BULE HORA UNIVERSITY

COLLEGE OF BUSINESS AND ECONOMICS

DEPARTMENT OF MARKETING MANAGEMENT

ASSESSEMENT OF CUSTOMER RELATIONSHIP MANAGEMENT, IN

CASE OF ABYSSINIA BANK, BULE HORA BRANCH

A RESEARCH OF SENIR ESSAY PAPER SUBMITTED IN PARTIAL

FULFILMENT OF THE REQUIREMENT FOR THE DEGREE OF
BACHELOR OF ART IN MARKETING
MANAGEMENT

2. GEMECHU JIMA

MAY, 2024
BULE HORA, ETHIOPIA
ADVISOR’S APPROVAL SHEET
This is to certify that the senior essay project entitled with “Assessing Customer Relationship
Management, In Case of Abyssinia Bank, BULE HORA Branch”. Submitted in fulfilment of
the requirement for the degree of Bachelor of Arts in marketing management, Under Graduate
program in college of business and economics, and have been carried out By Bekalu Hab-
tamu and Gemechu Jima under my supervision. Therefore, I ensured that the students has
fulfilled the requirements and submit the project to the department.

………………..................... ……………. ……………

Name of advisor Signature Date

i
EXAMINER’S APPROVAL SHEET
As members of the final Bachelor degree open defense we certify that we have read and evalu-
ated the project work prepared by Bekalu Habtamu and Gemechu Jima with the title “As-
sessing Customer Relationship Management, In Case of Abyssinia Bank, BULE HORA
Branch “and recommended that it can be accepted as fulfilling this requirement for the degree
in marketing management.

……………………. …………………. …………………

Name of chairperson Signature Date

………………………… ………………… ………………..

Name of internal examiner Signature Date

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Declaration
We declare that this research project is our original work and that all sources of materials in
the research project have been duly acknowledged. The matter embodied in this research
project work has not been submitted earlier for award of any degree or diploma to the best of
our knowledge and belief.

Name signature date

1………………………………

2………………………………

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Acknowledgement
First of all we would like to say thanks for our almighty God, for his priceless support in our
life. We would like to express our deepest gratitude to Instructor Bedilu Y. for his unlimited
support, advice & insight full commitment in preparation of this research paper. We would
also like to thank all persons who support us in the preparation of this paper including retailers
of Bule hoara+ city who gives us the relevant information or data respondents. Finally, our
sincere gratitude goes to our family for their unlimited financial support and other.

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Abstract
The study is conducted on assessing customer relationship management in case of Abyssinia
bank BULE HORA branch. The major objective this study is to assesses customer relationship
management and to identify the importance of customer relationship management in
Abyssinia bank, BULE HORA branch to keep (retain) its customers loyal. The respondents to
the study is both employees and customers of Abyssinia bank BULE HORA branch. all the
necessary data for the accomplishment of the study would collected through primary source of
data, from published documents and from internet .The primary data would collected through
distributing questionnaire from employees and customers. The sampling method is judgmen-
tal and conveniences for employees and customers. The result of data would organized and an-
alyse by using mean percentage and method through tabulation; finally the better, supposed
conclusion and recommendation is give on each problem identified from the enquiry the re-
searcher have found that, even though majority of the clients of the Bank are satisfied by the
service rendered by the Bank, they are not use Right technology to serve Customer.

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Table of Contents
LIST OF TABLE ………………….……………………………………………………………………i

ADVISOR’S APPROVAL SHEET..............................................................................................i

EXAMINER’S APPROVAL SHEET.........................................................................................ii
Declaration..................................................................................................................................iii
Acknowledgement......................................................................................................................iv
Abstract........................................................................................................................................v
CHAPTER ONE..........................................................................................................................1
1. INTRODUCTION...................................................................................................................1
1.1 Back ground of the study...................................................................................................1
1.2 Statement of the problem...................................................................................................2
1.3 Research Questions............................................................................................................2
1.4 Objective of the Study......................................................................................................3
1.4.1 General objective.........................................................................................................3
1.4.2 Specific Objective........................................................................................................3
1.5. Significance of the study...................................................................................................3
1.6 Scope of the study..............................................................................................................4
1.6.1 Geographical Scope.....................................................................................................4
1.6.2 Conceptual Scope:.......................................................................................................4
1.6.3 Mythological Scope.....................................................................................................4
1.7 Limitation of the Study......................................................................................................4
1.8 Definitions of key terms.....................................................................................................5
1.9 Organization of the study...................................................................................................5
2. LITERATURE REVIEW........................................................................................................6
2.1 Definition of customer relationship management and customer loyalty............................6
2.1.1 Why does organization need and undertake customer relationship management.......7
2.1.3 Benefits of customer loyalty........................................................................................9
2.1.4 Customer Relationship management in banking industry...........................................9
2.1.5 Importance of customer relationship management....................................................10
2.1.6 Challenges of CRM in the bank................................................................................11
CHAPTER THREE...................................................................................................................12
3. METHODOLOGY................................................................................................................12

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 3.1 Description of the study area............................................................................................12
3.2 Research design................................................................................................................13
3.2 Target population and sample size...................................................................................13
3.2.1. Target population......................................................................................................13
3.2.2. SAMPLE SIZE.........................................................................................................13
3.3. Sampling method/Technique...........................................................................................13
3.4 Types/source of data.........................................................................................................14
3.5 Data collection..................................................................................................................14
3.6 Data analysis....................................................................................................................14
Chapter four............................................................................................................................15
4 Data Analysis and Interpretation.........................................................................................15
Table 4.1: Response rate........................................................................................................15
Table 4.2 Demographic back ground of the respondent......................................................15
Table 4.3 Analysis questionnaires of Employee....................................................................16
Table 4.4 Demographic data of customer..............................................................................18
Table 4.5 Response for satisfaction measuring point from customer view...........................20
Table 4.6 General analysis of satisfaction..............................................................................21
Table 4.7 Service effectiveness measuring from customer point view...................................22
Table 4.8 General analysis of Service effectiveness..............................................................23
Table 4.9 Response for service efficiency measuring point from customer view.................23
Table 4.10 General analysis service efficiency..................................................................25
Table 4.11 Response for communication measuring point from customer view................25
Table 4.12 General analysis Communication.....................................................................27
Table 4.13 Response for loyalty measuring point from customer view.............................27
Table 4.14 General analysis of loyalty...............................................................................28
Chapter five............................................................................................................................29
5 Summary, conclusion and recommendation.......................................................................29
5.1 Summary of major finding...........................................................................................29
5.2 conclusions...................................................................................................................31
5.3 Recommendations............................................................................................................32
REFERENCE.............................................................................................................................33
Appendix 1.............................................................................................................................34

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Appendix 2.............................................................................................................................38

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 CHAPTER ONE

1. INTRODUCTION
1.1 Back ground of the study
Customer relationship management is the functional head of relation marketing of much
organization. Customer relationship management (CRM) is about gathering information that
essential to serve customers in a better way.

In servicing company like bank, CRM brings a wide organizational change process and result
improved profitability of the organization by retaining and customers attracting new
customers; organizations like banks cannot meet its goal without efficient and effective
implementation of CRM.

