Application of Marketing Concept and Its Effectiveness in Consumer Satisfaction in GTBank
The primary objective of this research work is to carry out a proper investigation of “the application of marketing concept in commercial banking and its effectiveness in consumer satisfaction” at Guaranty Trust Bank Murtala Muhammed Square Branch Kaduna. To highlight the result of the investigation of the subject matter. Background, statement of general problem, significance, research question and limitation of the study. Chapter two is the literature review relevant materials were used in order to acquire full information about marketing, the marketing concept. Nigeria’s financial system and banking. Authors whose books were consulted in this research work were acknowledged, chapter three deals with the research methodology, and primary data were gathered through the utilization of personal interviews and detailed questionnaires. The total population size of Guaranty Trust Bank Management/staff in the branch is 40 out of which 15 were randomly selected and administered questionnaires. 20 respondents of the total customer population were also randomly selected. All the respondents responded to the questions asked which were later tabulated. Simple random sampling is the method employed by the researcher in determining the sample size, the statistical technique used in testing the questionnaire was simple percentage method justification of samples, sampling method employed, etc. were all discussed extensively. The tested marketing concept does not affect the customer’s satisfaction.: Marketing concept affects the customer’s satisfaction. Chapter four deals with data presentation and analysis; all the data collected were analyzed in this chapter, result obtained from the data and proof of questionnaire. was accepted often careful analysis of the alternate questionnaire, this chapter result obtained from the data and proof of questionnaire was accepted often careful analysis of the alternate hypothesis. It proved that marketing concept. ApplicatiThe applicationconsumer satisfaction. Finally chapter fiver contain the summary of the major finding of the research and recommendation were made based on conclusion. The recommendation include A well-coordinated marketing planning programme must be adopted by Guaranty Trust Bank to ensure that all departments are giving total participation towards customer’s satisfaction. All effort should be directed towards reducing customer waiting time to the barest minimum which is highly important. These can assist management in marketing their products effectively while ensuring customer satisfaction.
TABLE OF CONTENTS
Title page i
Approval page iii
Table of contents vii
CHAPTER ONE: INTRODUCTION
1.0 Background of study 1
1.1 Statement of General Problem 6
1.2 Research Questions 7
1.3 Objective of study 7
1.4 Significance of Study 8
CHAPTER TWO: LITERATURE REVIEW
2.0 Introduction 9
2.1 Conceptual Framework of Marketing Concepts 9
2.2 Marketing Mix 14
2.2.1 Classification of the Nigerian Financial System 16
2.2.2 Marketing of Banking Services in Nigeria 17
CHAPTER THREE: RESEARCH METHODOLOGY
3.0 Introduction 25
3.1 Research Design 25
3.2 Area of Study 26
3.3 Population of Study 26
3.4 Sample and sampling technique 26
3.5 Method of data collection 27
3.7 Method of Data Analysis 27
4.0 Introduction 29
4.1 Characteristics of respondents and classification 29
4.2 Data presentation and analysis 31
4.3 Answer to research question 44
5.0 Introduction 47
5.1 Summary 47
5.2 Conclusion 49
5.3 Recommendations 50
1.0 BACKGROUND OF THE STUDY
The marketing concept is a customer-oriented philosophy that states that customer satisfaction is the economic and social justification of a firm’s corporate existence. These philosophies hold that the company should be customer-oriented. Strive for profitability. Sales volume and coordinate all its marketing activities. Marketing management however is the vehicle that business uses to capture the marketing concept.
Kurtz (1992. Pg 3) defines marketing management as a unifying approach marshaling and directing the total resources of a business firm towards the determination and satisfaction of a customer and consumer wants in a way planned to enhance the firm overall profit position.
Where the marketing concept is recognized, there is a total change in the basic philosophy of business. Instead of trying to sell what can be produced. Management produces what is needed by the customer through the profit criterion is there. The element of serving and keeping the customer satisfied is equally important to the company. By realizing that it is not merely selling a particular product but a particular need of a customer is satisfied effectively.
The essence of banking services marketing is to provide the desired satisfaction to customers and make the business of banking maintain a sound footing and sustainable growth in the short and long run.
The current industrial, commercial, and technological metamorphosis with increased competitive pressure. Customer expectation and other unstable environmental faces are clear indications that a business either adopts marketing concepts philosophy or goes out of existence. The recent proliferation of banks in Nigeria denotes a more intense competition in which only those capable of adapting dynamically would be able to maintain sustained growth and profitability.
