
solutions continue to integrate more features like customer service and social CRM. Cloud-
based and SaaS CRM solutions continue to gain popularity, largely due to their lower initial
cost and easy integration with mobile devices.

19
20
1.7 CRM in Banks

Over the last few decades, technical evolution has highly affected the banking industry. For
more than 200 years, banks were using branch based operations. Since the 1980s, things
have been really changing with the advent of multiple technologies and applications.
Different organisations got affected from this revolution; the banking industry is one of it
(Sherif, 2002). In this technology revolution, technology based remote access delivery
channels and payment systems surfaced. ATM displaced cashier tellers, telephone
represented by call centers replaced the bank branch, internet replaced the mail, credit cards
and electronic cash replaced traditional cash transactions, and interactive television will
replace face-toface transactions (Sherif, 2002). In recent years, banks have moved towards
marketing orientation and the adoption of relationship banking principles. The key
motivators for embracing marketing principles were the competitive pressure that arose
from the deregulation of the financial services market particularly in India. This essentially
exposed clearing banks and the retail banking market to increased competition and led to a
blurring of boundaries in many traditional product markets (Durkin, 2004). The bank would
need a complete view of its customers across the various systems that contain their data. If
the bank could track customer behaviour, executives can have a better understanding, a
predicative future behaviour and customer preferences. The data and applications can help
the bank to manage its customer relationship to continue to grow and evolve (Dyche, 2001).
According to Stone et al. (2002) most sectors of the financial services industry are trying to
use CRM techniques to achieve a variety of outcomes. In the area of strategy, they are
trying to:

• Create consumer-centric culture and organisation

• Integrate communications and supplier – customer interactions across channels;

• Identify sales prospects and opportunities;

• Support cross and up-selling initiatives;

• Manage customer value by developing propositions aimed at different customer

segments; Support channel management, pricing and migration.

21
 CRM is a sound business strategy to identify the bank’s most profitable customers and
prospects, and devotes time and attention to expanding account relationship with those
customers through individualised marketing, reprising, discretionary decision making, and
customised service through the various sales channels that the bank uses.

Any financial institution seeking to adopt a customer relationship model should consider six
key business requirements (Chary & Ramesh, 2012), they are:

1. Create a customer-focused organisation and infrastructure.

2. Gaining accurate picture of customer categories.

3. Assess the lifetime value of customers.

4. Maximise the profitability of each customer relationship.

5. Understand how to attract and keep the best customers.

6. Maximise rate of return on marketing campaigns.

CRM is developing into a major element of corporate strategy for many organisations
(Rangarajan, 2010; Shibu, 2011). A greater focus on CRM is the only way the banking industry
can protect its market share and boost growth. With intensifying competition, declining market
share, deregulations, smarter and more demanding customers, there is competition between the
banks to attain a competitive advantage over one another or for sustaining the survival in
competition. In India, the banking sector has been operating in a very stable environment from
last thirty - forty years. In current scenario of banking sector, the falling of interest rates and
tough competition between these players had made Indian bankers to realise that the purpose of
their business is to create and retain a customer and to see that the entire business process is
consistent with an integrated effort to discover, retain and satisfy customer needs. But the
success of' CRM Strategy depends upon its ability to understand the needs of the customer and
to integrate them A Journal of Economics and Management with the organisation's strategy,
people, technology and business process.

22
Financial services are in a structural change whereby competition and customer demands are
increasing.

One of the banks' greatest assets is their knowledge of their customers. Banks can use this asset
and turn it into a key competitive advantage by retaining those customers who represent the
highest lifetime value and profitability. Banks can develop customer relationships across a
broad spectrum of touch points such as bank branches, kiosks, ATMs, internet, electronic
banking and call centres. CRM is not a new phenomenon in the industry. Over the years, banks
have invested heavily in CRM, especially in developing call centres, which, in the past, were
designed to improve the process of inbound calls. In future, call centres will evolve to
encompass more than just cost reduction and improve efficiency. According to Gartner Group,
more than 80 per cent of all US banks will develop their call centres as alternative delivery
channels and revenue centres, to be used for the delivery of existing products and services. But
to be successful, a bank needs more than the ability to handle customer service calls. It needs a
comprehensive CRM strategy in which all departments within the bank are integrated.

