THE BANKING SECTOR AND ITS MARKETING STRATEGIES (A Case Study of Access Bank Plc., Ikot Ekpene)

Project code: ACC713671   |   Pages: 48   |   Words: 6,736   |   Characters: 42,980   |   Format: Word & PDF

ABSTRACT

Marketing strategies in the banking sector has played important role in the service of banks in Nigeria. The case study is Access bank p/c its main objectives were to assess the impact of marketing strategies on the development effort of the bank and also examine the impact of marketing on profitability of the bank. The major research question were on how marketing strategies has cause an impact on the development effort of the bank also the impact created on profitability by marketing strategies. The study uses survey research and a population of twenty-five staffs Access bank while twenty were sample; percentage analysis was used in analysis the data from the research question using the questionnaire. the finding of the study cover at the research and possible conclusion were made that the bank should aim at balancing us goals with the customers and society goals recommended to reduce their cost of marketing so as to achieve the goals which is maximum profitability.

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CHAPTER ONE

1.0 INTRODUCTION
1.1 Background of the Study
The banking sector has experience a lot of changes in the past years bank in 1980's banking operation were simplified no dress code, managers did not cultivate the believe of marketing their products but currently marketing has taken a new shape as the marketing officers go beyond their primary responsibility to market their services. Marketing approach in banking sector had gained prominence after 1950 in Western Countries and then after 1980 in turkey new banking perceptiveness oriented toward marketing had influence bank to create new market. Bank had started to perform marketing and planning techniques in banking in order to be able to offer their new services efficiently, perform marketing strategy in the case which is the determination of the place of financial institution on customer's mind. Bank marketing does not only include service selling of the bank but also is the function which get personality and image for bank on its customer's mind. Over past 26 years Access Bank Plc has transformed from an obscure Nigeria Bank into a world class African financial institution. Today Access Bank is one of the five largest banks in Nigeria in terms of asset loans deposit and branch network, a feat which has been achieved through strong long term, Approach to client solution providing committee and innovative advice.
Access Bank has built this strength and success in corporate banking and it now taking that expertise to the personal and business banking platform. It acquired from Nigerian International Commercial bank in 2012. The last two years have been spent investing in the infrastructure integrating the business, strengthening the product offer. As the part of, its continued growth strategy Access bank is focused on main-streaming sustainable business practices into its operation. The bank strives to delivers sustainable economic growth that is profitable environmentally responsible and relevant, In 2009 a special audit of the commercial banks in Nigeria by the central bank of Nigeria found nine of the banks to be undercapitalized and badly managed. Intercontinental Bank Plc. was one of the troubled banks. In 2011 Access Bank begin talk with the central bank of Nigeria to acquire intercontinental Bank Plc, further to the approval of the shareholder of Intercontinental Bank an Access Bank, court sanction of the federal high court of Nigeria and approval of the central bank of Nigeria and the Securities and Exchange Commission. Access Bank Plc. (Access) and intercontinental bank Plc announced the completion of the recapitalization of intercontinental bank and acquisition of 75% majority interest in Intercontinental Bank by Access Bank Plc. in effect, intercontinental Bank Plc. (including all its asset, liabilities and under takings) become a subsidiary of Access Bank Plc.

1.2 Statement of the Problem
The banking sector is established to provide its customers with financial service mostly through these they aimed at maximizing profit since that is the motive of any profit oriented organization.
A major activity which is geared toward the achievement of these goals it to reach it's targeted market in a specified period, these implies that customers will be aware of the service provided by the bank and the superior authorities which such service have over their competitors, marketing strategies aims at creating such awareness and thereby causing sustain changes in the customer, performance for the service.
Meanwhile, the banking sector and other service industries are faced with difficulties as to who their targeted market should be and such cannot meet its goals if their marketing strategies is not well organized, since they are facing competition in marketing their service. The difficulties include lack of fund, poor network service customer relationship management, poor record keeping and appropriate marketing strategies.
Therefore, these project will evaluate empirically the possible relationship that exist between marketing and profitability of Access Bank Plc.

1.3 Research Questions

  • Does the marketing strategies create and impact on the development effort of your bank?
  • Does marketing strategies improve profitability in your bank?
  • Does the marketing strategies a function of the bank turnover?
  • Does your bank adopt information communication technology in its marketing strategies?
  • Does your bank compete favorable with other banks in terms of marketing strategies?

1.4 Objectives of the Study

  • To access the impact of marketing strategies on the development effort of the bank.
  • To examine the impact of marketing strategies on the profitability of the bank.
  • To examine whether the bank competes favorable with other bank in terms of marketing strategies.
  • To assess whether the bank has adopted information technology in its marketing.
  • To ascertain whether the marketing strategies is a function of bank turnover.

1.5 Scope of the Study
This project is carried out to examine the bank sector and its marketing strategies with reference to Access Bank Plc.
However, this work has been restricted to (50) pages besides financial constraint, time and material available has further joined in the restriction of this work.

1.6 Significance of the Study
This project will be beneficial to many sectors and group of people in the society, it will also be of great benefit to individuals who want to know how marketing strategies aids in successful business. Again, it will be of great help to government financial institutions, business organization, future researchers in related subject matter and any organization facing problems in marketing its services or product. Finally, the recommendation at the end of this work will enable management to solve the problem of marketing it services.

1.7 Limitations of the Study
A major limitation of this study was time. The time allowed for this study was very short as a result of this, a detailed and comprehensive study could not be possible.
Lack of finance and high cost of transportation have limited the researcher to few text for reference. The study of this research work is bound to face some problems. Such problems include the time that was required by the researcher to conduct a more extensive work.
Financial constraints, non-availability of research materials make it impossible for the researcher to cover all the ground that could be reached in a project of this nature.
Being an examination material for the award of National Diploma (ND), its volume which does not allow for extensive coverage is restricted to about some pages.
Another limiting factor is that of human attitude towards the researcher.

1.8 Definition of Terms
Bank: This is commercial institution which perform various financial activities e.g collecting and handing of deposit of its customer. It is also an institution that create money through loans and overdraft so as to aid its customers and people.
Marketing: This is the act of identifying and understanding customer needs and coming up with the solution to satisfy customer need in term of goods and services that will yield profit to shareholders.
It also involves promoting buying, selling and distributing of product or services.
Services: This is the act of performance by the bank to satisfy its customers in an intangible form, which involve transfer of ownership.
Bank Services: These are the financial supports granted by banks to its customers in term of loan and overdraft etc. and also safe guarding the customers funds and other social services
Marketing Strategies: According to Onah et al. (1993) marketing strategy is defined as the means whereby a company decide how to position itself in such a way that allows it to gain an advantage over its competitors.
This is the plan or statement that will guide the service rendered by the bank so as to meet its goals. It is also a technique used by the bank which does not only generate profit for the bank but satisfies both current and potential customers as well as contributed towards better standard of living in our society.
Profitability: This is the excess of revenues over expenditure. It could be measured in terms of earnings per share (EPS) return on equity investment and cost of marketing. Its computation on profit after tax (PAT).

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