Ali Sanayei - Assoc. Professor at Faculty of Administrative Sciences&Economic, University of Isfahan
Mahmood Gholami Karin - University of Isfahan

In third millennum CRMmight be the hottest topic in business world . CRM is an in tegrated approach to managing relationships by focusing on customer retention and relationship development . Companies that successfully im plement CRM will reap the rewards in customer loyalty and long run profitability. The goal of this article is to provide a high level insight of the fundamental principles behing CRM.This paper begins with the basic concepts of CRM, elaborates the characteristics and reviews it brief history . Specifically , we review the studies conducted in different countries on examination the influence of a CRM on quality of relationship between customers and their main provider of banking services. in this paper we compare the overal relationship quality between those businesses that are assigned a CRM to those who are not and analysis two New Zealand banks one that has implemented their CRMstrtegy successfully and one that has encountered problems . this case analysis leads to recommendations regarding the execution of CRM strtegy . Finally, points out pros and cons of CRM.

Customer Relations , Banking , Relationship Marketing