23
 1.8 CRM in Banking: Indian scenario
Although significance of Relationship Marketing practices and optimising and maintaining
customer relationships across diverse customer segments has been realised and practiced by all
banks in India, the technology enabled CRM is still at a developing stage. Different Banks are at
different levels of CRM adoption and implementation and majority of them can be considered to
be at preliminary stages. Operational CRM is the most wide spread, but collaborative CRM is
most evident in internet banking, mobile banking, ATM functions, POS devices and initiatives
like availability of pass book printing machines to enable customers to update their
passbooks themselves. Also SMS alerts at various significant customer service events are
proliferating. Analytical CRM is being utilised but not by all banks. Here also a few illustrations
of Indian banks using CRM will define a clearer picture of CRM in Indian banking.

Yes Bank has developed YCCRM (Yes Bank Collaborative CRM), the prominent
features of which are ‘discussion boards’ and ‘templates’. These enable sharing of relevant
customer information to all concerned staff members to design new products, provide proactive
service, and informed customer handling leading better service. It enables collaboration among
staff and customers to create higher customer value through use of CRM software.

Punjab National Bank deployed CRM software with modules of Prospect Management, Lead
Management, Activity Management, Product Management, Complaint Management and
Business Intelligence Reporting. The payoffs are in terms of increased customer base, cross -
selling, sales force optimisation, efficient lead management and higher productivity.

ICICI identified five functional areas which when integrated will give Bank its CRM Business
Transformation Map. Core areas of transformation were business focus, organisation structure,
business matrix, marketing focus and technology. The pay offs were : lower total cost
of ownership, efficient management of volume growth, greater responsiveness to market needs,
improved operations, decrease in operational costs, reduction in turnaround time, and integrated
platform for all applications of bank. The recent CRM application is enabling ICICI customers to
perform transactions via the platform of face book, a social networking site. This brings the
bank one step ahead in providing convenience and service through CRM. SBI’s Business
Intelligence system integrates data from nearly 70 databases to form a single enterprise data
warehouse model. The system generates 248 reports daily for top management and each of the

24
branches have access to reports generated particularly for them. This has empowered decision
makers to have actionable data lending to faster decision making based on latter’s information.

Bank of Maharashtra has developed in-house software which generates and updates a variety of
reports on detailed customer information and sends to branches. These reports are utilised for
better customer understanding, better customer support and service by access to relevant
customer information with all stakeholders to enable decision making and Business
Development as well as retention activities.

25
 1.9 Need of Customer Relationship Management in Banks
Customer Relationship Management (CRM) primarily caters to all interactions with the customers
or potential customers, across multiple touch points including the Internet, bank branch, call center,
field organization and other distribution channels

CRM can help banks in following ways:

 Campaign Management – Banks need to identify customers, tailor products and services
to meet their needs and sell these products to them. CRM achieves this through Campaign
Management by analyzing data from banks internal applications or by importing data from
external applications to evaluate customer profitability and designing comprehensive
customer profiles in terms of individual lifestyle preferences, income levels and other
related criteria. Based on these profiles, banks can identify the most lucrative customers
and customer segments, and execute targeted, personalized multi-channel marketing
campaigns to reach these customers and maximize the lifetime value of those relationships. 
 Customer Information Consolidation– Instead of customer information being stored in
product centric silos, (for e.g. separate databases of savings account & credit card
customers), with CRM the information is stored in a customer centric manner covering all
the products of the bank. CRM integrates various channels to deliver a host of services to
customers, while aiding the functioning of the bank. 
 Marketing Encyclopedia – Central repository for products, pricing and competitive
information, as well as internal training material, sales presentations, proposal templates
and marketing collateral. 
 360-degree view of company – This means whoever the bank speaks to, irrespective of
whether the communication is from sales, finance or support, the bank is aware of the
interaction. Removal of inconsistencies of data makes the client interaction processes
smooth and efficient, thus leading to enhanced customer satisfaction. 
 Personalized sales home page – CRM can provide a single view where Sales Mangers
and agents can get all the most up-to-date information in one place, including opportunity,
account, news, and expense report information. This would make sales decision fast and
consistent. 

