Mehdi Kazemi - Faculty of Management and Accounting, University of Sistan and Baluchestan
Mohammad Javad Jamshidi - M.A. student of e-Business, University of Sistan and Baluchestan

In this study, we have compared the traditional marketing with the relationship marketing concepts and the changes which occurred as a result of a shift in marketing paradigm. After that, the relationship marketing in practice – CRM – has been defined and its concepts, types, models and architecture, have been introduced. Moreover, according to the literature, we have examined the impacts of CRM on profitability of banks, which are: (1) Increasing customers' satisfaction and loyalty, (2) Raising referrals, (3) Increasing Customers' Share of Wallet (SOW), (4) Enhancing Customer Lifetime Value (CLV), (5) Improving customer knowledge management, and (6) Gains in profit efficiency. These six advantages are some clues which indicate the importance of focusing on the relationship marketing concepts and deploying CRM in banks. Finally, some important points have been proposed to the banks willing to implement CRM and follow relationship marketing rules

Customer Relationship Management, CRM, Banks Profitability