Research Article Open Access

CRM in Banking Sector with special reference to New Age Banks

Abstract

Customer Relationship Management is really much more a human function than a technology implementation. And while banks need to constantly orient their employees and vendors towards never losing focus of the customer, technology can be harnessed to enable the human aspect to function more effectively. Starting with building a comprehensive view of the customer, the first step begins with putting in place an Analytic CRM (A-CRM) framework - one that automates data capture across channels and during every contact with the customer. Central to the system is its ability to integrate data from multiple contacts made with a single customer for various product and service 1offerings. This would typically provide the bank with a birds-eye-view of the customer, his saving, spending and buying patterns. The next logical step is to use this 360 degree view of the customer, juxtapose it against predictive, descriptive modeling and forecasting techniques in order to zero in on the best way to reach a particular customer. For E.g.: A customer whose debit card reflects frequent travel is probably best reached on his hand phone as compared to a direct mailer sent to a residential address. Additionally the solution is also capable of performing market basket analyses to predict which customers will be good candidates for cross-sell opportunities. After analyzing demographics, purchase history and other significant data, it creates profiles of common customer behavior patterns basis which current as well as new customers can be approached with specific products rather than random ones. Another functionality of ACRM is segmentation and profiling which will typically allow a bank to identify specific segments within its customer base and design marketing strategies customized for these segments. The core theme of all CRM and relationship marketing perspectives is its focus on cooperative and collaborative relationships between the firm and its customers, and/or other marketing factors.

DR. SURESH CHANDRA BIHARI,MRINAL MURDIA

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