26
 Lead and Opportunity Management– These enable organizations to effectively manage
leads and opportunities and track the leads through deal closure, the required follow-up
and interaction with the prospects. 
 Activity Management – It helps managers to assign and track the activities of various
members. Thus improved transparency leads to improved efficiency. 
 Contact Center – It enables customer service agent to provide uniform service across
multiple channels such as phone, Internet, email, Fax.
 Operational Inefficiency Removal – CRM can help in Strategy Formulation to eliminate
current operational inefficiencies. An effective CRM solution supports all channels of
customer interaction including telephone, fax, e-mail, the online portals, wireless devices,
ATMs, and face-to-face contacts with bank personnel. It also links these customer touch
points to an operations center and connects the operations center with the relevant internal
and external business partners. 
 Enhanced productivity – CRM can help in enhanced productivity of customers, partners
and employees. 
 CRM with Business Intelligence – Banks need to analyze the performance of customer
relationships, uncover trends in customer behavior, and understand the true business value
of their customers. CRM with business intelligence allows banks to assess customer
segments, which help them calculate the net present value (NPV) of a customer segment
over a given period to derive customer lifetime value. Customers can be evaluated within
a scoring framework. Combining the behavior key figure and frequency to monetary
acquisition analysis with a marketing revenue quota can optimize acquisition costs and cut
the number of inefficient activities. With such knowledge, banks can efficiently allocate
resources to the most profitable customers and reengineer the unprofitable ones.

27
 1.10 benefits of CRM:

 Better client relationships. The more you know, and remember, about clients (or
customers) the more your clients know you care about them. This enables you to forge a
much stronger connection and a deeper relationship with your clients.
 Improved ability to cross-sell. The more you know about your clients' needs and wants
the better able you are to provide the solution to their next problem.

 Increased team colloration. This is where many firms who fail to require their
executives to use the CRM fail to reap the benefits of the CRM. I know this from having
managed the implementation of CRM software where the management team thought it
was a good idea but would not learn, or use, the tool themselves.

 Improved efficiency in serving clients. Again, the more you know about clients, the
better able you are to serve them. If everyone is using the CRM to record their customer
interactions, EVERY client interaction, then others' are able to serve the client with the
knowledge of what has been previously discussed with the client.

 Greater staff satisfaction. The more knowledge your employees have the more
empowered and engaged they are. Having an accurate and up-to-date CRM that everyone
uses and has access to helps employees solve client problems. Doing so makes employees
and clients happy.

 Increased revenue and profitability. Once everyone learns, and uses, the CRM
productivity increases, sales cycles decrease, you have the ability to provide additional
products and services to clients and client satisfaction increases.

 Cost savings. While the start-up of a CRM software is expensive and time-consuming,
over time the benefits far outweigh the costs. Members of the sales team are able to better
schedule meetings with prospects in the same geographic area. Client-service reps are
better able to resolve a client's concern. You now have a central client and prospect

28
 database that everyone can access rather than everyone keeping a separate spreadsheet or
contact database on their computer.

 Less client attrition. When a client is engaged with only one member of a professional
services firm, the risk of attrition is 40%. When five or more partners are involved in a
client relationship, the risk of attrition falls to less than 5%. 

29
 1.11 CRM in Banking: Issues and challenges

CRM is a strategic initiative which has organisation wide implication. Many banks are still

struggling to make proper use of this very useful mechanism. However, the adoption and

utilisation is dependent on a number of factors and impediments. Broadly the issues are

pertaining to: People, Processes, Data and Technology. Also a major drawback is the general

perception of CRM being a Technology imperative. There is a great need to understand that

technology is only the enabler to CRM. In the real sense it is an organisation wide strategy. The

success of this depends on a careful integration of Organisation’s goals, structure, systems,

processes and resources.

CRM: Technology issues

The following are the impediments to CRM implementation in context of technology:

1. Misconception about role of technology: Most officers perceive technology as a limited to

record of information and transaction. The use of technology in further sophisticated information

processing and dissemination is not done.

2. Lack of Integration: There are multiple channels and multiple technologies in use

simultaneously in customer interface, service and sales. The integration of this complex system

of technologies is a challenge.

3. Empowerment to frontline staff: Frontline staffs have customer profile and data. Most of them

have no motivation to further process these and make full utilisation of these to provide better

services and proactive selling effort. They are neither trained to use customer analytics nor to

customise the Banks offering.

