The Role of Customer Relationship Management on Customer Loyalty among Selected Banks in Jos, Plateau State Nigeria: The Mediating Role of Positive Word of Mouth and Organisation Prestige
- April 13, 2022
- Posted by: RSIS
- Categories: Business Administration, IJRISS
International Journal of Research and Innovation in Social Science (IJRISS) | Volume VI, Issue III, March 2022 | ISSN 2454–6186
Olubayo John Popoola, Linus vem, Gambo Nanven Jephthah, Nanfa Kusa, Janet Onayi Emmanuel
Department of Business Administration, Faculty of Management Science, University of Jos, Plateau State, Nigeria
Abstract: The increasing competition and other challenges faced by banks in Nigeria have made it necessary for them to look inward so as to distinguish their individual services through Customer Relationship Management (CRM). The motivation of study to researcher is to examine the role of customer relationship management (CRM), positive word of mouth (PWM), organization prestige (OP) on customer loyalty (CL). Being a descriptive study, survey method is adopted for data collection. For data collection purpose, a questionnaire on the 5-point Likert scale was adopted and distributed among employees of banks. 390 questionnaires were administered and 360 respondents were recovered and using the partial least squares path modeling method (Smart PLS) analysis was used for the test of hypotheses. The result of the test of the first hypothesis shows that there is significant relationship between customer relationship management and customer loyalty. The test of the second hypothesis shows that there is a significant relationship between customer relationship management programme implementation and organisation prestige. The third hypothesis also affirmed that there is significant relationship between Customer Relationship Management (CRM) and Positive Word of Mouth (PWM). The forth hypothesis shows that good organisation prestige has significant impact on customer loyalty. The fifth hypothesis has slight contradiction and shows that positive word of mouth does not really has significant relationship with customer loyalty. In view of these findings, it was recommended, that banks should put good customer relationship management (CRM) in place in order to enhance their customers which are capable of having improvement in customer loyalty.
Keywords: customer relationship management (CRM), customer loyalty, positive word of mouth, organization prestige, bank, Jos. Paper type Research paper.
I. INTRODUCTION
Rapid changes in the competitive environment have forced enterprises to rethink the way they do business. The past decade has been associated with changes that transformed the entire business environment across the globe. The cutthroat competition, deregulation, increased monitoring, dynamic technological forces have shaped the way banks manage their businesses.
