The Role of Information Technology in the Marketing of Bank Services in Nigeria free essay sample

Ifezue (2003:38) lists some banking services that had been revolutionized through the use of information technology as including account opening, customer account mandate, and transaction processing and recording. The financial service industry had been subjected to various major transformations due to advancement in computers and telecommunications. Information technology (IT) infrastructures are rapidly emerging as a vital factor in socioeconomic development and hence, have a crucial role to play in addressing development challenges. Onyeke (2008:319) wrote on the appreciation of information technology in Nigeria banks and pointed out that information technology is becoming the backbone of banks’ services regeneration in Nigeria. He cited the Diamond Integrated Banking Services (DIBS) of Diamond Bank Limited and Electronic Smart Card Account (ESCA) of Eco Bank Limited as efforts geared towards creating sophistication in the banking sector. He also discovered that banking in Nigeria has increasingly depended on deployment of information technology and that IT budget for banking is by far longer than that of any other industry in Nigeria. He contended that on-line system has facilitated internet banking in Nigeria as evidenced in some of them launching websites. Olakunori (2003:33) discovered that Nigeria banks since 1980s have performed better in their investment profile and the use of IT systems, than the rest of industrial sector of the economy. An analysis of the study carried out by African Development Consulting Group Ltd (ADCG) on IT diffusion in Nigeria shows that bank have invested more on IT, have more IT personnel, more installed based for PCs, Local Area Networks (LAN), and Wide Area Networks (WAN), and a better linkage to the internet than other sectors of the Nigerian economy. In general, existing studies have concluded two positive effects regarding the relationship between information technology and banks’ performance. Firstly, information technology can reduce bank’s operational cost. For example, internet help banks to conduct standardized, Low Value-added transactions through the on-line channel, while focusing their resources into specialized, high value-added transactions through branches. Second, information technology can facilitate transactions among customers within the same network. In case of Automated Teller Machine (ATM), if available over geographical dispersed areas, the benefits will increase since customers will be able to access their account from any geographical location they want. This imply that the value of an ATM network increases with the number of available ATM locations, and the value of banks network to a customer will be determined in parts by the final network size of the bank. 1. 2RESEARCH PROBLEM High incidence of poverty, poor funding by the governments, lack of knowledge and expertise in the use of the new technology and poor condition of infrastructure especially electricity have bedevilled the contribution of information technology in the marketing of banking g services in Nigeria. These do not only impact on the activities of these banks but also their growth and profitability thereby affecting their rate of involvement in economic development in Nigeria. Another problem identified by the researcher is computer anxiety amongst the teeming population. This is more prevalent among the female gender as it is with the male gender and it goes a long way in affecting the acquisition of skills in the field of IT as every aspect of IT deals with a computer system. The cost of maintaining IT equipments is also another factor why most banks do not adopt this concept in their diverse activities thereby affecting their diverse activities. This is due to the fact that IT adoption aids or facilitates marketing practices in any field including the banking sector. The researcher also discovered that the bank has not being able to keep to its promise in its adoption of IT. For instance, the bank promised all day ATM services for the seven (7) days of the week but this ios hardly the case, either that the ATM is malfunctioning or that there is no cash in the ATM. All these are problems related with the adoption of IT which instead of encouraging customers’ patronage discourages it. 3. OBJECTIVES OF THE STUDY The broad objective of this study is to appraise the Role of Information Technology (IT) in the Marketing of Banking Services in Nigeria focusing on United Bank for Africa (UBA), Enugu. The specific objectives include the following: . To examine whether there is a relationship between IT adoption and marketing of banking services. 2. To investigate the effect of IT adoption on the growth and profitability of UBA, Enugu. 3. To examine the effectiveness of IT adoption in the marketing activities of UBA, Enugu. 4. To examine whether the adoption of IT by UBA, Enugu enhances its patronage level. 5. To investigate the effect of poor infrastructura l state of Nigeria to IT adoption by UBA, Enugu. 6. To examine the effect of computer anxiety in the use of IT by UBA staffs. . To investigate the effect of maintenance cost of IT equipments to its use by UBA, Enugu? 8. To examine whether IT adoption by UBA, Enugu aids it in serving its customers better than competitors. 4. RESEARCH QUESTIONS The following research questions are formulated for the purpose of this research study: 1. Is there a relationship between IT adoption and marketing of banking services? 2. Does IT adoption by UBA, Enugu impact on its growth and profitability? 3. Is IT adoption effective in the marketing activities of UBA, Enugu? 4. Does the adoption of IT by UBA, Enugu enhance its patronage level? 5. Does the poor infrastructural state of Nigeria affect IT adoption by UBA, Enugu? 6. Does computer anxiety affect the use of IT by UBA staffs? 7. Does the maintenance cost of IT equipments affect its use by UBA, Enugu? 9. Does IT adoption by UBA, Enugu aid it in serving its customers better than competitors? 5. FORMULATION OF HYPOTHESES The following hypotheses are formulated for the purpose of this research study: HYPOTHESIS ONE HO:There is no relationship between IT adoption and marketing of banking services. HI:There is a relationship between IT adoption and marketing of banking services. HYPOTHESIS TWO HO:IT adoption by UBA, Enugu does not impact on its growth and profitability. HI:IT adoption by UBA, Enugu impacts on its growth and profitability. HYPOTHESIS THREE HO:IT adoption is not effective in the marketing activities of UBA, Enugu. HI:IT adoption is effective in the marketing activities of UBA, Enugu. HYPOTHESIS FOUR HO:The adoption of IT by UBA, Enugu does not enhance its patronage level. HI:The adoption of IT by UBA, Enugu enhances its patronage level. 6. SIGNIFICANCE OF THE STUDY This research study will be of immense significance to the following groups of people: The management and staff of UBA, Enugu. It will go to a great extent in enlightening them on the concepts of IT as well as its benefits in the marketing of banking services. It will also enlighten other banks. The recommendations from this research study will aid them in adopting effective and better IT strategies in marketing their products and services to their target market. It will enable them to satisfy their customers better than competitors and therefore enhance their patronage level. The general public will as well benefit from this research study. They will not just understand the concepts of IT but will understand how to apply this technology in their diverse activities and endavours. Finally, students and researchers will as well benefit from the purpose of this research study. They will widen their scope from the information contained in this research study. 