Impact of Customer Relationship Management (CRM) Strategies on Customer Retention in Commercial Banks in India
DOI:
https://doi.org/10.47672/ijbs.2884Keywords:
Customer Relationship Management (CRM), Customer Retention, Commercial BanksAbstract
Purpose: The aim of the study was to assess the impact of customer relationship management (CRM) strategies on customer retention in commercial banks.
Methodology: This study adopted a desk methodology. A desk study research design is commonly known as secondary data collection. This is basically collecting data from existing resources preferably because of its low cost advantage as compared to a field research. Our current study looked into already published studies and reports as the data was easily accessed through online journals and libraries.
Findings: The findings indicate that effective customer relationship management (CRM) strategies, such as personalized communication, loyalty programs, and customer engagement, significantly enhance customer retention in commercial banks. CRM practices foster stronger customer trust, satisfaction, and loyalty, leading to reduced churn rates and repeat business. Overall, banks that implement comprehensive CRM systems experience improved customer retention and long-term profitability.
Implications to Theory, Practice and Policy: Relationship marketing theory, the resource-based view (RBV) theory & social exchange theory may be used to anchor future studies on assessing the impact of customer relationship management (CRM) strategies on customer retention in commercial banks. From a practical standpoint, commercial banks should adopt a more customer-centric approach by leveraging data analytics to personalize products, services, and communication based on individual customer needs. From a policy perspective, regulatory bodies such as central banks should develop frameworks that promote customer-centric banking practices and ensure high standards of service delivery.
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Copyright (c) 2026 Sania Mirza
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