Impact of Relationship Marketing on Customer loyalty: Evidence from Banking Sector of Pakistan

Abstract

The purpose of this study is to determine the effect of relationship marketing factors (trust , communication and conflict handing) on customer loyalty in banking sector of Pakistan. To understand the effect of these independent variables over customer loyalty (dependent variable), a comprehensive research methodology was utilized. Initially, data was mustered. through Google forms questionnaires, from 302 different customers of disparate banks, based in the metropolitan cities of Islamabad and Rawalpindi. Correspondingly, the questionnaire was derived from previous studies. Consequently, the results indicate that all three dependent variables i.e., trust, communication, and conflict handling have a positive effect on dependent variable i.e., customer loyalty. This shows that banks in Pakistan can use relationship marketing techniques for increasing customer loyalty. The outcome of this study is paramount. for the various industries and sector that have a robust customer base and these findings have implications for these companies to help retain the loyal customers via improving the relationship marketing practices used in any organization. This paper's contribution is that it adds to the relationship marketing literature by questioning the efficacy of relationship marketing, particularly the usage of the same relational constructs for consumers at different phases of the relationship lifecycle