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The methods for commercial bank marketing are many, and they are not limited to the traditional means of marketing like radio jingles, television commercials or newspaper and magazine adverts. Indeed, commercial bank marketing encompasses such methods as the use of promotions, text messaging, Internet, discounts and other forms of incentives. Usually, banks work out a market strategy that often involves a mixture of these various marketing forms.
An example of the application of commercial bank marketing is the use of the Internet for the creation of awareness and the promotion of the various products and services offered by the bank. For example, a bank might use emails, niche advertising and Web sites as a means of marketing online.Most banks now have Web sites that contain information regarding the bank, such as its practices, benefits for customers, and the means by which potential customers can sign up online.
Another type of commercial bank marketing is the use of incentives as a major type of marketing strategy. Incentives are perhaps one of the most important means of commercial bank marketing, because they serve as a lure for new customers. The reason why incentives are important is due to the fact that the services and products offered by the various banks are all related. As such, an extra hook serves as the enticing factor that makes a customer decide to open an account in Bank A that is located five miles away, instead of Bank B that is located on the same street. This means of commercial bank marketing might be in the form of a stated amount of credit being deposited when a customer opens an account with the bank, or it could be through other methods.
For instance, some banks offer an exceedingly low interest rate on car loans to their customers only. Some people might be persuaded to open an account with the bank just to take advantage of this low interest rate. Another method for hooking customers is through lowering the parameters for qualifying for a loan. Assuming a bank lowers the credit score that it will consider in a loan application, in addition to placing a limit on other factors like credit history, this will serve as an incentive for customers to open an account with the bank, merely to take advantage of the offer. Of course, most times, banks have other considerations other than these factors that might not be revealed to the customers until they have opened accounts and applied for loans.
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