ROLE OF MARKETING IN NIGERIA BANKING SECTOR
Need help with a related project topic or New topic? Send Us Your Topic
DOWNLOAD THE COMPLETE PROJECT MATERIAL
ROLE OF MARKETING IN NIGERIA BANKING SECTOR
Chapter one
1.1 Background of the Study
Financial institutions have a tremendous impact on the economies of all countries.
They provide a diverse range of products and services to the public and private sectors, including long and short-term loans, annuities, savings accounts, mortgages, financial advice, and other financial services.
With more innovation services and increased rivalry in the banking business, advertising has become much more widespread, and it is critical for banks wanting to service a tough market.
Using GT Bank Nigeria Plc as an example, one of the primary responsibilities of a banking executive today is to determine their target market and promote services that will appeal to that segment.
Identifying the target market includes assessing the age, race, and ethnic makeup of the primary customer and creating a campaign that appeals to that demographic.
If the target market is a young married couple, a good marketing campaign may be implemented that includes long-term savings plans, college funds for any children they may have, and loans for building a structure (house), as well as loans for cars.
GT Bank Nigeria Plc and other banks are receiving more market-related services, as evidenced by this. The trend is projected to continue as banks add or introduce new services in order to earn higher returns on their investments.
The purpose of this study is to determine if GT Bank Nigeria Plc’s management philosophy is completely or partially marketing-oriented.
The consequences of not adopting marketing philosophy, as stated in this study, will be investigated.
The factors that guide organisations towards being marketing-oriented will be addressed. In a competitive environment, smart marketing can mean the difference between success and failure.
1.2 Statement of the Problem
As the population of enlightened eaters grows, so does financial enlightenment, financial activism, and understanding of bank actions. Many people are becoming aware of their rights; unlike in the past, bank customers are becoming more rational and critical in how they are handled or attended to,
and banks as businesses should be aware that how well they survive and continue to exist, succeed or fail, is determined by how well their customers are treated and handled.
A study at the Nigerian marketing strategy reveals that banks should strive to please their clients. Instead, it appears that the banking industry does not act in the interests of its consumers. As a result, the Nigerian banking industry fails to recognise the importance of customer orientation.
This leaves us with the difficulty of research in a question.
What is the role of marketing in Nigeria’s banking industry?
1.3 PURPOSE OF THE STUDY
The study’s objectives are:
1. Gain a better understanding and insight into Nigerian banks’ relationship marketing and customer retention tactics.
2. To determine the importance of marketing in the Nigerian banking business.
3. Determine the implications of Nigerian banks failing to implement a marketing philosophy.
1.4 RESEARCH QUESTION.
i. What is the relationship between relationship marketing and customer retention at banks?
ii. What are the implications of not implementing marketing philosophy in the banking industry?
iii. How important is marketing in the Nigerian banking industry?
1.5 Hypothesis.
Ho: There is little or no association between relationship marketing and client retention for Nigerian banks.
Hi: There is a link between relationship marketing and customer retention among Nigerian banks.
Ho: Marketing in the Nigerian banking industry is unimportant.
Hi: Marketing is very important in the Nigerian banking business.
Ho: The consequences of not adopting a marketing philosophy in banking operations are negative.
Hi: The implications of not using a marketing philosophy in banking operations are not negative.
1.6 Significance of the Study
With the recapitalization process launched by the Central Bank of Nigeria (CBN) and the federal government of Nigeria, the country is currently experiencing a business downturn, with the majority of banks in trouble.
Also, banks have lost touch with their clients, and there is a lot of poor service offered to potential consumers or the general public, therefore it is critical to recognise the active role marketing plays in the industry and take appropriate action.
However, this study is significant since it focuses on justifying the role of marketing in the Nigerian banking sector, as well as the adoption of a marketing orientation and its prospects in the banking industry.
This study will inform business organisations about the firm’s marketing ideology as it relates to the marketing department.
