The Antecedents of Customer Relationship Management and Impact on Hotels Performance in Jordan

The last decade has seen the emergence of Customer Relationship Management (CRM) as a technique to underpin organizational performance improvement in improving customer retention, customer satisfaction, and customer value. However, evidence suggests that many CRM initiatives fail to achieve desired results. Furthermore, empirical research is still scarce.In recent years, CRM has been the favored theme for numerous studies and reports. It has also been considered as a way of capturing comparative advantages in the face of the growing competition. However, despite many studies conducted on CRM in various industries in the past 20 years, there is still significant disagreement about its definition and meaning, and the framework for the effective implementation and evaluation of CRM practice. Moreover, there is a lack of systematic empirical evidence regarding the success factors of the CRM performance, and its impact on organizational performance. To address these issues, this study examines the degree of CRM performance of hoteliers as well as the relationship between CRM performance and organizational performance. Furthermore, this research also investigated the influence of organizational and technological factors on CRM performance. In this quantitative study, a total of 98 Jordanian hotels participated by voluntarily completing the survey questionnaire, constituting an overall 49% response rate. From the analysis undertaken, it was found that the CRM performance of the respondents were at moderate degree. The research results indicated that CRM performance has a positive influence on organizational performance. Four major factors were found to have significant influence on CRM performance namely top management, customer data, customer information processing, and CRM functionality. On the other hand, factors such as customer orientation, training orientation, and data integration were not significantly related to CRM performance. Theoretical implications and managerial implications of these findings are discussed.