IMPACT OF BRANDING ON CONSUMERS’ BEHAVIOUR
A CASE STUDY OF DIAMOND BANK PLC
1.1 BACKGROUND OF THE STUDY
need to maintain a competitive edge and customer loyalty in the industry
segment predetermine the significance to maintain unique and outstanding brand
of services and product that commands consumer satisfaction and loyalty. The
research seeks to investigate how Diamond Bank branding impacts on customers’
Diamond Bank Plc began as a private
limited liability company in March, 21, 1991. (The Bank was incorporated in
December 20, 1990). Ten years later in February 2001, it became a Universal
Bank. In January, 2005 following a highly successful private placement share
offer which substantially raised the banks equity base, Diamond Bank became a
public limited company. In May, 2005, the Bank was listed on the Nigerian stock
exchange. Moreover, in January, 2008, Diamond Bank Global Depositary receipts
(GDC) was listed on London Stock Exchange, the first bank in Africa to record
Diamond Bank is one of the leading banks in Nigeria – respected for its
excellent service delivery, driven by innovation and operating on the most
advanced banking technology platform in the market. Diamond Bank has over the
years leverage on its underlying residence to grow its assets base and to
successfully retain its key business relationship. And like a diamond, the
Bank’s strength make it even more valued.
In 2008, to ensure the Bank grows with
the need of the customer, the Bank streamlined its operation into three
district strategic business segments; retail banking, corporate banking and
Diamond Bank continues to develop and to
build on its live competences, by continually cutting from the rough, the Bank
have improved on services and other banking facilities.
However, like cutting from the rough gem
to create a diamond of the finest quality the banks continuously builds on its
brand. Hence, the nature of this research to investigate the impact of branding
on customers’ behavior with a case study of Diamond Bank plc.
1.2 STATEMENT OF THE PROBLEM
in consumer behavior shows that we have a consumer driven society where the ultimate motive of business products
and service is to satisfy consumer expectation makes them happily and remain
loyal to the brand. Therefore, a perfect understanding of consumer behavior is
a. The psychology of the consumers and
how they make decisions between
depending on their needs and brand awareness
b. how service or products providers make to
implement the best branding strategy for their product a service (e.g culture,
family, signs, media).
c. The various stages a consumer gives through
before purchasing a product or service.
d. What factors determine consumer’s loyalty
or repeat purchase of the brand” is crucial in meeting customer’s satisfaction
and brand loyalty. Therefore, an attempt to reach out to the consumer
effectively demands a suitable banding strategy since consumer buying decision
making and loyalty is affected by various branding strategies. In an industry
characterized by stuff competition an effective branding strategy is
significant not only to attract customers but to create customer loyalty to the
Therefore, this research seeks to
investigate the impact of branding on case study of Diamond Bank Plc.
1.3 OBJECTIVES OF THE STUDY
1. To determine the nature of branding and
2. To determine the nature of consumer behavior
3. to determine affective branding strategies
that would impact on consumer
4. To investigate the impact of branding on
5. To investigate the impact of branding on
consumer behavior in Diamond Bank
1.4 RESEARCH QUESTION
1. What is branding?
is consumer behavior?
is the nature of branding strategies?
4. What extent does branding impacts in
1.5 SIGNIFICANCE OF THE STUDY
1. To provide a detail analysis on the nature
of consumer behavior
2. TO provide detail analysis in the nature of
branding and branding strategy
3. To provide detail appraisal on the impact
of branding in consumer behavior
4. To serve a reference point of information
in branding consumers’ behavior and
of the various branding strategies.
1.6 STATEMENT OF HYPOTHESIS
1. H0 Branding is not given significant
attention in Diamond Bank Plc.
H1 Branding is given significant
attention in Diamond Bank Plc
2. H0 The impact of branding on consumers’ behavior
in Diamond Bank Plc is low
H1 The impact of branding on consumers’
behavior in Diamond Bank Plc is high
3. H0 Customers’ loyalty to brand in Diamond Bank
Plc is low
H1 Customers’ loyalty to brand in Diamond Bank
Plc is high
1.7 SCOPE OF THE STUDY
study focuses on the impact of branding on consumers’ behavior with a case
study of Diamond Bank Plc.
1.8 DEFINITION OF TERMS
is a specific or unique idea, any image or any specific name of any product or
service with which the consumers can connect very easily. Branding thus, become
a process of using that unique idea,
name to make your product distinct from others. It helps to identify
one’s product or services. Thus, in the minds of consumers a brand becomes a
promise that promise which will fulfill the needs of the consumers. Kotler P
OF CONSUMER BEHAVIOUR
behavior is a branch of marketing which deals with the various stages a
consumer goes through before purchasing products or services. It deals with how
commercial and social information sources influence of culture, sub-cultures,
social class, membership and reference groups on buying behavior. How buying
decision extend beyond the individual to the family and the household, the
roles of motivation, perception, learning, personality and attitudes in shaping
consumer behavior and the importance of statistical factors in buying.
Senguptha J. S. (2011).