Marketing Strategies of ZTBL a New Perspective
Group Members
Sudaif Hussnain Alvi (1611153)
Zeeshan Bashir (1711176)
June 29, 2020
Zafar Sharif (1611140)
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INTRODUCTION
Zarai Taraqiati Bank Limited (ZTBL)
It was founded in 1952 under a central act to help the Farming community in
terms of financial means and to develop the agricultural community of
Pakistan. It was established after the merger of the Agricultural Development
Finance Corporation and Agricultural Bank of Pakistan.
In September 1957 Agriculture Bank of Pakistan was also established for
lending short and long term loans for farmers, warehousing and storage
Facilities for agriculturists, developing corporate societies, and similar bodies
based on majority members of agriculturists. As its functions were similar to
the Agricultural Development Finance Corporation and since both were
working under the government provided funds these both were merged under
the name of Agricultural Development Bank of Pakistan on the 18th of
February, 1961. It remained working under this name until 2002 when its name
was changed into Zarai Taraqiati Bank limited
Background
• The Banking Sector of Pakistan
• History of the Agricultural Sector of Pakistan
• Analysis of Rural Finance Market
• The future trend of the industry
• Business volume and Share Holders of ZTBL
•
Product Life Cycle
• Target Market & Positioning Strategy
• Marketing Mix
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Problem Statement
With the ongoing digitalization and increased competition in the
banking sector, ZTBL market share and profitability ratio is kept
going downwards. On the average market share of ZTBL is
decreasing by 2.5% every year. In this intense competition, effective
marketing strategies play a vital role for banks to survive and grow.
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Research Questions and Objective
Research Objective:
• To identify the loopholes in the current marketing strategy of ZTBL.
• To identify those reasons which are contributing to the failure of marketing
strategies of ZTBL
• To explore different new methods of marketing due to the newer entry into the
area compared to their current traditional campaigns.
•
To determine the types of marketing strategies, success, and importance in the
banking sector.
• To recommend effective marketing strategies to ZTBL according to today’s
competitive banking environment.
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Research Questions and Objective
Research Questions:
whether ZTBL is considered as product oriented or market oriented?
How your business plans are formulated? Is there any role of market research in that?
Are you differentiated from your competitors in a way that is understand and appreciated by your
prospects and customers. Do you access the strengths and weakness in relation to competitors?
What is your higher manager opinion about the marketing department of your organization?
If your business objectives i.e. your mission, goals, objectives are integrated into marketing plan?
what is your strategic (target market, value proposition) marketing plan?
Is there any tactical marketing plan implementation in your organization and if then how?
what are the weaknesses in your marketing department that is hindering your company’s chances for
success?
How do you define digital marketing strategy of ZTBL?
How do ZTBL enhances its marketing capabilities?
What are your future marketing goals?
Name the marketing matrices used in ZTBL, in order to `evaluate the effectiveness of marketing
campaign?
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Significance of the study
• The findings of the study will provide an overview of ZTBL of how they can
implement modern marketing strategies in their overall business plan.
• It will also help the ZTBL to strengthen their position, as the study brief about
the behavior of their target and potential customers. It will also identify
potential threats and opportunities. This research highlights the certain
opportunities or warning signs available for ZTBL that otherwise may have
been missed.
• Spotting new trends available in the market has become quite essential to
remain in the business. This research provides a detailed overview of the new
and upcoming marketing trends in the banking sector that can help ZTBL to
remain completive.
• The findings of this study will also benefit other agricultural or governmentowned banks of how they can implement new marketing trends in their overall
organizational strategy.
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Literature Review
Literature Review
Banking Sector Marketing Strategies :
According to R.K. Uppal, 2010, due to a major turnover in Banking industry
there has been a significant increase in competition among the banks and this
sector is facing various challenges like customer education and awareness,
training for effectiveness of employees and their retention, adoption of
frequently transforming technology and rural marketing and gaining the trust
and confidence of the clients and customers
Manoj Pk, 2015 states that there should be continuous marketing research and
customer survey for the identification of ever-changing customer's needs and
developing new products according to their need. This marketing research and
customer surveys help to identify different market segments and the needs of
each segment.
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Literature Review
Relationship marketing in banks :
In this highly competitive era in the financial sector especially the banking sector there's
a high demand for the customized products and services demanded by the customers for
the fulfillment of their needs. It has become essential to have long term strong
relationships with your existing customers rather than making new customers because
they will cost you more than the already existing customers. To help building strong
customer relationships, reducing operating costs, and obtaining new market segments,
there should be a transition from traditional marketing strategies like transactional
marketing strategy to relationship marketing strategy (Rupali, Agrawal & Matta, 2015).
