Customer relationship management is the way to increase value to customers and profitability of banks ,it is the strategy to retain in all types of customers and to increase customer loyalty .A satisfied customer will bring 100 more customers in ten years,it costs 5 times more to attract a new customer than to serve an old one royal customers. It bring 80% revenue to the bank and loyality of customers is increased.CRM is a business approach that embraces IT instruments in order to maximize the customer relationship. Banks now realized that the only way to increase their market share and to exist viable is to give more attention to customer relationship management with the help of IT related instruments such as ATM, EFT, credit cards and internet banking etc in kerala. Selection of a bank by a customer is influenced by factors like accessibility, service diversification, transaction speed, modern equipments, personal attention, service charge, interest rate and transparency in dealings are provided by banks.

Keywords: Customer Relationship Management, Instruments, Banks, Customers, Satisfaction, Business, Loyalty.