The core theme of all CRM and relationship perspective is its focuses on a cooperative and
collective relationship between the firm and its customer and other marketing sector.
Divyerschurr and Oh (1987) has characterize such cooperative relationship as being
interdependent and long term oriented rather than being concerned with short term discrete
transaction. Customer relationship management is the overall process of building and
maintaining profitable customer’s relationship by delivering superior customer value. (Philip
Kotler and Armstrong). Previously marketing efforts had been directed majority at going new
customer. However, with increase completion and low customer switching cost, building
customer loyalty is now critical goal for organizations (Johnson et al, 2004).

The key to building customer relationship is to create to superior customer value and
satisfaction. In their view, Kotler and Armstrong (2008) satisfied customer likely to be loyal
customer and to give the company a larger share of their business. Targeting and retaining the
right customer is at core of many successful business firms.

Another important facet of CRM is “customer selective” as several researcher have shown not
all customer are equally profitable for an individual company. In fact, maintaining an effective
CRM is a big issue in banking services therefore the research conduct above by different
people and authors is not much study on impacts of CRM on customer loyalty this is the

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reason that inflate the researcher to conduct on the topic” Assessing CRM in Abyssinia Bank,
Bule hora branch”.

1.2 Statement of the problem

The ultimate objective of all customer relationship management is to make customer happy
because they are the blood supplier of any business especially in financial industries.

Customer relationship management is the core business strategy that integrates internal
process and external network to create and deliver value to target customer to a profit. CRM is
expanding more in the world’s different sectors profit in awes determined manner. If we take
market oriented services provider are not focusing on single transaction with customers. Their
main objective is setting developing and maintains relationship with customer. In some
situation it may also mean that relationship is end for instance when the services provider
cannot meet customer demands any longer dissatisfy faction of customer are mostly clear
through the complaint they make about services provision.

The bank industry is facing with many problems due to the failure of having smooth
relationship with its customer. Based on this fact we assess the CRM of the bank. Thus the
researcher is go to assessing this and other problem by raising different questions to the
customer in the study area. The formation process of CRM refers to the decisions regarding
initiation of relation activities for affirm with respect to specific group of customers or to an
individual customer with whom the company wishes to engage in cooperative or
collaborative relationship.( Cf. Darer (2011, p. 7), Saturator and Benat2018, pp. 251f).

1.3 Research Questions

Based on the above argument the study would design to answer the following research
question.

 Is the customer well satisfied with customer relationship management practice of

services provider (bank)?
 What importance would bring this system for the concerned company?
 Does the bank have service efficiency?
 Does the bank have service effectiveness?

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  Does the bank have effective communication?
 Does the bank have loyalty customers?
 Were levels of the bank customer satisfaction?

1.4 Objective of the Study

1.4.1 General objective

The general objective of the study is to assess the practice of customer relationship
management in, Abyssinia bank Bule hora branch.

1.4.2 Specific Objective

 To identify the different measure, the bank use to make customer loyal
 To find out how the bank handles its customer loyal to measure the satisfaction of
customers
 To know customer satisfaction level on Abyssinia bank
 To assess the level of customers’ loyalty on the service of Abyssinia bank
 To asses Abyssinia bank service efficiency level of from customers’ point of view
 To see Abyssinia’s bank service effectiveness from customers’ point of view
1.5. Significance of the study
The organization use this research to identify its strength and weakness, for the customers,
after this study being concluded the study is provide the solution for their problem, for the
researcher, it develop the knowledge that the researcher have towards the issue and gain
different experience of undertaking the study, for other researcher who are engaged in
searching the information related to customer relationship management can use this research
paper as a source of information after it is completed.

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1.6 Scope of the study
1.6.1 Geographical Scope
The study assessed branches of Abyssinia bank that are found only in bule hora having higher
grade (Grade I) per the Bank`s branch rating scheme. This limits the realm of the study by
discriminating those branches of Abyssinia Bank found in outlying areas and those in bule
hora but with lower grades.

1.6.2 Conceptual Scope:

The study has also assessed the level of CRM`s application in the Abyssinia bank only from
four dimensions that are derived from the reviewed CRM related literatures. Namely these
dimensions are key customer focus, Knowledge management, CRM organization and
technology- based CRM.
1.6.3 Mythological Scope:
The study used quantitative in course of researching both primary and secondary data was
used. With regard to the secondary sources various publications, books and journals‟
regarding the subject matter was addressed and population of the study Abyssinia Bank in bule
hora branches and to Achieve the objective of the study well design structured questionnaire
were distributed among the study respondents selected on purposive sampling basis

1.7 Limitation of the Study

Difficulty to generalize the exact finding for total population. While the randomness of the
selection process ensures the unbiased choice of the subject it, cloud also by chance leads to
the assembly of a sample, which does not represent the population well.

The following are some limitations

 Some of the customers and respondents were be not willing to fill the questionnaire
 Lack of experience to conduct the research
 Lack of budget
 Shortage of time is also may can be another limitation

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1.8 Definitions of key terms
Customer Relationship Management (CRM): CRM can be defined as “the development and
maintenance of mutually beneficial long-term relationships with strategically significant
customers” (Buttle).

Customer relationship management: is the overall process of building and maintaining

profitable customer relationships by delivering superior customer value and satisfaction. It
deals with all aspect of acquiring, keeping and growing customers.

Customer: A customer (also known as a client, buyer, or purchaser) is the recipient of a good,
service, product, or idea, obtained from a seller, vendor, or supplier for a monetary or other
valuable consideration. (Jim).

Customer value and satisfaction: the key to building lasting customer relationships is to
create superior customer value and satisfaction.

Customer value: the customer’s evaluation the difference between all the benefits and all the
costs of the marketing offer relative to those of competing offers.

Customer satisfaction: the extent to which a products perceived performance a buyer’s

expectation. Most studies show that higher level of satisfaction lead to greater customer
loyalty, which in turn results in better company performance.

Customer relation: Customer relation is a broad term used to describe customer service and
the general interactions between a company and its constituents. (ehow.com)

1.9 Organization of the study

The paper contains the following chapters: -chapter one deals about the introduction part and
background of the study, statement of the problem, objective of the study, significant of the
study, limitation of the study, scope of the study and organization of the paper. Chapter two
discuss with review of the related literature. Chapter three deals with methodology of the
study and chapter four discuss data analysis and interpretation. Finally, based on the finding of
the study summary, conclusion and recommendation was presented on chapter five.

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 CHAPTER TWO

2. LITERATURE REVIEW
2.1 Definition of customer relationship management and customer loyalty
Different authors define customer relationship management in different way. Some of this is
listed as follows. CRM is the precious of building and maintain profitable customer
relationship management by delivering superior customer value and satisfaction and involves
artfully managing customer touch point to maximize customer loyalty or its strategy, process
and enabling technology that allow organization on to acquire and reaction its best customer
(Philip Kotler, 12th edition).

Customer relationship is corporate wide approach to understand customer behaviour inflating

through continues relation communication and developing long-term relationship to behave
customer loyalty acquisition, retention and profitability (www. Wikipedia. Com (CRM).

CRM has an essential and vital function of customer oriented marketing responsible for
gathering and related information about customer in order to provide effective services
(Kuwanon, 2013). It is also modes for managing a company interaction with current and future
customer (kettle, 2006).

“All business is based on relationships” The firm only has to make them visible and
meaningful for it provided that the customer wants them ( Grunrocu, 2007,p.23) customer
relationship management is the overall process of building and mantling profitable customer
relations by delivering superior or value and satisfaction (Kotler and Armstrong,
2006.p.13)CRM is an attempt to modify customer behaviour over time and strange then eth
bond beseech the customer and the company with the purpose of maximizing the value of
eh relationship to customer for the customer benefit and the company s benefit. CRM could
enhance a company’s ability to a chive the ultimate goal of retaining customer and gain
strategic advantage over it competitors. CRM allows organization to distinguish between
customer that are profitable, nearly profitable, and unprofitable and have the potential to be
portable (Bull, 2003).

