Role Played by Elements of Marketing Mix in Customer Retention in Retail Banking: An Empirical Study

Retail Banking, a typical mass market banking, is a service oriented sector attending to the management of its customers wealth and financial transactions as desired by them. With the opening of the banking sector, post liberalization and new players and multiple channels registering their presence, customers have become more sensitive, judicious and disloyal to the banks. This makes it imperative that banks provide best levels of service to ensure customer satisfaction. Along with the acquisition of new customers, retaining the old customers has also become a main priority for the banks today. This study aims to ascertain the importance and role played by marketing mix elements or 7Ps in enhancing customer loyalty and to ascertain the effect of the various elements on the customer mind frame. Such analysis shall help to define and suggest a model marketing strategy or a tool with a judicious mix of the preferred top rated elements. This empirical study has been conducted through collection of primary data by Non Probabilistic Sampling Technique and a Questionnaire directed at the 150 customers of 6 branches of 3 prominent private banks in 3 big cities of Rajasthan.