Tribhuvan University
Faculty of Management
Office of the Dean
Bachelor of Business Administration in Finance (BBA-F)
Course Description
:This course has been designed to meet the challenges of the competitiveness in the financial service market in Nepal. It focuses on the specific needs of the BBA -Finance students who not only have to learn the management of the financial functions but also handle the marketing of the services. The course includes specific issues related with service marketing and strategic issues related to marketing of financial services in general. It provides an understanding of the unique nature of service products and strategies to deal with them; service marketing issues; an analysis of the national financial service marketing environment; financial service customers’ characteristics and buying process; segmentation and positioning of financial services; managing the 7ps of financial services. Course Learning Outcomes On completion of this course the students will be able to: Demonstrate an understanding of the basic nature of service products and strategic considerations for dealing with the unique nature of service product; Describe the key considerations for marketing of service products; Understand the micro and macro environmental variables for the financial market in Nepal; Demonstrate an understanding of the global financial trends and emerging financial services sectors in Nepal. Describe the nature and types of financial customers and their buying process; Recognize the financial service segmentation and positioning approaches; Demonstrate a skill in managing the financial service mix (the 7ps).
Course Objective
:This course aims to develop student’s insights into the specific nature and problems of marketing of financial services. The course is specifically targeted to inculcate skills for developing strategic considerations for marketing of financial services. Course Description This course has been designed to meet the challenges of the competitiveness in the financial service market in Nepal. It focuses on the specific needs of the BBA -Finance students who not only have to learn the management of the financial functions but also handle the marketing of the services. The course includes specific issues related with service marketing and strategic issues related to marketing of financial services in general. It provides an understanding of the unique nature of service products and strategies to deal with them; service marketing issues; an analysis of the national financial service marketing environment; financial service customers’ characteristics and buying process; segmentation and positioning of financial services; managing the 7ps of financial services. Course Learning Outcomes On completion of this course the students will be able to: Demonstrate an understanding of the basic nature of service products and strategic considerations for dealing with the unique nature of service product; Describe the key considerations for marketing of service products; Understand the micro and macro environmental variables for the financial market in Nepal; Demonstrate an understanding of the global financial trends and emerging financial services sectors in Nepal. Describe the nature and types of financial customers and their buying process; Recognize the financial service segmentation and positioning approaches; Demonstrate a skill in managing the financial service mix (the 7ps).
Course Contents:
Lecture hours show the approximate classroom time allocated to each unit.
Unit 1. Introduction
- Concept and nature of service
- Characteristics of service products: intangibility, inseparability, variability, and perishability
- Strategic considerations for managing the uniqueness of the service products
- Meaning and nature of service marketing
- Driving forces for growth in service marketing
- Service marketing triangle, and Service profit chain
- Introduction to the service marketing mix (7Ps).
Unit 2. Marketing Environment for Financial Services
- Micro environment for financial services: the financial service market in Nepal, Nepalese service customers, competition in service institutions, NRB as the regulator
- Macro environment and its effects: the Nepalese economic trends, demographic trends, e ffects of law and politics, socio-cultural dynamism in Nepal, technological innovations in financial service marketing (online banking, e-wallets, scan and pay etc.)
- The key driving forces of the Nepalese financial service market
- Emerging financial services in Nepal
- Global trends in financial services.
Unit 3. The Financial Customer and Relationship Marketing
- Types of financial customers: individual and institutional customers
- Buying process of institutional and individual customers
- Factors affecting choice of financial services by individual and institutional customers
- Customer value and satisfaction drivers in Nepalese financial services
- Concept and importance of relationship marketing in financial services
- Relationship focuses of Nepalese financial service institutions.
Unit 4. Segmentation and Positioning of the Financial Services
- Financial service market segmentation practices
- Segmentation of the individual consumer financial service market
- Segmentation of the intui tional customer financial service market
- Concept and importance of target marketing and positioning in financial service marketing
- Identifying positioning opportunities in financial services in Nepal.
Unit 5. Management of the Financial Service Marketing Mix
- Product - Types of financial service products
- Product life cycle of financial service products
- Branding of financial service products
- New financial product innovations and copying behavior by service organizations
- Pricing - Challenges for pricing of financial services
- Pricing of financial service offers (independent and control factors)
- Price discriminations
- New financial service pricing options
- Place or Distribution - Channels in financial service marketing
- Branch location strateg ies
- Alternative financial service channels: internet and mobile based channels
- Role of agents in Nepalese financial service marketing
- Promotion - The Above -the-line, below -the-line, and through -the-line promotion channels
- Financial service promotions in the rural markets
- Communication messages and advertising appeals used in promotion of financial services in Nepal
- People- Role of employees in marketing of financial services
- Recruitment, training, placement, motivation, and career development opportun ities for employees in Nepalese financial institutions
- Process- The process as a differentiation factor in Nepalese financial institutions
- The financial service processing for a customer before, during, and after the sale of financial service in Nepal
- P hysical Evidence - Role of physical evidence in marketing of financial services
- Servicescape focus of Nepalese financial service providers
- Brand communication through the physical evidence.
- Basic Book Pezzullo, M. A. Marketing Financial Services. New York: Macmillan.
Suggested Readings:
Bapat, D. Marketing of Financial Services. New Delhi: Willey India Ehrlich, E., & Fanelli, D. The Financial Services Marketing Hand Book, Tactics and Techniques that Produce Results. Princeton: Bloomberg Press Ennew,C., & Waite, N. Financial Services Marketing: An International Guide to Principles and Practice. Burlington, MA: Elsevier Nagdeman, J. Financial Services Marketing. New Jersey: John Wiley & Sons Koirala, K. D. Fundamentals of Services Marketing. Kathmandu: M. K. Publishers.