Promotional Mix and Sales Performnace of Commercial Banks in Nyeri County, Kenya.
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Date
2021
Authors
Nzioka, Catherine Mutindi
Journal Title
Journal ISSN
Volume Title
Publisher
Kenyatta University
Abstract
Over the past five years, the general performance of commercial banks has sharply deteriorated. The Kenya Bankers Association observes that the trend in sales performance has been even worse. Notwithstanding the fact that tier one and two (large and medium banks) have registered notable improvement in market share, the tier three (small banks) category seems to be struggling in maintaining their customer base. The current study sought to determine the effect of promotional mix tools on sales performance of commercial banks in Nyeri County, Kenya. Specifically, the study sought to establish the effect of sales promotion, personal selling, direct marketing and advertisement on sales performance. The theories included the hierarchy of effects theory, game theory and the operant conditioning theory. The study appled a descriptive survey research design. The target population was made up of thirty five commercial banks with active operations in Nyeri County, Kenya. The target population consisted of marketing managers, branch managers, operation managers and credit managers of all the sixteen banks which totals to 140 respondents. A semi-structured questionnaire was used in data collection and was administrated using the drop and pick method. A census method was used. Both descriptive and inferential analysis were applied. The multiple regression and Pearson correlation were used to guide conclusions. The banks had registered impressive growth in their sales volumes and customer outreach in the five years from 2015 to 2019. The study recommends that the commercial banks need to consider up scaling their adoption of sales promotion as a practice which was found to be moderately considered. The study recommends use of incentives targeting bank agents in a bid to reach out to more customers and enhance sales. On personal selling, the study recommends heightened adoption of emerging approaches such as problem solving selling and consultative selling. The study also recommends furtherance of advertising efforts and specially heightened implementation of use of directories and online advertisements. On direct marketing, the study recommends up scaling of elements such as social media marketing and telemarketing which were sparingly utilised.
Description
A Research Project Submitted in Partial Fulfillment of the Requirements of the Award of Master of Business Administration (Marketing) of Kenyatta University, November, 202
Keywords
Promotional Mix, Sales Performnace, Commercial Banks, Nyeri County, Kenya