Relationship Marketing and Customer Loyalty (In the banking sector)

Abstract

Relationship marketing always emerged as a great challenge for the banking sector, as it creates most competitive environment among its rivals. Previous studies emphasized a lot on customer satisfaction and value which to some extent plays a role in service marketing. This report explains how important is for the firm to create a long term relationship with its customers and what is its strategic implication. What sort of benefits it can generate from doing all this. Customers can be highly satisfied but still leave their Current banks. It is assumed that when the customer is completely satisfied, then loyalty towards the bank is strengthened. But still satisfaction not always leads to loyalty. The terminologies have impact on each other but do not target the same results. Another factor could be the variables used for conducting the research. Pakistani banking sector was focused and a detailed questionnaire survey helped to get them.