30
4. Underutilisation: the single integrated view of customer ,past transactions preferred mode

of business are known, but no mechanism is in place to utilise this with aid of software like lead

management and activity management for higher effectiveness in sales and service.

(1) Fragmented Data: banks have multiple repositories of data accumulated across various

channels. Systematically collecting and organizing this huge data is big challenge.

(2) Legacy Systems: Historical data collected from legacy systems tend not to have been

collected in any standard form.

(3) Quality of data: As huge amount of data has to be cleaned and a lot of missing data has to be

identified and included. This process has to be carried out across branches which in addition to

their core tasks have this work.

(4) Lack of understanding, skill and initiative to manage and utilise data: Employees expected to

organise and systematically manage data may not dot efficiently because of the lack of

understanding of the strategic perspective of this activity. They also lack the necessary

infrastructure and skill to complete this task.

People issues

1. Lack of knowledge and skills in converting data to customer knowledge

2. Lack of motivation for utilising the potential of CRM solution

3. Inadequate performance management parameters

4. Less or insufficient decision making authority : In order to use CRM concept towards customer

centricity, sufficient decision making power is required to provide customised, responsive and

proactive services.

31
5. Training: Staff lacks training in IT, its applications, the complete use of software and its

applications as well as marketing skills, analytical skills, uses of customer information and

service skills for implementation CRM.

Process issues

As CRM is an organisation wide strategy the entire processes need to be aligned appropriately.

Some important process issues are:

1. Change in Culture: The CRM implementation demands a change in organisational culture in

terms of vision, mission, philosophy, and shared values. This encompasses a fundamental change

in the organisational practices and employee behaviour.

2. Breaking the silos: CRM cannot succeed in Silo structure of departments. It demands integration

and collaboration of all departments on a continuous basis. So, Breaking of silos prevalent in

traditional organisation structure is a challenge.

3. Change in Structure and Systems: CRM success lies in ownership of CRM by all departments

with Marketing in the strategic role of combining efforts in all these towards better customer

service. This basic structural change from product centric organisation to customer centric

organisation faces impediments in terms of role conflicts, ambiguity, resistance and attitudinal

impediments.

4. Demand for more pro-activeness and flexibility: The former strict hierarchical and rigid structure

has to be transformed to flexible, responsive and proactive structure. This demands top

management support, proper training and efficient follow up systems. In addition to behavioural

issues the full utilisation of CRM benefits cannot be attained unless this is enabled

32
 Chapter 2. RESEARCH METHODOLOGY

2.1 Objective of the Study

The main objective of the study is to identify the importance of CRM in banking sector, and its effect on the
customer satisfaction with a special reference to Banks. The other objectives are:

 To identify the Customer Relationship Management (CRM) practices in private sector banks in India.
 To assess the awareness and use of CRM in banks.
 To analyse the service quality offered by bank.
 To analyse on decision making activity by banking sector.
 To portray the origin, need of CRM and CRM in banking sector.
 To study the growth and development in private sector banks and their working performance.
 To analyse the socio-economic profile of the customers and their level of perception towards
Customer Relationship Management.

33
2.2 Hypothesis:

Hypothesis 1

H0: There is no difference in CRM implementation in all private sector and public sector Banks

H1: There is a difference in CRM implementation in all Private sector and public sector Banks.

Hypothesis 2

H0: There is no relationship between CRM and Service Quality.

H1: There is a relationship between CRM and Service Quality.

Hypothesis 3

H0: There is no impact on Customer retention using CRM in private Sector banks.

H1: There is a impact on Customer retention using CRM in private Sector banks.

34
2.3 Scope of the Study:

1. Scope of this research is limited to private sector banks. Private Sector Banks are HDFC
bank, ICICI bank, Axis Bank, Kotak Mahindra Bank and Yes Bank.

2. Research is Carried Out in Dombivali city only.

3. Research explores certain customer related aspects such as attitude of employees, Saving
Account portability, Locker facility, ATM facility, Passbook facility, Internet banking,
timings, Issue of DD, Customer Care, Ambience, Collection of Cheques, Issue of Cheque
Book, information about new products and services, Cheque Deposit for collection and
parking facility.

35
2.4 Methodology Adopted for the Study

1. Study Area – Dombivali (east)

2. Sample Size – 61 respondents who have accounts in private sector banks

3. Sampling Method Used – survey sampling method

4. Data Sources - The study is based on primary data that has been collected using a structured

Questionnaire.