7. SCOPE OF THE STUDY The financial service industry had been subjected to various major transformations due to advancement in computers and telecommunications. Information technology (IT) infrastructures are rapidly emerging as a vital factor in socioeconomic development and hence, have a crucial role to play in addressing development challenges. In evaluating the appreciation of information technology in Nigeria banks it has been pointed out that information technology is becoming the backbone of banks’ services regeneration in Nigeria. That is why this research study encompasses the Role of Information Technology (IT) in the Marketing of Banking Services in Nigeria is focused on United Bank for Africa (UBA), Enugu. 8. DEFINITION OF TERMS MARKETING: as a societal process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products an services of value with others. INTERNET MARKETING: The marketing of products or services over the Internet. ELECTRONIC MAIL MARKETING: This is a form of direct marketing which uses electronic mail as a means of communicating commercial or fundraising messages to an audience. ELECTRONIC COMMERCE: This consists of the buying and selling of products or services over electronic systems such as the Internet and other computer networks. ARTICLE MARKETING: This is a type of advertising in which businesses write short articles related to their respective industry. AFFILIATE MARKETING: This is a kind of marketing wherein a company hires other companies or websites known as affiliates and entrusts them with the responsibility of marketing the product. CHAPTER TWO REVIEW OF RELATED LITERATURE 2. 1OVERVIEW OF MARKETING Marketing has been identified as an interesting, fascinating and dynamic field. It is to a great extent an all embracing and evolving process of every organizational set up (Adirika, Ebue and Nnolim, 1999:34). It is a coordinating instrument of an organization and of every business World. Marketing is a human activity directed at satisfying needs and wants rooted in human behavior (Kotler, 2003:34). In real life, there is nothing that one does that does not imply an art of marketing, when one displays its products or services to the public in order to earn revenue and possibly make profit; he is engaged in promotion and selling, an aspect of marketing. Basically, marketing is not limited to business. When a young man is looking for a lady to marry or vice versa, he or she is engaged in promotion, an art of marketing, when you are trying to persuade people to vote for you. But none of these activities is called marketing, only when they are brought together with others, such as prizing, research, distribution can they be called marketing. From the foregoing illustration, it follows that marketing transcends all aspects of social life. Marketing practices are in play when we are born (the type of hospitals and doctors our parents prefer) while we grow (the type of school, primary, secondary, tertiary we select or our parents select), the type of cloths our parents buy or that we buy, while we conduct our daily lives (the purchase of status related items) and when we retire (the type of building we will like to have). Marketing influences our lives that we need to take the study of marketing serious. There are several definitions to this multifaceted and wide range of field called marketing. The term marketing for most people means a set of business activities. They see marketing as the task of finding and stimulating customers to consume the firm’s products. Marketing has been defined by different authors or bodies from different perspectives. Kotler (2003:18) define marketing as a societal process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products an services of value with others. Ifezue (2002:33) sees marketing as playing a central role for business success since it is concerned with creation and retention of customers and also important for relationship building with customers by providing satisfaction and attracting new customers by creating added value. Olakunori (1999:66) stressed the importance of building in his definition of marketing kin which he described the objective of marketing as to establish, develop, and commercialize long-term customer relationship so that the objectives of the parties are met The American Marketing Association (AMA) offers the following definition: Marketing is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchange that satisfy individuals or organizational goals. Adirika, Ebue and Nnolim (2003:18) defined marketing as a total system of business activities designed to plan, promote and distribute want satisfying products to target market to achieve organizational goals. This definition according to them has two significant implications. The entire system of business activities should be customer oriented. That is customers wants must be recognized and satisfied. Marketing should start with the idea about a want satisfying product and should not end until customers wants are completely satisfy which may be time after the exchange is made. These classical definitions of marketing are oriented towards the physical movement of economic goods and services. It emphasizes much on the role of physical distribution and marketing channel. The demerit of this definition is that the importance of buyers and sellers are overlooked. Also the strong impact of marketing by many publics, employees, unions, etc. is not considered. A proper definition of marketing should not be confined to economic goods and services. It should cover organizations (Red Cross), people (political candidates), place (Enugu) and ideas. Edoga and Ani (2005:13) defined marketing as the anticipation, management and satisfaction of demand through the exchange process. The definition clarifies the concept of marketing because it encompasses all the activities in marketing and highlights the central marketing function, that is, the exchange process. 2. THE CONCEPT OF MARKETING OF SERVICE Services lie at the very center of economic activity in any society. For some people, service is synonymous with servitude and brings to mind workers waiting on tables, house servants, laborers, etc. However, the service industry that has grown significantly over the past thirty years cannot be accurately described as composed only of low wage or low skill jobs (Edoga, 2006:1). The fast growing jobs within the service sector especially in developed countries are finance, insurance, real estate, health, education, professional services, etc (Adirika, Ebue and Nnolim, 2003:66). Services are undergoing a transformation from the traditional concept of a service transaction to one of a experience. The rapid growth of service in recent times has brought the need for effective and efficient coordination of its marketing. Many definitions of services are available but all contain a common theme of intangibility and simultaneous consumption (Edoga, 2006:5). Below represents a sample of these definitions: According to Kotler and Keller (2006:118) a service can be described as an act or performance that pone party can offer to another that is essentially intangible and does not result in the ownership of anything. Its production may or may not be tied to a physical product. According to the American Marketing Association (AMA) services are products that are intangible or at least substantially so, they are exchanged directly from producers to users, cannot be transported or stored and they are almost instantly perishable. Service products are also difficult to identify, since they come into existence at the time they are bought and consumed. They are composed of intangible elements that are inseparable. They usually involve customer participation in some important ways and cannot be sold in the sense of ownership transfer and have no title. Services are deeds, processes and performances. According to Stanton (2003:188) a service is any activity or series of activities of more or less intangible nature that normally but not necessarily take place in interactions between customer and service employees and/or physical resources of goods and / or systems of service providers, which are provided as solutions to customers’ problems. According to Kotler (2003:71) service includes all economic activities whose output is not a physical product or construction, is generally consumed at the time it is produced and provides added values in forms (such as convenience, amusement, timeliness, comfort or health) that are essentially intangible concerns of its purchaser. 