EFFECT OF MARKETING ON CUSTOMER SATISFACTION IN THE BANKING INDUSTRY IN EDO STATE

ABSTRACT

In recent years, a number of studies have highlighted the effects of customer satisfaction on the performance of business organizations through empirical evidence across both developed and developing countries. In the pursuit of this type of evidence, this paper clarifies the nature of the relationship between customer satisfaction and bank performance in the case of Vietnam. The primary objective of most business enterprises is to make profit. This is because profit ensures growth, survival and continuity in business. Many industries like the banking sectors recognizes this fact but many enterprise still fail to realize that the achievement of this goal depends on their ability to satisfy the needs of marketing strategies, besides a primary task of marketing is to influence the buyers. The quality of banking products and services, the banking product and service supply process, quality of staff, presentation of banking information and price competition of banking products and services are independent variables. To examine the relationship between the regulatory framework and bank performance, this study uses confirmative factor analysis to test the reliability and validity of this correlation. By using the ordinary least squares technique, the hypothesis on the relationship between customer satisfaction and bank performance is measured. Results are consistent with the hypothesis: customer satisfaction has a positive impact on the performance of banks in the case of Vietnam.

BACKGROUND TO THE STUDY
Of all business activities or functions, none is as interested in the consumer and his purchasing behaviour as marketing. Marketing is invariably connected with the research into consumers satisfaction, namely what the consumer want, need, prefer and value, who are the prospective consumers and where they live, their income and mode of spending, how and why they make purchase decision and so on Claessens, S. (2004). Infact the influencing of the consumers satisfaction is the primary task of the marketing department in any organisation.
Equally, marketing tries to define the right type of products in terms of the company’s objective and attempts to make it available at the right place and at the right price, with the right promotions Claessens, S. (2004). This the performance of marketing functions involves basically marrying consumer wants and with the appropriate products and services. It is the duty of the firm to adopt appropriate marketing strategy to attract customers to its products. This is important because in a free market economy, the ultimate judge of the firm performance is the consumer.

Consumer purchasing behaviour will determine the fate of the enterprise, this behaviour can best be described by a marketing manager who can also tell how he will be influenced by market variables such as price, promotion, product (variation and distribution) and place.
Marketing strategy depicts the overall company program for selecting a particular market segment and then satisfying it’s consumers through careful use of elements of the marketing mix-product, price place (distribution) and promotion. Effective marketing requires decisions that successfully integrate a forms marketing program towards satisfying the consumer whose act in obtaining and using goods and services, including his decision process that precede and determine those acts are highly affected by the strategy adopted by the marketing manager in marketing the firm’s products Raab, G. (2008).
Since the performance of marketing functions involves basically marrying consumer needs and wants with the appropriate products and services and since it is generally believed that marketing begins and ends with the consumer, this project therefore attempt to examine the effect of marketing on customer satisfaction on banking industry in Edo State following it’s impact on consumer behaviours Roscoe, J. R. (1975). Efforts are therefore made to show the relationship between sales turnover and amount spent on marketing activities and it’s resultant impact on consumer purchasing behaviour. We shall also concentrate on establishing how consumer purchasing behaviour is influenced by a forms strategy for accomplishing marketing objectives and plans.

1.2 STATEMENT OF THE PROBLEM
This is considered as the first major step and of great importance in carrying out research. Here the researcher attempts to define or describe the research problem.
The primary objective of most business enterprises is to make profit. This is because profit ensures growth, survival and continuity in business. Many industries like the banking sectors recognizes this fact but many enterprise still fail to realize that the achievement of this goal depends on their ability to satisfy the needs of marketing strategies, besides a primary task of marketing is to influence the buyers.

1.3 OBJECTIVES OF THE STUDY
This study will therefore examine the following objective.
a) The marketing strategies used by the banking sectors.
b) The extent these strategies are used in this industry in generating sales.
c) Essentially, the impact of these strategies on the consumers satisfaction will be assessed by finding out how they are propelled into buying the company’s products.