Assessment of marketing strategies of computerization on banking in Tanzania: the case of national microfinance bank (NMB) Dar es Salaam

A strong and well-managed banking industry is necessary to support and sustain the growth and diversification of the country's economy and to improve the lives of typical Tanzanians throughout the country. The study assesses marketing strategies of computerization in the banking industry in Tanzania focusing on National Microfinance Bank (NMB). NMB records and questionnaires to one hundred and fifty NMB bank staff and customers were the source of data used in the study. Financial analytical tools were used to measure performance and market positioning of NMB in the banking industry. Published financial statements were the main source of information used for comparative (comparison between banks) and trend (comparison between years) analysis. 1\MB's identified critical success factors included establishment of a functional and up to-date infrastructure with emphasis on the three components of the service marketing triangle (company, employees and customers) linked together at the center by technology to achieve efficiency to meet customers' expectations. In addition, there was a change in management; from a bureaucratic government owned public institution to a sound independent corporate competitive business. Information technology enabled diversification of products to meet market needs of the targeted customers and tailor human resources framework to cope with competition and growing market. The way forward for NMB would be to focus on identifying customer needs and using the information technology in place to introduce products that meet the specific needs. It was recommended that in order to diversify products available to customers and ensure all their banking needs were addressed by one bank, NMB needed to diversify its customer base and products, change its working style to cope with the technological advancements; utilize Customer Relation Management strategy to minimize customer acquisition costs, have information technology security measures in place to ensure security of customers deposits and consider IT interaction with other banks to provide interactive automated bank services rather than working in isolation.