The document discusses the importance of situation analysis and SWOT analysis for banking organizations, assessing both internal and external factors that impact performance. It emphasizes the need for effective market segmentation, digital and traditional marketing approaches, and strong branding messages aimed at various customer segments to enhance service delivery and profitability. Additionally, it highlights the significance of communication channels in effectively reaching and satisfying customer needs in the banking sector.

1. MKTG320-1404A-01
Quesadra D. Goodrum
Class Discussion Phase 3
Advertising and Public Relations
Colorado Technical University
Instructor: Heather Weller
10/13/2014
Situation Analysis
A situation analysis is the evaluation of an organization’s
performance. It involves the use of strategies which are for
accessing how an organization is or will perform. In analyzing
performance, internal and external factors are to be considered.
Internal factors include strengths and weaknesses. These two
affect the performance of an organization from within. External
factors include opportunities and threats which affect a business
from the outside environment. In combining the analysis of
strengths, weakness, opportunities and treats will give the
SWOT Analysis criterion which is to be used to access the
performance of any organization.
A bank can have its’ SWOT analysis to be able to strategize on
it marketing activities on what to be done for excellent
performance. For example;
Strengths
Weaknesses
Wide range of banking services
Customer loyalty and relationships
High lending rates
Lack of a clearly formulated marketing strategy
Opportunities
Threats
Technology advancing paperless transactions present.

2. Changing customer services
Competition from other existing banks
High taxation from the government.
SWOT Analysis for National Bank
From the SWOT analysis above it is clear that strengths and
opportunities have a positive impact while weaknesses and
threats have a negative impact on the organization.
Banking Trends
Banking trends are the changes which are occurring over time in
the banking sector. Trends give the indication on what needs be
done so as to fit in the population successfully and offer
services as always. Some of such trends in the banking sector
include:
· Branch optimization: With increased customer demands the
current bank branches are not in a position to curb the demand
of the rapid increasing number of customers. The bank is
looking forward to make its branches more efficient in
delivering all the services to its customers at an easier way
without referring them to the central bank. This will encourage
more and more customers to bank within their local branches.
· Driving digital: the current strategies involve traditional
approaches but there is the need to improvise on digital
approach, online campaigns, so as to serve the online market
too. Combination of the two will be very beneficial in the
banking sector since the information will cover a wider range of
customers both on streets and online.
Such trends if implemented will be of importance to the bank in
achieving its long-term strategic marketing goals. These trends
will help a bank be able to meet the demands of the customers.
They will also enable the bank to earn more revenue.
Analysis of achievement
Involves what needs be done so as the goals set can be achieved
successfully. It is setting a plan to facilitate the achievement of
goals. In order to be able to serve many customers effectively
within the branches, there should be enough workforces to

3. deliver quality services. Therefore the bank needs to employ
more qualified staff as well as train the existing ones on
effective service provision.
Improving public awareness programs: Banks need to come up
with new approaches and communication channels so as to
improve on the aspect of publicity. This will enlarge the market
and therefore the bank is able to serve its market and generate
revenue.
Strengths and Weaknesses
There are major strengths and weaknesses in the banking sector
which directly impact banks. The strengths are of advantage
while the weaknesses are of challenge to the banks.
Strengths
· Wider range of banking services. Offering a wider range of
services implies that many customers will be attracted. This is a
fact which the bank has to take onto its advantage to outdo the
other banks and serve a larger market.
· Customer loyalty and relationships. Having loyal customers is
very beneficial to the bank this is because they are able to
comply and give feedback on any information or service offered
to them. This helps the bank to know where to maintain or
improve on to ensure a long-lasting relationship with its clients
is maintained.
Weakness
· High lending rates. This is a major setback in the bank since if
it is lending at a very high rate then it implies they will be high
rate of circulation of money in a county. This will negatively
affect the economy and as a result the bank will be affected too.
For instance it will lack the funds to facilitate service provision
of other segments.
· Lack of a clearly formulated marketing strategy. The
marketing strategy has not been clearly established which
covers the entire market. At times a marketing strategy might be
used only to incite few people to become customers as a result
the strategy becomes very expensive and yet it only fetched few
customers. This implies the bank tend to gain an economic loss

