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The Importance Of Advertising In The Banking Industry

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Facing the severe competition from the increasing number of rivals in the industry, many companies or banks are paying more attention to the enhancement of effective advertising to get their products/services closer to the target customers. Also because of the pressure from this intense competition, effective advertising is said to improve the communication channel between customers and organizations, leading to the likelihood of success (Clemes et al., 2010). Cengiz et al. (2007) viewed advertising as activities planned and implemented to boost the sales or better the image of a product/service, business or company. Explained in a detailed perspective, companies normally take advantage of advertising in order to get their potential customers informed of the characteristics and features of products or services (). Dunn (1995) hold a view that advertising is a magical tool to appeal customers to a brand as well as maintaining the number of customers during some sluggish selling periods. …show more content…

In the banking industry, despite the similarities between financial products and services, it is important to see that banking products can even affect customers’ decision to switch a bank (Kiser, 2002). And more noticeable, companies that can provide customers with more choice of products are believed to survive more easily in today’s technology-driven and fast-paced environment (Strieter et al., 1999). Thanks to the advancement of modern technology, service products can have many positive aspects over the company performance, including decreasing transaction costs, switching rates and pushing customers to invent services experience themselves (Bitner et al., 2002). That also means banks without innovative technology to serve customers with better and more convenient service will have to face high chance of consumer switching intentions (Zhang,

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Advertising has been around for decades and has been the center point for buyers by different subjects peaking different audience’s interests. Advertisers make attempts to strengthen the implied and unequivocal messages in trying to manipulate consumers’ decisions. Jib Fowles wrote an article called “Advertising’s Fifteen Basic Appeals,” explaining where he got his ideas about the appeals, from studying interviews by Henry A. Murray. Fowles gives details and examples on how each appeal is used and how advertisements can “form people’s deep-lying desires, and picturing states of being that individuals privately yearn for” (552). The minds of human beings can be influenced by many basic needs for example, the need for sex, affiliation, nurture,

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Advertising is also important to the consumers because people when they buy, weigh the cost and benefit of the product they are about to use. Furthermore, it increases the consumers’ awareness whether the product is available in the market or not. It is already expected that if a product is not advertised, it will not become popular to the consumers, and consumers will not buy a product if they have not heard not tiny information about it. It is through advertising that consumers are able to choose the product for them and their

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Based on the products offered by Barclays most of the customers seem to be getting what they envisioned while contracting the services offered by Barclays. Though the profits have dipped, the continued increase in the number of customers to approximately 48 million worldwide, is a major indicator of a firm offering value for their client’s money. Rarity is another way to evaluate the strength of the strategy. With the growing financial market and increased spending on research, many competitors, have found methods to be at par with institutions like Barclays in technology and management. In products provided, there is no unique product setting Barclays apart from the rest.

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