3. APPRAISAL OF INFORMATION TECHNOLOGY Information technology (IT) is the use of computers and telecommunications equipment to store, retrieve, transmit and manipulate data (Kotler, 2003:391). The term is commonly used as a synonym for computers and computer networks, but it also encompasses other information distribution technologies such as television and telephones. Several industries are associated with information technology, such as computer hardware, software, electronics, semiconductors, internet, telecom equipment, e-commerce and computer services. In a business context, the Information Technology Association of America (2010:12) has defined information technology (IT) as the study, design, development, application, implementation, support or management of computer-based information systems. The business value of information technology is to automate business processes, provide information for decision making, connect business with their customers, and provide productivity tools to increase efficiency. In an academic context, the Association for Computing Machinery defines it as undergraduate degree programs that prepare students to meet the computer technology needs of business, government, healthcare, schools, and other kinds of organizations . IT specialists assume responsibility for selecting hardware and software products appropriate for an organization, integrating those products with organizational needs and infrastructure, and installing, customizing, and maintaining those applications for the organization’s computer users. Examples of these responsibilities include the installation of networks; network administration and security; the design of web pages; the development of multimedia resources; the installation of communication components; the oversight of email systems; and the planning and management of the technology lifecycle by which an organization’s technology is maintained, upgraded, and replaced. 4. EFFECTIVENESS OF IT IN THE MARKETING OF BANKING SERVICES It is becoming increasingly difficult, if not impossible, for banks employing traditional methods (manual methods) to compete favorably n the industry. According to Kotler and Armstrong (2003:18), the potential of the new information era to deliver financial services directly into people’s home is causing trepidation among the big retail banks. IMF conference of 1989 confirmed that Information Technology has had more impact on more fundamentals, more quickly, than virtually any other external change in the history of the banki ng industry. It is transforming every aspect of a bank’s business, from its management information to the nature of the products and services it offers. It fundamentally affects many of the key drivers of both cost and revenue, which will increasingly determine a bank’s overall profitability and competitive positions. With Information Technology, electronic funds and information transfer systems have been variously designed to deliver services to customers in a ‘better’ and ‘faster’ ways. Today, investment in technology has become an important component of an overall strategy in banks. Writing on new technologies and performance enhancement in the banking industry, Onyeke (2008:37) stated that the new technologies have created unparalleled wired economy. The transfer of money from point ‘A’ to point ‘B’ has resulted in turning the actual money into bits and bytes through satellite transponders, fibre optic cables or regular telephone lines. Banks utilize computer based systems as well as telecommunication technologies for storage, processing and communication. Information technology has provoked several inventions and automated devices. Information technology maybe considered to be the harnessing of electronic technology in its various forms to implore the operations and profitability of the business as a whole. Information technology provides significant improvement with facilities such as word processing, improving secretarial typing and some reprographic services, communication facilities in the form of electronic mail database. This is the assumption that high customer satisfaction leads to sustainable revenue growth and profitability. This claim is based on the argument provided by Onyeke and Nebo (2003:94), â€Å"That profit and growth rate are estimated primarily by customer’s loyalty, and loyalty is a direct result of customers satisfaction†. . TYPES OF IT ADOPTED IN MARKETING OF BANKING SERVICES There are various strategies of E – marketing. They include the following (Kotler and Keller, 2007:452): 1) ELECTRONIC COMMERCE: Electronic commerce, commonly known as e-commerce or e – business consists of the buying and selling of products or services over electronic systems such as the Internet and other computer networks (Onah and Thomas, 2003:56). The amount of trade conducted electronically has grown extraordinarily with widespread Internet usage. The use of commerce is conducted in this way, spurring and drawing on innovations in electronic funds transfer, supply chain management, Internet marketing, online transaction processing, Electronic Data Interchange (EDI), inventory management systems, and automated data collection systems. Modern electronic commerce typically uses the World Wide Web at least at some point in the transactions lifecycle, although it can encompass a wider range of technologies such as e-mail as well. A large percentage of electronic commerce is conducted entirely lectronically for virtual items such as access to premium content on a website, but most electronic commerce involves the transportation of physical items in some way (Olakunori, 2003:36). Online retailers are sometimes known as e retailers and online retail is sometimes known as e-retail. Almost all big retailers have electronic commerce presence on the World Wide Web. Electronic commerce that is conducted between businesses is referred to a s business-to-business or B2B. B2B can be open to all interested parties (e. g. commodity exchange) or limited to specific, pre-qualified participants (private electronic market). Electronic commerce that is conducted between businesses and consumers, on the other hand, is referred to as business-to-consumer or B2C. This is the type of electronic commerce conducted by companies such as Amazon. com. Online shopping is a form of electronic commerce where the buyer is directly online to the sellers computer usually via the internet (Ifezue, 1999:45). There is no intermediary service. The sale and purchase transaction is completed electronically and interactively in real-time such as Amazon. com for new books. If an intermediary is present, then the sale and purchase transaction is called electronic commerce such as eBay. om. Electronic commerce is generally considered to be the sales aspect of e-business. It also consists of the exchange of data to facilitate the financing and payment aspects of the business transactions. Within the last 10 years, Ecommerce has seen a surge in profitability. Many businesses, both large and small, are looking to the web for increa sed consumer patronage. Here are some real advantages of E – commerce (Zeigler, 2000:293): 1) Open 24/7. Ecommerce systems are operational all day, every day. Consumers can visit your site any time, day or night, regardless of whether or not your physical storefront is open for business. Even if you are operating a service-based operation, reservations and/or inquiries can be made any time of day to increase interest in your business. 