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The customer awareness of organization customer relationship could raise their loyalty toward
the corporation which would in turn increase company income enhance market share and
achier other corporatize objectives (Hirsch and Li.2008).

2.1.1 Why does organization need and undertake customer relationship management
The purpose of customer relationship management like any organization initiative is to
increase profit. In case of customer relation this achieved mainly be providing customer
relationship management capability would also reduce cost ways tango and complaints
effective CRM also reduce staff stress because a major cause for street reduce as services and
relationship improved (Ellen Gifford d 2002).

Achieving Good CRM

Achieving good CRM requirement organization to adopt new prospective. Ellen clarity as
follows. Consider the following Traditional custom is something house does to the customer.
Modern CRM in does with the customer. The second statesman is emphasizing the big
difference between conventional traditional services and he modern progressive CRM
approach your relationship with customer should be on going cooperative and built for long-
term organizations who have many transitory relations with customer the cost of keeping
existing customer is a tiny fraction of cost of acquiring new customer (Ellen G. 2002)

Creating customer loyalty and retention: good customer relation management creates
customer delight, in turn delighted customer remain loyal and talk favourably to others about
the company and its products.

Customer loyalty

There is still no universal agreement to definition of loyalty. However, researchers have

agreed that customer loyalty les two dimension behavioural and attitudinal dimensions
(Scotland and segued 2004).

Behavioural loyalty

Behavioural loyalty is customer overly behaviour tow and a specific product /services in
terms of repeat purchasing pattern a repeat purchasing paten. It can be determined as actual
purchase frequency his portion of occasion in which specific brand is perhaps as compared to

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the total number of purchase behaviour of a business can successfully achieved repurchase
behaviour then it is one way to generating customer loyalty (Get al 2008)

Attitudinal loyalty

Researcher widely agrees that the more measurement of repast purchase does not capture the
whole meaning of loyalty. Some schools rogue that behavioural loyalty (Repeat purchase
alone is too simplistic and ode not capture the multidimensional of loyalty (Kumar and shah
2004). attitudinal loyalty represents a high order or long term commitment of cist per, to the
organization that cannot be inferred by merely observing

Customer repeat purchase behaviour. This as often result as an outcome of a long fruitful
relationship between the organization and the customer over the time (Kumar and shah 2004)

Van looyet et al (2003.p.59) putting into consideration both behavioural and attitudinal aspect
of loyalty defined customer loyalty as customer behaviour characterized by apposition buying
pattern during an extended period (measured by means of repeat purchases frequency of
purchase) and derive by positive attitude towards the company and its product or services.
The consideration of attitude in addition to behaviour representation makes loyalty nor just
richer conceptually loyalty is a process to just repression make locality not just richer
concretely (loyalty is a process both just an act) a but also more useful for particular process
(pick and base 1994)

The need for integrated marketing communication:

The shift toward a richer mix of media and communication approaches poses a problem for
marketers. Consumers today are bombarded by commercial messages from abroad rang of
sources.in the consumers mind message from different media and promotional approaches all
become part of a single message about the company .conflicting messages from these
different sources can result in confused company images, brand positions, and customer
relationships, there for to cope with these problem and to create good and strong CRM
integrated and organized marketing communication is vital. FASIKA, Z. (2018).

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2.1.3 Benefits of customer loyalty
Customer loyalty generates numerator benefits. According to Rowley (2005) as table
customer base is a core business asset that enables improve organizational profitability
cadherin and Holbrook 200) suggest that a high customer loyalty impels a higher market
share and an ability to demand relatively a higher price compared otiose conations loyal
caster are chapter to serve less price sensitive fortes positive word of mouth promotion.

2.1.4 Customer Relationship management in banking industry

Today many businesses such as bank insurance companies and other service provider realizes
the importance of CRM and its potential to help hem acquire new customer retain the existing
ones and their life time value. on net etal (2007) organs that CRM is a business strategy of
identifying the banks most profitable customer and prospects and devotes time and attention
to expanding accent relationship with those customer through individualized orating and
customized cervical all delivered through the various sales channels that the bank uses.
GEBRE, B. (2014).

The banking industry is facing an increasing level of completion around the world as the
dynamics of the business change bank have understand the need to capitalize on new
technology to gain advantage in the competition by exploiting their customer base, brand
value and costly infrastructure investment in order to increase profit as there is direct link
between the customer satisfaction and profitability. However, the banks face challenge in
implementing customer relationship management in Ethiopian case includes
 lack of skilled people
 quality of customer data
 using customer data more intelligently
 using right technology (onset al 2007)
Today’s banking institution are undergoing tremendous revolutionist scoop to wok due
mainly to compaction and product diversification among the ascots in the industry (odure
Songhai et al 2009) financial institution are restructuring to fund only those are competencies
that are key to their profitability and loge tern survival. Managing relationship with their
customer especially with employee’s channel partners and strategic alliance partners is
critical to eh furnish long- term success (Beckett cameraman, camera and Barker 1998). CRM

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based on social exchange and equity significantly artists the firm in developing collaborative,
cooperative, and long term relationship (Beckatettcomaratet al 1998).

CRM from Bank industry prospective is a sound strategy to identify the banks most profitable
customer and prospects, and due toes time and attention to expanding account relationship
with those customers through individualized marketing retracing discretionary decision
making and customized service all delved through the various sale channels that the bank
uses (smith and Ibrahim ,1997). The ability to disunity profitable customer and the customize
marketing one basis of customer value has enabled many banks to punch above their weight
in two days competitive environment (Bewket Camarataetal 1998).

2.1.5 Importance of customer relationship management

Customer relationship management enables the bank industry or any organization to provide
excellence real-time customer services through the effective use of individual account
information. Based on what they know about each value customer, companies can customize
market offerings, services, programs messages and media (Kotte, 2003).

Gifford (2002) states that there are significant business benefit derivable forms an integrated
customer relationship managing approach. This include reduce cost because the Reith things
are being done increases customer satisfaction because have getting exactly what they want
(i.e. exceeding expectation). Growth in number of customer maximization of opportunities
(i.e. increase service referral). Long term profitability and sustainability. High ting poor
operational process offering a big advantage of competition to enterprises reduction improved
cost. Improvement of customer loyalty increase to race of scat loyalty.

High quality services since the provider becomes knowledge be about castor regiment. Social
and status benefit from continuity relationship with supplier since repeat contract a may
develop relationship resembling person) friendship which can feed estates avoiding switching
cost because maintain relationship with suppliers avoids the cost associated with switching to
a new provider.

CRM (customer relationship management) is use to help business understand their customer
wants and needs and services them more efficiently and effectively. It would help the
business to improve customer satisfaction increase staff productivity decrease operational

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cost and maximize the effectiveness of each customer in custom relationship management
process that help identify and target their best customer generate quality sales and plan and
implement helps to individualize relationship with customer and provide the highest rowel of
customer services to the most profitable customer.

Customer relationship management process provides employees with the information they
need to know about their customer want and need and build relationship between the
company and its customer. CRM is also important because major drive company
profitability is the total value of company customer base (Kotler a dKeller, 2003) and
marketing management 12 edition.

