Public Relations and Its Impact on the Banking Industry

Public Relations and Its Impact on the Banking Industry

ABSTRACT

The study is based on public relations and its impact on the banking industry (a case study of GTbank Kaduna branch). The study adopted a survey research method using a questionnaire as the instrument for gathering data. In writing this project, the research begins with a general introduction of the subject matter, a statement of the general problem, as related to the organization rationale or objectives of the study, the scope of the study, limitations of the study, and definition of terms. A review of related literature of the scholars is also highlighted in notable areas. Other areas of interest study include the methodology of the entire research work, this includes methods or approaches used, an instrument used, research population and sample size, sampling procedure employed, justification for a sample selected, a statistical technique used in analyzing the data as well as the formulation of hypothesis. For the findings of the research, 97% of respondents were positive about the fact that public relations help in building a favorable image for an organization. The study, therefore, concludes that public relations are a veritable tool for maintaining a favorable image for every corporate organization.

CHAPTER ONE

1.1 INTRODUCTION

The business world can be extremely competitive, companies typically want to have something that makes them stand out from the crowd, something that makes them more appealing and interesting to both members of the public and the media. A favorable image can help increase a company’s sales and negative publicity can damage a company’s reputation and decrease sales. Public relations (PR) can give consumers and the media a better understanding of how a company works. Within a company, a public relations department might also be called a public information department or a customer relations department to assist customers if they have any problems with the company. They usually try to show the company at its best.

The public relations department also might research to learn how satisfied customers are with the company and its products. There are many tools and methods that a public relations department can use to enhance a company’s image. The tools that have been traditionally used include news releases and announcements that are sent to the media, newsletters that are sent to customers, and appearances at public events, such as trade shows or conventions. With the proliferation of the internet, the PR department can now use tools such as blogs and social media networks to accomplish its goals. Many people have the perception of public relations (PR) as a way to “sprier” news and information, which means to portray the news or information in the best possible way for the company. If a company announces layoffs, its public relations department might claim that the company is lowering its costs and making itself more efficient, so it will be better able to serve its customers at lower prices. As long as those things are true, then the public relations department is doing its job of protecting its reputation and image. Stretching the truths are exposed. These include a high level of communication skills, both written and verbal. A public relations person (PR) also must be adept at multitasking and time management. He or she might have some form of media background or training to understand how the media works. Organizational and planning skills also are important in public relative. A public relations employee must be able to work well under pressure.

Finally, in most large companies, public relation is a specialty in itself guided by specific disclosure regulations. 

1.2 Statement of the Problem

Public relations can be difficult, but it can also be fun. There’s nothing more rewarding than knowing that the people you reach are walking away with valuable information whether they choose to take immediate action or not. A favorable image can help increase a company’s sales, and negative publicity can damage a company’s reputation and decrease sales. The question then is, how far have public relations been able to achieve the set objective over the years in the banking industry. This is what this research is out to examine.

1.3 Purpose of the Study

The study is on public relations and its impact on the banking industry aimed to achieve the following objective:

–  To examine how public relations programs are being used by GTB in improving its prestige and image with the public.

–  To find out how often the bank undergoes special events like formal press conferences and grand openings.

–  To examine the bank’s public service activities such as chainable donations and sponsorship of events.

–  To determine the varieties of marketing communicators used by the bank such as media releases, news conferences, and article placement, to generate publicity.

1.4 Significance of the Study

The study has both theoretical and practical applications the relevance, it is not only academic but practically oriented in management-related business outfits. The study is on practical fulfillment of the award of Higher National Diploma (HND) in marketing. The work will be of benefit to the management staff of Guarantee Trust Bank (GTB) Kaduna through the recommendation offered by the researcher. The work will be of benefit to the researcher because his mental faculty toward the subject matter will be enhanced.

1.5 Research Questions

In the course of the study, the following research questions were developed.

–  How often does the bank undergo public relations programs in a year?

–  How does the bank carry out its public service activities like event sponsorship/donation?

–  Who on behalf of the bank handle formal press release and conferences.

1.6 Scope of the Study

The scope of the study is on “public relations and its impact on the banking industry”. The scope will also cover the various definition of public relations, historical perspective of public relations, impact, role, skills needed in the public relations department and steps in public relations programs, etc. the scope will be restricted to the GT Bank Kaduna branch.

1.7 DEFINITION OF OPERATIONAL TERMS

Public relations: This is an activity aimed at increasing communication and establishing a favorable relationship between an organization and its public. It is also a planned and sustained effort to establish and maintain goodwill and mutual understanding between an organization and its public

Publics: These are groups of people with which an organization communicates. Publics are also those who are affected by an organization’s activities e.g employees, neighbors potential employees, consumers, opinion leaders, shareholders, youth, community, politicians, etc.

Tool: This entails a process or means through which an aim is achieved tools are also things or instruments that help you carry out your duties.

Relations: The way two or more things behave with each other.

PR: Abbreviation of public relations

Organization: A company, industry, or business enterprise.

Research: This is the process of finding out or discovering what is not previously known.

Strategy: This is an art of planning an operations it is also a skill in managing an affair.