CHAPTER ONE
1.0 INTRODUCTION
1.1 BACKGROUND OF THE STUDY
The banking industry is undergoing a period of transformation and this requires new orientation on the part of the bank management. There is general agreement that the role of marketing in every organization cannot be over emphasize.
According to Kotter 1980, marketing is important not only to economic institution such as manufacturing industries, wholesaler, retailer but to all organization “that have something to sell” this statement suffice to self with the conceptual managerial philosophy of marketing which recognize that organizational effectiveness are functions of identifying varying customer or client needs better that those competitors (Aluko etal 1979). While (Meccure 1989) define bank marketing as the part of management which seeks to direct flow of banking services profitably to selected customers.
The banking Act of 1969 see banking as involving receiving money from outside sources as deposit irrespective of payment of interest or the granting of money loans and acceptance of credit or the purchase of Bule cheeps or the purchase and sales of securities on the account of others or the incurring of the obligation to secure claims in respect of loans prior to their mature or the assumption of guarantee and other warrantees for others or the affecting of transfer and clearing of such other transaction on the recommendation of the central bank, by order published or federal gazette designate as banking business.
The increase need for marketing in banking system from the growing changes in the industries has heightened competition is often said to be product of marketing competition in the banking industry is not limited to banks, but include competition from such other financial institution as insurance, saving and loans, banks and building societies.
The success of banks in the turbulent competition and volatile business environment will largely depend on the ability to complete successfully, In order to complete successfully, favourably and survive to achieve corporate objectives, therefore bank should not only result in the efficient utilization of resources but by so doing a considerable competitive advantage might be achieved and sustained by practicing bankers. It is disserting however to observed that in spite of available evidence and like nature on the great advantage provided business organization with the successful application of marketing concept most banks in Nigeria are still at the first stage of the marketing orientation (product concept).
Some however, have risen to the third stage (selling concept) which is considered the best stages at banking industry in a nation economy which includes the provision of equitable banking therefore, that they might administer their marketing activities effectively and efficiently.
They are required to accept aimed at consumers superiority by offering maximum services and demonstrating that these services are superior to those offered by other competing institutions.
The marketing concept according to Kottle (2006) “holds that the key of achieving organizational objectives consist in determining the need and wants to target market and delivering the desired satisfaction more effectively and efficiently than competitors” this should be from the integral part of corporate objective of banks.
Banks have to go out to approach client requiring services, the services must be offered to the maximum satisfaction of existing and potential customers. The fact is a revolution of transition from passivity and quite solid discretion to active and purposeful aggressiveness.
1.2 STATEMENT OF THE PROBLEM
Over the years, banks customers have been complaining about the poor quality of services they receive from their banks. This is why the researcher wants to find out empirically why the banks do not provide quality services to their customers.
