1.1      Background of the Study

Sheldon, (2002) defined a banking business as to receive money from customers and to collect instruments representing money from customer on the understanding that the money will be refunded or collected either on demand or at some definite date agreed upon between union and his customers. From the above, the core activity of a bank is funds intermediation which entails mobilizing funds from surplus spending unit and channeling such funds to the deficit unit. This activity facilitates capital formation which generates growth and development in the economy. How Nigeria banks have fared along the lines of the above function has been an issue of unresolved debates in the banking domain, as their effectiveness has been consistently criticized. Perhaps the fallout of this argument led to the banking sector reforms.


The current banking sector reforms in Nigeria was designed to promote the viability, sound stability of the system to enable it meet the aspiration of the economy in term of accelerated growth and development (Nwachukwu and Peterson,2007) for bank in the industry to acquire effectiveness within the sector, banks must compete vigorously using their competitive strategies. One such competitive strategy would be thedevelopment of superior brand identity, brand image and brand personality. These marketing concepts areusually noted as a prerequisite for achieving sustainable competitive advantage.Given these trends after the bank consolidation, marketing strategy has become a fundamental tool inthe banking sector.


Indeed, both the application of marketing concepts to the banking firms and theunderstanding of customer behavior have been subjects many research works in many decade ago (German andHunt, 2003; Jessica and Pius 2008; and Kotler et al 2006). Banking industry have aggressively pursued variousmarketing strategies to enable firms succeed, a good example of such are market segmentation (Harvey 2000cited in Denmasks, 2010; Nichols 2001 cited Nubam 2008), relationship marketing and database marketing(Amett et al 2003) and other marketing activities that will enhance performance.


Brand identity is the visual aspect that forms part of the overall brand (Koneonit, 2002).However, brand identity is seen as what the owner want to communicate to its potential consumers. Leclere and

Schmitt (2007) submitted that consumers brand knowledge consist of two measures, brand awareness and brandimage. Brand awareness refers to the strength a brand’s present in the consumer’s mind. Aaker (2006) thereforedefines brand awareness as the ability of a certain product category. Brand image increases the produce inmarketing efforts.


Although these strategic issues in marketing are important to the banking sector researchers andpractitioners, the understanding of the unique nature of how these strategies enhance performance need to beexplicated. Several studies in relationship marketing and many in branding has focused on brand equity, brandpersonality and brand image. This study departs from previous research in that we are looking at using brandidentity as a specific strategy to differentiate our service from other of our competitors. Our examination ofbrand identity in the banking context aims to extend prior research on brand identity and firm performance(Jackson and Smith 2006; Manson et al 2008; and Mubok 2010).


1.2   Statement of Problem

There is no gainsaying that the present economy deserves a sound, stable and better banking performancefollowing the causative factors, such as unethical and unprofessional practices, poor management qualityamong others which contributed to low level of bank performance and sometimes lead to failure of bank.


The major problem in the Nigeria bankingindustry is that bank services are still lacking in so manyspheres in Nigeria, yet the banks perception ofmarketing has not shifted from mere advertising untilrecently as a result of stiff competition brought about byreforms.This crisis demonstrated in no unmistakableterms that “even strong economies, lacking transparent control, responsible corporate boards andshareholder right can collapse quite quickly as investor’s confidence collapse”. The alarming rate of corporate failures as witnessed globally has necessitated this study apparently; thefailures have known no boundary as it cuts across both the very big organizations and the very smallcorporate entities especially financial industries.In a nutshell, the present study is designed to investigate the Bank’s management ability, capability andperformance. It also reviews the interventionist role played by corporate governance to bank performance.


1.3   Purpose of the Study

The general purpose is to examine the effect of Brand Identity and Marketing Performance Empirical Evidence from Quoted Commercial Banks in Nigeria while the specific objectives are:

1.     To determine the extent to which Product Design influence Marketing Performance from Quoted Commercial Banks in Nigeria

2      To ascertain extent to which Brand Image influences Marketing Performance from Quoted Commercial Banks in Nigeria

3      To ascertain extent to which brand awareness influences Marketing Performance from Quoted Commercial Banks in Nigeria.

1.4   Research Questions

From the above specific objectives, the following research questions are formulated:

1.     To what extent does Product Design influence Marketing Performance from Quoted Commercial Banks in Nigeria?

2      To what extent does Brand Image affect Marketing Performance from Quoted Commercial Banks in Nigeria?

3      To what extent doesbrand awareness affect Marketing Performance from Quoted Commercial Banks in Nigeria?





Market share







Product Design

Brand Image



Brand Awareness

Sales Volume









SOURCE:(Researcher’s Desk 2016).



1.6   Research Hypotheses

The following null hypotheses are formulated from the above specific objectives:

H01:  There is no significant relationship between Product Design andMarket Share from Quoted Commercial Banks in Nigeria.

H02:  There is no significant relationship between Brand Imageand Sales Volume from Quoted Commercial Banks in Nigeria.

H03:  There is no significant relationship between Brand Awareness  and profitability from Quoted Commercial Banks in Nigeria.


1.7   Significance of study

The study will be helpful to various stakeholders in Quoted Commercial banks  who are interested to the long-term strategies for profitability namely shareholders, investors and creditors in such a way that they should be able to realize the potentials and scope for the business growth in Quoted Commercial banks. The study has provided recommendations to be considered by Quoted Commercial banks to improve on their service.


Therefore this study will add new knowledge to bankers in Nigerian regarding the extra value banks can earn through implementation of product Identity.


This study will be of benefits and interest not only to banks in Nigeria, but it will be valuable to other service sectors in Nigeria as a whole. The study will also be a source of secondary data to other researchers who wish to conduct studies on related issues. It will

again act as mainstream for generating, keeping and maintaining customers.This study is important for customers, employees, banks, academia and even government. Customers will have access to better and qualitative services from the banks. Employees can also have improved conditions of service due to better organizational performance. Banks can gain in terms of superior performance. The research can also benefit the academia in terms of addition to knowledge.





1.8Scope of the Study

The study will only concentrate three (3) selected quoted Banks.The selected quoted Banks under study are: First Bank of Nigeria PLC (FBN); United Bank for Africa PLC (UBA) and Zenith Bank PLC.


1.9Limitations of the Study

The success of this study depends to a very large extent on both qualitative and quantitative factors.

Financial constraints: Data gathering and analysis involve financial expenses thus, the extent to which information is acquired depends on the available funds at the disposal of the researcher.


1.10  Definition of Terms

Brand Identity: According to Janonis et al. (2007), Brand identity includes everything that makes the brand meaningful and unique.

Brand awareness is how easily consumers can recognize a brand or the identity of a company and/or product.

Marketing performance: refers to the improvement of the organizational status in the market (market share), improvement of the customers’ perception of organization and its products, and increase in their loyalty toward organization

Sales growth: The increase in sales over a specific period of time, often but not necessarily annually.

Profitability:  is the ability of a business to earn a profit.