5. Period the study – February 2019 to March 2019

6. Structured Questionnaire has 25 questions in it.

7. The first part of questionnaire is devoted to the basic information relating to the
respondents such as age, gender, marital status, and income level, size of the family,
education and occupation.

8. The second part of the questionnaire is made to get an information of customer

relationship management in private banks.

36
2.5 DATA COLLECTION:

Primary data: This study is empirical in nature. The empirical data will be collected for
analysing the information from bank managers and customers of bank. To attain the above
objectives and for getting first hand information knowledge of CRM in banking by using a
pre-tested and pre- coded schedule by personal interview and questionnaire with the account
holders and managers with Thane region of Maharashtra state of India.

Secondary Data: Data collection was done through published and unpublished sources. The
secondary data are used to the growth, performance of banking industry with reference of
commercial banks .They were collected from the different published articles, reference
books, journals, conference proceedings, business dailies, reports, magazines; newsletters
published by banks time to time and published documents & websites

37
2.6 Sampling technique for present study
For the present study convenience or volunteer sampling technique was used. In this study
researcher got the form filled from the customers which easily available or were willing to
fill the form. The researcher also meets various bank employees in various branches of the
banks located in India, Other than city area as well as village Area in Thane district. The
researcher asked them to fill up the questionnaire Tools used for Data Collection

1. Questionnaire: The researcher used the questionnaire to collect data. The

questionnaire was divided into two parts i.e

• For the Customers of selected Banks.

• For the Managers of selected Banks.

For the users of e-CRM questions were further classified into customers views on
usefulness of online banking, functioning of web site of the banks, how much bank, bank
officials, encouraged for Online

Banking, customers’ trust on the banks, security provided by the banks to their OB users
and precautions taken by the customers while using OB.

2. Preparation for data:

Primary data collection is the basis of study and Secondary data has also been used by
going through the Publications of the department and through literature based on the
topic.

38
3. Questionnaire Design:
It was designed based on the basis of the review of
literature. Questionnaire formulation:

A draft questionnaire on the basis of the four stages listed above was made. It consisted
of 68 statements covering all aspects of objectives planned. It contained some questions
which were used in the final questionnaire and also some ideas which were converted
into statement later. At this stage the decision on what type of scale to use had been
narrowed down to the Likert Scale Various factors were identified and framed in the
form of different sections in questionnaire.

These factors were identified on the basis of literature and also the brain storming with
practitioners and management faculty. These factors were divided into different sections as
per there relevance and were kept in set of questionnaire.

The questionnaires have been tested on the following criteria:

• Reliability: Cronbachs Alpha reliability of the scale was used.

• Content Validity: The questionnaire was given to Officers of banks in the field to
check for Content Validity. The basic purpose was to determine whether the define
objectives was being adequately covered and whether it was tapping as many
dimensions of CRM in Banks as could be done. A detail discussion was done with
(Branch Managers), guide & key persons from Banks about the following features of
the questionnaires
 Comprehension

 Depth Of Study

 Relevance to today’s scenario

39
 Questionnaire was found to be comprehensive

Followings points were suggested for incorporation in questionnaire:

1. The respondents were able to respond faster when asked verbally. On an average
25-30 minutes were required per respondent. However, the interactions with
individual / functional heads lasted for around 35-40 minutes. The functional heads
contacted were for Public Banks and private Banks.

2. Divide question into different sections.

3. Each section should be relevant to particular group of people.

4. Every individual question should be in different sections to understand the

specific importance of CRM so Questionnaire should be divided into different
sections appropriate changes were made in the questionnaires, wherever
applicable
5. Ease of Response -10 respondents were test administered using the questionnaire
cum interview method.

40
2.7 LIMITATIONS OF THE STUDY:

limitations as mentioned below.

 The study is mainly based on the data collected from the customer of select banks;
therefore, the accuracy of the data provided by them is relied upon the point of time
of taking perceptions from the customers.
 The study is carried out through the selected banks, so the findings may not represent
the entire banking sector.
 The study is carried out only in Dombivali, so the findings may not represent the
whole country.

