Effectiveness of Marketing Communication Methods Among the Registered Deposit Taking Savings and Credit Cooperatives in Nairobi

Abstract

The purpose of the study was to establish the marketing communication methods that are used by deposit taking SACCOS in Nairobi. Specifically the study sought to: identify marketing communication methods used by deposit taking SACCOs in Nairobi and; establish the effectiveness of marketing communication methods used by deposit taking SACCOs in Nairobi. A descriptive survey design was used for this study. The population of study comprised all customers of the 14 registered deposits taking SACCOs in the Nairobi, according to SACCOS Society Regulatory Authority (SASRA). The study used a sample size of 140 customers’ respondents drawn from all 14 SACCOs. The respondents were selected using the convenient sampling technique. The study used primary data which was collected using semi- structured questionnaire. The data collected was analyzed through use of descriptive statistics. The data was presented using frequency tables. Findings indicate that SACCOs use the personal methods of marketing communications to a large extent. These methods are using employees, printed material such as brochures, flyers and newsletters and word of mouth from friends, relatives or workmates. This can be attributed to the nature of the services of the SACCOs which are usually personal and of a durable nature. Further, findings indicate that the methods applied by SACCOs to communicate the members are effective though they were observed to be slow in using the contemporary methods of communication such as websites, television, radio, SMS and other IT based communication methods. From the study findings, the following recommendations are made. First, SACCOs should research the most effective marketing communications and review constantly the marketing communications they employ. Secondly, SACCOs should evaluate alternative marketing communication strategies not just relying on the three that were established in the study. Further SACCOs should adopt the newer and more innovative ways of communication not to over rely on the conventional methods.