Bank marketing

Concepts and elements of Bank Marketing

1. Bank Marketing

2. Bank marketing is the aggregate of
functions directed at providing services to
satisfy customers financial needs and wants,
more effectively and efficiently than the
competitors keeping in view the
organizational objective of the bank

3. Why Bank Marketing?
Existence of the customers
Win more and more customers
Appropriate promise to a customers

4. Purpose of Marketing Bank Services
Identify the most profitable markets now and future
Assessing the present and future needs of the customers
Setting business developmental goals
Managing and promoting various services and products
Adapting to a changing environment

5. Marketing Mix in Banking Sector
Bankingservicesareaboutthemoneyindifferenttypes
andattributeslikelending,depositing,andtransferring
procedures.Theseintangibleservicesareshapedin
contracts.Thestructureofbankingservicesaffectsthe
successofinstitutioninlongterm.Besidesthebasic
attributeslikespeed,securityandeaseinbankingservices,
therightslikeconsultancyforservicestobecompounded
arealsopreferred.

6. Product
Todaybankprovidevideveracityofproductsand
services.Providingaproductdistinctfromthecompetitors
willhelptogethighlightedinthemarket.

7. Price
Banksshouldbeverycarefulindeterminingtheirprices
andpricepolicies.Becausemistakesinpricingcause
customers‟shifttowardtherivalsofferinglikewiseservices.
Traditionally,banksusethreemethodscalled“cost-plus”,
“transactionvolumebase”and“challengingleader”in
pricingoftheirservices.

8. Promotion
One of the most important element of marketing mix of services is promotion, which
is consist of personal selling, advertising, public relations, and selling promotional
tools.
Personal Selling
Due to the characteristics of banking services, personal selling is the way that most
banks prefer in expanding selling and use of them.
Advertising
Advertising media and channels that banks prefer are newspaper, magazine, radio,
direct posting and outdoor ads and TV commercials.
Selling Promotional Tools
Another element of the promotion mixes of banks is improvement of selling. Mostly
used selling improvement tools are layout at selling point, rewarding personnel,
seminaries, special gifts, premiums, contests

9. Place
Aselectionofsuitableplacefortheestablishmentofa
branchissignificantwiththeviewpintofmakingtheplace
accessibleandinaddition,thesafetyandsecuringpr
ovisionarealsoimportant.

10. People
Generationofefficiencyissubstantiallyinfluencedbythe
qualityofhumanresources.Thecommercialbanksneed
toassignaprioritytothedevelopmentofqualitypeople
forthedevelopmentofanorganization.Hencethefirst
taskbeforethebanksistooverhaultherecruitment
process.

11. Problems Faced in Bank Marketing
Low quality service
Inadequate promotional activities
Inadequate channel of service
Unappealing prices

12. Measures to Overcome Marketing
Difficulties
Marketing difficulties can be eliminated by performing promotional
activities, introducing sales bonanza, increasing social responsibility,
giving out effective advertisements and many more
Customer orientation
Long term profitability
Branch network
Automation
Correspondent banking
Time stipulation

13. How to make bank Marketing
Effective?

14. 1.Identifying Needs
Searchforneglectedneedsandrequests,especiallythosethatare
feltunequivocallythroughoutsomeundefinedtimeframeandwith
regardstocertainecologicalfactors.

15. 2.Transforming Needs and Wants into
Products
The next step for an advertiser is to determine what sorts, designs,
structures, and assortments of products may meet these requirements
based on the criteria analysed.

16. 3.Communicating with Target
Consumers
Makingaproductthatmeetstheneedsofthebuyerisn'ttheendof
anadvertiser'sjob.Itmustbecommunicated tothoseforwhomthe
itemwascreated,aswellaswhichoftheirrequirementsitcanmeet.

17. 4.Reaching the Targeted Consumer
Next, an advertiser must decide how to reach end customers, including which
channels, modes of transportation, and individuals (go-betweens such as
distributors, retailers, specialists, and so on) he will use to make items available
in the most convenient locations to a specific customer while keeping costs to
a minimum. The executives' contact is called as distribution and coordination.

18. 5.Feedback
The advertiser must ensure that his product has met the demands of the
customer for whom it was designed. If a customer is dissatisfied, the causes for
this must be investigated and eliminated.

19. Thanks