2) A global market. Web sites transcend all physical boundaries. If your consumer has a computer and an Internet connection, he/she can do business with you. 3) Instant gratification. The Internet affords immediacy. Orders can be made and payments processed almost immediately online. Long gone are the days of catalogs and lost orders. With Ecommerce, transactions run more smoothly and efficiently. 4) Increase profits by reducing costs. One of the real advantages of E – commerce is that you can truly cut costs. Physical store fronts require constant manpower. A good website can take the place of several salespersons. In addition, original manufacturers can often be identified and worked with to cut out the cost of the middle man supplier. 2) ELECTRONIC MAIL MARKETING: E-mail marketing is a form of direct marketing which uses electronic mail as a means of communicating commercial or fundraising messages to an audience (Onyeke and Nebo, 2004:45). In its broadest sense, every e-mail sent to a potential or current customer could be considered e-mail marketing. However, the term is usually used to refer to: †¢ sending e-mails with the purpose of enhancing the relationship of a merchant with its current or previous customers and to encourage customer loyalty and repeat business, †¢ sending e-mails with the purpose of acquiring new customers or convincing current customers to purchase something immediately, †¢ adding advertisements to e-mails sent by other companies to their customers, and †¢ sending e-mails over the Internet, as e-mail did and does exist outside the Internet (e. g. , network e-mail and FIDO). E-mail marketing (on the Internet) is popular with companies for several reasons (Onyeke, 2008: 99): †¢ An exact return on investment can be tracked (track to basket) and has proven to be high when done properly. E-mail marketing is often reported as second only to search marketing as the most effective online marketing tactic. †¢ Advertisers can reach substantial numbers of e-mail subscribers who have opted in (i. e. , consented) to receive e-mail communications on subjects of interest to them. †¢ Over half of Internet users check or send e-mail on a typical day. E-mail is popular with digital marketers. †¢ E-mail allows marketers to reach out to consumers with personalized, relevant, dynamic messages. †¢ Transactional e-mails allow businesses to respond automatically to important consumer events like purchases or shop-cart abandonment. 3) SOCIAL MEDIA MARKETING Social media marketing is a recent component of organizations integrated marketing communications plans. Integrated marketing communications is a principle organizations follow to connect with their targeted markets. Integrated marketing communications coordinates the elements of the promotional mix—advertising, personal selling, public relations, publicity, direct marketing, and sales promotion—to produce a customer focused message. In the traditional marketing communications model, the content, frequency, timing, and medium of communications by the organization is in collaboration with an external agent, i. e. advertising agencies, marketing research firms, and public relations firms. However, the growth of social media has impacted the way organizations communicate with their customers. Social media marketing programs usually center on efforts to create content that attracts attention, generates online conversations, and encourages readers to share it with their social networks. The message spreads from user to user and presumably resonates because it is coming from a trusted source, as opposed to the brand or company itself. Social media has become a platform that is easily accessible to anyone with internet access, opening doors for organizations to increase their brand awareness and facilitate conversations with the customer. Additionally, social media serves as a relatively inexpensive platform for organizations to implement marketing campaigns. Organizations can receive direct feedback from their customers and targeted markets. Social media marketing which is also known as Social Media Optimization (SMO) benefits organizations and individuals by providing an additional channel for customer support, a means to gain customer and competitive insight, and a method of managing their reputation online. Key factors that ensure its success are its relevance to the customer, the value it provides them with and the strength of the foundation on which it is built. A strong foundation serves as a stand or platform in which the organization can centralize its information and direct customers on its recent developments via other social media channels, such as article and press release publications. 4) ARTICLE MARKETING: Article marketing is a type of advertising in which businesses write short articles related to their respective industry (Adirika, Ebue and Nnolim, 1999). These articles are made available for distribution and publication in the marketplace. Each article contains a bio box and byline (collectively known as the resource box) that include references and contact information for the authors business. Well-written content articles released for free distribution have the potential of increasing the authoring business credibility within its market as well as attracting new clients. According to Berkowitz et al (2005:394) Article marketing has been used by professionals for nearly as long as mass print has been available. In paper-print form (as opposed to online forms), article marketing is utilized commonly by business owners as a means of obtaining free press space. A local business provides useful content to the newspaper free of charge, and in return the newspaper prints the business contact information with the article. Because newspapers and other traditional media are expected to present content on limited budgets, this arrangement is generally advantageous for all parties involved. For example, an accounting firm may market itself by writing an article entitled The Top 10 Ways to Avoid Being Audited and offering it to the local newspapers several weeks prior to tax season. Similarly, a roofing company may offer radio stations a concise article entitled How to Avoid Ice Damage to Your Roof this Winter shortly before the winter season. 2. 