Branch Based Marketing

This MicroSave briefing note explores the factors that contribute to successful branch based marketing. The note states that:

• Branch based marketing is effective because branches can identify customers; determine their needs and match products/services to these needs;
• Branches can build positive ‘word-of-mouth marketing in local, often semi-literate communities;
• Effective branch based marketing calls for coordination between the operations and the marketing functions;
• Branch managers are best positioned to market the institution via marketing to high value customers, to institutions and in one-to-many marketing;
• Branch-based marketing has the advantages of increased profits, responsiveness and efficiency, as well as more customized services and refined monitoring;
• A key success factor is to provide branches with budgets to conduct marketing activities;
• The person responsible for marketing at branch level must be aware of what is happening in the locality and must be well-networked for gathering information;
• Steps for successful implementation of branch-based marketing include: training, action planning, implementation, monitoring and review, and flexibility.

The brief concludes that branch based marketing can be very effective for mass market retail banking to low-income groups, if it is complemented with customer-centric products that actually meet identified customer needs.