Banks set to invest in CRM
A new report by Datamonitor reveals that European retail banks will spend $2.4bn on customer relationship management by 2003. The report notes, “as competition in banking intensifies and the margin spread between borrowing and lending is on a cyclical decline, banks can no longer be certain that growth of future revenue will come from customer acquisition.
Instead, future market share will depend on building and strengthening added value relationships with existing customers – the key goal of customer relationship management strategy.”
The report demands that external service providers seize opportunities in the CRM market before the year 2000, while internal IT resources are tied up in Y2K and EMU. A full copy of the report is available from www.datamonitor.com.