CUSTOMER RELATIONSHIP 1\{AI'IAGEMENT PRAC TICE S IN THE BANIilNG SECTOR IN KURUNbGALA DISTRICT

Abstract

Customers play a predominant role in service markfoing. Financial services pose a challenging and bear professional skill in designing product/services. Out of other financial service, banking is oldest and important financial service sector. Customer Relationship Management (CRM) has a massive influence in service sector, to win and hold customers for long term efficiency. In the early 90s the concept of relationship marketing was formally introduced into the field of service marketing. Banks found it more profitable to retain and reward the existing customers rather than running after new customers. The essence of CRM is to create customers and retain thern. Therefore, now banks emphasize on total customer satisfaction which indicates tliat the customer is satisfied and delighted with respect to using customer relationship management practices. Hence an attempt was made by the researcher in this study to examine the level of customer relationship management practices in the banking sector. Therefore, the aim of this study was to identify what extent do customer relationship management practices exist in the banking industry in Kurunagala district. Primary data that has been used for the study were obtained from the banking customers in Kurunegala district. Convenient sampling method was used to obtain 200 responses of customers. The collected data has been analyzed by using descriptir.e statistics. independent sample t test and analysis of variance (one-way ANOVA). Finally based on the findings of the study, it concludes that all the CRM dirnensions are at a moderate level. There was no statistically significant difference could be found for customer acquisition, customer response, customet knowledge, customer intormation system, customer value evaluation of CRM practice in the banking sector in Kurunegala district. At the same time, it shows that there is no significant difference in the level of customer relationship management practices among the banks in the Kurunegala district.