This research paper aims at providing role and significance of Customer Relationship Management (CRM) specifically in the banking sector in Kingdom of Saudi Arabia, Riyadh region. Researchers have tried their best to cope up challenges and hurdles during primary data collection that is entirely based on questionnaire in two sections to meet all criterion as well as requirements of respondents from banking sectors alone. During our study we have noticed that, CRM systems are the new trend in the banking sector of Saudi Arabia as the country is going to a transition period the government have initiated an optimistic vision of 2030. The government aims at reducing the dependence on oil income and to have a more diversified economy in near future as compatible with its vision. The plan include a new tax regulations and reduce the government sector in favor of the supporting the private sector. Based on that, the competition on the banking sector increased as the market liquidity shrunk due to the cut on the government expenditure. Then banks started to use professional tools and systems to attract and sustain their customer base using state of the art technology and utilize more resources to maintain a steady profit flow. From this point, CRM systems become a necessity for banks to accomplish their goals.