41
 Chapter 3. LITERATURE REVIEW

Literature review was carried out reviewing and analysing information related to CRM, which
was collected from various sources like books journals, magazines and electronic journals and
articles from various web sites. As the study was exploratory in nature, literature on CRM was
collected during the entire course of the study. The literature review with the objectives of
framing the research objectives, understanding the practical implications of CRM,
understanding emerging trends in CRM, and for gaining insights into various theoretical
concepts related to CRM. The review is broadly classified into the following areas:

• According to Brown (2000) CRM is a process of acquiring new customers, retaining

the existence customers, and at the same time understands, anticipates and manages
the needs of an organization’s current and potential customers. Furthermore,
• Mylonakis (2009) described CRM as an innovative process to create a long term
relationship and gaining trust. Further, a clear vision of CRM along with
appropriate strategies if applies in banking sectors found out hat beneficial in
maintaining the customer service quality, customer satisfaction and customer
retention which ultimately leads to the growth of the organization and profitability
(Bansal and Sharma, 2008).
• Girdhar (2009) observed that by satisfying the internal customers and building
good relationship with them, the relationship with the external customers can also
be retained and satisfied by the banks.
• Kumar & Rajesh (2009) reveals that any bank that wishes to either grow in size of
its banking operation or improve its profitability must consider the challenges
affecting its customer relationship. The challenge before the banks is not only to
obtain updated information for each customer, but also to use the information to
determine the best time to offer the most relevant products (Lau et al.2003). It is
also important to understand that if customers bring in profits for the bank, it
becomes imperative for the bank to provide excellent services to those customers,
otherwise they switch toOther banks (Ray, 2007). Service quality in Banking
implies consistently anticipating and satisfying the needs and expectations of
customers.
42
Chapter 4. DATA ANALYSIS, INTERPRETATION AND PRESENTATION

1. Experience with the bank :

a) Below 5 years
b) 6-10 years
c) 11-15 years
d) 15 years and above

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Below 5 years 45 75.4%
6-10 12 21.3%
11-15 4 3.3%
15 years and above 0 0%

Interpretation:

 From 61 respondents Majority of people have maximum 5 years of experience

with their banks.

43
 2. Mention your type of account in bank :
a) Saving bank account
b) Current account
c) Fixed account
d) Loan account

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Saving Bank Account 50 82%
Current Account 11 18%
Fixed Account 0 0%
Loan Account 0 0%

Interpretation:

 In my survey majority of people have saving accounts in private banks.

44
 3. What is your most suitable mode to connect with bank?

a) Going to branch physically

b) Mobile banking
c) Online banking

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Going To Branch Physically 16 27.9%

Mobile Banking 30 49.2%
Online Banking 15 23%

Interpretation:

Majority of people says mobile is the most suitable way to connect with bank.

45
 4. Opinion on the service charges of your bank:
o Very high
o Moderate
o Low

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Very High 10 16.4%

Moderate 45 73.8%
Low 6 9.8%

Interpretation:

 Majority of people says service charges charged by private banks are moderate.

46
 5. Are you satisfied with the online service provided by the bank?

a) Yes
b) No
PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Yes 56 91.8%
No 5 8.2%

Interpretation:

Majority of people satisfied with the online services provided by their banks. It means private
banks are doing well in case of online services.

47
 6. Are you satisfied with the mobile banking service provided by your bank?

a) Yes
b) No
PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Yes 56 91.8%
No 5 8.2%

Interpretation:

Majority of people are satisfied with the mobile banking service of their Banks.

48
 7. Do you get ATM facility near to your home?

a) Yes
b) No
PARTICULARS NO.OF RESPONDENTS PERCENTAGE
Yes 52 88.5%
No 9 11.5%

Interpretation:

Majority of people are getting ATM facility near to their home.

49
 8. Are you satisfied with the limit of withdraw money through ATM

a) Yes
b) No
PARTICULARS NO.OF RESPONDENTS PERCENTAGE
Yes 48 80.3%
No 13 19.7%

Interpretation:

Majority of people are satisfied with the limit of withdrawal but people are expecting to banks to
increase the limit of withdrawal.

50
 9. Employee of your bank gives answers properly of your questions?

a) Yes
b) No
PARTICULARS NO.OF RESPONDENTS PERCENTAGE
Yes 52 83.6%
No 9 16.4%

Interpretation:

Majority of people satisfied but people have issues with the behaviour of employees of their
banks.

