Fellow, Nigerian Institute of Public Relations and pioneer Head of Corporate Communications of Polaris Bank, Kayode Akinyemi, speaks with Raheem Akingbolu on the likely outlook in the nation’s marketing communications industry in 2024, while urging stakeholders in the banking sector to brace up for effective communication. Excerpts:
What is your view about the likely trend of marketing communication industry in 2024?
Firstly, since the industry is an integral component of the larger economy, it’s natural for marketing communications to share from the various economic challenges facing the country. Since it’s an ecosystem, the factors revolve round and impact one another. However, I must pause and commend the current administration for the efforts being taken to right the wrong and reset the economy.
Having said this, from any angle one chooses to look at it, I think the new year looks good for marketing communications. In the first place, in building the economy, it’s necessary to build the local and international brands operating in the country and this will involve incorporating the services of marketing professionals and agencies to navigate, communicate and position the brands. Therefore, as the brands grow, the economy grows and the marketing industry grows as well.
Beyond this, the political atmosphere looks good and the stability will naturally attract investors into the country. Were it to be an election year, business owners will be living in fear of the unknown but 2024 is free of all those encumbrances. No doubt, this is a good signal, not only for marketing professionals but also for other business owners.
Where do you think Nigeria practitioners stand in the global evolving marketing communication landscape?
I think our practitioners have done well and are still doing very well. Without missing words, our practitioners can compete favourably with their contemporaries all over the world. They have continued to follow the global trends using technology to redefine operations in the industries. With hi-tech and social media, the world is moving at a very vast pace and Nigeria practitioners are getting abreast of this. In Advertising, PR, Marketing Communication and Journalism, Nigerian practitioners have raised the bar. However, this has also created some challenges as a lot are being churned out without proper regulation and self- censorship. I think there is a need for caution in this regard.
Since the last banking industry consolidation and capital raising exercise of 2004/2005, banks have been using their discretion on capital raise. How significant is the planned industry wide capital raising exercise by the CBN?
It is a significant policy drive for so many reasons. First, it’s been many years since regulatory induced capital raising exercise was done with much of the capital already watered down or inadequate for the volume of today’s banking business.
So, new capital is needed as working capital. It is also needed to acquire new technologies for greater efficiency and improved productivity. With digital technologies, for instance, bank branches may not be necessary as customers are able to do all of their banking transactions from the comfort of their homes or offices.
New capital injection will lower banks’ cost of capital as cheap funds would be readily available. This will be of benefit to the banking public through low interest rates.
The next phase of capital raising exercise will require some skills on the part of brand managers because of the economic situation of the country and the increasing low levels of wages. How can brand managers approach this Challenge?
This is where appropriate brand communication is essential. Understanding the psychology of the customers and their expectations will help in crafting appropriate messaging.
During the last exercise, it was the first time such an exercise would take place as everybody was in the market at the same time. Those who guided the exercise and handled their bank’s brand communication would have some experience and skills to leverage and successfully manage the forthcoming exercise.
But basically, understanding the customer psychology, targeting the appropriate demographics with capital and delivering the right messaging will be crucial.
Do you see changes in the communication models and tools used during the last time and those to be deployed during the next exercise?
Definitely, there will be some changes in the media of communication. Last time, communication was heavy in the print and electronic media as Banks bought media space in those channels. With the internet technology prevalent now, most campaigns will be online in the media patronized by those with money. That is where there will be intense and heavy advert spending, less in the traditional media. The traditional media will always be there because you cannot do away with them.
With possible merger and acquisition coming, how should brand managers approach the exercise?
They have to lay out the value inherent in the exercise both for the customers, institutions and the financial sector. Bigger, solid and profitable banks have something for everybody. A strong bank will Inspire public confidence, be profitable and deliver value to the owners. A solid financial system is an enabler of economic growth by supporting businesses. So, it is a win, win for everybody.
Mergers and acquisitions will usher in a robust financial system and stability. There may be fewer banks, but the ones that are on ground will be strong and solid.
How did you manage the seamless integration of the five legacy banks of the then Skye Bank Plc?
The truth is that I have a good understanding of what organisational culture and values are. That is if you have a common culture and similar values, the message will resonate well with both the employees and the public.
So, the first thing is to have a common culture in the organisation. This means harmonising the cultures of the five legacy banks, training the staff on the culture (acculturation), and communicating the same.
We had excellent and appropriate messaging through market research on the kind of things the public wanted. We were strategic, painstaking, and methodical in our approach, using all the elements of persuasive communication, both internally and externally.
If you are to advise the promoters of Brand Nigeria on how to position the country, what will you tell them?
In the first place, I don’t think we have people managing the Nigeria brand as of today. What we have is an information management team. i.e. the Ministry of Information and the office of special adviser on media and publicity, both serving as information managers for the country and Mr. President. It is my considered opinion therefore, for the governments to recruit Marketing/Brand management agencies to work with the existing structure to project the image of Nigeria positively to Nigerians and the outside world. I believe you will agree with me that we have more than enough competent agencies and professionals that can handle this assignment especially in this period when the country is faced with insurgency, killings, kidnapping and all sorts of unrest which has exposed the country’s image to questioning.
Do you also share the belief in some quarters that the government and its agencies don’t appreciate marketing communications practitioners the way they should and that things would have been better if communications experts were involved in the projection of the country?
Of course, we all know the truth; government attitudes towards engaging professionals in managing marketing communication have not been encouraging. To answer the last part of the question, let’s look at how many brands and companies’ practitioners from this country have nurtured to greater heights. Nigeria is blessed with competent marketing communications experts that can compete favourably with their counterparts abroad. I believe therefore that if the Nigerian government explores the marketing communications practitioners that we have in the country, they will give necessary advice that will better position us as a nation.
