New Literature Review
New Literature Review
New Literature Review
PREFACE
Customer Relationship Management (CRM) as a subject has
attracted much of researchers and practitioners. Customer
Relationship Management (CRM) has been one of the most talked
subjects recently in corporate circles. It is a strategy used to learn
more about customers needs and behaviors in order to develop
stronger relationships with them. Over all good customer
relationships are at the heart of business success. Since last few
decades the concept of CRM has been a core concept which have
attracted all facets of business relevant to the applications in
service business.
Resultantly CRM is the strongest and the most efficient
approach in maintaining and creating close relationship with
customers in the service sectors particularly in hotels. Moreover,
effective CRM implementation will attain to increased revenue from
business through the acquisition of new customers and retaining
existing customers reduce operative cost of hotel business,
increased customer satisfaction and ensuring that long term
profitability and sustainability.
Accordingly, CRM will be ideally suited to the hotel industry,
especially when implementing it successfully and effectively, taking
into our account that hotels receive a lot of data about customers.
Such data can be transformed into useful knowledge about them.
Keeping in view the growing importance of CRM in service
sector of the country especially in hotel industry. This research
primarily aim to examine the effect of CRM practices on the
customer retention and customer loyalty with reference to the hotel
industry in Madhya Pradesh.
In order to attain the primary objective of the research, this
research aims to analyze the relationship of CRM practices on
customer retention in hotel sector. Further this study examines that
the impact of CRM practices on customer loyalty and customer
retention in the hotel sector. Field survey will be conducted with the
help of questionnaire and the responses will be collected from hotel
services provider. Multi stage sampling technique will be adopted to
select sampling area. This research will focus various aspects of
CRM practices like customer relationship upgrading capability,
customer oriented strategies, customer value, customer interaction,
management practices, customer contact programmes and use of
technology in CRM.
STUDIES
ABOUT
FACTORS
RELATIONSHIP MANAGEMENT
OF
CUSTOMER
relationship
with
customers
through
information
enduring
relationship.
The
findings
revealed
that
the
Relationship
Management
(CRM)
strategy
to
its
individual
customer
is
transformed
into
customer
STUDIES
ABOUT
STRATEGIES
RELATIONSHIP MANAGEMENT
OF
CUSTOMER
In
this
respect,
the
following
article
highlights
the
CRM
maintenance.
Biswa, Bhallachayay and Ghose (2010) in the article focused on the areas
of problems and perspectives of marketing of banking services.
They highlighted the major challenged Indian banks have to face
and the role of banks in relation to customer satisfaction. They
concluded that banking in the mineties required new market oriental
service with a disciplined, dedicated, professional and committed
manpower
specialized
bank
branches
and
strong
marketing
organization.
Farrance (2009) in his article discusses the demand-side changes,
stimulated by higher levels of consumer awareness and
sophistication, have been combing with supply-side changes, mainly
induced by legislation, to create a difficult climate for banks. They
find themselves competitively disadvantaged, particularly in cost
terms, against the building societies. The article also explains the
difference in the way in which consumers perceive banks and what
they expect from banks and suggests that relationship banking may
offer a way forward but this requires a better understanding of
marketing, organizational flexibility and a clear customer focus.
Sudhir Sharma (2008) in his study highlights on this paper is customer
relationship, banking industry, development of CRM steps taken by
the banks to improve the CRM, customer retention and customer
selection. His authors conclusion is that paper on banking industry
is concerned, excelling and managing customer relationships will be
the future of this industry as customer focusing is not to be viewed
just as a business strategy but it should become a corporate
mission. Unless this mission percolates throughout the organization
at all levels, the chances are that the attempts to address customer
issues will receive only lip sympathy. Building value for customers
and building shareholders value the challenge for banking industry
in India should be treated as two faces of the same coin in the area
of people (changing their beliefs and attitudes), technology and
quick adaptation in CRM.
management
and
technology
based
CRM.
Future
researcher studies should collect time series of data for the testing
of the casual relationship between CRM and business performance.
Alok Mittal, Jayant Sonwalk and Akhilesh (2003) the paper aimed to
explore the aspect of CRM orientation among bank employees of
both public and private sector banks. The findings of the research
highlighted that there is need for improvement on some of the
components of CRM such as customer communication, orientation,
10
interacting
with
customers
and
customizing
your
11
orientation
which
is
the most
important
long-term
12
barriers,
These
improving
changes
information
influence
flow
and
effectiveness
of
work
an
13
exchanges
that
takes
place
through
the
and
sustained
over
different
levels
of
customer
14
outperformed
non-out
performed
internet
banks
in
15
personal
interaction
though
they
expressed
their
16
The findings of the study revealed that the nationalized banks and
co-operative banks need to improve on reducing the overall time
taken to complete banking transaction. Comparatively, the private
and foreign banks take much lesser time for completing their
transaction. The nationalized banks and co-operative banks need to
increase the use of information technology and CRM to deliver
standardized customer-specific banking service to its target
customers.
Aggarwal, Aggarwal and Sharma (2000) explore the implementation
technique of Activity- Based Costing (ABC) in the banking sector on
the
example of an Estonian bank in order to analyze the cost structure
for traditional and electronic channel transactions. The article shows
how it is possible to implement ABC in banking and proves
empirically those electronic channels help reduce the cost of both
banks and their clients.
Versha Mehta and Alka Sharma (1999) in their research paper find out the
conclusion on it can be said that the banking technology in the
years ahead is going to have a lot of impact on customer service
and profitability of the organization. It would not be incorrect to say
that in the coming century the banking industry would be presented
by the pyramid which will rest of three stones viz 1. Technology 2.
Productivity and 3.Service. To raise productivity as well as to enable
the banking system to cope up with increasing complexities, there is
an
urgent
need
to
introduce
new
work
technologies.
Notwithstanding the phenomenal growth of the banking industry
with industry during the last 16 years, it has been almost remained
insulated from technological upgradation. Give the magnitude and
complexity of task before the banking system, a degree of
mechanization is called for to improve not only customer service,
housekeeping and control by bank head offices over branches but
also to enable better policy formulation through quicker availability
of information.
Egland (1998) conducted the first important study that estimated the
number of U.S. banks offering internet banking and analyzed the
structure and performance characteristics of these banks. They
have found no evidence of major differences in the performance of
the group of banks offering internet banking activities compared to
those that do not offer such services.
Booz Allen Hamilton (1997) conducted a global survey covering 386
retail and corporate banking institutions in 42 countries to assess
the strategic impact of internet banking on the financial service
industry. According to the study, there is a huge perception gap
17
18
19
20
21
22
23
RESEARCH GAPS
It has been found after reviewing the related literature that
CRM
as
subject
has
attracted
much
of
researchers
and
24
BIBLIOGRAPHY
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26
Singh (2008),
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Center
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Hasan, I., (2002). Do Internet Activities Add Value? The Italian Bank
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Janice, David and Dennis (2002), Click and Mortar of Retail Banking
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of
Customer
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Journal
as
30
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(1997),
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Customer
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