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CRM IN THE BANKING INDUSTRY
In banking, that point where there is an exchange of a service with the customer and what goes on before, during or after that is what is referred to as the touch points. Going by this, the touch points can be endless depending on the context of a customer’s needs. The counter services, actual bank buildings, e-banking, physical print-outs, client service advisors, web-site, contacts by phone with the client service advisors, call-center, sponsoring, events, bank-cards all are examples of touch points.
There are endless ways to come up with data from customers that are varying in suitability but none can be completely exhaustive. Going by that, data has been acquired in the past and presently through what seems to be the two most popular ways. One is through IT which in itself has found out that it’s better for a bank when it’s customers are engaged with it especially through technology. The other is marketing (Semih Onut, Ibrahim Erdem, Bora Hosver, 2002). Through marketing, the bank will be able to have vital information such as buying. One will know what the customer wants by keeping a tally of what offers are selling fast or more. Also, banks will know whether there is production and marketing of products in other sectors through bank financing. Finally, market information is really pivotal to banks such as weather, price movements and political changes even from customers.
Banks should for example provide more platforms for digital interaction between them and their customers and it will be good for them as well to know what their clients need. Through this they can provide popular offers through marketing (Semih Onut, Ibrahim Erdem, Bora Hosver, 2002). CRM is a sound business strategy to identify the bank’s most profitable customer and prospects, and devotes time and attention to expanding account relationships with those customers through individualized marketing, repricing, discretionary decision making, and customized service-all delivered through the various sales channels that the bank uses. (Semih Onut, Ibrahim Erdem, Bora Hosver, 2002)
References
Semih Onut, Ibrahim Erdem, Bora Hosver. (2002). Customer RelationshipManagement in Banking Sectorand A Model Design for BankingPerformance Enhancement, retrieved from http://www.necsi.edu/events/iccs/2002/nap12_onutcrmiccs2002-2fixed.pdf
