Importance of Product Development in the Marketing of a Firm’s Product
Chapter One
OBJECTIVE OF THE STUDY
The rationale befriend this study is to examine different product of the first bank are discover for they are managed. Other objectives are as follows:
- To find out the difficulties environment in the process of product developmentin first banks.
- To discover whether banks customer are really satisfied with bank products or not are why’?
- To find out how best customer of the banks can be educated on the use of the bank product and how best to get them known about the existence of such products.
- To discover how best banks products market can be segmented for fruitful virtues.
- To determine the effect of product developmentbank on profitability
- To determine if developmentof bank products leads to increased product qualify
- To offer possible solutions! suggestion for addressing such problem and make recommendation that may lead to better bank customer relationship, increase customer satisfaction and bank profitability for brighter future.
CHAPTER TWO
LITERATURE REVIEW
In the course of carrying out this research work the researcher reviewed many books. Magazine, Newspaper and seminar paper which are in relation with this particular topic. This is analyzed in different standing.
WHAT IS A PRODUCT
Product in the real sense of it, include both tangible items. Tangible items in the form of the physical good we seen, admire and acquire. Where as the intangible items include such service rendered by bank and other financial institution, medical doctors, lawyer and even the services of a carpeaten mechanic and the performance of an artist.
Kolter (1989:234) defined product as, “Any thing that is offered to a market for attention, organization, use or consumption and that” might satisfy servant or need. It includes physical object, services, person, places, organization and ideas.”
Also Berkowitz eta! (1992) defined product as, ‘a goods, service or idea consisting of a bundle of tangible and intangible attribute that satisfies customer and is received in exchange for money or some other unit of value.”
Another author, schoel ( 1991) defined product as “ a bundle of perceived physical chemical and/ or intangible, attribute that has the potential to satisfy persecute and potential customer need.”
From the above elaborate definition of product it can be seen that development who buy a motor car is not only buying the physical car but also the satisfaction the car offer by taking him to where ever he will want to drive to his product will now include warranty. installation, delivery credit an so on.
The effort all these author made in trying to define product in different perspectives is to show that product can undergo changes without changing physical lie by improving the quality the product can be re-designed modified, changed entirely or introduce innovation and as all these change take place either internally or externally, it embrace customer satisfaction.
It is as a result of this that bank go rampage in trying to mange product that will satisfy customer want.
NEW PRODUCT DEVELOPMENT PROCESS IN THE BANKING INDUSTRI
Banks don’t just jump into developing new product before a new product is developed the new product manger or mangers and the research department must have sat down an thought seriously about the potential new product.
New product developments in the bank follow the five development in the banks.
IDEA GENERATION
This involves the systematic search for new product idea usually many idea used to he a head and launch sign. The banks now go in launching proper. Considering all the cost involved they have to make four basic decisions on whom? Where? Whom? And how’? Since they must marketing plan for each new market.
THE CONCEPT OF PRODUCT development
A product is a bundle of expectation. It I the local mix element (marking (1979:24617)The managing of the product include. Well co-ordinate planning and development, sound knowledge and application of the principle of the product life cycle of existing product and the adoption and confusion process for new product in order to optimize profit through customer patronage and satisfaction (Ebue (1997:114).
Managing product is a very strategic aspect of the marketing activities of a organization. This is because product is the pivot element without which other mix element would not exist (marking (1979). Managing the product in its totality ranges from product mix. Product planning is the organizing, evaluation and development of new product idea that can be profitability sold into the market place (Marking (1979:240). Product development refers to a form development refers to a firm’s seeking, increased sales by developing new or improved product for its developed and few good one selected. The idea must not be haphazardly searched. To obtain a flow of ideas for new product bank must employ many product ideas.
A source of new product ideas includes.
- Internal sources
- Customers
- Competition
- Other like advertising agencies and research companies
IDEA SECRETING
This is spotting good idea from all idea grated. Banks can then drop poor ideas as soon as possible and go on to develop product ideas that will turn into profitable products.
CHAPTER THREE
RESEARCH METHODOLOY
This chapter show the systematic formal and technical ways adopted by the researcher to make this work a reality. The researcher work comprised the quantitative and qualitative analysis of information gathered.
INTRODUCTION
The researcher made use of primary and secondary source of data towards the effective implementation of this work. the primary source of data are collected through the following means.
