Technology and Market Development in Nigerian Banking Industry: An Empirical Review of Selected Nigerian Banks

Abstract

This study reviewed how Nigerian banking organisations use technology to implement the intensive strategy of market development, especially by introducing their existing products to new market segments, creating new channels of distribution and by promoting alternate uses of their current products in their present and new markets. The research design was a descriptive survey of 5 selected banks representing about 20% of the 25 money deposit banks in Nigeria. Personal interviews were used as the primary data source, while documentary sources constituted secondary data for this study. The interviews and the documentary sources focused on the selected bank's specific technology deployments in implementing some of their market development strategies. The data collected were presented and discussed with illustrative narration of technology-driven market development strategies. The findings based on interviews and documentary sources indicated that technology remains a significant tool in implementing and achieving market development in the Nigerian banking industry. It confirmed that technology is deployed by banks in getting their existing products and services to new market segments, creating new channels of distribution and promoting alternate uses of their existing products in both present and new markets. In conclusion, this study construes that technology has a direct positive relationship with intensive market development strategies in the Nigerian banking industry. Therefore, the implication is that banks make adequate investments in technology to enable them to fully implement market development and other strategies to remain competitive and profitable.