THE EFFECT OF RELATIONSHIP MANAGEMENT ON CUSTOMER SATISFACTION IN SELECTED BANKS IN NIGERIA

Abstract This study investigates the effect of relationship management on customer satisfaction in selected banks in Nigeria, with a focus on identifying key relationship management practices and evaluating their influence on customer perceptions and loyalty. Against the backdrop of a rapidly transforming Nigerian banking sector shaped by technological advancement and evolving consumer expectations this research underscores the strategic importance of relationship management (RM) in achieving and sustaining customer satisfaction.Using a descriptive and inferential research design, data were collected from 400 retail customers across five major banks in Ondo State (First Bank, Zenith Bank, Access Bank, UBA, and Wema Bank), selected through multistage sampling. Key dimensions of relationship management examined include customer segmentation, communication, feedback mechanisms, personalized services, and customer support. Findings from statistical analyses including ANOVA and t-tests revealed that these RM components are significantly and positively related to customer satisfaction (F = 5.87, p< 0.05; t = 5.944, p = 0.000). Specifically, banks that excelled in personalized engagement and responsive communication recorded higher levels of customer satisfaction.The study concludes that effective relationship management marked by consistent communication, tailored services, and active feedback systems enhances customer satisfaction, loyalty, and competitive advantage. However, the full benefits of RM are hindered by challenges such as inadequate digital infrastructure, inconsistent implementation, and limited staff training. The research recommends that Nigerian banks invest in advanced CRM technologies, improve customer engagement frameworks, and adopt customer-centric policies to strengthen long-term client relationships in an increasingly dynamic financial landscape.