2.1.6 Challenges of CRM in the bank

As (Antony Lawrence, 2010) stated that customer relationship management is not easy to
understand but when it come up implementation it becomes very difficult for the bank.
Generally, it is observed that the bank does not fail to select right tools but they fail to
implement it in proper way. Banks are finding it difficult track and pitch profitable customers
across the various contact channels such as ATM, Email, voice recognition and wireless.
Bank should train customer to serve themselves and connect customer focus marketing
campaign across the various service and product.

To meet the customer need to beat the completion they must deliver superior quality service.
The CRM approach adopts by the bank focus on maximizing the value of customer and the
bank. There are key drivers to customer loyalty such as positive staff attitude, honesty,
integrity, productivity advice and delivery promised service and so on. (Antony Lawrence
2010, 2nd edition, p.146-147).

Service quality is important for an organizational survival growth. it is a form of attitude

representing along run over all evaluation which is different from customer satisfaction in
short term transaction judgment. The level of customer satisfaction is a result or the
customer comparison of the service quality in a given service encounter with perceived
services quality. These implies that satisfaction assessment require customer experience than
quality does (Breton etal 2000).

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 CHAPTER THREE

3. METHODOLOGY

3.1 Description of the study area

The study will undertake on the title “The assessing of customer relationship management the
case of Abyssinia bank, Bule hora branch.
This study will be conducted in south Eastern parts of Ethiopia, West Guji Zone, Bule Hora
town. Topographically This District lies between latitudes 50 26_ and 50 52_ North and
longitudes 370 56_ and 380 31_ East with a total area of about 488,861.3 hectares or 48,886.1
km2 of which 77.1% is middle land and 22.9% is lowland and the altitudinal range lies
between 1465- 2300 m a.s.l. The neighboring Districts are Kercha to the north east, Kochere
to the north, Gelana to the northwest, Burji to the west, and Dugda Dawa District to the south.
The District is composed of forty-eight kebeles (the smallest community based administrative
units in Ethiopia.

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Figure 1; Map of Bule hora Town
3.2 Research design
The study will use descriptive study. A descriptive study attempts to describe or define a
subject, often by creating a profile of a group of problems, people, or events, through the
collection of data and tabulation of the frequencies on research variables or their interaction.
Will use the descriptive research design because it provides an opportunity of collect data
from various sources such as manager, employees and customers. It also helps to describes
about the characteristics of manager, employees and customers to provide appropriate
information.
3.2 Target population and sample size

3.2.1. Target population

Target population for the study will the employer and customer of Abyssinia bank, Bule hora
branch. Will use among employees 12 and 105 customer from the total customers of
Abyssinia bank, Bule hora branch.

3.2.2. SAMPLE SIZE

Sample size is the number of observations or individuals included in a
study or experiment. It is the number of individuals, items, or data points
selected from a larger population to represent it statistically.
The study will select 105 customers from 2114 and 12 employees from CRM
department and other departments of the bank as sample size to get relevant
data. MELAK, S. (2017).

3.3. Sampling method/Technique

The study will use judgmental and convenience sampling to simplifying study and to select
customer and employees respectively because judgmental and conveniences sampling in order

13
to gain the exact samples related to CRM in the bank and an enable to collect relevant
information about CRM in regarding to implementation of CRM, we would identify 12 sample
among the employee and 105 customer of Abyssinia bank, Bule hora branch.
3.4 Types/source of data
In this study will use both primary and secondary source. Primary data gather through close
ended and open end questionnaire of customer and employee’s respectively and also
secondary data gather from books, research paper and internets and manual of the bank.
3.5 Data collection
Customers that gives the necessary information primary data of question will be prepare
containing very few of respondents and employees of Abyssinia bank filled questionnaire.
More the researcher used both primary and secondary data collection methods.
3.6 Data analysis
After the data gathered by using questionnaire and interview, the data is analysed through
tabulation, paragraph and percentages.The data analysis is method going to undertake based
on the nature of the data the necessary information collected from the element of the study the
data will be analysis through percentage, paragraph and tabulation.

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 Chapter four
4 Data Analysis and Interpretation
Table 4.1: Response rate
Type of Distribute % Returned % Missed %
Questioner
For customers 105 100% 91 86.66% 14 13.33
For employees 12 100% 9 75 3 25

This part deals with the major finding of the study. all necessary data an information are
analysed discussed and hence the basic issues are given appropriate treatments, In this
chapter from the questioners that were distributed to 12 selected employees of organization
9(86.66%) was collected and analysed . And also from customers 105 distributed
questionnaires 91(13.33%) are returned and analysed.

Part I this section describe the data which is gathered from Employee
Table 4.2 Demographic back ground of the respondent.
No Item respondents percent
1 sex
Male 6 66.6
Female 3 33,3
Total 9 100
2 Age
18- 25 2 22.3
26-35 7 77.7
36-45 - -
above 45 - -
Total 9 100
3 Educational level
Grade 12 - -
Certificate - -
Diploma - -

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 First degree 8 88.8
above 1st Degree 1 11.1
Total 9 100
4 Job service year
0-5 7 77.7
6-10 2 22.2
above 10 - -
Total 9 100
As shows in table 4.2 Item 1 shows out of total respondents 6(66.6%) of them are male
whereas 3(33.3%) are female. This result shows that majority of the respondents are have
equal proportion of both sex.
Item 2 shows Age demographic variable that indicate the proportion of people by dividing
in to different age groups as youth adult , old. As it is indicate on the above table out of the
total respondents 2(22.2%) of respondents les between the age of 18-25, 7(77.7%) of them lies
between26-36. This indicate the majority of the respondent’s leis 26 -35 years of age who are
youth and adult.
Itme3 As shown in table out of total respondents 8(88.8%) of respondents holds first degree
and there is 1 (11.1%) respondents above first degree bound on this fact it is undoubtedly to
conclude that majority of the percentage were degree holds.
Item 4 As shows in the above table out of total respondents 7 (77.7%) of respondents serves
form 0-5 years, 2(22.2%) serves for 6-10 years and 1(9%) of respondents services above 10
years in the organization . This result shows that majority of the respondents were serves
between 0-5 years.

Table 4.3 Analysis questionnaires of Employee

N Item Strongly % agr % Partia % Dis % Strongly %
o ee lly agr dis agree
agree agree
ee
1 Customers are 4 44.4 5 55.5 0 0% 0 0% 0 0%
satisfied with 4% 5%
Abyssinia bank
service.
2 Abyssinia bank has 2 22.2 6 66.6 1 11.11 0 0% 0 0%
professional 2% 6% %
Employees to satisfy

16
 the customer.
3 Pervious customers are 4 44.4 2 22.2 3 33.33 0 0% 0 0%
still the user of 4% 2% %
Abyssinia bank
4 Abyssinia bank service 4 44.4 5 55.5 0 0% 0 0% 0 0%
satisfies the need and 4% 5%
expectation of
customer.
5 Abyssinia bank is 4 44.4 4 44.4 1 11.11 0 0% 0 0%
knowledgeable about 4% 4% %
customer need
6 Abyssinia bank use 2 22.2 7 77.7 0 0% 0 0% 0 0%
comprehensive 2% 7%
customer data base.
7 Abyssinia bank is 5 55.5 3 33.3 1 11.11 0 0% 0 0%
selectable among all 5% 3% %
banks in the town.
8 Abyssinia bank has 4 44.4 4 44.4 1 11.11 0 0% 0 0%
different programs % 4% %
designed to retain
customers.

