Abstract:
This study purposed to analyze the strategic management factors that influence credit customer retention at
Equity Bank limited, Kitale Branch from the customer’s perspective. Specific objectives: To determine the credit
customer likelihood of repeat borrowing; find out if gender and age of the credit customer had influence on the
customers retention and to assess the influence of Credit Customer Relationship Management practices on credit
customer retention at Equity Bank Limited, Kitale Branch. Case study design was used in this study. This is
because case studies frequently make use of qualitative data. The target population were credit customers (5400)
and staff (3) at managerial level of Equity Bank Limited, Kitale Brach. A sample of 540 customers (10%) was
selected using convenience sampling technique. Data was collected using questionnaire and interview schedule.
Analyses were done using simple descriptive statistics of percentages and mean, while chi square test was used
to test independence of the variables. The study revealed that gender and age have a great impact on the level of
customer retention. It also established that customer relationship practices such customer services like
helpfulness of branch staff, accuracy of transaction in the bank, branch opening and closing hours, the bank
efforts to inform customers about new products and services, good communication from the staff, fair price
charge for banking transaction and the bank’s reliability of electronic products like ATM had a strong positive
association on customers retention and the bank’s unique services to her customers are important factors for
customers retention. This study concludes that quality of customer services, branch management, age and gender
have a strong positive association on customers retention. Study recommends that banks should strive to ensure
good and quality customer relationship management service so that they ensure customer retention. This can be
achieved by improving their opening hours and closing hours, speed of service, and degree of responsiveness to
enquiries, time taken to get service and good communication between the bank staff and customers. The study
recommends study on strategies to attract customers of ages below 30 years and above 60 years.
