The Influence of Internet-Based Customer Relationship Management on Customer Loyalty

Abstract

This research investigates the relationship between the marketing efforts of electronic customer relationship management (e-CRM) and loyalty in Hong Kong’s banking industry. A quantitative approach was employed, and 119 valid questionnaires were collected from 150 respondents. All the respondents are account holders of HSBC (the Hong Kong and Shanghai Banking Corporation Limited), the largest bank in Hong Kong. Reliability testing and multiple regression analysis were used to determine the relationships between various independent and dependent variables. The results suggest that all four e-CRM marketing tactics (direct mail, interpersonal communication, preferential treatment, and tangible rewards) play important roles in building customer relationships. There were also significant relationships between the e-CRM marketing tactics and customer relationship quality. The study also found that the latter has a positive impact on customer loyalty. The research results indicate that thorough implementation of e-CRM marketing efforts will heighten customer loyalty towards HSBC. Keywords: e-CRM, Customer Loyalty, Relationship Quality, Banking industry, Hong Kong To cite this document: Aris Y. C. Lam, Ronnie Cheung, and Mei Mei Lau, "The Influence of Internet-Based Customer Relationship Management on Customer Loyalty", Contemporary Management Research, Vol.9, No.4, pp.419-440, 2013. Permanent link to this document: http://dx.doi.org/10.7903/cmr.11095