CUSTOMER RELATIONSHIP MANAGEMENT AND ITS RELATIONSHIP TO MARKETING PERFORMANCE OF SELECTED BANKS IN ADDIS ABABA

Abstract

In today‘s competitive business environment, organizations are in a constant race to increase profitability, retain current customers and gain new ones. Customer Relationship Management (CRM) is aimed at building a strong long-term relationship that keep customers coming back repeatedly. The purpose of this thesis was to assess customer relationship management and its relationship to marketing performance of selected banks in Addis Ababa. The purpose of the study was descriptive. The study adopted both quantitative and qualitative methods of research. The statistical population of this study includes three branches from each selected banks, Commercial Bank of Ethiopia, Dashen Bank and Awash International Bank. Purposive sampling techniques were used to select branches. In order to collect the data, a self-administrated questionnaire has been used. Reliability of this questionnaire has been examined through Crocbachs’ Alpha to examine and confirm reliability of the questionnaire. This value is 0.898 for my questionnaire that confirm its reliability. The spearman correlation and descriptive statistics were used to analyze the research question derived from the literature on Customer relationship management and marketing performance. The results of the study generally indicate that there is a positive relationship between customer relationship management and marketing performance. There is the need to evaluate and monitor the current strategies being implemented by the banks in order to reap its full benefits. It will also be necessary to involve customers when introducing these strategies so that the needed impact can be realized