- Oral interview
- Use of questionnaire
iii. Personal observation
ORAL INTERVIEW: This is the foundation from which most of the basic information was derived. The researcher approached the personnel and customer of the said hank in Aba. Abia state and involved them into face to face interview.
The researcher being able to maintain good report with the respondent was able to derive eery available necessary information needed for the progress of this work.
QUESTIONNAIRE: Questionnaire were designed and administered to elicit the necessary information which was not obtained in the oral interview. The questionnaires were distributed in two batches, one to the customer and the other to the personnel of the studied bank.
PERSONAL OBSERVATION: The researcher also engage himself in personal observation which help to observe those attitude and behaviour that cannot be obtain in the personal interview and use of questionnaire
SECONDARY SOURCE OF DATA
The secondary source of data which is the collection of data. that is already existing, the researcher make use of library and personal text book to obtain the necessary information in order to back up this study. Other book used as journal magazine and newspaper.
POPULATION OF THE STUDY
The population for this study comprised the personnel and customers of the above mentioned bank in Aba, Abia state. The populations of the customer are unknown.
CHAPTER FOUR
PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
PRESENTATION AND ANALYSIS OF DATA
The data presented and analysis were collected by the use of questionnaires administered to staff of first bank if Nigeria Plc questionnaires were also administered to customer within Aba
A total of 536 questionnaires were distributed to both the staff and customers of first bank of Nigeria Plc out of the five hundred and thirty six 536 questionnaires, 407 was appropriately completed and returned.
Therefore the finding of this study was based on (274) for customer and (133) for staff.
CHAPTER FIVE
SUMMARY OF FINDING, RECOMMENDATION AND CONCLUSION
SUMMARY OF FINIING
This research is about the role of product development the marketing of bank services in Aba Abia State, with more reference to first Bank of Nigeria Plc Aba
In the process of the research, it is notice that in very important role. This is because it courage increase in product adoption process, sales promotion, distribution and marketing activities.
From the analysis made in chapter four, it is observed that the manager and bauk directors agencies that product development is very necessary in marketing activities of every organization or business organization but due to level of training and Education on the side of he bank operator or employee, the activities that are involved in product development are not well carried out.
It is also observed that in the operating of bank business the operator are not practicing marketing orientation they are sale oriented.
This is impossible for them to develop in product successful satisfies the consumer and organization objective.
The finding also showed that services rendered by these bank satisfy the consumer but not effective and efficiently as possible. Also it show that with a well organized product development will leads to increase in the adoption process of he product by the consumer with these. it make it possible for them to complete effective with other organization in same business.
RECOMMENDATIONS
The recommendation are based from the result of the study, observation and questionnaire iii the company personnel and customer of the organizations.
From the result of the study, it is a common practice that customer and employee f his organization operate because the way in which the director and owners of he organization went them to operate because of these problem, the researcher made the following recommendation after careful study of the finding.
That the organization should increase the activity that is associated with product development which will bring about increase iii sales of the product and also organization images.
- The employees of the organization should be educated more of the importance f product developmentin an organization.
- The organization should consider the cost of running of the product development and developmentin order to prevent the organization from running heavy cost of operation.
- The organization should seek support from consumer, customer of the organization in order to help given information needed for proper product development and development. In doing these a welfare department need t be establish in the organization.
- In addition to these the organization should be up and doing in order to produce service that will effectively and efficiently satisfy the consumer needed.
CONCLUSION
Today’s bankers and consumer of banking services are becoming more informed, knowledgeable in way of increasing productivity and sales of banking service through product development.
This is due to the marketing activities, That encourages effective distribution sales productivity and it discourage price fluctuation and increase total customer satisfaction
First Bank has an edge over the banking firm in Aba — Abia state and Nigeria as a whole, and in order to maintain this position, it must impose on the product development efficient and effective development of product, will in unquantitable measure project a good image and differentiate service quality of the bank drawing inference from the finding it was found that market segmentation has been an additional impediment to product managernejit, hence more effort should be channeled toward that direction to avoid waste of time and bank resource which might occur as a result of wrong segmentation.
Finally, this research study is a worthy while exercise because it has helped in escatoning the role of product development in the marketing of service of first bank and identifying the problem encountered in the system.
It was also helped to broaden the knowledge of the researcher has experience what business is like practice with majority of Bank service consumers taking first Bank services their favorite
The company has a good potential for growth and recreated profit, if only it can endeavor to improve more with product development in order to further satisfy it customer and consumer of its products
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