51
 10. Are you satisfied with your financial transaction with your bank?

a) Yes
b) No
PARTICULARS NO.OF RESPONDENTS PERCENTAGE
Yes 59 96.7%
No 2 4.3%

Interpretation:

 From 61 respondents 96.7% people are satisfied by the financial transactions with their
banks.
 Rest 4.3% people are not satisfied by the financial transactions with their bank.

52
 11. Are you satisfied with the services provided by the employees of your bank?

a) Yes
b) No
PARTICULARS NO.OF RESPONDENTS PERCENTAGE
Yes 49 80.3%
No 12 19.7%

Interpretation:

Majority of people are satisfied but people have issues with the employees of their banks.

53
 12. About how long did you have to wait before speaking to a bank staff?

a) 5-10 min
b) 11-20 min
c) More than 20 min

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

5-10 29 47.5%
11-20 26 42.6%
More Than 20 Min 6 9.8%

Interpretation:

 From 61 respondents 47.5% people says they have to wait for 5-10 min before speaking
to bank staff.
 42.6% people says they have to wait 11-20 min before speaking to a bank staff.
 Rest 9.8% says they have to wait for more than 20 min before speaking to a bank staff.

54
13. About how long did it take to get your problem solved?

a) Less than one day

b) Between 2 to 3 days
c) Between 3 to 7 days
d) More than a week
PARTICULARS NO.OF RESPONDENTS PERCENTAGE
Less Than One Day 23 39.3%
Between 2 To 3 Days 27 42.6%
Between 3 To 7 Days 8 13.1%
More Than A Week 3 5%

Interpretation:

Majority of people says they get more than a week to get their problem solved.

55
 14. How many times did you have to contact customer service to get your problem solved?

a) Once
b) Twice
c) Three or more times
PARTICULARS NO.OF RESPONDENTS PERCENTAGE
Once 34 55.7%
Twice 21 36.1%
Three Or More Times 6 8.2%

Interpretation:

 From 61 respondents 55.7% of people says they have to contact customer service once to
get their problem solved.
 36.1% have to contact twice to get their problem solved.
 8.2% people have to contact customer service three or more times to get their problem
solved.

56
 15. Describe the number of instances, where bank staff was not helpful in dealing with a
complaint (monthly)

a) 1-3 times
b) More than 3 times

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

1-3 Times 51 83.6%
More Than 3 Times 10 16.4%

Interpretation:

 From 61 respondents 83.6% people says 1-3 times bank staff was not helpful for them
(monthly)
 16.4% people says more than 3 times in a month bank staff didn’t help.
 People have issues with employees of their bank.

57
 16. The most problem faced by you in your bank?

a) Delayed services
b) Indiscipline staff
c) Failure on commitments
d) Out dated technology.

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Delayed Services 42 68.9%
Indiscipline Staff 8 14.8%
Failure On Commitments 2 4.2%
Out Dated Technology 9 13.1%

Interpretation:

 From 61 respondents 68.9% people have faced problem of delayed services.

 14.8% people have faced problem because of indiscipline staff.
 13.1% people have faced problem of outdated technology.
 Rest people have problem because of failure of commitment of bank.

58
 17. State your frequency of transaction in the bank in a month?

a) 1-4 times
b) 4-10 times
c) More than 10 times
PARTICULARS NO.OF RESPONDENTS PERCENTAGE
1-4 Times 37 60.7%
4-10 Times 15 24.6%
More Than 10 Times 9 14.8%

Interpretation:

 From 61 respondents 60.7% people have transaction frequency of 1-4 times in a month.
 24.6% people have transaction frequency pf 4-10 times in a month.
 14.8 % people have more than 10 transactions in a month.

59
 18. Your bank provides separate enquiry counters for customers?

a) Yes
b) No

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Yes 47 77%
No 14 23%

Interpretation:

Majority of private banks provides separate enquiry counters for queries.

60
 19. Do you get prompt service whenever you visit to your bank?

a) Always
b) Sometimes
c) Never

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Always 23 37.7%
Sometimes 30 49.2%
Never 8 13.1%

Interpretation:

Majority of people get sometimes prompt service when they visit to bank.

61
 20. In future would you like to open another account in your bank?

a) Yes
b) No

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Yes 45 75.4%
No 16 24.6%

Interpretation:

Majority of people says in future they will open another account in their bank.

