Integration of customer relationship management and service quality towards customer satisfaction leading to consumer intention to purchase banking products

Abstract

Organization especially banks have realized the importance of becoming customer oriented and therefore customer relationship management (CRM) and service quality (SQ) are seen to be very important factors affecting to the banking industry. Based on research studies, the scholars have done their research of the two factors separately. This study explores the need of the two factors namely CRM and SQ to be integrated in order to enhance customer satisfaction level leading the consumers’ intention to purchase banking products. In this study, six dimension are involved in CRM namely response, acquisition, knowledge, information system, value evaluation and information processing. For SQ, SERVQUAL five dimensions are used as part of the research study namely responsiveness, reliability, empathy, assurance and tangible. As for the customer satisfaction (CS) and consumer intention to purchase (CI) are merely depending on the overall result against the perception from the consumers. A total of 64 questions comprises of 7 demographic data, 57 questions were measured by 5 likert points scale to ascertain each level of CRM, SQ, CS and CI. These data was analysed using several tools such as mean score and hierarchical regression. The objective of this research study is to measure the perception of the consumers towards customer relationship management, service quality, customer satisfaction and consumer intention to purchase the banking product from the specific banking branch. Having that, another 3 of its objectives are (1) to determine the mediating effect of customer satisfaction on the relationship between the customer relationship management and consumer intention to purchase products in a bank, (2) to determine the mediating effect of customer satisfaction on the relationship between the service quality and consumer intention to purchase products in a bank, and (3) to determine mediating effect of customer satisfaction on the relationship between the integration of customer relationship management and service quality, and consumer intention to purchase products in a bank. Based on the finding results, all hypotheses were significant. Finally, this research purposes supports the ideas of the integration of customer relationship management and service quality gives the great influences to customer satisfaction, leading to greater desirous consumer intention to purchase banking products. The result of this research can be used by banks and future researchers in the issue relating to customer relationship management, service quality, customer satisfaction and consumer intention to purchase.