From the above table employees respond the Customers are satisfied with Abyssinia bank
service, out of total respondent 4(44.44%) say strongly agree, 5(55.55%) says agree and there
is no other respondents say partially agree, dis agree and strongly dis agree. This indicates that
all employees are participating in the activity of full fill the customer’s expectation and this
helps to improve and maintain the CRM activity of the bank.

With the regarding to the question pervious customers are still the user of Abyssinia bank out
of total respondents 4(44.44%) say strongly agree, out of the total respondents 2(22.22%) and
3(33.33%) says agree and partially agree respectively. This indicate that the bank was still
with the customer served before the past years and that helps the bank to build effective CRM
easily because customers are less switch to other banks, and this effective CRM retain them.

Also the above data shows Abyssinia bank use comprehensive customer data base out of the
total respondents 2 (22.22%) and 7(77.77%) are strongly agree and agree respectively and no
respondents say partially agree, is agree and strongly dis agree. This indicate majority of all
employees say there is good comprehensive customer data base service and it accelerates the
mechanism the banks how to run CRM.

17
With the regarding to the question that we asses about Abyssinia bank is selectable among all
banks in the town, out of the total respondents 5(55.55%) are says strongly agree, out of the
total respondents 3(33.33%) and 1(11.11%) are agree and partially agree and on other
respondents say dis agree and strongly dis agree. This indicate majority of all employees say
our bank are selectable among the other banks to Intel that the bank has long term
commitment CRM and it uses unique services that are not provides by other banks .

From the above table employee’s respondents in the question that Abyssinia bank has different
programs designed to retain customers. Out of the total respondents 4(44.44%), 4(44.44%) and
1(11.11%) says strongly agree, agree and partially agree. These indicates that the employees
of the bank also know and formulate strategies related to CRM to apply the direct relation
between CRM and customer retention.

PART II this section describe the Demographic data of customer

Table 4.4 Demographic data of customer
No Items respondents Percent (%)
1 sex
Male 48 52.74
Female 43 47.25
Total 91 100
2 Age
18- 25 36 39.56
26-35 44 48.35
36-45 11 12.08
above 45 - -

Total 91 100
3 Educational level
<Grade 12 8 8.79
Certificate 9 9.89
Diploma 21 23.07
First degree 48 52.74
above 1st Degree 5 5.49

Total 91 100
4 Occupation
Private 35 38.46

18
 Government 39 42.85
others 17 18.68

Total 91 100%

As Shown in the table 4.4 out of total respondents 48(57.74%) of them are male whereas
43(47.25%) are female. This result show that the respondents have equal proportion of both
sex. Ageis also another demographic variables that indicate the proportion of the people by
dividing in to different age group as youth, adult, old. As it indicates on the above table out of
the total respondent’s 36(39.56%) lies between 18-25 ages, 44(48.35%) lies between26-35
ages, 11(12.08%) lies betwen36-45 ages and no respondent is above45 ages. This indicates the
majority of the respondents lie between26-35 and between 18-25 years of ages who are adult.
Education is another demographic variables out of total respondents8 (8.79%) of them are less
than grade 9(9.89%) of them hold certificate, 21(23.07%) of them are Diploma, 48(52.74%) of
them first degree and 5(5.49%) of them are holds above first degree. this indicates that the
majority of the respondents holds first degree. The researcher identified the respondent’s
occupation as privet, government, and others. as it can be clearly indicated in the above table
one can understand that out of the total respondents 35 (38.48%) privet ,39(42.85%)
government, and 17(18.68%) of respondents were others. this result show that majority of the
respondents were government and private.

Satisfaction question

Q1 = The bank service satisfied our need and expectation.

Q2 =I am comfortable about relationship with these banks.

Q3 =The banks measure your satisfaction level.

Q4 =The bank keep its performance to the future.

Q5= I am satisfied with the performance of Abyssinia bank.

19
Table 4.5 Response for satisfaction measuring point from customer view.
Satisfactio Strongl % agre % Partiall % Dis % Strongl %
y agree y agree y dis
n e agre
e agree

Q1 19 20.87 48 52.74 17 18.7% 3 3.3 4 4.4

% % % %
Q2 24 26.4% 44 48.35 19 20.9% 3 3.3 1 1.1
% % %
Q3 19 20.87 47 51.65 20 21.10 3 3.3 2 2.2
% % % % %
Q4 24 26.4% 38 47.8% 22 24.2% 3 3.3 4 4.4
% %
Q5 31 34.06 35 38.5% 19 20.8% 4 4.4 2 2.2
% % %
From the above data The bank service satisfied need and meets expectation of the customer
indicate out of total respondents19(20.87%) say the strongly agree, out of total respondents
48(52.74%) are agree, out of total respondents 17(18.7%) say Partially Agree, out of total
respondents3(3.3%)are Disagreed and the remaining customer of total respondent4(4.4%) are
Strongly disagreed. this indicates that the majority of the respondents are highly satisfied and
they get expectation by the bank and the bank performance on this variable is good and also it
have direct relationship with CRM on positive effect.

From the above data customers are comfortable about relationship with the bank indicate out
of total respondents 24(26.4%) say the strongly agree, out of total respondents 44(48.35%) are
agree, out of total respondents 19(20.9%) say Partially Agree, out of total respondents
3(3.3%)are Disagreed and the remaining customer of total respondent1(1.1%) are Strongly
disagreed. this indicates that the majority of the respondents are have comfortable relationship
with the bank and it have good opportunity to build effective CRM in the bank to customer
because when the customer fill comfort they have good word of mouse about the bank
performance this indirectly support the activity of building CRM.

From the above data The bank measures its customer satisfaction level indicate out of total
respondents 19(20.87%) say the strongly agree, out of total respondents 47(51.65%) are agree,
out of total respondents 20(21.10%) say Partially Agree, out of total respondents 3(3.3%)are

20
Disagreed and the remaining customer of total respondent2(2.2%) are Strongly disagreed. this
indicates that the bank measures its customer level of satisfaction and it have good opportunity
to see the performance of the bank at the past period and how customer react the serves was
provide.

From the above data as the bank recommends to keep its performance to the future indicate
out of total respondents 24(26.4%) say the strongly agree, out of total respondents 38(47.8%)
are agree, out of total respondents 22(24.2%) say Partially Agree, out of total respondents
3(3.3%) are Disagreed and the remaining customer of total respondent 4(4.4%) are Strongly
disagreed. this indicates that the majority of the respondents say the bank keep its to the future.
This helps the bank to retain customers for a long period of time and good relationship with
customers.

Table 4.6 General analysis of satisfaction

Variable High % Medium % Low %
Satisfaction 329 72.3% 97 21.32% 27 6.36

From the above data we analyse general satisfaction level of the customer by taking total
average of the total questions of satisfaction variables out of total respondents 329(72.3%) say
High, out of total respondents 97(21.32%) Medium, out of total respondents 27(6.36%). This
indicates the customer satisfied by the bank performance and since satisfaction is one of the
major indicator for CRM to be flourished in the organization (http://www.business ball.com)
we can conclude CRM is adequately practiced in the bank.

Service effectiveness question

Q1=Abyssinia bank effective in providing service

Q2=Abyssinia bank effective in communication strategy.

Q3=We are serviced effectively from Abyssinia bank.