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Literature Review
Digital Marketing in Banks :
The growth of digital marketing depends on effectively adapting to change, improving
customer insights, then turning them into improvements in customer experience and
service. It also depends on engaging and building communities with target customers,
improving the effectiveness of marketing to be heard and remembered, and adding
creative channels to communicate value propositions (Shabgoo, Gilaninia, & Mousavian,
2011).
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Research
Methodology/Analysis
framework
Research Design
Research Approach
Qualitative Approach
Procedure
Through interviews
Population
ZTBL employees
Unit of Analysis
ZTBL employees
Data collection tool
Adopted
Data collection procedure
Telephonic interviews and organization visits
Sample Size
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Data Analysis Technique
Through “N-vivo 12.0”
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Analysis framework
• SWOT Analysis of ZTBL
• Tows Analysis
• Pestle Analysis
• Porter Forces
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Methodology
Research strategy
This research design employed in this study is a Descriptive case
study model. The descriptive Qualitative case study methodology
provides tools for researchers to study complex phenomena within
their contexts (Yin, 2003).
Data collection method
The primary data collection method for this case study is a face to
face interview.
Secondary data is collected from the organization's official website
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Methodology
Research data analysis and tools
The data from the research is analyzed qualitatively as it is difficult
to analyze it numerically because of the nature of the research. Data
analysis in qualitative research is the approach of arranging the
qualitative data into a meaningful phenomenon. The analysis is
done by implementing a content analysis approach through the use
of "n-vivo12.0" software. Content analysis is a systematic tool that
is used to find out the themes and patterns from a certain set of
recorded communication (Luo, 2019).
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Methodology
Sample
characteristics R & D department
Marketing department
IT department
of respondents
Position
Managerial
2
3
0
Functional
2
1
4
Bachelors
0
0
3
Masters
4
4
1
0
1
4
3
Education
Work Experience
1-5 Years
>5years
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2
2
Analysis & Results
Finding and Discussion
Strategic Findings
Tactical Findings
Digital Findings
FAT best practice
research report
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Finding and Discussion
Government
association success
Weak Evaluation
Weak Integrated
marketing
Competitive strategy
Outdated Target
Unclear
FAT best practice
Communication
Mix report
research
marketing strategy
Marketing
Failure
capabilities gap
Focused on market
sharing
Digital marketing
strategy
Increased
relationship
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Decreased
relationship
Finding and Discussion
Discussion on Findings
FAT best practice
research report
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Conclusion,
Limitations &
Recommendations
Conclusion & Recommendations
Limitations
This research involves an analysis of small data sets, so due to this,
it provides no or little basis for generalizing it to a wider audience.
Also, this research is limited to a certain type of bank i.e
agricultural; having its environment in which it’s operating hence it
cannot be generalized to any other Bank. The tools and techniques
used in this research are only applicable to this research, hence
cannot be used in any other scenario. As the dynamics of the
Banking market keep on changing, the reasons identified from this
research are not applicable for longer duration; hence the research is
time-limited.
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Conclusion & Recommendations
Recommendations:
• From the strategic finding, it is evident that the business plan and market
plan do not support each other, hence proper and effective integration is
necessary to achieve organizational goals.
• Target market strategy also needs to be revised as the bank is shifting its
operation to commercial banking hence an updated target market strategy
is vital for growth.
• ZTBL also needs to consider proper metrics for its marketing evaluation to
improve the quality and performance of the marketing department.
Digitalization in marketing is still considered an afterthought here in
ZTBL, hence ZTBL needs to apply effective digital marketing strategy in
their overall marketing strategies to sustain and grow itself in this highly
competitive and digital banking environment.
• Digital marketing ZTBL is not able to capitalize on various digital touch
points in which customers of this generation largely engage with a
business hence leading to a huge loss of potential customers.
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Conclusion & Recommendations
Conclusions:
• There is no one particular reason that is contributing towards the failure of
the marketing strategy of ZTBL instead the whole marketing has to
undergo a lot of vital changes, to sustain itself as the competition and
quality of competition has increased.
• the failure reasons are outdated target marketing strategy which leads to
poor differentiation and positioning strategy as well, no presence of digital
marketing strategy.
• There is also weak metrics used for the evaluation of the marketing
department which also lead to the decrease in productivity of the overall
business plan as marketing contributes, complements and initiates the
other areas of the organization.
• Digital marketing should be given relevant importance if the bank wants
to evolve itself as the leading commercial bank.
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THANKYOU