The present economic changes in Nigeria no doubt, pose greater challenges to commercial banks. These trends of changes have made banks realize that their customers can no longer just be treated in an off head manner. Banks, therefore, employ marketing experts who go out and solicit customers’ patronage and loyalty. Banks now realized the importance of maintaining a close relationship with customers and getting the service as closer to them as possible. Most banks set up marketing research department or as the case may be to gather more facts about customer needs, attitude, motives and preference. The orientation of banking service started with the production concept which believes that customers would buy the services offered to them by banks provided it is accessible and affordable. Thus banks thinks of offering useful services and open out more branches to make their service accessible.
Later the bank moves to the product concept under the assumption that customers would buy such services that offer the best quality and value for the price that is being offered. Thus banks direct their efforts to improve the quality of their services.
However, at the later stage of their development, sales orientation comes into effect i.e. selling concept which believes that customers would not buy enough from them unless a positive extra effort is made to sell the product due to an increase in competition and awareness. Today, the application of the marketing concept makes banks accept the fact of finding out the needs and wants of customers and provide banking service packages that will best satisfy such needs and wants profitably.
The marketing concept has been viewed as the correct philosophy in achieving a long – term commercial success. Thus making the task of persuading customers to buy the service that the bank offered very easy. Therefore customer satisfaction becomes inevitable. The marketing concept is directed toward answering the question of, who are our customers. To whom do we produce? What marketing techniques do we employ? Why are we selling this product? Who do we sell to? Also to find out what the customer wants and where he wants to buy the product and how he wants it delivered to create a cordial relationship between the organization and its customer to achieve maximum satisfaction.
The banking profession in Nigeria had until – recently been characterized by what expert refers to as armchair banking, where bankers are waiting in their offices for work to come and meet them. This approach to banking business is deficient because the bank had not fully embraced marketing concept: its philosophy and function. Their perception of marketing is still narrowly defined. Marketing of bank services actually transcend these myopic ends.
Nigeria’s commercial banks need to adopt the marketing concept programs for a purposeful and customer-oriented approach to the business of banking. As a result of the above factors, this research is designed to answer the following questions.
1) To research into and find out those areas the banks have found to be of interest in satisfying customers.
2) To ascertain the opinions of banking staff towards their customers and vice–versa.
3) To find out the place and role of marketing in the organizational structure of commercial banks and to what extent marketing functions have been applied.
4) To ascertain the effectiveness and efficiency of marketing concept application.
5) To make useful recommendations for improvement
1.1 STATEMENT OF GENERAL PROBLEM
The marketing concept doesn’t seem to receive complete recognition by the Nigeria commercial banks. The integrated marketing idea that business should be organized in such a way as to satisfy the customers by committing the whole system of the organization’s activities towards a single objective has been a myth to the commercial banks rather than a reality. Consequently, customers are not given the adequate attention they required in the banks as that which is appropriate in the service organization. Furthermore, banks charge discriminatory interest rates on borrowed funds which causes untold hardship to customers.
1.2 RESEARCH QUESTIONS
The research questions are formulated on the basis of the purpose of the study to guide the entire research work. These questions will serve as a guide to the researcher in designing the questionnaire and in providing solutions to the problems discovered.
1.3 OBJECTIVES OF THE STUDY
1) Find out the area the banking services
2) To ascertain the extent to which or applied in the banking sectors.
3) To ascertain the effectiveness and efficiency of marketing concept application to banking industry.
4) To recommend solving problems based on findings that will help to improve other marketing strategies implementation.
1.4 SIGNIFICANCE OF THE STUDY
The research is timely and important because of the role marketing plays in the organizational performance the research finding is hoped towards providing qualitative knowledge and idea in applying the concept of marketing in achieving corporate objective and customer satisfaction.
* What is the status of the marketing concept in GT – Bank?
* How long has GT Bank adopted its marketing concept?
* What is the impact of the marketing concept on GT Bank?
* How will the bank improve its concept to their customers?
Copyright © 2023 Author(s) retain the copyright of this article.
This article is published under the terms of the Creative Commons Attribution License 4.0
If you like this article, see others like it:
- Application of Marketing Concept in Commercial Banks
- An Analysis of the Impediments to Strategic Management in the Nigerian Banking Industry
- The Role of Fiscal Policies in the Development of Nigerian Economy
- 10 Banking and Finance Research Project Topics (New)
- FACTORS INFLUENCING CUSTOMER LOYALTY IN THE NIGERIA BANKING INDUSTRY