International Journal of Management Studies ISSN(Print) 2249-0302 ISSN (Online)2231-2528 http://www.researchersworld.com/ijms/ Vol.–V, Issue –3(5), July 2018 [32] DOI : 10.18843/ijms/v5i3(5)/05 DOIURL :http://dx.doi.org/10.18843/ijms/v5i3(5)/05 Impact of Factors Affecting Customer Retention in Banking Sector Shailendra Gangrade, Assistant Professor, Prestige Institute of Management and Research, Indore, India. Rajendra Kumar Jain, Research Guide and Ex Professor, Shri Vaishnav Institute of Management, Indore, India. ABSTRACT Customer retention is an imperative component for any bank in the present progressively aggressive condition. Because of its significance, this study analyzed the impact of few factors that influencing Customers and their maintenance in banking industry. The study was concentrated on the customers of both Private and Public sector Banks of Central India. In the study data was collected from 400 customers using self designed and tested questionnaires. Mean, standard deviation, correlation, regression and ANOVA techniques of SPSS were used to analyze the impact of Responsiveness, Loyalty Program, Consistency in Services and Credibility factors on customer retention in banking sector. The results show a positive Impact of responsiveness, loyalty program, and consistency in Services and Credibility on customer retention. It shows that the majority the respondents were ready to continue and retain, if all the factors related to such services are combined. The comparative impact also analyzed to find out most influence factor for customer retention among these. The study concludes that responsiveness, loyalty program, and consistency in Services and credibility are positively related to customer retention. Keywords: Commercial banks, customer retention, Responsiveness, Loyalty. INTRODUCTION: In the present era the customer retention becomes a very dynamic and continuous process of fulfilling their expectations. The reason is as clear that the old customers are loyal to the organization compare to the new customers. A company requires not only good product and services to attract new customer but also (related to the way) it is depend on the way they give their services to their existing customers. Raising competition showed that lots of opportunities for them who could deliver the customer delight and if Customers are not satisfied, they lost them. Hence the continuous process of hard work to acquire the untapped customers and to satisfy the retained customers. Relationship Marketing is very important aspect for the customer retention it’s a journey of prospective consumers to loyal customers (Zeithml et. al. 2008). This retention returns low marketing cost, endless and extended loyalty and increase in numbers. Customer Retention requires relationship management. The Customer retention leads to various benefits for banks as continue and higher sales with higher profitability, lower cost to acquire new customer and recommendation by customers to others. These all benefits can contribute to the bank for its survival and success. (Rootman et al. 2011). LITERATURE REVIEW: Sheth, J. N. & Parvatiyar, A. (1995). CRM is not just about the exchange process between a buyer and seller but that the marketer is able to understand the customers preferences, intentions, needs and the provide the products that satisfies the customers expectation through technology and processes of customer segmentation (Sheth & Parvatiyar,1995). Filip and Anghel (2009) Findings were that the Romanian customers remained in banks relationships due to