6ROLE OF IT IN THE MARKETING OF BANKING SERVICES The following include some of the major impacts of information technology in Nigeria’s banking system (Ifezue, 2003:119): GSM Banking This mode of e-banking makes use of the Global System for Mobile communication (GSM) phones as the primary electronic device. GSM has improved the operational efficiency of many banks in the country. The mobile banking services basically allow customers to operate their accounts with the operating banks from mobile phones to a large extent as long as their phones and network support SMS (short messaging service). The user could be able to check account balance up to his two last transactions. Automated Teller Machines (ATMs) ATMs are a computer-controlled device that dispenses cash, and may provide other services to customers who identify themselves with a Personal Identification Number. ATM dispenses cash at any time of the day and night, unlike the traditional method where customers have to queue for a very long time in order to withdraw cash or transfer funds. Adoption of the ICT Integrated Project Banks in Nigeria have successfully completed information and communication technology integration project which enables them to communicate easily across as many employees as possible within and outside the country to deliver radically-enhanced customer-centric services. Funds Transfer Customers can now electronically transfer funds across the globe without any problem or delay as compared to the traditional method before the advent of information technology when funds are seriously delayed before they are delivered to the recipients. On-Line Banking With the aid of information technology, online banking provides the opportunity of paying bills and performing transactions of any kind electronically. Electronic payments can be credited or debited the same day. Customers can make payments for goods or services without necessarily coming in contact with physical cash and running the risk of handling a large amount of money. Electronic Mail Information technology has given rise to electronic mail which improves communication between individuals, external parties and the bank within or across various geographical regions or boundaries. The availability of online information provides bankers and customers with a powerful vehicle for research. Bankers Automated Clearing Services This involves the use of Magnetic Ink Character Reader (MICR) for cheque processing. It is capable of encoding, reading and sorting cheques. Also, request for cheque books or purchase of draft can be made and granted via electronic devices that are web-enabled. Summarily, the impact of information technology in banking industries in Nigeria cannot be over-emphasized. It has provided flexible and convenient services to customers. Most current e-banking applications make use of the Internet which allows customers to obtain current account balances at any time. Customers do not need to bother themselves once money have been deposited or withdrawn from their accounts as most banks in Nigeria employs the use of short message service (SMS) to intimate customers of their balances immediately the transaction is performed. 2. 7THE CONCEPT OF ELECTRONIC BANKING Electronic banking, also known as electronic fund transfer (EFT), uses computer and electronic technology in place of checks and other paper transactions (Kotler and Keller, 2003:319). Electronic banking is initiated through devices like cards or codes that let you, or those you authorize, access your account. Many financial institutions use ATM or debit cards and Personal Identification Numbers (PINs) for this purpose. Some use other types of debit cards that require your signature or a scan. For example, some use radio frequency identification (RFID) or other forms of contactless technology that scan your information without direct contact with you. The federal Electronic Fund Transfer Act (EFT Act) covers some electronic consumer transactions. Here are some common electronic banking services (Onyeke and Nebo, 2003:48): ATMs are electronic terminals that let you bank almost virtually any time. To withdraw cash, make deposits, or transfer funds between accounts, you generally insert an ATM card and enter your PIN. Some financial institutions and ATM owners charge a fee, particularly if you dont have accounts with them or if your transactions take place at remote locations. Generally, ATMs must tell you they charge a fee and the amount on or at the terminal screen before you complete the transaction. Check with your institution and at ATMs you use for more information about these fees. Direct Deposit lets you authorize specific deposits — like paychecks, Social Security checks, and other benefits — to your account on a regular basis. You also may pre-authorize direct withdrawals so that recurring bills — like insurance premiums, mortgages, utility bills, and gym memberships — are paid automatically. Be cautious before you pre-authorize recurring withdrawals to pay companies you arent familiar with; funds from your bank account could be withdrawn improperly. Monitor your bank account to make sure direct recurring payments take place and are for the right amount. Pay-by-Phone Systems let you call your financial institution with instructions to pay certain bills or to transfer funds between accounts. You must have an agreement with your institution to make these transfers. Personal Computer Banking lets you handle many banking transactions using your personal computer. For example, you may use your computer to request transfers between accounts and pay bills electronically. Debit Card Purchase or Payment Transactions let you make purchases or payments with a debit card, which also may be your ATM card. Transactions can take place in-person, online, or by phone. The process is similar to using a credit card, with some important exceptions: a debit card purchase or payment transfers money quickly from your bank account to the companys account, so you have to have sufficient funds in your account to cover your purchase. This means you need to keep accurate records of the dates and amounts of your debit card purchases, payments, and ATM withdrawals. Be sure you know the store or business before you provide your debit card information to avoid the possible loss of funds through fraud. Your liability for unauthorized use, and your rights for dealing with errors, may be different for a debit card than a credit card. Electronic Check Conversion converts a paper check into an electronic payment in a store or when a company gets your check in the mail. When you give your check to a cashier in a store, the check is run through an electronic system that captures your banking information and the amount of the check. You sign a receipt and you get a copy for your records. When your check is given back to you, it should be voided or marked by the merchant so that it cant be used again. The merchant electronically sends information from the check (but not the check itself) to your bank or other financial institution, and the funds are transferred into the merchants account. 8. COMPANY PROFILE UBA is a large financial services provider in Nigeria with subsidiaries in 20 sub-Saharan countries, with representative offices in France, the United Kingdom and the United States. It offers universal banking services to more than 7 million customers across 750 branches. Formed by the merger of the commercially focused UBA and the retail focused Standard Trust Bank in 2005, the Bank purports to have a clear ambition to be the dominant and leading financial services provider in Africa. [1] Listed on the Nigerian Stock Exchange in 1970, UBA claims to be rapidly evolving into a pan-African full service financial institution. [2] The Group adopted the holding company odel in July 2011. As of December 2011[update], the valuation of UBA Groups total assets was approximately US$12. 3 billion (NGN:1. 94 trillion), with shareholders equity of about US$1. 