4. for that moment.
References
Bank, C. N. (2014, 08 20). City National Bank. Retrieved from
City National Bank: https://www.cnb.com/index.asp
Bank, C. N. (2014, 10 15). City National Bank. Retrieved from
CNB: https://www.cnb.com/banking/online-
services/individual/online-banking.asp
MKTG320-1404A-01
Quesadra D. Goodrum
Individual Project Phase 2
Advertising and Public Relations
Colorado Technical University
Instructor: Heather Weller
10/13/2014
Market Segmentation in Banking Sector
In banking, market segmentation refers to dividing the targeted
market into small manageable groups of customers in order to
improve efficiency and service delivery. Currently banks are
treating all the customers as being equal and that they have
equal needs which have to be satisfied. All the services are for
the entire targeted market. This strategy is not effective as
compared to market segmentation. This is so because market
segmentation is based on understanding the customers and
providing for them as per their needs, preferences, wants,
psychographics, priorities etc.
An ideal market segment in banking should be divided into
loans, high-end savings and Investment segments. This will

5. meet the needs of each group separately and more effectively
through advertising and public relations practice. Therefore in
targeting these segments the bank will be able to meet it its
specific marketing objectives and goals. In order to make
correct judgment and conclusion it is good to evaluate the
relevance of the current form and the new segment strategy and
thus the need for comparing and contrasting between the two.
Both strategies are targeted towards service delivery to the
market. Through advertising and public relations the public is
able to know of the services being offered by a certain bank.
They are all geared towards public awareness and for the
purpose of increasing demand.
Despite the two being similar in terms of their purpose they
differ in the essence that one of them is more advantageous as
compared to the other since it will be effective and will serve
the customers more diligently. Therefore the table below
illustrates the differences between the current strategy and the
new segment strategy with regard to the needs, wants and
psychographics of the customers.
Current Strategy
New segment strategy
The targeted market is very general. The market is being viewed
as one large group therefore advertisements and public relations
are made in a generalized manner in order to favor everyone in
the market. Thus does not put into consideration to have
advertisements and public relations driven in terms of the
needs, wants and the lifestyle of the customers. This implies
customers are not fully satisfied.
The targeted market is specific since it has segments. Those
who have the same needs, wants or lifestyle patterns are being
presented with different kind of adverts and information via the
media. This implies each group does have best knowledge
concerning what they prefer and regard as being a priority to
them and thus tend to be attracted more to a particular bank
service. In the end this strategy fully satisfies the needs, wants
and psychographics of its customers.

6. The bank tends to obtain less profit. When reaching the entire
market it is hard to know whether the service being offered will
be of advantage to the entire market group or only to a
particular group. Therefore it might only be beneficial to a
small portion of the market and thus in the end only little profit
will be generated.
The bank will have more profit. In the different segments the
customers are being offered different kind of adverts and
information which only interest them and thus be beneficial to
them. This will be of advantage to the entire segment and will
make the bank to generate more profit in the end.
From the above differences it is clear that a bank will opt to
operate using the new segment strategy in order to perform
effectively in satisfying the needs, wants and psychographics of
the customers and also since it will earn a lot of profits as
compared in using its current strategy.
Branding
It is a marketing strategy whereby a unique name and image of
product or service is being created in the mind of the customers
through advertising and public relations. A brand communicates
message concerning the product or service to the customers. A
good brand establishes a significant and differentiated message
so as to retain loyal customers and attract new ones in the
market. For branding to be efficient there is the need to
understand the market very well. That is why it will be good to
use the new segment since the market is divided into segments
where customers have the same needs and priorities. A good
brand should have a clear and straight-forwarded message,
should be of motivation to the targeted segment and finally it
should be for the purpose of retaining loyal customers to the
market and attract new ones too.
Branding Messages
In banking the following key message can be created in the new
segment of loans, high-end savings and investments:
Loans: “Low interest rates of up to 0.5% charged on loans.”
Such a message can be used in branding during advertising and

