Development of the contemporary informational communicational technology has allowed meaningful alterations in the sphere of interaction between local self-government with its citizens. Whilst in past democracy only meant proximate representative form of democracy, its emphasis today is mostly on intermediary forms of the democracy. The proximate democracy implicates proximate involvement of the citizens in decision making processes, especially on a local level, primarily through understanding the needs of citizens and on the other hand monitoring satisfaction of citizens with specific activities or projects implemented by local government, respectively with satisfaction of the local government as well. Seeing the problem of the primary application of the proximate democracy from this aspect, then the analogy with marketing concept is easily established, especially with the concept of marketing relations which includes the research of individual and personalized needs of the consumers, complying those needs, as well as the analysis of the consumer satisfaction with products and services. In order to accomplish that it is crucial to establish and maintain constant informing. Exactly this is the primary problem for every local self – government , because undoubtedly there is a lack of information from the local government's part on one hand, and on the other hand a lack of information from the citizens about events, problems in the city, content with the local government's functioning, which implies shortage of the interaction between the citizens and the local government. In current democratic processes and with accentuated public need for transparency it is arguably that the appliance of the CRM concept has a significant role. The importance of establishing relations between citizens and local government does not have to be seen only in marketing entity, but also in increased openness and accessibility of the local government towards the citizens, and in increasing the efficiency of the local government actions. The local government must involve the citizens in its activities in a way which allows immediate decision making concerning the development of the city. The way of citizen's perception of the potential efforts of the local government in meeting their needs, and possibility of applications of CRM system into operations of the local government were the focus of research enforced through a survey. City Zaprešić was used as a paradigm and the results of the research can be synthesized in the conclusion according to which there are objective needs and possibility of application of the CRM systems in operating of the local government.