International Journal on Customer Relations

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Discriminating Customers through Practices of CRM with the Application of Discriminant Function Analysis


Affiliations
1 Department of Business Administration, M.S.S. Wakf Board College, Madurai, Tamil Nadu, India
2 Post Graduate and Research Department of Commerce, Ayya Nadar Janaki Ammal College, Sivakasi, Tamil Nadu, India
     

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Customer Relationship Management (CRM) is a broad concept for retaining, creating and expanding customer relationships in banking sector. The overall strategy of relationship marketing is to effectively manage the customers of the organisation. CRM enables to anticipate, understand, manages, and personalises the requirements of customer. Today, many business organisations such as insurance companies, banks and other service providers realize its importance. They also understand the potential of CRM which help them to attract new customers and retain existing ones which maximize their lifetime value. The current marketing scenario the CRM viewed as the process of acquiring customers with understanding their needs, wants and demands. The specific strategy of CRM approaches is find the current expectation and requirements of new customers in segmented market. It is also a process which invites total commitment on the part of the entire organisation regarding relationship strategies. So the researcher has taken to the study discriminating customers through practices of CRM with the application of discriminant function analysis. For the empirical investigation the data collected from 384 respondents through self administrated questionnaire. In order to cluster the respondents on the basis of CRM practices discriminant function analysis employed. The result of DFA (Discriminant Function Analysis) customer knowledge dimension is the best predictor for evaluating the CRM practices in banks.

Keywords

Customer Relationship Management, Banks, Discriminant function analysis, Relationship Marketing, Customer Satisfaction, CRM Practices.
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  • Discriminating Customers through Practices of CRM with the Application of Discriminant Function Analysis

Abstract Views: 390  |  PDF Views: 0

Authors

Sheik Sulaiman Sheik Abdullah
Department of Business Administration, M.S.S. Wakf Board College, Madurai, Tamil Nadu, India
Rahumathulla Mohammed Abubakkar Siddique
Post Graduate and Research Department of Commerce, Ayya Nadar Janaki Ammal College, Sivakasi, Tamil Nadu, India

Abstract


Customer Relationship Management (CRM) is a broad concept for retaining, creating and expanding customer relationships in banking sector. The overall strategy of relationship marketing is to effectively manage the customers of the organisation. CRM enables to anticipate, understand, manages, and personalises the requirements of customer. Today, many business organisations such as insurance companies, banks and other service providers realize its importance. They also understand the potential of CRM which help them to attract new customers and retain existing ones which maximize their lifetime value. The current marketing scenario the CRM viewed as the process of acquiring customers with understanding their needs, wants and demands. The specific strategy of CRM approaches is find the current expectation and requirements of new customers in segmented market. It is also a process which invites total commitment on the part of the entire organisation regarding relationship strategies. So the researcher has taken to the study discriminating customers through practices of CRM with the application of discriminant function analysis. For the empirical investigation the data collected from 384 respondents through self administrated questionnaire. In order to cluster the respondents on the basis of CRM practices discriminant function analysis employed. The result of DFA (Discriminant Function Analysis) customer knowledge dimension is the best predictor for evaluating the CRM practices in banks.

Keywords


Customer Relationship Management, Banks, Discriminant function analysis, Relationship Marketing, Customer Satisfaction, CRM Practices.

References