EFFECT OF CUSTOMER RELATIONSHIP MANAGEMENT ON THE PERFORMANCE OF BANKING SERVICES IN GHANA

Customer relationship management is an issue that every company, large or small, must tackle. Customers are the life-line of every business and the growth of every business depends on the relationship the company has with its customers. This study examined the effect of customer relationship management (CRM) on some selected banks’ performance in Accra, Ghana. Factors used were based on the dimensions of CRM and how each of them affects the performance and retention of customers to the selected banks. Through a random sampling technique, a sample of nine banks (private, public and international banks) was considered for data collection and as a quantitative study, close and opened questions in the form of questionnaires were used as the main instrument for gathering data. Statistical package for social sciences (version 21) was used in running the outcomes of the study. Inferences were later drawn from Pearson’s correlation coefficient outputs based on which discussions of findings were made. A positive relationship was established among most of the dimensions with some having effect on the performance of the selected banks. Among the four dimensions considered, (Customer orientation, Knowledge management, Technology –Based CRM and CRM organization), customer orientation was identified as the dimension with the highest association with banks’ performance and customer loyalty.