Abstract:
Customer relationship management (CRM) has become a necessity especially in hospitality industry. This has been
attributed to globalization that has not only ensured liberalization in trade but also enhanced competition in hotel industries. This paper
is an outcome of a study that was conducted in Eldoret town that focused on CRM in hotel industry. The purpose of this paper is to
assess the effectiveness of customer relation management on hotels industry in Eldoret town, Kenya. The researcher employed mixed
research design, simple. Questionnaires, informal discussion and interview guide were used to collect data. Descriptive statistics and
narrations were used to analyze data, which were presented in tables, graphs, charts and narrations. The study found that hotel
industries in Eldoret face several barriers in implementing CRM including; lack of training on CRM among members of staff, lack of
awareness on CRM, lack of adequate funds and lack of leadership. This study further concludes that the hotel industry is facing
customer service revolution, thus, customer relation management has a great impact to the performance of a hotel. Making follow ups
on the services offered will also improve in overcoming some of the negative issues raised and will serve as improvement strategies in
increasing customer relation management in the hotel industry. Additionally, management should put in place strict guidelines to be
followed while dealing with customer complaints so as to eliminate negative word of mouth (feedback) from customers.