ABSTRACT
This research work titled "The Effect or Marketing Financial Services in Deregulated Nigerian Banking Industry" was carried out in Lagos state, Nigeria because of its peculiarity and consideration as the seat of banks in Nigeria.
A theoretical background and literate
review focusing on marketing in general, banking industry in Nigeria,
financialservices marketing in perspectives regulated deregulated
economy and host of other relevant theories concerning the Nigerian
banking industry was x-rayed.
A total of 150 respondents who were
mainly customers of UBA from 5 different branches were sampled through
well-administered and structured questionnaires with a view to finding
the effect of marketing strategy on the bank in this era of
deregulation.
Data were also collected from primary
and secondary sources and based on the findings, recommendations were
made to the affected quarters on ways to carry out marketing of
financial services under a deregulated system in order to sustain its
market share and enhance growth in the industry.
TABLE OF CONTENTS
CHAPTER ONE
INTRODUCTION
1.1 Background Of The Study
1.2 Statement Of Problem
1.3 Objectives Of Study
1.4 Significance Of The Study
1.5 Scope And Limitation
1.6 Operational Definition Of Terms
CHAPTER TWO
THEORETICAL FRAMEWORK AND LITERATURE REVIEW
2.1 Marketing
2.2 Mission (Or Vision) Statement:
2.3 Company Objective:
2.4 Market Analysis:
2.5 Regulation And Deregulation Of Marketing Financial Services
2.6 The Changes May Be Categorized Into Three Phrases: Namely;
2.7 Evolution Of The Nigerian Banking Environment
2.8 Advent Of Marketing Financial Services
2.9 Difference Between Marketing Of Financial Services And Other Products
2.10 Special Characteristics Of Financial Services-Specially Banks
2.11 Marketing Strategies In Financial Services
2.12 Obstacles To The Marketing Of Bank Services In Nigeria
2.13 Rationale For Adopting Full-Blown Marketing In Nigeria Banks.
2.14 Range Of Finance Services
2.15 Eveloping A Marketing Plan, Strategies And Goals
2.16 Tools For Marketing Of Financial Services
2.17 Market Analysis And Segementations
2.18 Distribution Of Services (Bank And Financial Services
2.19 Promotion
2.20 Pricing
2.20 Pricing
2.21 Innovation Approach To Marketing Of Financial Services
2.22 Mastering Of The Elements Of Banking
2.23 Customer Behaviour And Public Relations In The Marketing Of Financial Services
2.24 The Role Of Public Relations In The Marketing Of Financial Services
2.25 Public Relations Channels
2.26 Uba Banking Background
2.27 Consumer Credit Products
2.28 Uba Investment Account
2.29 Saving Account
2.30 Foreign Currency Domiciliary Account (Fcda)
2.31 Current Account
CHAPTER THREE
RESEARCH METHODOLOGY
3.1 Area Of Study
3.2 Research Design
3.3 Sample Size And Sampling Technique
3.3.2 Research Instrument
CHAPTER 4
DATA PRESENTATION, ANALYSIS AND INTERPRETATION
4.1. Introduction
4.2 Interpretation Of Data
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
5.1 Summary Of Study
5.2 Conclusion
5.3 Recommendations
Bibliography
APPENDIX
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
The financial institution particularly
banks, are economic decision units established to provide financial
services to its target markets with a primary objective of making
adequate returns on the funds invested without neglecting other social
objectives to the society. Nigeria banks in the face of increasing
competition are currently facing enormous challenges, which have made
survival increasingly difficult. For overall corporation objectives and
continue life of business, banks need to consciously structure their
services in a way that caters for the financial needs of not only their
present customers, but also the prospective ones.
Thus, the above stated makes marketing
increasingly important and necessary in today's financial competitive
environment. Also paying great attention to relevant marketing
techniques cannot be over emphasized.
Traditionally, the need for marketing in
banking was not recognized because for a very long time, banking was a
seller's market while most customers had the impression that they were
privileged to enjoy the service the services of a bank. In recent times,
customers have increasingly become so enlightened and aware of their
important that ignoring them in the search for competitive advantage can
be suicidal for the banks. Banks must therefore brace up the challenge
of marketing in a bid to provide effective customer service. It should
be noted that the lateness in the application ofmarketing techniques to
banking is not peculiar to Nigeria. In their article”The myth of
marketing in Banking" Richard Brien James Stefford observed that
Marketing has traditional been neglected.
