AN EVALUATION OF MARKETING CONCEPT IN THE BANKING INDUSTRY A CASE STUDY OF UNION BANK PLC


AN EVALUATION OF MARKETING CONCEPT IN THE BANKING INDUSTRY A CASE STUDY OF UNION BANK PLC  

ABSTRACT

The main of objective of the research work an evaluation of marketing concept in the banking industry is find out the nature of marketing concept and its significance in union Bank plc, some of the objectives of the research work include: to determine the nature of the marketing concept, to determine the relevance and application of the marketing concept in the Banking industry. The study made use of primary data with a sample size of 200; about 400 questionnaires were distributed and 200 were returned out of the 400 questionnaire; the chi- square method was used for the purpose of the analysis. The research concluded that marketing concept is given significant attention in union Bank.The study then recommended that union bank should improve on their marketing concept as it has significant effect on their performance.

TABLE OF CONTENT

CHAPTER ONE

1.1Background of study

1.2Statement of problems

1.3Objectives of Research

1.4Scope and limitations

1.5Research questions

1.6Significance of study

1.7 Definition of Terms

CHAPTER TWO

2.1 conceptual frameworks of marketing concepts

2.2 marketing mix

2.2.1 Classification of the Nigerian financial system

2.2.2 Marketing of banking services in Nigeria

CHAPTER THREE

3.1Research Design

3.2Types and sources of Data

3.3Population

3.4 Samples and Sampling Technique

3.5Research Instrument

3.6Reliability and Validity of Instrument

3.7Method of Data Collection

3.8    Method of Data Analysis

CHAPTER FOUR

Data Presentation and Analysis

4.1Introduction

4.2Data Analysis

4.3 Test of Hypothesis

CHAPTER FIVE

5.1Findings

5.2Recommendations

5.3Conclusions

5.4Limitations of the study 

5.5References

5.6 Appendix

CHAPTER 1

1.1 BACKGROUND OF THE STUDY

To be competitive, financial institutions must appraise how they are delivering products and services, determining that their marketing approach meets their customers' needs and demands for financial products. Non-banking entities continue to enter the financial services arena which has given rise to the need to market products more effectively. Additionally, customers' wants and needs are constantly changing, along with changing technology and delivery methods. Attention to service quality is mandatory for those institutions who hope to increase their marketshare. A dilemma is created for those in the financial services industry. Where is emphasis placed--on service or cost? The successful financial institutions will be those who can adapt their marketing approach to meet the demands brought about by changing laws, technology, and customer requirements.Therefore the research seek to evaluate the marketing concept in  the Banking industry with a case study of union Bank plc.

1.2 STATEMENT OF THE PROBLEM

The recent developments in the banking industry  from consolidation , to mergers ,and acquisition of small banks by the big ones  has led to to stiffer competition in the banking industry

As a result it is imperative that banks refocus their  marketing strategies to be relevant and customer driven. present economic climate in our country possess serious 

challenges to the banking industry, ranging from effective and prudent management of resources to the quality of service rendered and their accruing mutual satisfaction to both banks and customers. In other words, it calls for the adopting of a marketing orientation and the application of the tools of marketing to banking business to ensure survival and growth.Therefore the problem confronting this research is to evaluate the marketing concept in the banking industry with a case study of union bank plc

1.3    RESEARCH    QUESTION 

1 What is the nature of   the marketing concept

2 What is the relevance and application of the marketing concept in the Banking industry

3 What is the nature of the marketing concept in union Bank

1.4 OBJECTIVES OF THE RESEARCH

1 To determine the nature of the marketing concept

2 To determine the relevance and application of the marketing concept in the Banking industry

4  To determine   the nature of marketing concept and its significance in union Bank plc

1.5 SIGNIFICANCE OF THE RESEARCH

The research shall profer the relevance of the marketing concept in the banking industry

It shall serve as a source of information to marketing expert in the banking industry

1.6 STATEMENT OF THE HYPOTHESIS

1  Ho    competition faced by  union Bank is low.

     Hi      Competition faced by union bank is high.

2   Ho     marketing concept is  not given significant attention in union 

     Bank

     Hi    Marketing concept is given significant  attention in union Bank

3  Ho   The impact of marketing concept in union Bank is low

     Hi   The impact of marketing concept in union Bank is high

1.7 SCOPE OF THE STUDY

The study focuses on the evaluation of the marketing concept  in the Banking industry with a case study of the  effect of marketing concept in union Bank plc

1.8 DEFINITION OF TERMS

 The Marketing Concept.  This is a business philosophy that challenges the above three business orientations.  Its central tenets crystallized in the 1950s.  It holds that the key to achieving its organizational goals (goals of the selling company) consists of the company being more effective than competitors in creating, delivering, and communicating customer value to its selected target customers. The marketing concept rests on four pillars:  target market, customer needs, integrated marketing and profitability

SALES  CONCEPT

The Sales Concept focuses on the needs of the seller.  The Marketing Concept focuses on the needs of the buyer.  

 The Sales Concept is preoccupied with the seller’s need to convert his/her product into cash.  The Marketing Concept is preoccupied with the idea of satisfying the needs of the customer by means of the product as a solution to the customer’s problem (needs).

MARKETING MIX DEFINED

The marketing mix is a business tool used in marketing and by marketers. The marketing mix is often crucial when determining a product or brand's offer, and is often associated with the four Ps: price, product, promotion, and place.[2] In service marketing, however, the four Ps are expanded to the seven Ps[3] or Seven Ps to address the different nature of services.

In the 1990s, the concept of four C's was introduced as a more customer-driven replacement of four P's.[4] There are two theories based on four Cs: Lauterborn's four Cs (consumer, cost, communication, convenience), and Shimizu's four Cs (commodity, cost, communication, channel).

In 2012, a new four P's theory was proposed with people, processes, programs, and performance

CUSTOMER DEFINED

A customer is an individual or business that purchases the goods or services produced by a business. The customer is the end goal of businesses, since it is the customer who pays for supply and createsdemand. Businesses will often compete through advertisements or sales in order to attract a larger customer base. 

BANKING SERVICES

the various ways in which a bank can help a customer, such as operatingaccounts, makingtransfers, payingstanding orders 

BANKING PRODUCT

goods and services that banks provide for their customers, for example, statements, direct debits, and automatic debits

REFERENCES

Althouse, Jeanne, (1999). Director, Future of Money Program for The Institute for the Future, Menlo Park, CA, Presentation to the Independent Community Bankers Annual Convention, San Francisco, March.

Bexley, James B. (1998). Directors' Duties & Responsibilities in Financial Institutions, Huntsville, TX: Sam Houston Press, Huntsville.

Federal Deposit Insurance Corporation, (1998) Annual Statistical Data.

Hempel, George H. & D. Simonson. (1999). Bank Management-Text and Cases, 5th Ed., New York: John Wiley & Sons, Inc.

Koch, Timothy W. (1999). Bank Management, 4th Ed., Fort Worth: The Dryden Press.

Rose, Peter S. (1999). Commercial Bank Management, 4th Ed., Boston: Irwin/McGraw-Hill.

Sinkey, Jr., Joseph F. (1998), Commercial Bank Financial Management, 5th Ed., Englewood Cliffs: Prentice-Hall.

James B. Bexley, Sam Houston State University

Joe James, Sam Houston State University

.


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