7. public relations. It is very clear since it hits the nail on the head
by specifying the minimum interest rate on loans. It will
motivate even low income earners to take such kind of loans
which are affordable to them. For the existing customers they
will be encouraged to continue enjoying such services which are
being offered.
High-end savings: “Open a fixed account and start earning
interests on quarterly basis.” This branding message is for those
who prefer savings so as to be able to withdraw in future and do
some developments, be able to pay fees etc. The message is
self-explanatory thus is conscience to the targeted group. When
people hear of earning interests they will be motivated to open
such an account.
Investments: “Annually Bonds earning up to 30% interest.” This
message of branding will be of benefit to those who which to
dispose their cash for a while so as to be able to earn huge
interests and later invest. Therefore it means they will buy the
bonds and wait till maturity period for them to be given their
share of interests.
The above three messages will appeal the market directly since
the messages are very clear and have some benefits associated
with them. The messages will reside in the hearts and minds of
the customers and as a result majority of them will be
influenced to bank in that certain bank so as to enjoy all the
benefits quoted in the branding messages. The messages have
some motivation since they have advantages in them, this will
not only retain the loyal customers but will also attract new
ones to acquire the services.
Different customers will be attracted to the different services as
per their needs and priorities. For example those who wish to
acquire interests in the course of saving will opt to open the
fixed account which belongs to the high-end savings segment.
Customers within the different segments will be attracted to
their respective segment services. Through branding messages
customers are able to prefer one organization over the other
since they have a clear picture of advantages and good service

8. delivery.
Digital/ Traditional approaches.
In marketing digital approach in doing promotion involves the
use of electronic devices such as smartphones, computers,
cellphones and tablets to engage with customers in the market.
It applies the use of technologies and websites to convey
information and create awareness to the market. It is targeted to
those who can access online services using their electronic
devices. It basically involves use of social media marketing thus
can be referred to as online campaigns. It can be best applied in
transactions or businesses which involve online activities and
the targeted group involved should be knowledgeable enough to
use the internet to view the adverts and any other information
which is represented online.
Traditional approach in marketing involves the combination of
all the activities which create consumer value. It explains the
basic components of the product which makes the customer to
prefer a certain product. These components include products,
pricing, place and promotion. Under this traditional practice
there is the use of advertising in promoting the goods and
services to the public. Advertising is being made through TV
commercials, radio, banners, posters etc. Therefore it can be
best described as street marketing.
In the new target market, traditional approach has to be mainly
used for the bank to perform effectively. This is so because it is
mainly geared towards the locals and banks are being used by
its citizens more. Thus street marketing campaigns will be very
effectively. The level of interaction is very high as compared to
that of online campaigns. This implies there is quick flow of
information from the bank and as a result instant feedbacks.
This will be very valuable when testing a new service in the
market because the bank is able to get a real-time feedback and
know on how to make the relevant adjustments to suit the needs
of its target market. The use of bank services is not only limited
to the elite, who have internet skills, in the society but also is
for those who are illiterate and would wish to save their cash,

9. take loans or invest. Through street marketing the bank is able
to convey its message in a language that is best understood by
everyone unlike in online campaigns where only the literate can
be able to access the information. Therefore traditional
approach will be of best use in the banking sector.
Communication channels
A communication channel in marketing can be defined as the
means by which organizations inform, convince or persuade its’
customers about the products and services which they do offer.
In banking sector there several communication sectors that can
be used to convey information on the bank’s services to the
public. Some of them include advertising and public relations
form of communication.
Advertising: The bank can communicate to the public some of
their services so as to retain its customers or attract other
potential customers. It will give information which is meant for
a particular targeted market. For instance, if the advert is for
those in the loans segment it will be having a header which only
attracts those who wish to acquire loans. This will only be a
direct message to a particular group who has interest on what is
being advertised by the bank.
Public relations: Ensures there is constant delivery of
information to the customers concerning the services offered. It
gives information concerning the services offered in the
different segments of the bank. Therefore each customer will
only view the information which best serves him or her.
These two channels are very efficient since they save customers
time because they only read what is beneficial to them and are
of priorities in their lives since the two can have headers which
describes their target market segments.