It perhaps necessary to emphasize here
that, for a bank to survive and be successful provider of financial
services, it is imperative that the present environment goes with a
management order that will see the customer as a king whose needs .and
expectations should form a centerpiece of banks activities. It is the
adequate provision of these needs that will guarantee
customers’satisfaction and business performance. The end product is a
competitive advantage for individual bank concerned.
1.2 STATEMENT OF PROBLEM
The meteoric rise in the number of banks
in Nigeria born out of the deregulation of Industry has made survival
increasingly difficult. At this junction, one will be compelled to
appreciate the saying that 'there is no use asking a river to stop
flowing, rather one should learn to swim in the direction; of its flow'.
In the same vein, since this trend has continued unabated, efforts
should be made by banks to fashion out a panacea that gives a
competitive edge in the face of extreme competition. Hence the question
of marketing which gives the customers the sense of fulfillment more
especially now that they are getting more sophisticated and also
increasingly aware of their importance on the scheme of things in the
market place and recognizing their pride of place of place in the
marketing arena.
Are there any empirical relationship between marketing of financial services and successful performance of Nigeria banks?
And if the answer to the above is in the
affirmation, then what are there marketing tools and how can they be
effectively applied?
1.3 OBJECTIVES OF STUDY
(1) To ascertain this research work
there is need to carried out in order to analyzes the effort of
marketing financial services in deregulated Nigerian banking industry
using United Bank of Africa (UBA) as contact point.
(2) To verify the research work been carried out to direct the effort of marketing financial services in Nigerian banks.
(3) To examine the
importance of the application of appropriate marketing tools in the
survival and success of Nigerian banks in the face of competition.
1.4 SIGNIFICANCE OF THE STUDY
The purpose of this study is to rotate
the obvious that the Nigeria banking industry has witnessed a lot of
changes in its mode ofoperations since 1986 when the structural
Adjustment Program (SAP) was introduced. This might not be unconnected
with the passive talk in the banking industry that management and staff
of various banks in the countries are increasing concerned about how to
Market their services.
It is against this background that the topic is been chosen in our current.
The outcome of this research work will be useful to individual and group of company willing to bank with UBA.
Economic milieu vis'avis' the application of marketing strategies in the overall achievement of corporate objective of banks.
1.5 SCOPE AND LIMITATION
This study encompasses a brief review of
the Nigeria banking industry with particular attention paid to UBA
Bank, at AbuleEgba to the imperative of marketing in the survival
andsuccess of banks in the present deregulated economy which entails the
liberalization of banking license as well the universal banking scheme.
The study embraces an examination of the
factors that customer's choice of banks and strategic modifications
involved by banks in adapting to marketing changes in Nigerian banking
industry.
Although this study has succeeded in
demonstrating the relationships between customer's attitudes and some
variables, the significance of such relationships have not been
ascertained. Knowing the extent which consumer criteria for choice of
bank relates to their ages and not banks specialization, and also
knowing the extent to which product quality relates to consumers choice
criteria, could have provided a greater insight into consumer's images
and choices of banks and then permit greater generalization, which may
not be ideal in this case. The choice of only one banks for analysis in
this study also imposes some limitations on the generalize ability of
the findings.
Deregulated economy and host of other relevant theories concerning the Nigerian banking industry.
Chapter 3 discusses the research
methodology, under which the sources of data are highlight, method of
investigation and questionnaire adopted.
The data are presented and analyzed in chapter 4, while a summary of findings.
The outcome of this research work will be useful to individual and group of company willing to bank with UBA.
1.6 Operational Definition of Terms
A. Meteoric - Rapid and often only lasting for a short time.
B. Deregulation - Remove regulations or controls from.
C. Liberalization - Make less strict.
D. Fraudulent - Criminal deception to gain money goods.
E. Distortions - To make or become twisted out of shape.
F. Treasury bill - The funds or revenue of a state, society etc.
G. Mobilization - Organize troops for active.