07 billion (NGN:170 billion. Todays United Bank for Africa Plc (UBA) is the product of the merger of Nigerias third (3rd) and fifth (5th) largest banks, namely the old UBA and the erstwhile Standard Trust Bank Plc (STB) respectively, and a subsequent acquisition of the erstwhile Continental Trust Bank Limited (CTB). The union emerged as the first successful corporate combination in the history of Nigerian banking. UBAs history dates back to 1948 when the British and French Bank Limited (BFB) commenced business in Nigeria and the erstwhile STB and CTB both in 1990. Following Nigerias independence from Britain, UBA was incorporated in 1961 to take over the business of BFB. Although todays UBA emerged at a time of industry consolidation induced by regulation, the consolidated UBA was borne out of a desire to lead the domestic sector to a new era of global relevance by championing the creation of the Nigerian consumer finance market, leading a private/public sector partnership at supporting the acceleration of Nigerias economic development, and growing the institution from a banking to a one-stop financial services institution, while spreading its footprints across Africa to earn the reputation as the face of banking in the continent. Today, United Bank for Africa Plc, is one of Africas leading financial institutions offering universal banking to more than 7. 2 million customers across 700 Business Offices in 19 African countries. With presence in New York, London and Paris, UBA is your partner for banking services for Africans and African related businesses globally. UBA ORGANISATION CHART Source: UBA, Annual report and Accounts 2009. CHAPTER THREE RESEARCH DESIGN AND METHODOLOGY 3. 1RESEARCH DESIGN Research design provides the glue that holds the research project together. A esearch design is used to structure the research to show how all of the major parts of the research project work together to try to address the central research question. Udeagha (2003:153) defined research design as the framework that indicates the type of information that is needed for the search, the sources of such information and methods of its collection. Definitely, this is a survey research. Survey research is the method of gathering data from respondents thought to be representatives of some population using an instrument composed of closed structure or open ended items (questions). Kin Linger (1977:15) defined survey research as a research which studiers large and small population by selecting and studying samples chosen from the population to discover the relative incidence, distribution, inter relations of sociological variables. 2. SOURCES OF DATA Both primary and secondary sources of data are used in this research work for gathering information: 1. PRIMARY SOURCES OF DATA The primary sources of data used for this research work include the following: a) Questionnaire administration, b) Oral interview and, ) Personal observations. 3. 2. 2SECONDARY SOURCES OF DATA The secondary sources of data used for this research work include the following: a) Periodicals and journals, b) Textbooks and lecture notebooks, and c) Internet 3. POPULATION OF THE STUDY The population of this research work consists of the management and staff of UBA, Enugu, and its customers. The departments of the bank that were included in this study include the following: a) Marketing departmen t, b) Administrative department, c) Customer service department, and d) Cashier department. The population used for the purpose of this research work is that of the population census of Enugu as at 1991 which is 465072. The regions that were covered in Enugu metropolis include the following: Abakpa Emene Ogui Urban New Haven Independent Layout Maryland Uwani TransEkulu Coal Camp Achara Layout 4. SAMPLE SIZE DETERMINATION Based on the population figure of Enugu metropolis at 1991 population census which was 465072, the researcher used the Bourley’s formular in determination of the sample size. The formular is stated thus: n = N / 1 + N (e) 2 Where:n = Sample size N = Total population = 465,072 = Tolerable error = 0. 05 I = A constant n = 465,072 1 + 465,072 (0. 05)2 n = 465, 072 1 + 465, 072 (0. 0025) n = 465, 072 1 + 1162. 68 n = 465,072 1163. 68 n = 399. 66 n = 400 3. 5QUESTIONNAIRE ALLOCATION AND DISTRIBUTION It is important to note here that the study covered the whole of Enugu metropolis, hence the researcher distributed questionnaire to the entire unit within En ugu metropolis. A tabular representation of the questionnaire distribution is shown below: |UNIT |POPULATION |QUEST. ADMIN. | |Abakpa |63,070 |54 | |Emene |29,119 |25 | |Ogui Urban |39,891 |34 | |New haven |49,212 |42 | |Ind. Layout |54,617 |47 | |Maryland |34,009 |29 | |Uwani |49,063 |44 | |Trans Ekulu |59,241 |51 | |Coal Camp |45,710 |39 | |Achara Layout |411,41 |35 | |Total |465,072 |400 | SOURCE:ENUGU STATE POPULATION CENSUS, 1991. To determine the number of questionnaire to be distributed to each of the units, the following formular is used: Population of units Sample size Population of entire metropolis Abakpa= 63,070 / 465,072 * 400 54 Emene=29119 / 465072 * 400 25 Ogui urban=39,891 / 465072 * 400 34 New haven=49,212 / 465072 * 400 42 Independent=54,617 / 465072 *400 Layout47 Maryland=34,009 / 465072 * 400 29 Uwani=49,241 / 465072 * 400 42 Trans Ekulu=59,241 / 465072 * 400 51 Coal Camp=45,710 / 465072 * 400 39 Achara Layout= 41,140 / 465072 * 400 35 6. METHOD OF DATA TREATMENT AND ANALYSIS In treating and analyzing of data collected extensive use of tabular and percentage will be paramount. The data collected will be presented in table and analyzed with percentage. The hypotheses will be analyzed by the use of Chi – Square formular. 3. 7LIMITATIONS OF THE STUDY The researcher encountered the following constraints in this research work: FINANCIAL CONSTRAINTS: Finance is the key to the success of every research work. There was not enough fund on the part of the researcher. This led to a slight delay in the completion of this research work. The researcher also had difficulty in gathering the information necessary for the successful completion of this research work. APPENDIX I Department of Marketing, Institute of Management and Technology (IMT), Enugu. Dear Respondents, I, Ogudu Ejike from the above mentioned department and institution is carrying out a research work on â€Å"The Role of Information Technology in the Marketing of Bank Services in Nigeria. A Study of UBA, Enugu†. I therefore, implore you to fill out the questionnaire being presented to you as the information is used in a research project for the fulfilment of Higher National Diploma (HND) in mass communication. I promise that the information will be treated with the strictest confidence. Yours Faithfully, Ogudu Ejike QUESTIONNAIRE FOR MANAGEMENT AND STAFF INSTRUCTION: Please tick {/} in then box (es) otherwise complete the space appropriately. 1. Is there a relationship between IT adoption and marketing of banking services? a. Yes( ) b. No( ) 2. Does IT adoption by UBA, Enugu impact on its growth and profitability? a. Yes( ) b. No( ) 3. Is IT adoption effective in the marketing activities of UBA, Enugu? a. Yes( ) b. No( ) 4. Does the adoption of IT by UBA, Enugu enhance its patronage level? a. Yes( ) b. No( ) 5. Does the poor infrastructural state of Nigeria affect IT adoption by UBA, Enugu? a. Yes( ) b. No( ) 6. Does computer anxiety affect the use of IT by UBA staffs? a. Yes( ) b. No( ) 7. Does the maintenance cost of IT equipments affect its use by UBA, Enugu? a. Yes( ) b. No( ) 8. Does IT adoption by UBA, Enugu aid it in serving its customers better than competitors? a. Yes( ) b. No( ) 9) Does IT adoption enhance the customers’ patronage of the bank? a. Yes( ) b. No( ) 10) What is your gender? a) Male{ } b) Female{ } 11) What is your educational qualification? a) WASSCE/NECO/GCE{ } b) OND/NCE{ } c) BSC/BA/HND{ } d) MSC/MA/MBA{ } e) PHD { } 12) What is your working experience? a) 1 -5 { } b) 6 – 10 { } c) 11 – 15 { } d) 16 and above{ } 13) What is your age (in years)? a) 20 – 30{ } b) 31 – 40{ } c) 41 – 50{ } d) 50 an above{ } 14) What is your department? a) Marketing{ } b) Administrative{ } ) Personnel { } d) Logistics{ } 15) What is your marital status? a) Single{ } b) Married{ } QUESTIONNAIRE FOR CUSTOMERS INSTRUCTION: Please tick {/} in then box (es) otherwise complete the space appropriately. 