The purposes of this study were to investigate the factors of CRM activity and the difference in CRM activities of department stores and to analyze the effect of CRM activities on customer satisfaction and loyalty. Investigators interviewed the buyers of three department stores in Daejeon area and surveyed 468 people aged over 20 who did shopping those stores. The data were analyzed with factorial analysis, multiple regression analysis, path analysis, ANOVA, Scheffe Test, etc., using the SPSS 10.0. The results of this study were: 1) Six factors were identified: ＇benefit ＆ information＇, ＇service＇, ＇customer invitation＇, ＇customer contact＇, ＇special management＇, and ＇purchase-related help＇; 2) CRM activities of three department stores were different, and department store buyers and customers were different in perception on CRM activities; and 3) Customer satisfaction was affected by the CRM factors like ＇service＇, ＇customer invitation＇, ＇purchase-related help＇, ＇benefit ＆ information＇, and ＇customer contact＇ Customer loyalty were affected directly by customer satisfaction, ＇benefit ＆ information＇ and ＇service＇, and indirectly by ＇customer invitation＇, ＇purchase-related help＇, ＇customer contact＇ through customer satisfaction.