21
Table 4.7 Service effectiveness measuring from customer point view.
Service Strongl % Agre % Partiall % Dis % Strongl %
y agree y agree y dis
effectivene e agre
ss e agree

Q1 21 23.08 53 58.24 14 15.4% 2 2.2 1 1.1

% % % %
Q2 16 17.6% 50 54.94 21 23.08 2 2.2 2 2.2
% % % %
Q3 25 27.5% 48 52.5% 12 13.2% 6 6.6 0 0%
%
Table 4.7 From the above data Abyssinia bank are effective in providing service indicate out
of total respondents 21(23.08%) say the strongly agree, out of total respondents 53(58.24%)
are agree, out of total respondents 14(15.38%) say Partially Agree, out of total respondents2
(2.2%) are Disagreed and the remaining customer of total respondent 1(1.1%) are Strongly
disagreed. this indicates that the majority of the respondents are agree from the service
provided by the bank. From these we analyze that providing effective service is a means to
maintain CRM.

From the above data Abyssinia bank are effective in communication strategy indicate out of
total respondents 16(17.6%) say the strongly agree, out of total respondents 50(54.94%) are
agree, out of total respondents 21(23.08%) say Partially Agree, out of total respondents
2(2.2%) are Disagreed and the remaining customer of total respondent 2(2.2%) are Strongly
disagreed. this indicates that the majority of the respondents are said the bank have effective in
communication strategy and this strategy helps to create two way communication between the
bank and the customer.

From the above data the customer are served effectively from Abyssinia bank indicate out of
total respondents 25(27.5%) say the strongly agree, out of total respondents 48(52.5%) are
agree, out of total respondents 12(13.2%) say Partially Agree, out of total respondents 6(6.6%)
are Disagreed and there is no customer of total respondent are says Strongly disagreed. this
indicates that the majority of the respondents are says they are served effectively from the

22
bank and they want build strong relationship for long period of time.it shows the
communication system is the best variable to build CRM in the bank.

Table 4.8 General analysis of Service effectiveness

Variable High % Medium % Low %
Service 213 46.8 47 10.32% 10 2.2%
effectiveness
From the above data we analyse the Service effectiveness of the bank have good performance
and it helps cover the gap that is crate from the four special characteristics when designing
marketing programs: intangible, inseparable, variability, perishability and this performance
upgrade the banks CRM.

Service efficiency question

Q1=The employee of Abyssinia bank has adequate

knowledge about banking service

Q2=Employees of the bank are knowledgeable about our

need

Q3=The employees of Abyssinia bank use right technology

Q4=Abyssinia bank has experience to deliver services

Q5=Employee of Abyssinia bank assumes have a lot of

experience

Table 4.9 Response for service efficiency measuring point from customer view.
service Strongl % Agre % Partiall % Dis % Strongl %
y agree y agree y dis
efficienc e agre
y e agree

Q1 34 37.4 43 47.3% 10 10.10 3 3.3 1 1.1%

% % %
Q2 17 18.9 52 57.15 15 16.5% 4 4.4% 3 3.3%
% %
Q3 39 42.9 24 26.4% 17 18.7% 8 8.8% 3 3.3

23
 % %
Q4 24 26.4 52 57.15 12 13.2% 2 2.2 1 1.1%
% % %
Q5 35 38.5 28 30.8% 21 23.08 4 4.4% 3 3.3%
% %

From the above table 4.9From the data shows about the employee of Abyssinia bank has
adequate knowledge about banking service, from the total respondents 34(37.4%) say the
strongly agree, out of total respondents 43(47.3%) are agree, out of total respondents
10(10.10%) say Partially Agree, out of total respondents 3(3.3%) are Disagreed and the
remaining customer of total respondent1(1.1%) says Strongly disagreed. this indicates that the
majority of the respondents are says they are served efficiently from the bank and they know
the bank have adequate knowledge about banking service as much as other competitors have
do about service, this guide the way how to control or run CRM efficiently.

From the data shows about the employees of Abyssinia bank use right technology, from the
total respondents 39(42.9%) say the strongly agree, out of total respondents 24(26.4%) are
agree, out of total respondents 17(18.7%) say Partially Agree, out of total respondents 8(8.8%)
are Disagreed and the remaining customer of total respondent 3(3.3%) says Strongly
disagreed. this indicates that the majority of the respondents are says the bank use technology
that related to the activity regarding to CRM of the bank like comprehensive customer data
base and improve the banks CRM performance.

From the data shows about the Abyssinia bank has experience to deliver services, from the
total respondents 30(32.96%) say the strongly agree, out of total respondents 40(43.96%) are
agree, out of total respondents 11(12.08%) say Partially Agree, out of total respondents
3(3.3%) are Disagreed and the remaining customer of total respondent2(2.2%) says Strongly
disagreed. this indicates that the majority of the respondents are says the bank start this work
long time before because of this the bank have experience by delivering service that mean the
bank also have experience on CRM and additionally use to improve it.

Table 4.10 General analysis service efficiency

Variable High % Medium % Low %

24
 service 348 76.47% 65 14.28% 32 7.02%
efficiency

From the data shows about 348(76.47%) are says High. This indicates that the majority of the
respondents are says they are served efficiently from the bank and they know the bank have
adequate knowledge about banking service.

Communication question

Q1=Abyssinia bank have effective communication system

Q2=Abyssinia bank have exchange information with customer.

Q3=Abyssinia bank provide accurate information.

Q4=Abyssinia bank get feedback from customer

Q5=Abyssinia bank give sufficient information to customer if there

is New thing.

Table 4.11 Response for communication measuring point from customer view.
Communicati Strongl % Agre % Partiall % Dis % Strongl %

y agree y dis
on y agree e agre
agree
e
Q1 21 23.08 51 56.04 12 13.2 6 6.6 1 1.1
% % % % %
Q2 29 31.9% 45 49.5% 16 17.6 1 1.1 0 0%
% %
Q3 27 29.7 40 43.10 16 17.6 6 6.6 2 2.2
% % % % %
Q4 36 39.6% 36 39.6% 16 17.6 1 1.1 2 2.2
% % %
Q5 37 40.3% 36 39.6% 12 13.2 4 4.4 2 2.2
% % %

25
Table 4.11From the data shows about Abyssinia bank have exchange information with
customer, from the total respondents 29(31.9%) say the strongly agree, out of total
respondents 45(49.5%) are agree, out of total respondents 16(17.6%) say Partially Agree, out
of total respondents 1(1.1%) are Disagreed and there is no respondent says Strongly disagreed.
this indicates that the majority of the respondents are says the bank distribute accurate
information by using TV, radio, leaflet and brusher this helps to crate communication between
the customer and the bank to talk about building strong customer relationship management.

From the data shows about Abyssinia bank get feedback from customer, from the total
respondents 36(39.6%) say the strongly agree, out of total respondents 36(39.6%) are agree,
out of total respondents 16(17.6%) say Partially Agree, out of total respondents 1(1.1%) are
Disagreed and the remaining 2(2.2%) respondent says Strongly disagreed. this indicates that
the majority of the respondents are says, from the above question the bank communicate the
customer by different way and get its feedback from customers how they react the stimuli
regarding to CRM. From the inputs of the feedback the bank rearranges its activity regarding
to maintain CRM.

From the data shows about Abyssinia bank give sufficient information to customer if there is
New thing, from the total respondents 37(40.7%) say the strongly agree, out of total
respondents

36(39.6%) are agree, out of total respondents 12(13.2%) say Partially Agree, out of total
respondents 4(4.4%) are Disagreed and the remaining 2(2.2%) respondent says Strongly
disagreed. this indicates that the majority of the respondents are said the bank provides timely
and enough information when new things happen and some modification about working
process, these helps to increase the customers confidence and customers try new things
without fear.