1. Are you a customer of UBA, Enugu? a. Yes( ) b. No( ) 2. Do you understand the concept of IT? a. Yes( ) b. No( ) 3. Are you attracted to the bank because of its IT adoption? a. Yes( ) b. No( ) 4. Does the adoption of IT by UBA, Enugu enhance its effectiveness? a. Yes( ) b. No( ) 5. Does the bank have adequate IT infrastructures? a. Yes( ) b. No( ) 6. Does the bank have efficient and adequate computers for its staffs? a. Yes( ) b. No( ) 7. Does the adoption of IT enhance the bank’s growth? a. Yes( ) b. No( ) 8) What is your gender? a) Male{ } b) Female{ } 9) What is your educational qualification? a) WASSCE/NECO/GCE{ } b) OND/NCE{ } c) BSC/BA/HND{ } d) MSC/MA/MBA{ } e) PHD { } 10) What is your working experience? a) 1 -5 { } b) 6 – 10 { } c) 11 – 15 { } d) 16 and above{ } 11) What is your age (in years)? a) 20 – 30{ } b) 31 – 40{ } c) 41 – 50{ } d) 50 an above{ } 12) What is your department? a) Marketing{ } b) Administrative{ } c) Personnel { } d) Logistics{ } 13) What is your marital status? a) Single{ } b) Married{ } CHAPTER FOUR DATA PRESENTATION AND ANALYSIS 1. DATA PRESENTATION, ANALYSIS AND INTERPRETATION The presentation of data collected means the way of arranging the different forms of data obtained through various data collecting techniques to enable the researcher perform analysis and exact new meaning from it. The data collected will be presented in simple table. The data analyses were based on the answer to the key questions received from the various departments. The key questions in the questionnaires will be analyzed by the use of simple percentage. A total of 400 questionnaires were distributed and 8 of them got lost, so the analysis of data will be based on the returned questionnaire which is 392. 2. DATA ANALYSIS PRESENTATION OF DEMOGRAPHIC CHARACTERISTICS TABLE 4. 1:DISTRIBUTION OF RESPONDENTS BY GENDER |GENDER |NO. OF RESPONDENTS |PERCENTAGE | |Male |201 |51 | |Female |191 |49 | |Total |392 |100 | SOURCE: Field Survey, 2012 The above table shows that 51% of the respondents are male while 49% of them are female. TABLE 4. 2:DISTRIBUTION OF RESPONDENTS BY MARITAL STATUS |MARITAL STATUS |NO. OF RESPONDENTS |PERCENTAGE | |Single |119 |30 | |Married |273 |70 | |Total |392 |100 | SOURCE: Field Survey, 2012 The above table shows that 30% of the respondents are single while 70% of them are married. TABLE 4. 3:DISTRIBUTION OF RESPONDENTS BY EDUCATIONAL QUALIFICATION |QUALIFICATION |NO. OF RESPONDENTS |PERCENTAGE | |WASSCE/NECO |110 |28 | |ND/NCE |147 |38 | |HND/BSC/BA |71 |18 | |MSC/MA/MBA |45 |11 | |PHD and others |19 |5 | |Total |392 |100 | SOURCE: Field Survey, 2012 The above table shows that 28% of the respondents have up to WASSCE/NECO certificate, 38% of the respondents are ND/NCE holders, 18% of them are HND/BSC/BA holders, 11% of them are MSC/MA/MBA holders while 5% of them hold PHD and others. TABLE 4. 4:DISTRIBUTION OF RESPONDENTS BY AGE |AGE |NO. OF RESPONDENTS |PERCENTAGE | |20 – 30 |62 |16 | |31 – 40 |102 |26 | |41 – 50 |109 |28 | |51 and above |119 |30 | |Total |392 |100 | SOURCE: Field Survey, 2012 The above table shows that 16% of the respondents are between the ages of 20 – 30, 26% of them are between the ages of 31 – 40, 28% of them are between the ages of 41 50 while 30% of them are from 51 years and above. TABLE 4. 5:DISTRIBUTION OF RESPONDENTS BY OCCUPATION/PROFESSION |YEARS |NO. OF RESPONDENTS |PERCENTAGE | |Student |53 |14 | |Farmers |85 |22 | |Trader |132 |34 | |Housewife |50 |13 | |Civil servant |72 |17 | |Total |392 |100 | SOURCE: Field Survey, 2012 The above table shows that 14% of the respondents are students, 22% of them are farmers, 34% of them are traders, 13% of them are housewives while 17% of them are civil servants. ANALYSIS BASED ON KEY RESEARCH QUESTIONS The analysis of data is based on the returned questionnaires from the respondents. QUESTION 1: Is there a relationship between IT adoption and marketing of banking services? TABLE 4. 6: OPTIONS |NUMBER OF RESPONDENTS |PERCENTAGE | |Yes |241 |61 | |No |151 |39 | |Total |392 |100 | SOURCE: FIELD SURVEY, 2012. The above table shows that 61% of the respondents stated that there is a relationship between IT adoption and marketing of banking services while 16% of them said no to this. QUESTION 2: Does IT adoption by UBA, Enugu impact on its growth and profitability? TABLE 4. 7: OPTIONS |NUMBER OF RE SPONDENTS |PERCENTAGE | |Yes |271 |69 | |No |87 |22 | |Cannot say |34 |9 | |Total |392 |100 | SOURCE: FIELD SURVEY, 2012. The above table shows that 69% of the respondents are of the opinion that IT adoption by UBA, Enugu impact on its growth and profitability, 22% of them said no while 9% of them could not say anything. QUESTION 3: Is IT adoption effective in the marketing activities of UBA, Enugu? TABLE 4. 7: OPTIONS |NUMBER OF RESPONDENTS |PERCENTAGE | |Yes |262 |67 | |No |87 |22 | |Cannot say |43 |11 | |Total |392 |100 | SOURCE: FIELD SURVEY, 2012. The above table shows that 67% of the respondents are of the opinion that IT adoption is effective in the marketing activities of UBA, Enugu, 22% of them said no while 11% of them could not say anything. QUESTION 4: Does the adoption of IT by UBA, Enugu enhance its patronage level? TABLE 4. 9: OPTIONS |NUMBER OF RESPONDENTS |PERCENTAGE | |Strongly agreed |194 |49 | |Agreed |118 |30 | |Strongly disagreed |27 |7 | |Disagreed |53 |14 | | Total |392 |100 | SOURCE: FIELD SURVEY, 2012. The above table shows that 49% of the respondents strongly agreed that the adoption of IT by UBA, Enugu enhances its patronage level, 30% of them agreed, 7% of them strongly disagreed while 14% of them disagreed. QUESTION 5: Does the poor infrastructural state of Nigeria affect IT adoption by UBA, Enugu? TABLE 4. 10: OPTIONS |NUMBER OF RESPONDENTS |PERCENTAGE | |Yes |250 |64 | |No |142 |36 | |Total |392 |100 | SOURCE: FIELD SURVEY, 2012. The above table shows that 64% of the respondents stated that the poor infrastructural state of Nigeria affect IT adoption by UBA, Enugu while 36% of them said no to this. QUESTION 6: Does computer anxiety affect the use of IT by UBA staffs? TABLE 4. 11: OPTIONS |NUMBER OF RESPONDENTS |PERCENTAGE | |Yes |230 |59 | |No |162 |41 | |Total |392 |100 | SOURCE: FIELD SURVEY, 2012. The above table shows that 59% of the respondents are of the opinion that computer anxiety affects the use of IT by UBA staffs whil e 41% of them said no to this. QUESTION 7: Does the maintenance cost of IT equipments affect its use by UBA, Enugu? TABLE 4. 15: OPTIONS |NUMBER OF RESPONDENTS |PERCENTAGE | |Yes |240 |61 | |No |152 |39 | |Total |392 |100 | SOURCE: FIELD SURVEY, 2012. The above table shows that 61% of the respondents are of the opinion that the maintenance cost of IT equipments affects its use by UBA, Enugu while 39% of them said no to this. QUESTION 8: Does IT adoption by UBA, Enugu aid it in serving its customers better than competitors? TABLE 4. 9: OPTIONS |NUMBER OF RESPONDENTS |PERCENTAGE | |Strongly agreed |199 |51 | |Agreed |96 |24 | |Strongly disagreed |39 |10 | |Disagreed |58 |15 | |Total |392 |100 | SOURCE: FIELD SURVEY, 2012. The above table shows that 51% of the respondents strongly agreed that IT adoption by UBA, Enugu aids it in serving its customers better than competitors, 24% of them agreed, 10% of them strongly disagreed while 15% of them disagreed. 2. TESTING OF HYPOTHESIS The res earcher at this point test the hypothesis formed earlier to accept or reject them and as well as determining the extent of their reliability. In order to achieve this, the researcher used chi – square method that is chi – square (X 2) test. HYPOTHESIS ONE: STEP 1: HO:There is no relationship between IT adoption and marketing of banking services. HI:There is a relationship between IT adoption and marketing of banking services. STEP 2: The statistical test is X2 = ? (oi – ei )2 / ei STEP 3: The level of significance used is 5%. That is 0. 