Furthermore, it should be remembered that the goal of marketing financial services is to grow prompt output volume by meeting client needs over time. Personal selling is the most effective way to achieve that goal since it promotes and ensures ongoing engagement between bankers and customers.
The goal of this research is to provide straightforward aid and guidance to other researchers who may need to solve a problem in the future.
1.7 Scope and Limitations of the Study
The researcher confronted numerous challenges while carrying out this research effort. Despite these limitations, the work was performed satisfactorily.
The limitations can be grouped into three categories: funding, data gathering, and respondents’ attitudes.
Finance: Due to a shortage of funds, the researcher was unable to travel widely and extensively in order to gather sufficient information for the project. The money to be spent on key materials required for the research also posed an issue.
Data collection: The researcher has significant challenges in collecting data for this project.
Guarantee Trust Bank Nigeria Plc, Auchi branch refuses to reveal its financial structure, and all attempts to obtain information from other sources fail.
Furthermore, several of the personnel were unable to properly complete their questionnaires, which posed significant challenges for the researcher during the research analysis.
Respondent attitude: The researcher had a significant challenge due to the attitudes of the respondents. They questioned the true objective of the information sought. Some responders were reticent, and two refused to complete the questionnaire. The responders’ experience was pretty negative.
1.8 Operational Definition of Key Terms
Marketing is the process by which businesses offer value for customers and cultivate strong customer relationships in order to gain value in return (Kotler and Armstrong, 2006:25):
Role: This can be defined as an individual’s or group of people’s responsibilities in providing adequate customer service.
Marketing Orientation: A corporation with a marketing orientation prioritises serving the requirements or desires of its target customers as its primary business motivation. This includes responding to expressed consumer requirements by creating new products, upgrading existing ones, or improving services.
Companies with a strong marketing orientation may recognise consumer requirements before the entire market is aware of them. These businesses are typically cutting-edge innovators that strive to deliver what clients desire faster than competitors.
Marketing idea is the management philosophy that states that the best way to achieve a company’s goals is to identify and satisfy the customer’s expressed and implicit requirements and wants.
Service is defined as anything that can meet the needs and desires of a consumer that cannot be felt, seen, or touched.
According to John Rathmul (1977), there is one intangible product that is done rather than product.
Marketing Promotional Mix: During any particular period, a firm utilises a certain combination, mix, or blend of advertising, personal selling, sales promotion, and publicity to communicate with managers about itself, its product, or both. Such a combination, used for a specific period, constitutes the company’s promotional mix.
According to Kotler Philip and Kotler Kelvin Cane (2006), marketing mix is the set of marketing techniques that a company uses to achieve each marketing goal.
It is also defined as the combination of controllable variables such as product, price, site, and promotion that sell out in order to improve sales of a company’s current product through an aggressive marketing mix.
Marketing penetration is the process of increasing sales in a company’s current market, typically through a more aggressive marketing mix.
Motivation: Internal and external factors that boost people’s desire and energy to remain interested and dedicated to a work, role, subject, or attempt to achieve a goal.
Motivation The results of the interaction of both conscious and unconscious elements, such as the
1. Intense want or urge,
2. The goal’s incentive or reward value.
3. Expectations for the individual and his or her peers.
PERISHABILITY
According to Mesejo D.F (2001), services, unlike products, cannot be sold on the street.
The value of a service exists only at the point where it will be supplied. Perishable services are those that are not consumed when they are available at any given moment.
Personal Selling
According to Saliu Musa Momoh (2002), personal selling entails an exchange or interaction between customer and seller in a physical, social, or moral manner with the goal of making a sale.
EQUIPMENT
Mesajo D.F. (2001) states that these are the items required for a specific goal. The company should be technologically mobile and not insist on employing an outdated 1925 typewriter and computer in the jet era.
TRAINING
According to Philip Kotler (1984), training is the systematic alteration of employees’ behaviour to promote the attainment of organisational goals.
Need help with a related project topic or New topic? Send Us Your Topic