Table 4.12 General analysis Communication

Variable High % Medium % Low %
Communication 289 63.51% 113 24.83% 42 9.22%

26
From the data shows we see that the majority of the respondents says the bank have excellent
communication mechanism. One method that can ensure this superior performance and
differentiate a business from its competitors will always be the quality of its relationship with
customers. Whilst research has been conducted on a general aspect of relationship marketing,
there appears to be no significant study on how communication efforts can promote
relationship marketing in the cellular industry. Hence this study investigates the extent to
which communication impacts on relationship marketing and whether improved
communication can result in sustainable long-term relationships. These show the bank are
effectively insert the brand in customers or target markets black boxes or mind it helps the
bank easily implement the CRM activity to improve the performance.

Loyalty question

Q1=Our relationship with Abyssinia bank will be continuous

Q2=As far as possible we will choose to work with Abyssinia bank in the future

Q3=We consider that Abyssinia bank is the best and selectable

Q4=Abyssinia bank implement program for its customers

Q5=Abyssinia bank serve its loyal customer by program

Table 4.13 Response for loyalty measuring point from customer view.
Loyalt Strongl % Agre % Partiall % Dis % Strongl %
y agree y dis
y y agree e agre
agree
e
Q1 30 32.96 37 40.7 20 21.10 2 2.2% 2 2.2
% % % %
Q2 24 26.4% 38 47.8 20 21.10 8 8.8% 1 1.1
% % %
Q3 13 14.3% 26 28.6 27 29.7% 12 13.2 1 1.1
% % %
Q4 26 28.6% 39 42.9 20 21.10 6 6.6% 0 0%
% %

27
 Q5 21 23.08 34 37.4 26 28.6% 6 6.6% 4 4.4
% % %
Table 4.13From the data shows about Our relationship with Abyssinia bank will be
continuous, from the total respondents 30(32.96%) say the strongly agree, out of total
respondents 37(40.7%) are agree, out of total respondents 20(21.10%) say Partially Agree, out
of total respondents 2(2.2%) are Disagreed and the remaining 2(2.2%) respondent says
Strongly disagreed. this indicates that the majority of the respondents are says the continuous
relationship of the customer with the bank makes them loyal and by assessing customer
loyalty measures to make CRM being implemented.

From the data shows We consider that Abyssinia bank is the best and selectable more than its
competitor, from the total respondents 13(14.3%) say the strongly agree, out of total
respondents 26(28.6) are agree, out of total respondents 27(29.7%) say Partially Agree, out of
total respondents 12 (13.2%) are Disagreed and the remaining 1(1.1%) respondent says
Strongly disagreed. this indicates that the majority of the respondents are says the bank is best
and selectable in banking industry this helps the bank handles customers in the best way
because the customer select the bank to get good service more than the competitors and get the
benefits that the bank different from the other banks. All this thing helps to improve CRM in
the bank.

From the data shows Abyssinia bank implement program for its customers, from the total
respondents 21(23.08%) say the strongly agree, out of total respondents 34(37.4) are agree,
out of total respondents 26(28.6%) say Partially Agree, out of total respondents 6 (6.6%) are
Disagreed and the remaining 4(4.4%) respondent says Strongly disagreed. this indicates that
the majority of the respondents are says the bank implements necessary and essential
programs to them, effective implement of these programs helps the bank to allows regular
interaction with the customer these is also the basic elements of CRM in any organization
especially in the banking industry.

Table 4.14 General analysis of loyalty

Variable High % Medium % Low %
Loyalty 288 63.29% 113 24.83% 8 1.75%

From the above data through respondents from customers regarding to loyalty by different
loyalty measurement criteria’s we conclude that the bank address those to fill the gap and to
view that CRM is the collective results these variables. And good customer’s relationship
management creates customer delight. In turn, delighted customers remain loyal and talk to
others about the company and its product. Studies shows big difference in the loyalty of

28
customers who are less satisfied, somewhat satisfied, and completely satisfied. Even a slight
drop from complete satisfaction can create an enormous drop in loyalty.

ANALYSIS FROM THE IMP LOYES OPEN ENDED QUESTION

With regard to activities implemented in the bank in assessing CRM employees says by
putting customers first they use latest technology, special account that run by cheque with
their interest.

The employees` as much as possible doing in great extent to retain customers of the bank to
apply CRM.

.from we gain response by the employees the bank gives essential training programs like on
the job and off the job and also how to handle customers. From these we analyse that
employees of the bank are effective for providing service.

For the employees belief that helps the bank to handle its customers ,they says working hard to
match and serve the banks long lasting mission and vision to make the bank becomes the first
among the other banking industries.

Chapter five
5 Summary, conclusion and recommendation
From the above five variables we understand that the collection of this variables show the total
CRM performance of the Abyssinia bank.

5.1 Summary of major finding

This research conducted to investigate customer relationship management in current practice
of Abyssinia bank, BULE HORA branch. To successfully meet the objective of the study,
questionnaire were distributed and collected from employees and customers of Abyssinia bank
was held. The researcher has tried to see the customer relationship management in the
prospective of customer, employee based on their comparative exposure to the case under the
study. The major finding of the study are summarized as follow
 Regarding the bank service needs and expectations of customer relationship with the
bank, satisfied with the bank provide for us. And also satisfied with the performance of

29
 the bank majority of the respondents agree and regarding measuring customer
satisfaction majority of the respondents agree.
 From the total respondent’s majority of the respondents strongly agree to continuous
the relationship with the bank and expected that they use the bank in the future and
regarding loyalty majority of the respondents strongly agree about the bank design
different program to retain customer.
 Regarding the work experience of the employees majority of the respondents 7(77.7%)
had 0-5experience and 2 (22.2%) of employees had 5-10 year experience.
 Among the total respondents 174(38.24%) of respondents agree that the bank have
effective communication system.
 Regarding satisfaction employees of the bank among total respondents 5(55.55%)
agree with the customers of the bank satisfied with the bank service.
 Regarding efficiency the customers of the bank 199 (43.73%) agree the employees of
the bank use right technology.
 Among the total respondents of the bank 4(44.44%) are both strongly agree and agree
with Abyssinia bank has different programs designed to retain customers.
 The findings indicate that the majority of our bank users were satisfied with the
communication efforts of their service provider and that the communication tools used
by the service providers were effective in promoting relationship marketing. Moreover,
existing customers indicated that they would become advocates of their service
provider, as they did not regret their choice of service provider particularly because
service providers tailor make packages for their customers.

5.2 conclusions
 Majority of the respondents I.e. the customer of the bank are strongly agree on the
bank service and their need is satisfied. And also most respondents of the bank
satisfied with what the bank provides.
 Majority of the customer agree their relationship will continues and they expect that
they will use the bank in the future.
 Most respondents agree the bank design different program to retain loyal customer.

