The influence of branding strategy on financial performance of commercial banks in Kenya

Abstract

The purpose of this study was to establish the influence of branding strategies on financial performance among commercial banks in Kenya. The study had two specific objectives: To establish branding strategies adopted by commercial banks in Kenya and to determine the influence of branding strategies on financial performance of commercial banks in Kenya. The study adopted a survey design where a census of all the commercial banks in Kenya was conducted. Primary data was collected from 30 commercial banks out of the total 43. Data was analyzed by the use of descriptive statistics using SPSS and presented through percentages, means, standard deviations and frequencies. The data was analyzed to generate multiple regression between dependent variable and independent variables. Data analysis established that most commercial banks in Kenya have demonstrated this by implementing various branding strategies to a large extent. The most common branding strategies among commercial banks in Kenya are the use of the bank name alongside other brands for their products; use of multi-brands strategy; use of iconic branding strategy; as well as use of individual brands. Banks also indicated that their financial performance had improved over the years studied as this was evidenced by return on assets, a key measure of financial performance.