05 STEP 4: The degree of freedom is given by (k – 1). That is, DF = (k – 1). Where K = Number of rows or columns STEP 5: The critical value is given as X2 = 3. 8. This value was determined fro the table of Chi – square (X2) using the degree of freedom and level of significance. STEP 6: Computation of the test statistic using table 4. 6: TABLE 4. 6: OPTIONS |Oi |Ei | |Yes |241 |196 | |No |151 |196 | |Total |392 |392 | Where: oi = Observed frequency ei = Expected frequency To get the expected frequency, the researcher divided the total frequency by the number of options. Thus we have: ei = 392 / 2 = 196 X2 = ? (oi – ei )2 / ei = (241 – 196) 2 + (15 1 – 196) 2 196 = 45 + 45 = 90 STEP 7: Comparing the test statistic with critical value 90 gt; 3. 8 STEP 8: DECISION RULE Since the calculated value of X2 is greater than the critical value, we reject the null hypothesis and accept the alternative hypothesis. We therefore conclude that there is a relationship between IT adoption and marketing of banking services. HYPOTHESIS TWO: STEP I: HO:IT adoption by UBA, Enugu does not impact on its growth and profitability. HI:IT adoption by UBA, Enugu impacts on its growth and profitability. STEP 2: The statistical test is X2 = ? (oi – ei )2 / ei STEP 3: The level of significance used is 5%. That is 0. 05 STEP 4: The degree of freedom is given by (k – 1). That is, DF = (k – 1). Where K = Number of rows or columns STEP 5: The critical value is given as X2 = 5. 3. This value was determined fro the table of Chi – square (X2) using the degree of freedom and level of significance. STEP 6: Computation of the test statistic using table 4. 15: TABLE 4. 15: |OPTIONS |Oi |Ei | |Yes |271 |130. 7 | |No |87 |130. 7 | |Can’t say |54 |130. | |Total |392 |392 | Where: oi = Observed frequency ei = Expected frequency To get the expected frequency, the researcher divided the total frequency by the number of options. Thus we have: ei = 392 / 3 = 130. 7 X2 = ? (oi – ei )2 / ei = (271 – 130. 7) 2 + (87 – 130. 7) 2 + (34 – 130. 7) 2 130. 7 = (140. 3) 2 + (- 43. 7) 2 + (- 96. 7) 2 130. 7 = 150. 5 + 14. 6 + 71. 5 = 236. 6 STEP 7: Comparing the test statistic with critical value 236. 6 gt; 5. 3 STEP 8: Since the calculated value of X2 is greater than the critical value, we reject the null hypothesis and accept the alternative hypothesis. We therefore conclude that IT adoption by UBA, Enugu impacts on its growth and profitability. HYPOTHESIS THREE: STEP I: HO:IT adoption is not effective in the marketing activities of UBA, Enugu. HI:IT adoption is effective in the marketing activities of UBA, Enugu. STEP 2: The statistical test is X2 = ? (oi – ei )2 / ei STEP 3: The level of significance used is 5%. That is 0. 05 STEP 4: The degree of freedom is given by (k – 1). That is, DF = (k – 1). Where K = Number of rows or columns STEP 5: The critical value is given as X2 = 5. 3. This value was determined fro the table of Chi – square (X2) using the degree of freedom and level of significance. STEP 6: Computation of the test statistic using table 4. 15: TABLE 4. 15: OPTIONS |Oi |Ei | |Yes |262 |130. 7 | |No |87 |130. 7 | |Can’t say |43 |130. 7 | |Total |392 |392 | Where: oi = Observed frequency ei = Expected frequency To get the expected frequency, the researcher divided the total frequency by the number of options. Thus we have: ei = 392 / 3 = 130. 7 X2 = ? (oi – ei )2 / ei = (262 – 130. 7) 2 + (87 – 130. 7) 2 + (43 – 130. 7) 2 130. 7 = (131. 3) 2 + (- 43. 7) 2 + (- 87. 7) 2 130. 7 = 131. 9 + 14. 6 + 58. 8 = 205. 3 STEP 7: Comparing the test statistic with critical value 205. 3 gt; 5. 3 STEP 8: Since the calculated value of X2 is greater than the critical value, we reject the null hypothesis and accept the alternative hypothesis. We therefore conclude that IT adoption is effective in the marketing activities of UBA, Enugu. HYPOTHESIS FOUR STEP 1: HO:The adoption of IT by UBA, Enugu does not enhance its patronage level. HI:The adoption of IT by UBA, Enugu enhances its patronage level. STEP 2: The statistical test is X2 = ? (oi – ei )2 / ei STEP 3: The level of significance used is 5%. That is 0. 05 STEP 4: The degree of freedom is given by (k – 1). That is, DF = (k – 1). Where K = Number of rows or columns STEP 5: The critical value is given as X2 = 7. 37776. This value was determined fro the table of Chi – square (X2) using the degree of freedom and level of significance. STEP 6: Computation of the test statistic using table 4. 1: TABLE 4. 1: |OPTIONS |Oi |Ei | |Strongly agreed 194 |98 | |Agreed |118 |98 | |Slightly agreed |27 |98 | |Disagreed |53 |98 | |Total |392 |392 | Where: oi = Observed frequency ei = Expected frequency To get the expected frequency, the researcher divided the total frequency by the number of options. Thus we have: ei = 392 / 4 = 98 X2 = ? (oi – ei )2 / ei = (194 – 98) 2 + (118 – 98) 2 + (27 – 98) 2 + (53 – 98) 2 98 = (96) 2 + (20) 2 + (- 71) 2 + (- 45) 2 98 = 94. 0 + 4. 1 + 51. 4 + 20. 7 = 170. 2 STEP 7: Comparing the test statistic with critical value 170. 2 gt; 7. 37776 STEP 8: Since the calculated value of X2 is greater than the critical value, we reject the null hypothesis and accept the alternative hypothesis. We therefore conclude that the adoption of IT by UBA, Enugu enhances its patronage level. CHAPTER FIVE SUMMARY OF FINDINGS, RECOMMENDATIONS AND CONCLUSIONS 5. 1SUMMARY OF FINDINGS The summary of findings made for the purpose of this research study includes the following: There is a relationship between IT adoption and marketing of banking services. IT adoption by UBA, Enugu impacts on its growth and profitability. IT adoption is effective in the marketing activities of UBA, Enugu. The adoption of IT by UBA, Enugu enhances its patronage level. The poor infrastructural state of Nigeria affect IT adoption by UBA, Enugu. Computer anxiety affects the use of IT by UBA staffs. The maintenance cost of IT equipments affects its use by UBA, Enugu. IT adoption by UBA, Enugu aids it in serving its customers better than competitors. . RECOMMENDATIONS The following recommendations are made for the purpose of this research study: 1. Since there is a relationship between IT adoption and marketing of banking services, the researcher recommends that UBA, Enugu should improve on its IT adoption to further enhance its marketing activities. 2. Enugu state government should endeavo ur to improve the infrastructural facilities in the state as it affects IT adoption by the banking sector including UBA, Enugu. 3. UBA, Enugu should organize seminars for their staffs to broaden their knowledge on IT technology for efficiency in the use of this technology for customers’ satisfaction. 4. They should service their IT equipments (for instance, ATM Machines) regularly to ensure their efficiency and effectiveness. 5. They should aim to effectively satisfy their customers in their IT adoption. 5. 3CONCLUSION IT is the automation of processes, controls, and information production using computers, telecommunications, software and ancillary equipment such as automated teller machine and debit cards. It is a term that generally covers the harnessing of electronic technology for the Information needs of a business at all levels. It is becoming increasingly difficult, if not impossible, for banks employing traditional methods (manual methods) to compete favourably in the industry. The potential of the new information era to deliver financial services directly into people’s home is causing trepidation among the big retail banks. 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