THE EFFECT OF ADVERTISING ON CONSUMERS’BANK PREFERENCE IN THE CASE OF OROMIYA INTERNATIONAL BANK.

Abstract

Financial institutions are in a tough competition which requires effective promotional tools to increase awareness and persuasion of customers, where advertising is among the important communications medium that has powerful effect on customers bank preference. The purpose of the study was to analyze the effect of advertising on customer bank preference in OIB bank service. The study was to examine the effect of Advertising message, celebrity advertising media channels advertising and frequency advertising on customer bank preference. The researcher selected participants of the study from Addis Ababa city branches of Oromiya international bank. Under this five branches where selected simple randomly by the students. Quantitative research approach was adopted and probability methods were used (purposive sampling for the selection of branches and total sample size of the study is 240 respondent. Data were distributed using structured questionnaire and analyzed using SPSS 25. The results of the study revealed that among all variables ads message, celebrity ads, ads channel and frequency ads are messages having significant effect on customer bank preference. The findings showed that ads message advertising and celebrity ads has the most powerful influence on OIB customer bank preference frequent ads has less significant on the customer bank preference. Given this findings, it is recommended The study recommends that ADV Message should be strong and easily understandable and also frequent reminding of the bank through ads is needed.