Rationale of the study

CRM is a sound business strategy to identify the banks most profitable customers and prospects,
and devotes time and attention to expanding account relationships with Banking Industry in India
has undergone a rapid changes followed by a series of fundamental developments. Those
customers through individualized marketing, re-pricing, discretionary decision making, and
customized service-all delivered through the various sales channels that the bank uses. Under this
case study, a campaign management in a bank is conducted using data mining tasks such as
dependency analysis, cluster profile analysis, concept description, deviation detection, and data
visualization. Crucial business decisions with this campaign are made by extracting valid,
previously unknown and ultimately comprehensible and actionable knowledge from large
databases.

Statement of the Problem

Business is done at the speed of thought, the real challenge for the future lies in anticipating the
demands of the new age and providing sustainable solutions. CRM strategy must cover all the
market segments such as retail customers, Indian corporate sector, trade and agricultural sector
for their banking requirements. The banks must adopt e-CRM Customer-centric focus
approach, as it is believed that products should be devised for the customers and not the other
way around.
Banks must build their brand image in assuring customers about the safety of their money and
security of transaction on the Net. Moreover, CRM based alone on Internet will seems to be a
wrong strategy for banks in India. Jose Fonellosa of Spain BBVA, which acquired first e-CRM,
says internet is at best a zero sum game for banks. For high end products, customer cannot only
rely on e-banking. For social interactions, people would like to visit their traditional brick and
mortar branches.
Thus Customer Relationship Management is essential to compete effectively in today's
marketplace
The more effectively you can use the information about your customers to meet their needs the
more profitable you will be. Operational CRM with the help of analytical CRM with predictive

data mining models as its core provides the business a cutting edge to maintain and enhance
relationship. The path of a successful business like HDFC Bank and innumerable other
corporations and organizations is build on data mining as the guiding factor.

Future direction for further research

Customers are the focal point in the development of successful marketing strategy. Marketing
strategies both influence and are influenced by consumers affect and cognition, behaviour and
environment. In the banking field a unique Relationship exists between the customers and the
bank. But because of various reasons and apprehensions like financial burdens, risk of failure,
marketing inertia etc., many banks are still following the traditional ways of marketing and only
few banks are making attempts to adapt CRM.
The lack of understanding on Customer Relationship Management (CRM) is always a concern
among the service providers especially banks. Banks have their own way of managing their
relationships with the customers. However, the perception of customers on CRM practices
among banks should also be taken into consideration.
CRM is an inevitable tool of marketing that can be considered as Critical Responsibility of
Market with regard to Banks in present context.