30
  Most of the employees of the bank strongly agree the bank has professional employee
to satisfy customer.
 Regarding loyalty majority of the respondents of the bank agree to work with the bank
in the future.
 Majority of the respondents partially agree regarding getting feedback from customer.
 Regarding efficiency the customer of the bank partially agree the employees of the
bank use right technology to serve customer.
 Regarding loyalty of customer majority of respondents are loyal customers of the bank
but it is very small compare with others bank.
 Regarding communication majority of the respondents agree about the bank provide
accurate information.
 Regarding satisfaction majority of the respondents partially agree about the bank fulfil
overall needs of customers.
 Most employees of the bank responded that they partially agree about the banks
service satisfies the need and expectation of customer.
 Most employees of the bank agree with the bank prepare and give training and
education about banking.
 Regarding efficiency most employee of the bank agree with the bank use
comprehensive customer data base.

5.3 Recommendations
 In fact majority of the respondents i.e. customer of the bank is satisfied with service
providing system of the bank and the experience of the employees of bank. But the
bank should know the fact that all satisfied customers are not necessarily loyal
customers ( ) of the bank. Therefore the bank should renew itself by showing the
existing competitors otherwise the customers of the bank may shift to other

31
 competitors. By doing activity regarding to loyalty and give training for the employee
how to handle loyal customer so and convert customers to loyal.
 Now a day’s many private and government banks use the duration of service giving
time as a competitive advantage. Therefore the bank should length (increase) its
service giving time.
 The bank use modern technology like fast money transfer, ATM and service delivery
but it is not enough so the bank must work with regarding technology.
 The bank should establish or design different program to retain existing customers of
the banks and to make them loyal customer of the bank because the number of loyal
customers are small now a days.
 The bank should give more training and professional education for employees of the
bank to improve their skill and knowledge in providing quality service specifically
how they efficiently handle customers.
 In fact, majority of the respondents i.e. customers and employees of the bank agree
with the communication system of the bank. But the bank should do a lot of by e-mail
and telephone service which are fast for information collection and to give information
for customer when new thing exist in the bank.
 The bank increase switching cost, by differentiating its service from other competitor.
This enables the bank to retain customer and to make them loyal.
 In fact the majority of the respondents i.e. customers partially agree with the bank get
feedback from customers, so the bank should prefer different suggestion box to collect
and gather information or feedback from customers to know its strength and weakness.
 As concluded in the data we analyses the five variables of the bank and the data we
collect from employee and customer’s shows the two types of respondent say agree, so
the bank should improve communication and loyalty variables. First when we see the
loyalty aspect the bank should do programs like reward, different offer, and different
types of books. Secondly we recommend the bank use aggressive advertising with
compute other home banking industry.

32
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 Appendix 1
BULE HORA UNIVERSITY
College of Business and Economics
Department of Marketing Management

RESEARCH SURVEY QUESTIONNAIREFOR CUSTOMERS

Dear Respondents,
We are doing a research on Assessing Customer Relationship Management, In Case of
Abyssinia Bank, BULE HORA Branch. And your kind help is crucial for our successful
completion of this research project. Please attempt to answer all the questions. Your
participation in the study will be greatly appreciated. Thank you very much for your time and
assistance.
General guidelines

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Please put “X “mark for the questions that are delivered with and precise answerers for these
delivered space and 1 represents. Strongly Agree 2 represents agree 3 represents partial agree
4 represents Dis agree 5 represents strongly Dis agree for basic questions.

Part one: personal data

• Sex, male female

• Age, Between 18-25 Between 25-35 between 35-45

above 45

• Occupation, government private others

• Education level. Below Grade 12 certificate Diploma

First degree above first degree

Part two basic Questions

Response for satisfaction measuring point from customer point of view.

NB: Strongly agreed (1) Agree (2) Partial Agree (3) Disagreed (4)

Strongly disagreed (5)

No items of satisfaction measuring 1 2 3 4 5

1 The bank service satisfied our need and

expectation

2 I am comfortable about relationship with these

banks

3 The banks measure your satisfaction level.

4 The bank keep its performance to the future.

5 I am satisfied with the performance of Abyssinia

bank

Response for loyalty measuring point from customers understanding

NB: Strongly agreed (1) Agree (2) Partial Agree (3) Disagreed (4)

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 Strongly disagreed (5)
No Item of loyalty measuring 1 2 3 4 5

1 Our relationship with Abyssinia bank will be

continuous

2 As far as possible we will choose to work with

Abyssinia bank in the future

3 We consider that Abyssinia bank is the best and

selectable

4 We expect that we use Abyssinia Bank in the

future

5 Abyssinia bank implement program for its

customers

6 Abyssinia bank serve its loyal customer by

program

Response for service efficiency from customer understanding.

NB: Strongly agreed (1) Agree (2) Partial Agree (3) Disagreed (4)
Strongly disagreed (5)
No Item of service efficiency 1 2 3 4 5

1 The employee of Abyssinia bank has adequate

knowledge about banking service

2 Employees of the bank are knowledgeable about our

need

3 The employees of Abyssinia bank use right

technology

4 Abyssinia bank has experience to deliver services

5 Employee of Abyssinia bank assumes have a lot of

experience

Communication measuring varying from customer perspective.

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NB: Strongly agreed (1) Agree (2) Partial Agree (3) Disagreed (4)

Strongly disagreed (5)

No Item of communication measuring 1 2 3 4 5

1 Abyssinia bank have effective communication

system

2 Abyssinia bank have exchange information with

customer.

3 Abyssinia bank provide accurate information.

4 Abyssinia bank get feedback from customer

5 Abyssinia bank give sufficient information to

customer if there is New thing.

The response of service effectiveness from customer point of view.

NB: Strongly agreed (1) Agree (2) Partial Agree (3) Disagreed (4)

Strongly disagreed (5)

No Item of service effectiveness 1 2 3 4 5

1 Abyssinia bank effective in providing service

2 Abyssinia bank effective in communication strategy.

3 We are serviced effectively from Abyssinia bank.

4 Abyssinia bank effectively measure customer

satisfaction.

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 Appendix 2
BULE HORA UNIVERSITY
College of Business and Economics
Department of Marketing Management

RESEARCH SURVEY QUESTIONNAIRE FOR EMPLOYES

General Gaudiness

• Please put “x” mark to the questions that are delivered with precise answer and use 1
for strongly Agree, 2 Agree, 3 for partial agree, 4 for Dis agree and 5 for strongly disagree.

• Do not write your name

• Re back the paper after you complete filling.

Part one: personal data filling by employee

• Sex male Female

• Age 18-25 25-35 35-45 above 45

• Educational level. < Grade 12 Certificate Diploma

1stdegree above1stdegree

• Job service year 0-5 5-10 above 10

Response for employee point of view.

NB: Strongly agreed (1) Agree (2) Partial Agree (3) Disagreed (4)

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 Strongly disagreed (5)

No Item 1 2 3 4 5

1 Customers are satisfied with Abyssinia bank service.

2 Abyssinia bank has professional

Employees to satisfy the customer.

3 Pervious customers are still the user of Abyssinia

bank

4 Abyssinia bank service satisfies the need and

expectation of customer.

5 Abyssinia bank is knowledgeable about customer

need

6 Abyssinia bank use comprehensive customer data

base.

7 Abyssinia bank is selectable among all banks in the

futures.

8 Abyssinia bank has different programs designed to

retain customers.

RESEARCH QUESTIONNAIRE FOR EMPLOYEES

1. What is your own roles in the bank with regard to CRM?
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
_________.
2. How you are apply CRM to retain the customers of the bank?
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
_________.

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3. The type training the bank gives to you how it becomes support your activity related to
CRM?
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
___.
4. What is your belief that can help the bank to handle its CRM and to make the customer
loyal?
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
______________________________________________________________________
____.

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