THE INFLUENCE OF E-CRM TECHNOLOGIES ON CUSTOMER LOYALTY: THE MEDIATING ROLE OF RETENTION

Qasem A. Al-Radaideh
Yarmouk University, Irbid , Jordan

Hazem Al-Talafih
International Expert Group, Amman, Jordan

ABSTRACT

This study examines the relationship between electronic customer relationship
management (E-CRM) and customer loyalty, and the role of retention in that relationship. Due to
the complexity and highly competitive environment of the banking sector, keeping customers and
increasing the profitability is harder to achieve. This study addresses the issues regarding these
problems by postulating a research model for E-CRM and customer loyalty relationship with
respect to customer retention role in that relationship. An explanatory study is conducted with 250
questionnaires collected from individual customers of major banks in Jordan. The analytical
results show that there is a significant positive relationship between E-CRM and customer loyalty.
Post-Purchase E-CRM and Pre-Purchase E-CRM are partially mediated by Retention in their
relationship with Loyalty. In conclusion, this paper confirms that the banks should consider using
the various E-CRM technologies to retain customers and gain their loyalty.

Keywords: E-CRM, CRM, relationship marketing, customer retention, customer loyalty, pre- purchase
E-CRM, At-purchase E-CRM, post-purchase E-CRM