62
 21. Do you get proper alert sms from your bank?

e) Yes
f) No

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Yes 55 91.8
No 6 8.2

Interpretation:

Majority of people get proper sms alert from their Bank.

63
 22. Would you recommend this bank to anyone else?

a) Yes
b) No

PARTICULARS NO.OF RESPONDENTS PERCENTAGE

Yes 50 82%
No 11 18%

Interpretation:

Majority of people says they will recommend this bank to other people. Means majority of
people are satisfied with the bank.

64
 Chapter 5. CONCLUSIONS AND SUGGESTIONS

Findings

 People are totally satisfied with the service provided by the bank ( mobile banking
services , online services ,etc )
 People are satisfied with the service charges of the bank.
 Majority of people have issues with employees of the bank.
 Staff of the bank provides them delayed services.
 Employees are not very disciplined.
 People have issues with the employees.

65
 Conclusion

 Conclusion of this study is private Banks are doing their best in maintaining good
relationships with customers.

 People are satisfied with the services provided by their banks but people are not
satisfied with the employees of the bank, in my study I found that people have issues
with the employees.

 Employees of the banks are failed to maintain good relationships with the customers.

 Banks are providing best services but employees are failed to maintain good
customer relationship.

66
 Suggestions

 All private bank has to provide good training to their employees.

 Bank has to hire best employees.

 Bank has to be careful about relationships with the customers

67
 Bibliography

Websites:
 http://searchcrm.techtarget.com/definition/CRM
 https://en.wikipedia.org/wiki/Customer_relationship_management\\
 http://www.managementstudyguide.com/
 https://www.fivepaths.com/resources/six-elements-successful-crm-selection-
and-implementation
 https://www.nibusinessinfo.co.uk/content/potential-drawbacks-crm
 http://www.itinfo.am/eng/customer-relationship- management/#chapter9

BOOKS:

 Customer relationship management (2000) Stanley a brown

 Customer relationship management in Indian banking industry (2008) R.K.UPPAL

68
 APPENDIX

Relationship with bank

1. Name of your bank :

2. Experience with the bank :

a) Below 5 years
b) 6-10 years
c) 11-15 years
d) 15 years and above

3. Mention your type of account in bank :

a) Saving bank account
b) Current account
c) Fixed account
d) Loan account

4. What is your most suitable mode to connect with bank?

a) Going to branch physically
b) Mobile banking
c) Online banking

Opinion regarding service quality

5. Opinion on the service charges of your bank :

a) Very high
b) Moderate
c) Low

69
 6. Are you satisfied with the online service provided by the bank?
a) Yes
b) No

7. Are you satisfied with the mobile banking service provided by your bank?
a) Yes
b) No

8. Do you get ATM facility near to your home?

a) Yes
b) No

9. Are you satisfied with the limit of withdraw money through ATM
a) Yes
b) No

Opinion regarding bank staff

10. Employee of your bank gives answers properly of your questions?

a) Yes
b) No

11. Are you satisfied with your financial transaction with your bank?
a) Yes
b) No

12. Are you satisfied with the services provided by the employees of your bank?
a) Yes
b) No

70
13. About how long did you have to wait before speaking to a bank staff?
a) 5-10 min
b) 11-20 min
c) More than 20 min

14. About how long did it take to get your problem solved?
a) Less than one day
b) Between 2 to 3 days
c) Between 3 to 7 days
d) More than a week

15. How many times did you have to contact customer service to get your problem solved?
a) Once
b) Twice
c) Three or more times

16. Describe the number of instances, where bank staff was not helpful in dealing with a
complaint (monthly)
a) 1-3 times
b) More than 3 times

17. The most problem faced by you in your bank :

a) Delayed services
b) Indiscipline staff
c) Failure on commitments
d) Out dated technology.

71
18. State your frequency of transaction in the bank in a month?
a) 1-4 times
b) 4-10 times
c) More than 10 times

19. Your bank provides separate enquiry counters for customers?

a) Yes
b) No

20. Do you get prompt service whenever you visit to your bank?
a) Always
b) Sometimes
c) Never

21. In future would you like to open another account in your bank?
a) Yes
b) No

22. Do you get proper alert sms from your bank?

a) Yes
b) No

23. Would you recommend this bank to anyone else?

a) Yes
b) No

72