Prepare a top-level swot analysis for the bank

Assignment Help Marketing Management

Reference no: EM13944080

Question

Analysis and answering three questions (please use a table)

To be no longer than two pages in length or approximately 500 words

This case study looks at a hypothetical regional bank. Your task here is to prepare a SWOT for the firm; that is, identify their strengths, weaknesses, opportunities and threats. As a result of this exercise, you should have a much clearer idea of what marketing strategies would best suit them, given their current environment.

ACTIVITY/TASK:

Beautiful Sunny Valley region, home to just over 10,000,000 people. The Sunny Valley Bank had started several decades ago and had achieved a 20% share of the adult banking market (around 1,500,000 customers). They now had 50 branches throughout the region, which has been a key driver of their success (that is, being very convenient). They also had the advantage of being the ‘local' bank. They were friendly and truly concerned with helping their customers.

According to their marketing manager, "While our success was initially due to the convenience of our branches, in later years our closeness and "smallness" became a major point of difference over major banks. As a result, many of our new customers came from word of mouth".

However, they do have their limitations for their customers (which explain why they only have 20% market share). For instance, they have a limited range of products (such as not having a credit card). And in recent years, there's been a big change in technology. People now access their accounts through ATMs, phones and the internet - so banking customers don't necessarily need the convenience of branches, or the service that goes with it (particularly in these time-poor days). Therefore, what was once ‘strength' (of many branches), may have become a ‘weakness' (cost of rent and staff).

Adding to this pressure has been the rise in specialist competitors. Today, loan brokers aggressively target the profitable loans business, and firms like American Express, Citibank and Virgin targeting credit cards business, plus places like ING Bank chase low transaction/high balance savings.

As a result, the bank found themselves in a little bit of a strategy ‘mess' and had decided to ‘reinvent' themselves to be more competitive in today's market. Their proposed changes include: (this is their proposal for the Board of Directors)

· More heavy focus (positioning) on being the local bank (‘there for you, as always")
· Introducing customer relationship management (CRM) programs, including appointing "personal bankers"
· Creating a ‘selling is helping the customer' corporate culture
· Working their existing customer base harder (getting greater "share of wallet")
· Utilizing local retailers to help gain increase market share
· Having a heavier emphasis on electronic/remote channels (such as internet and the call centre), and
· Introducing a more competitive range of products - starting with a credit card

QUESTIONS (remember to insert a table for your SWOT)

1. Prepare a top-level SWOT analysis for the bank.

2. Given your SWOT, to what extent do you agree with their proposed strategy? Why?

Reference no: EM13944080

Questions Cloud

A wide assortment of business experts predicted : In the late 1990s, a wide assortment of business experts predicted that e-business was completely changing the nature of business transactions. This was reflected in the astronomical prices paid for the stocks of dot-com companies that were just begi..

Compare different components of the business perspective : Compare and contrast the different components of the business perspective as a collective whole vs. individual parts. Defend or criticize the required and/or promoted social responsibility of companies

The principle of lime soda process : What is the principle of lime Soda process? Give their functions with chemical reactions. 2. Write notes on reverse osmosis and ultra filtration.

Briefly explain the concept of supply chain management : Briefly explain the concept of supply chain management.

Prepare a top-level swot analysis for the bank : 1. Prepare a top-level SWOT analysis for the bank. 2. Given your SWOT, to what extent do you agree with their proposed strategy? Why?

How survey research used in non-experimental research : Describe how correlational and survey research are used in non-experimental research. Could you use either or both of these two non-experimental methods in your hypothetical study? What types of conclusions can you make, and why?

The data from university of phoenix material : Integrated Managed Services, Inc., Part 1. Discuss with your team whether you have data from RES/351, and if your team would like to use one team member's data for the Learning Team assignments in this course. If using data from RES/351

True mean for population : We do not know the true mean for this population (in other words, we don't know what proportion of households are satisfied with their banana quality). However, we want to construct a 90% confidence interval for where we believe the true proportio..

First consider the objectives of an audit in general : Explain your position. What is the best way for an auditor to reduce their liability? Why?

User Account

All Pages